October 20, 2014
As the president and congressional leaders try to keep America from falling off the fiscal cliff, their talks are having an impact on contract negotiations for one group in particular - baseball's free agents.
Tax policy is an area that comes up along with the usual issues. Some players are wrangling for as much money as they can get before the end of the year to avoid tax hikes in 2013.
This much is known for now: Starting Jan. 1, there is an additional 0.9 percent Medicare tax on wages above $200,000 for individuals and $250,000 for married couples filing jointly under the federal Affordable Care Act, a rise to 2.35 percent.