Team insider sheds light on true state of Brewers' payroll heading into 2026 season

Much has been made about the Milwaukee Brewers' decision to extend the $22.025 million qualifying offer to long-time fan favorite Brandon Woodruff. When Woodruff accepted the offer, speculation immediately began in regard to the health of the Brewers' growing payroll and whether or not their decision to give Woody the highest single-season salary of any pitcher in franchise history would lead to them trading away their ace, Freddy Peralta.

Not only did Woodruff's contract inevitably make the payroll situation tighter than it already was, but it also gives Matt Arnold and the Brewers' front office even more justification for trading Peralta, as their rotation would still be in a fine, albeit much less intimidating, place. However, the line of thinking, which was initially backed by insider Jeff Passan of ESPN, still seemed to miss the point slightly.

The issue is a misunderstanding of why the Brewers elect to trade their top players in the final year of their contracts. It's not due to them being unable to pay the final year of said players' contracts; Milwaukee certainly could've shelled out the $8.6 million to keep Devin Williams on their roster last year. Rather, it's an understanding that as the smallest market in baseball, Milwaukee's best way to bring in talented players who can impact their major league roster for several years to come is by trading away their stars before they command contracts that the Brewers can't afford to pay.

For example, when it comes to Peralta, it's not that the Brewers can't afford to pay him $8 million in 2026, regardless of how much money they have committed to the rest of their roster. For just one season, Milwaukee can afford to stretch their payroll, especially with a contract as valuable as Peralta's in question. However, what the Brewers risk by not trading Peralta, which has been lessened by the adoption of draft compensation for losing free agents who were extended the qualifying offer, is missing out on their best opportunity to add controllable MLB-ready players on reasonable contracts, just as they did in the Corbin Burnes and Williams trades.

Therefore, this notion that the Brewers will trade Peralta simply to free up payroll space is false, as is supported by MLB.com's Brewers beat reporter Adam McCalvy, who said just as much during his Brewers Beat newsletter, published just moments ago.

MLB.com's Adam McCalvy reports Brewers aren't worried about current payroll situation heading into 2026 season

If you are a true Brewers fan and you don't subscribe to McCalvy's newsletter, now is the time to do so. Not only does McCalvy offer insider information on the team's happenings throughout the year, but he also packages it in an easily digestible newsletter that arrives directly to your inbox. The link to sign up for said newsletter is included below.

Link to sign up for Brewers Beat newsletter by MLB.com's Adam McCalvy

This week's edition of the Brewers Beat covered the topic of the Winter Meetings, set to begin next Monday, and what Milwaukee might have planned for the major offseason checkpoint. One of the main concerns, understandably, is the health of the payroll. Fortunately, McCalvy offered the reassurance that Brewers fans needed, writing, in regard to a potential Peralta trade, that "[Matt] Arnold said payroll won’t drive the decision." McCalvy went on to report that Arnold said, "he was under no mandate to cut the payroll, and he “certainly” could keep the roster as is going into 2026."

Not only did McCalvy confirm that a Peralta trade will be the result of an overwhelming trade offer that lands on Arnold's desk and not a need for the Brewers to rid themselves of Peralta's 2026 salary, but he also confirmed that there's no reason for Milwaukee to be cutting payroll this offseason. The combination offers encouragement for Brewers fans who have become one of the most patient fanbases in all of sports, while growing to appreciate the sustained success approach that has led their team to the postseason in seven of the last eight seasons.

Therefore, as was always the case, a Brewers trade of Peralta this offseason, which is feeling less and less likely with every comment from Milwaukee's front office, will not be the result of the team needing to shed payroll ahead of the 2026 season. Rather, as has been the case when Milwaukee traded both Burnes and Williams, it's about the team turning their most valuable assets into players who can impact their roster for many years to come, knowing that the alternative is letting their stars walk for essentially nothing in free agency the following offseason.