The Prospect Promotion Incentive (PPI) was implemented in the 2022 Collective Bargaining Agreement as a way to encourage teams to promote their best young players to the big leagues as early as possible, and it's added an interesting new wrinkle, not only to the Draft, but to the way teams construct their rosters coming out of Spring Training every year.

Before the PPI, teams keep their top prospects in the Minors for a few weeks to begin the season, rather than promote them on Opening Day, to benefit from the service time implications that triggered additional years of team control.

The PPI is intended to incentivize teams to bring those players north with them on Opening Day by hinging team benefits -- an extra Draft pick -- on individual player performance and awards.

If it sounds complicated, don't worry. This FAQ is designed to provide everything to know about the PPI.

How do clubs earn PPI picks?

MLB clubs can earn a Draft pick after the first round if a PPI-eligible player accrues one year of service as a rookie and then factors into a major award. That means he either has to win his league¡¯s Rookie of the Year award or place in the top three in MVP or Cy Young voting prior to qualifying for arbitration.

But there are a few ways that can happen. One year of service requires 172 days on an active roster, which means ¡­

1. Players with little or no MLB service time need to break camp with the team or be called up within two weeks of Opening Day. Then they must spend all or most of the year in the big leagues. Then they must either win their league¡¯s Rookie of the Year award or place in the top three for MVP or Cy Young.

2. Players who made an Opening Day roster and accrued the service time but didn¡¯t factor in any awards that year retain PPI eligibility. They need to place in the top three for MVP or Cy Young before hitting arbitration. That typically allows for a three-year window.

Bobby Witt Jr. became the first player to achieve this in 2024, when his top-3 AL MVP finish earned Kansas City a PPI pick in the 2025 Draft. Witt retained his eligibility from 2022, when he made his MLB debut for Kansas City on Opening Day.

How many any teams have benefited?

Four clubs have been awarded PPI picks since 2022. The Mariners earned an extra pick in the 2023 Draft after Julio Rodriguez won the 2022 AL Rookie of the Year award.

A year later, the D-backs and Orioles earned extra picks because Corbin Carroll and Gunnar Henderson won their league's 2023 Rookie of the Year honors. Additionally, the aforementioned Witt provided the Royals with an extra pick in the 2025 Draft.

Are there limits?

Yes. There is a limit of one PPI pick per organization per year, and players can earn only one PPI pick for their clubs. So Witt, Rodriguez, Carroll and Henderson no longer qualified after earning picks for their clubs.

How does one become PPI-eligible?

Eligibility is based on the preseason rankings. Eligible prospects have to appear on at least two of the three Top 100 Prospect rankings released by MLB Pipeline, Baseball America and ESPN. Those players must be rookie-eligible and have fewer than 60 days of prior MLB service.

Can a player lose eligibility?

Yes. PPI eligibility only extends to the clubs for which prospects make their MLB debuts. If a prospect is traded after making his debut, his PPI eligibility is nullified for his new club, even if he still has rookie status.

An excellent example of that came in 2024, when the Orioles traded infielder Joey Ortiz to the Brewers as part of their deal for Cobin Burnes. Ortiz debuted the year prior and still had rookie eligibility for '24, but lost it in the deal because he'd already made his MLB debut for Baltimore.

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On the flip side, prospects traded before their MLB debuts retain PPI-eligibility with their new clubs. This means that eligible prospects acquired in deals prior to the 2025 season -- like the White Sox's Kyle Teel and Colson Montgomery and Houston's Cam Smith -- retained their eligibility because none had debuted yet.

Any other stipulations?

Yes. Rookie players may not exceed 60 total days of service and still qualify for PPI. This is uncommon, since most rookies shed their rookie status altogether after 45 days of service time. But rookie eligibility doesn't count service time accrued on the injured list. That time does apply to PPI eligibility. So a player can be a rookie and not PPI eligible, it is just unusual.

Additionally, international free agents signed to amateur deals that are not subject to bonus pools do not get PPI eligibility. This applies to international free agents who sign at age 25 or higher and have played as a professional in a foreign league recognized by Major League Baseball for a minimum of six seasons. As an example, right-hander Yoshinobu Yamamoto was not eligible after signing with the Dodgers in 2024.

On the other hand, international free agents who are subject to bonus pool rules -- those who are under 25 years of age and have not played as a professional in a foreign league for at least six years -- are eligible. Hence, Roki Sasaki was eligible after signing with the Dodgers in 2025.