The Cowboys have restructured Dak Prescott‘s contract, according to ESPN’s Todd Archer, creating $36.6M of cap space on top of the $20M created by Tuesday’s restructure of CeeDee Lamb‘s deal.
The move converts $45.75 of Prescott’s 2025 salary to a signing bonus that is then prorated across the next five years of the contract. His cap number in 2025 dropped to $53M with increases of $9.15M in each of the next four seasons. Prescott’s cap hits in 2026, 2027, and 2028 are now above $70M, giving him leverage to negotiate another extension in the next two years.
Dallas entered the week above the 2025 salary cap. By avoiding a franchise tag for Osa Odighizuwa and restructuring the contracts of Lamb and Prescott, the team now has $54.3M in cap space, the eighth-most in the NFL.
That’s not a final number, as the Cowboys could still make a few moves in the next week. They are expected to place a second-round RFA tender on KaVontae Turpin that will cost $5.35M, and negotiations are underway with Micah Parsons on an extension that could lower his $24M cap hit.
All told, Dallas should enter free agency with about $50M in cap space, but recent comments from owner and general manager Jerry Jones should temper expectations of a spending spree.
“I don’t think aggressive is the right word,” said Jones (via WFAA’s Ed Werder). “I’m not looking at free agency as a place to fill voids.”
Jones added that the team is planning to prioritize the draft over free agency, though their creation of cap space suggest that they intend to make some signings.
