Bills restructure Josh Allen's contract to free up cap space
The Bills restructured quarterback Josh Allen's contract, according to multiple reports, converting $14.875 million of his base salary, as well as a $6 million roster bonus, into a signing bonus. The move cleared $16.7 million of cap space.
The Buffalo Bills made an obvious, necessary move Monday.
The team restructured quarterback Josh Allen's contract, according to multiple reports, converting $14.875 million of his base salary, as well as a $6 million roster bonus, into a signing bonus. The move cleared $16.7 million of cap space for the Bills ahead of the start of the new league year Wednesday.
In doing so, the team is now cap compliant and will have at least some space to take into free agency. Allen's cap hit for the 2024 season is now $30.356 million.
Sports financial website Spotrac estimates the Bills have $4.2 million in cap space, although that does not take into account the reported restructure of tight end Dawson Knox's contract – the details of which have not yet been revealed. The cap is fluid right now as players are re-signed and contracts are reworked, but all teams must be under by the 4 p.m. Wednesday start of the new league year.
Allen's cap hit for the 2025 season jumps to a whopping $60 million, although that contains a $25 million roster bonus that can be converted to a signing bonus and spread out over the remainder of his deal. It's also possible the Bills pursue a contract extension with Allen, who is signed through the 2028 season, to both reduce that 2025 cap charge and return Allen to his proper spot in the quarterback market.
Allen's total cash compensation of $30 million in 2024 ranks tied for 12th among NFL quarterbacks, which is something the Bills know they will eventually have to revisit.
"The quarterback numbers have jumped more drastically than the cap has, which really makes it hard because you’re trying to balance – you have to have a franchise quarterback," Bills General Manager Brandon Beane said at the NFL scouting combine last month. "I mean, it’s proven. You look at most years, the final four, eight teams, most of those teams each year – there can be a one-off year here or there – but they have a franchise guy. We feel fortunate to have Josh, but you’re building your whole team around that contract and you’re trying to massage it and so that’ll continue to be something we have to look at. Yeah, the numbers continue to rise drastically and it’s probably not going to slow down. So I’m sure at some point we’ll have to look at that from Josh’s standpoint."