Dallas Cowboys, Dak Prescott agree to contract restructure, clearing cap space

The Dallas Cowboys and star quarterback Dak Prescott have agreed to terms on a contract restructure that will clear cap space for 2024, according to ESPN’s Field Yates. Dallas is converting Prescott’s $5 million roster bonus for the 2024 season into a signing bonus, which will effectively clear $4 million in cap space for the team this year.

Along with the roster bonus conversion, the move also reduces the quarterback’s 2024 salary cap number to $55.455 million. It’s still a significant sum but the two sides are continuing negotiations for a long-term extension that could further bring down the cap hit. The restructuring also added two more void years to Prescott’s deal, voiding out the rest of the years through 2028. Before the agreement, his 2024 salary cap number was $59.4 million.

Last year, the former fourth-round draft pick agreed to a similar contract restructure to help clear cap space for the team. He saved them $22 million by allowing them to convert $29 million in salary to a signing bonus.

Discussing the team’s offseason moves last week, Cowboys exec Stephen Jones said negotiations are ongoing with the face of the franchise.

“Dak’s been willing to work with us,” Jones said. ‘We’ve had good discussions about him and his contract. He’s all-in in working with us, and we’ve had personal discussions with Dak as well. Other than that, that’s all we’ll say about that, our negotiations with him. We want to keep that private. Won’t get into timelines, but certainly a priority of ours.”

Prescott was an MVP candidate this past season, throwing for 4,516 yards and 36 touchdowns, with only nine interceptions. He also rushed for 242 yards and two scores. He finished second in the voting for MVP behind winner Lamar Jackson.

Cowboys restructure Zack Martin’s contract

The Dallas Cowboys and All-Pro right guard Zack Martin also agreed to a contract restructure earlier this month that will clear roughly $13 million in cap space for the team in 2024, according to NFL insider Tom Pelissero. Martin could still be headed for a major extension this offseason after negotiations for a bigger deal pushed into training camp last year. If they don’t extend his contract, he’s set to become a free agent in 2025.

By converting the bulk of Martin’s salary into a signing bonus, the Cowboys can now say they are in the green in cap space for the 2024 season. They’ve yet to release any key players or convert any other players’ contracts thus far but those moves should be coming.

Martin earned his seventh First-Team All-Pro honor this season after starting 15 of 15 games played. He missed time due to an ankle injury early in the year. He also has two more All-Pro second-team honors on his resume, making him one of the most decorated players in Cowboys history.