INDIANAPOLIS – An increased salary cap for the 2024 season means the price of playing tag has gone up as well.
The NFL announced Friday the salary cap for the upcoming season is $255.4 million, a major bump from last year’s $224.8 million. In addition, teams will receive $74 million for player benefits, including Performance Based Pay.
The league noted the $30 million increase is “the result of the full repayment of all amounts advanced by the clubs and deferred by the players during the Covid pandemic as well as an extraordinary increase in media revenue for the 2024 season.’’
A consequence of the fatter salary cap is heftier costs of using the franchise/transition tags, which could impact Michael Pittman Jr. and the Indianapolis Colts.
Pittman’s rookie contract expires March 13, but the Colts have made it clear their overriding offseason objective is retaining a 2020 second-round draft pick who has been their leading receiver the past three seasons.
Ideally, that’s with a long-term contract that could pay Pittman between $23-25 million per season.
Until that’s achieved – or if a long-term deal can’t be reached – the Colts are expected to use the franchise tag to limit his relocation possibilities. Tuesday was the first day a team could exercise the franchise tag, and the deadline is March 5.
The nonexclusive franchise tag for receivers has been set at $21.8 million following the adjusted salary cap. It was expected to be roughly $20.7 million before the adjustment.
It’s worth noting the franchise tag for receivers is the fourth-highest among positions, trailing quarterback ($38.3 million), linebacker ($24 million) and defensive tackle ($22.1 million).
General manager Chris Ballard considers Pittman one of the team’s cornerstone players, and realizes it will be expensive to retain him, either with the franchise tag or a long-term contract.
“The (receiver) market is what the market is,’’ he said in early January. “You have to have gas in your car and if it’s $4 a gallon, it’s $4 a gallon. It is what it is.
“It’s kind of like the quarterback. When you have one, the price tag is up toward $40-50 million now. The market is what the market is. You’ve got to have wideouts.’’
With the adjusted salary cap, the Colts are projected to have $72.3 million in cap space, according to overthecap.com. That’s sixth-most in the league.
Along with Pittman, the Colts have decisions to make regarding several prominent players who become free agents in mid-March, including cornerback Kenny Moore II, safety Julian Blackmon, backup quarterback Gardner Minshew II, defensive tackle Tyquan Lewis and punter Rigoberto Sanchez.
It’s also possible Ballard will consider extensions for defensive tackle DeForest Buckner and linebacker Zaire Franklin. Both are heading into the final year of their contracts.
One benefit as the Colts move forward: Anthony Richardson.
The four-year, $33.9 million contract given to the No. 4 overall pick in the 2023 draft is very team-friendly until the fifth-year option comes into play. Richardson’s first four cap hits: $6.2 million in 2023 followed by $7.7 million, $9.2 million and $10.8 million.
“I think we have more flexibility right now than we’ve had the last few years,’’ Ballard said. “A little bit of that is we’re not paying a quarterback big money anymore. We’re going to have some more flexibility.
“We’ll always be prudent but we’ll be as aggressive as we need to be in free agency with players that we think can help us.’’
You can follow Mike Chappell on Twitter at @mchappell51.