For the fourth consecutive year, the Kansas City Chiefs have restructured quarterback Patrick Mahomes contract in an effort to create additional cap space.
With the transaction, the Chiefs created $43.56M in cap space for 2026 by converting $54.45M of Mahomes’ contract into a signing bonus. As a result, Mahomes’ cap hit will go from $78.2M to $34.65M.
The deal was a necessary one as the Chiefs entered the offseason $57M over the cap, meaning they will still need to make some financial maneuvers even after reworking Mahomes’ contract. The 30 year old will now count for an additional $11M against the cap in each of the next four seasons, bringing his total cap number to $85M for 2027. Mahomes could also receive a contract extension before 2028 to spread out the financial impact.
The former Super Bowl MVP will be entering 2026 at less than 100% health after undergoing surgery in mid-December to repair two ligaments in his left knee. While Mahomes has already stated that his goal is to play in the team’s season opener, Kansas City figures to be extra cautious with him during training camp and the preseason.
In addition to Mahomes, the Chiefs will likely be looking to modify deals for several other prominent players this offseason. Defensive lineman Chris Jones, who is set to count for nearly $45M against the cap, is likely to sit down with the front office in the coming days to work out a restructured deal of his own.
Then there are the potential cut candidates to help reduce the team’s financial issues as well. Those include veteran players such as Jawaan Taylor, Mike Danna, Drue Tranquill and Noah Gray. The team is also awaiting word from star tight end Travis Kelce as to what his plans are for 2026 as he mulls over retirement.
Kansas City will also have the luxury of picking inside the top 10 in the upcoming NFL Draft for the first time in ages after the team missed the playoffs for the first time since 2014.
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