Dallas Cowboys forced to review Dak Prescott’s unsustainable contract… and other stars too?
As the 2025 NFL season approaches, the Dallas Cowboys are grappling with a major financial dilemma centered around their franchise quarterback, Dak Prescott.
While his current contract was initially structured to provide short-term relief, the team is now facing the harsh reality of an unsustainable $89.896 million cap hit. With free agency fast approaching on March 12, the Cowboys must act swiftly to avoid a financial bottleneck that could hinder their ability to retain key players and bolster their roster.
For years, the Cowboys have relied on contract restructures as a way to manage salary cap limitations, and Prescott‘s deal is no exception.
The most viable solution involves converting a significant portion of his 2025 salary into a signing bonus, which would substantially reduce his cap hit to around $50-54 million, while also freeing up an estimated $36-40 million in cap space.
NFL insider Mike Fisher of CowboysCountry.com anticipates the team will move forward with this strategy soon, given their need for financial flexibility.
“At whatever point the Cowboys wish to do so, they can ‘flip the switch’ on Dak’s existing deal… and gain about $36 to $40 million in cap room,” Fisher reported. Given their looming cap crisis, waiting too long to restructure could jeopardize their offseason plans.
As the 2025 NFL season approaches, the Dallas Cowboys are grappling with a major financial dilemma centered around their franchise quarterback, Dak Prescott.
While his current contract was initially structured to provide short-term relief, the team is now facing the harsh reality of an unsustainable $89.896 million cap hit. With free agency fast approaching on March 12, the Cowboys must act swiftly to avoid a financial bottleneck that could hinder their ability to retain key players and bolster their roster.
For years, the Cowboys have relied on contract restructures as a way to manage salary cap limitations, and Prescott‘s deal is no exception.
The most viable solution involves converting a significant portion of his 2025 salary into a signing bonus, which would substantially reduce his cap hit to around $50-54 million, while also freeing up an estimated $36-40 million in cap space.
NFL insider Mike Fisher of CowboysCountry.com anticipates the team will move forward with this strategy soon, given their need for financial flexibility.
“At whatever point the Cowboys wish to do so, they can ‘flip the switch’ on Dak’s existing deal… and gain about $36 to $40 million in cap room,” Fisher reported. Given their looming cap crisis, waiting too long to restructure could jeopardize their offseason plans.
Other Star Players Also in Contract Discussions
Prescott‘s contract isn’t the only financial issue the Cowboys are addressing. The front office is also considering restructuring wide receiver CeeDee Lamb‘s deal, which could free up an additional $20 million in cap space.
Additionally, the team is negotiating a long-term extension for Micah Parsons, which could create even more financial room, potentially bringing their available cap space close to $100 million.
However, the downside to restructuring contracts is that it delays financial obligations into future seasons, creating potential cap concerns down the road. If the Cowboys fail to plan effectively for Prescott‘s eventual departure, they could be left with a significant dead cap hit, further complicating their financial situation.