Dallas Cowboys restructure Dak Prescott contract, free up $36.6 million in cap space

The Dallas Cowboys and quarterback Dak Prescott have come to an agreement on a restructured contract that creates $36.6 million in cap space, according to ESPN’s Todd Archer. It comes one day after the Cowboys restructured CeeDee Lamb‘s contract, with the two deals opening up $56.6 million in cap space ahead of NFL free agency later this month.

Prescott and the Cowboys agreed to a record four-year, $240 million contract extension just prior to the start of the 2024 NFL season that gave Prescott the highest average annual value in NFL history.

By restructuring Prescott’s deal, the Cowboys converted $45.75 million of Prescott’s base salary into a signing bonus, reducing his 2025 cap figure from $89.89 million to $53.29 million, according to Archer.

After Prescott’s and Lamb’s restructuring, and a new deal for defensive tackle Osa Odighizuwa, Dallas currently has over $54 million in cap space, according to OverTheCap.com. NFL free agency begins at 4 pm ET, March 12.

Prescott is looking to bounce back from a disappointing 2024 that ended in Week 9 when Prescott suffered a partial avulsion of his right hamstring that would require season-ending surgery. Prescott will enter 2025, his 10th NFL season, with 31,437 career passing yards, 213 touchdowns to 82 interceptions and a 66.8-percent completion percentage.

Dallas Cowboys restructure CeeDee Lamb contract, create $20 million in cap space

The Dallas Cowboys have created $20 million in cap space after agreeing to a restructured deal with Pro Bowl receiver CeeDee Lamb on Tuesday, according to ESPN reporter Todd Archer.

Lamb signed a four-year, $136 million contract extension prior to the start of the 2024-25 NFL season that made him, at the time, the second highest-paid non-quarterback in league history, and included a record $38 million signing bonus. Lamb’s deal initially reset the market for NFL receivers before the Minnesota Vikings locked up Justin Jefferson with a record $140 million extension over four years.

By restructuring Lamb’s deal, the Cowboys converted $25 million of Lamb’s 2025 salary into a signing bonus, which lowered his 2025 cap number by $20 million and increased his cap number from 2026-29 by $5 million per season, according to Archer.

By restructuring Lamb’s deal, the Cowboys converted $25 million of Lamb’s 2025 salary into a signing bonus, which lowered his 2025 cap number by $20 million and increased his cap number from 2026-29 by $5 million per season, according to Archer.