The Kansas City Chiefs have taken their first major step toward salary cap compliance, restructuring quarterback Patrick Mahomes’ contract to create significant financial breathing room ahead of the new league year.
By converting $54.45 million of Mahomes’ 2026 salary into a signing bonus, Kansas City cleared $43.56 million in cap space. The maneuver drops his 2026 cap hit from a daunting $78.214 million to a more manageable $34.65 million, while adding nearly $11 million to each remaining year of the deal. His 2027 cap figure now balloons to $85.25 million, further signaling that a more comprehensive contract revision could eventually be necessary.
Mahomes, currently rehabbing from a season-ending knee injury, originally signed a 10-year, $450 million extension in 2020. The structure of that deal was designed to provide flexibility, with the understanding that restructures would be used to shift cap burdens into future seasons as needed.
Even after the move, the Chiefs remain roughly $11 million over the projected cap, a notable improvement from the more than $50 million deficit they faced prior to the restructure. Additional adjustments are expected in the coming weeks. Defensive tackle Chris Jones is a prime candidate for a similar restructure, while veteran contracts such as those of Jawaan Taylor, Michael Danna and Drue Tranquill could also be addressed through releases or revisions.
General manager Brett Veach still has work to do to not only reach compliance before the new league year begins on March 11, but also to generate enough flexibility to improve a roster that missed the postseason for the first time since 2014. Mahomes’ restructure, while significant, represents only the opening move in what figures to be a broader financial recalibration in Kansas City.
