Baseball Musings: Back to the Pen

December 27, 2005

Back to the Pen

Former closer Jeff Reardon is closed in right now after being arrested for robbing a jewelry store:

A four-time all-star who earned more than $2 million a season at the height of his 16-year career, Reardon walked into a jewelry store on Monday and "handed an employee a note stating that they were being robbed and that he had a gun," Palm Beach Gardens Police said in a news release.
Reardon was arrested at a nearby restaurant and the stolen money was recovered, police said.

Since Johnny Damon signed with the Yankees, I've had a number of discussions with family and friends about the money earned by ballplayers. At some point, the question is asked, "When they're earning that much money, what difference does a few million dollars make?"

Any ballplayer who lasts long enough to become arbitration eligable should be set for life. What we tend to forget, however, is that large earnings tend to lead to large spending habits. Bobby Grich, who made good money in his era, retired broke. Ron Guidry went bankrupt while he was still pitching. Jack Clark made bad investments. It's amazing how many of these stars never plan for their future, as if they're going to be making big money forever.

Reardon's case is an especially sad one. If the story is true, he'll be spending time in entirely different kind of pen.

Update: According to this article in the Star Tribune, Reardon is not having financial difficulty. Jeff is blaming drugs he's taking:

He said Reardon had a 20-year-old son who died of a drug overdose in February 2004, which "has been very difficult for him and his family,'' and has been on medication for depression. Reardon, who is married and has two other children, also underwent a heart angioplasty last week and has been taking medication for that.
"He asked me to apologize to his fans and friends,'' Beers said. "This bizarre incident is completely uncharacteristic of Jeff Reardon.''

We'll wait and see how this one turns out.

Update: There seems to be some controversy over my statement that Bobby Grich retired broke. I'm working from memory, but I remember reading Grich being quoted on the subject when he left baseball in 1986. A couple of people have pointed out a 1990 article that suggested Grich was doing very well for himself. It's possible both are true. Grich, I believe, would be entitled to a pretty good pension, given his years of service and earning power during that time. It also could be that Grich, when he said he was broke, was talking about free cash instead of assets. Anyway, that's what I remember, and I'm glad he didn't stay broke.

Posted by David Pinto at 12:32 PM | Crime | TrackBack (0)

Comments

"This Call to the Pen sponsored by Chico's Bail Bonds..."

Posted by: Dennis at December 27, 2005 12:57 PM

I've read of people acting erratically shortly after surgery. I hope he gets better as soon as possible.

Posted by: RICH at December 27, 2005 01:19 PM

Even if it doesn't apply in Reardon's case maybe the union should not just be agitating for higher player salaries but should take more responsibility for players' financial planning.

Posted by: David Gerstman at December 27, 2005 01:34 PM

David,

I've always thought that agents should take that responsibility. For the 30% they're getting they should force a player to put 10 to 20 percent of their earnings into some conservative investment that will pay them money for the rest of their lives.

If I had a child that somehow made it to the majors, I want them to bank nearly 100% of their take home the first few seasons. If they last only a year or two, they'll have a couple of hundred thousand in the back. That will buy a house, or a college education. If they could last four seasons, they'll probably take home over $1 million dollars, and now they'll have a pretty good income for the rest of their lives.

Posted by: David Pinto at December 27, 2005 01:59 PM

According to baseball-reference, Reardon made at least $11.5 million in his career. I would hope at some point that he would have thought to set some aside to secure his future. Even a relatively low investment opportunity of 5 percent a year would have him making $50,000 annually.

Posted by: Benjamin Kabak at December 27, 2005 02:32 PM

Bobby Grich retired broke? I remember an article by Leigh Montville in SI, circa 1989-1990, profiling many of the members of the first free agent classes and how they were doing financially. Grich was, according to the piece, living the high life and financially set for life thanks to his big contracts (his big ambition was to play all 100 top-rated golf courses, I recall). Other of his contemporaries had big problems (especially people like Rick Wise and Ted Simmons who were defrauded by LaRue Harcourt, a corrupt agent), but Grich did not seem to be one of them at that point.

Posted by: Dr. Manhattan at December 27, 2005 02:53 PM

This post is kind of an object lesson in why one should just report the known facts on a breaking story, rather than jumping to conclusions.

Just sayin.'

Posted by: Hudson at December 27, 2005 03:50 PM

Dr. Manhattan,

I'm working off memory, but I rember an interview with Grich in which he said he was broke. The interviewer asked how he could spend all that money, and Grich said, "The only thing you can do on the road is shop." That quote stuck with me. It could be that Grich was giving the interviewer a hard time, but that's what I remember.

Posted by: David Pinto at December 27, 2005 04:07 PM

Who was the NBA player who defended their high salaries, saying, "We spend a lot of money, too." ?

(Not that high salaries need a defense, if that's what owners will pay.)

Posted by: Adam Villani at December 27, 2005 04:10 PM

Adam:
That was a Patrick Ewing quote. His PR skills were not quite as smooth as his jumper.
David:
I think the SI piece was from SI's 1990 baseball preview issue, a few years after Grich's retirement. One quote I remember from the piece was that one of Grich's friends recommended that he get a paper route so as to add some structure to his days - not for the money. (That quote was preceded by a story of how Grich and a few friends had gone golfing in Scotland and gambling at Monte Carlo. Hard-up, he was not.) Perhaps he has fallen on hard times since then.

Posted by: Dr. Manhattan at December 27, 2005 04:29 PM

There comes a point where the amount of money earned is meaningless expect as a comparison to other players. Someone like Ichiro will look at Damon's contract and say, "I'm better than him. I deserve more money." That's human nature.

Posted by: Sean Hackbarth at December 27, 2005 07:37 PM

This is seen in nearly every profession. There are people who increase their spending for every penny of a raise forgetting that Uncle Sam is getting his cut. A $100 raise is not an extra $100 in your pocket. In my time in the Navy I knew one guy who never made more than $40K a year but was able to retire with several million in mutual funds. I also knew officers pulling in well over $100k who were so far in debt that they were scared when they retired. Their fear was based on a perceived need to maintain the false lifestyle of affluence. Best lesson to learn in life is to never spend more than you earn.

Posted by: LargeBill at December 27, 2005 09:40 PM

Our prayers should be with Reardon.

Posted by: Yankee Despiser at December 28, 2005 09:22 AM

That was a Patrick Ewing quote. His PR skills were not quite as smooth as his jumper.

So whose bright idea was it for him to be in charge of the union?

As for Jack Clark "investing badly," I seem to remember him going broke because he bought like 15 cars.

Posted by: Steve at December 28, 2005 03:29 PM