In my previous plan I suggested making these signings, trades, and re-signings without really thinking about payroll:
Re-sign Mike Mussina (7 million)
Re-sign Andy Pettitte (7 million)
Sign Adam Dunn (16 million)
Sign Casey Blake (9 million)
Sign either C.C. Sabathia, or Derek Lowe (22 million or 15 million)
Trade Kennedy, Aceves, Wright, and Melky for David DeJesus (2 million)
These estimated salaries would add up to 56-63 million dollars in added payroll. This brings things all the way up to about 201-208 million million dollars for a 2008 payroll. Although I`m not sure that the 180-185 million dollar cap will be that strictly enforced, I doubt they`ll be all the way up to 210 million dollars.
So how do we cut down on payroll? Firstly, I don't think both Mussina will be back. That brings things down to 194-201 million dollars which is a slight improvement. If Mussina does come back then it probably makes it easier to negotiate with Pettitte if he is willing to come back as well. Trading Damaso Marte could also bring payroll down 7 million dollars. He might bring back some solid prospects. That brings things down to 187-194 million dollars. If they didn't sign Casey Blake it would also bring things down to 178-185 million dollars, right in the range. I don't see them hitting that 180-185 million dollar range.
If I`m the Yankees I just try and bring the payroll down to that 187-193 million dollar range. They should be able to continue bringing down payroll as more bad contracts come off and cheap prospects move into their spots. They shouldn't try and do to much in one year and hurt their chances for the playoffs.