Hedo's Contract Differences the REAL $$$ (WITH MATH)

[yeahright 0]

quote:

Originally posted by Osprey23:

Very true. The US is one of only a few countries and cultures where a large part of our humor is based off sarcasm/cracks/etc.

Are you being sarcastic? I can't tell, perhaps because I'm from Europe.

 

quote:

Most cultures do not partake in our kind of humor and find it offensive.

That's probably why Friends is being re-run for the 21st time over here.

Get your daily double episode, and stay tuned for Spin city, 2 and a 1/2 man and Family Guy!

[deadman54 7]

well then if hedo made that call to better himself and his family money wise then to me waht i just read then is his agent screwed him and he has no clue on taxes and by the time you take international moving costs he would of been better staying in orlando

[agent magic 0]

quote:

Originally posted by deadman54:

well then if hedo made that call to better himself and his family money wise then to me waht i just read then is his agent screwed him and he has no clue on taxes and by the time you take international moving costs he would of been better staying in orlando

 

This post goes to every single stupid board member who believes Hedo can be fooled by his agent on net income figures..

 

Thanks to our government for their innovations on new taxes, we (Turks) have a superior sensitivity for the amounts that will be deducted from our gross earnings.

 

Secondly, correction on Portland and Toronto offers (57 & 62+ respectively) simply gives more income to Hedo and I cannot blame him for chasing a big contract at this point of his career.

 

Thirdly, him and VC together does not work out for anybody. Magic was never an option the day VC trade was announced.

[yeahright 0]

Plus they both play with # 15.

[FENDI 4]

Right now, I highly doubt the money matters to Turk as much as what role he plays for a team.,

[deadman54 7]

quote:

Originally posted by agent magic:

quote:

Originally posted by deadman54:

well then if hedo made that call to better himself and his family money wise then to me waht i just read then is his agent screwed him and he has no clue on taxes and by the time you take international moving costs he would of been better staying in orlando

 

This post goes to every single stupid board member who believes Hedo can be fooled by his agent on net income figures..

 

Thanks to our government for their innovations on new taxes, we (Turks) have a superior sensitivity for the amounts that will be deducted from our gross earnings.

 

Secondly, correction on Portland and Toronto offers (57 & 62+ respectively) simply gives more income to Hedo and I cannot blame him for chasing a big contract at this point of his career.

 

Thirdly, him and VC together does not work out for anybody. Magic was never an option the day VC trade was announced.

 

well then if you cared to look at my location you would see that i was not aware of the us tax system and you will see that it was my own speculation from what i had read

[deadman54 7]

quote:

Originally posted by numba1rocker:

you sir need a life after looking up all the information. Who cares.. really?

 

well said by he who creates so many useless threads

 

oh yea i care thank you magic fan ben it realy opens up the eyes of us around the world about the finer points of the american system i learned somthing and i aprecieate it thank you

[ClubMed 0]

quote:

Originally posted by FENDI:

Right now, I highly doubt the money matters to Turk as much as what role he plays for a team.,

 

Plus the more than eager Turkish community in Toronto.

He might go for the love for a change.

Money+fans+big role in the team=making of a newly constructing eliptic galaxy of two spiral galaxies colliding with eachother with the speed of 11 thousand miles per hour. (which is a new team leader)

Orlando could have been Andromeda with Hedo and the additon of VC, now it is a spiral arm of a midage local group of star clusters.

I am hoping for the best for Magic, and hope for the best for Hedo.

Guess it is not possible to eat your cake and have it too. SAD.

 

Ps - sorry, 11 thousand miles a minute, not an hour.

Star clusters = Group of stars, with no regular path or common systems. It doesnt mean anything bad.

[jamisont 0]

great post. it might be all same deal for player but its not for agent.

agent doesnt have to live there, also his $ is based on player's contract so bigger the better for agent.

[ironarrow 0]

quote:

Originally posted by MagicFanBen:

Here is what we know. There were 3 offers.

Orlando 5 years $45 million

Portland 5 years $50 million

Toronto 5 years $53 million

 

Hedo chose Toronto, but what did he gain or lose.

 

Here are my results and below them is how I calculated them. I often wonder why agent fail their clients. It is in the agents best interest for the client to take the most money because they get their percentage off the top. That is probably why you never hear an agent telling a client to take a little less in a city that has less of a tax burden.

 

Using Florida as a baseline here are the results.

 

Orlando 5 years 45 million

Portland 5 years 46.625 million

Toronto 5 years 48.875 million MINUS 6.5% sales tax difference effect and minus the higher cost of living.

 

To me without digging any deeper all 3 contracts were virtually the same.

 

Here is how I crunched the numbers.

 

Well first of all he would not pay state tax in Florida. Here are the state tax rates for the other contracts.

 

Florida - 0%

Oregon - 9%

Ontario - 11.16%

 

Then there is a Sales tax difference that everyone pays. Obviously the richer you are the more you will pay in sales tax. The sales tax rates are as followed.

 

Florida - 6% (6.5 in Orlando)

Oregon - 0%

Ontario - 13%

 

Yes Portland has ZERO sales tax. to make it easier to understand. A study was done on an average couple that makes $100k or less in each state to see how much of that $100k ended up being taxed in some form by the government. This study tookin to account local & state income tax, Property tax, sales tax, luxury tax and fuel tax. Here is the result.

1 Maine 13.00%

2 New York 12.00%

3 Hawaii 11.50%

4 Rhode Island 11.40%

5 Wisconsin 11.40%

6 Vermont 11.10%

7 Ohio 11.00%

8 Nebraska 10.90%

9 Utah 10.90%

10 Minnesota 10.70%

11 Arkansas 10.50%

12 Connecticut 10.50%

13 West Virginia 10.50%

14 New Jersey 10.40%

15 Kansas 10.40%

16 Louisiana 10.40%

17 Maryland 10.30%

18 Indiana 10.30%

19 Kentucky 10.30%

20 California 10.30%

21 Arizona 10.20%

22 Michigan 10.10%

23 Wyoming 10.10%

24 Washington 10.00%

25 Iowa 10.00%

26 Mississippi 10.00%

27 Idaho 10.00%

28 North Carolina 10.00%

29 New Mexico 9.90%

30 Illinois 9.80%

31 Georgia 9.80%

32 Massachusetts 9.80%

33 South Carolina 9.70%

34 Virginia 9.70%

35 Pennsylvania 9.70%

36 Oregon 9.60%

37 Colorado 9.50%

38 Nevada 9.50%

39 Montana 9.50%

40 Oklahoma 9.40%

41 Missouri 9.40%

42 North Dakota 9.40%

43 Texas 9.30%

44 Florida 9.20%

45 South Dakota 8.80%

46 Alabama 8.70%

47 Tennessee 8.30%

48 Delaware 8.00%

49 New Hampshire 7.40%

50 Alaska 6.40%

District of Columbia 12.20%

Source: Tax Foundation, 2005

 

Basically a .4 percent difference between Oregon and Florida. However the study shows that states with a high income tax versus a high sales tax effects people more that make over $100k. That is obviously what Hedo would be in. I read the entire study and the theory is that above $100k 75% of all earned income in a state with state taxes is effected at a dollar for dollar rate to a state with an equal cost of living. In other words, 75% of his $50 millon would be $37.5 million is effected at a rate of 9%. So the difference in $50 million earned income in Oregon versus Florida is $3,375,000.

 

It is a little more tricky to figure out that of Toronto. However I researched the cost of living in Toronto and based on a few factors Toronto has a substantial cost of living difference than Portland. Just as an example the average house in Portland cost $291k, in Toronto is cost $380k.

 

If you just compared taxes and said each were equal in cost of living, there would be a 2.16% increase between Toronto and Portland. Which is another $810k. But when you factor in the adjusted rate for sales tax. it is quite a bit more. At 13% sales tax it is very hard to estimate the effect on his overall income. So I will leave it open so not to misconstrue the results.

 

Using Florida as a baseline here are the results.

 

Orlando 5 years 45 million

Portland 5 years 46.625 million

Toronto 5 years 48.875 million MINUS 6.5% sales tax difference effect and minus the higher cost of living.

 

To me without digging any deeper all 3 contracts were virtually the same.

 

Except, Magic never offered 45 million.. Not on top of Vince trade! This is a fact!

 

Of course Otis wants you to believe that Orlando did offer 45m so you hate Hedo, instead of Otis!

[ironarrow 0]

quote:

Originally posted by KillingInTheNameOf:

I thought Hedo only got a 4 year offer from Orlando?

 

He did get only a 4 year 36 million offer!

 

These guys are making up a 5/45 offer to satisfy themselves Otis did all he could to keep him.

 

Believe me, If Otis showed the will to keep him, he can still keep him! It's not like the contract is signed!

[VaBchMagicFan 0]

I would bet that an offer was never made after we got VC. VC was a replacement not brought in to play with Hedo. Also Hedo's camp said numerous times that the offer reported before we got VC was bogus. I saw reported in numerous places that it was only worth 8 mil a year and the 4th year was only a TO so it was basically a 3 year deal. If the money was the same an agent would have made sure Hedo realized it and I find it hard to believe he would go. I also think Hedo was upset all year even though he did not say it publicly(which I think attributed to his poor play) that an offer was not made and a deal not reached last off season after his great year. Lets be honest and say that Otis never had an intention on resigning Hedo.