The NFL has finally caught up with Major League Baseball's (MLB) innovative contract structure, and the Los Angeles Rams are leading the charge. The team's recent restructuring of edge rusher Myles Garrett's contract mirrors the financial creativity seen in the Los Angeles Dodgers' approach to Shohei Ohtani's deal. This move showcases the NFL's evolving strategies in salary cap management, offering a fascinating insight into the league's future.
Garrett's contract, worth $208.2 million over five years, was restructured to include eight option bonuses and eight void years. This restructuring provides the Rams with unprecedented flexibility, allowing them to manipulate the salary cap hit over a longer period. As of June 2026, nearly $40 million of the contract's value won't impact the Rams' cap numbers until 2031, with the potential to push even more into future seasons.
The key to this strategy lies in the option bonuses and void years. The Rams can choose to exercise these bonuses in the final four years of Garrett's deal, effectively kicking the cap hit to future void years. For instance, if the Rams need cap space in 2027, they can exercise Garrett's option bonus, pushing the cap hit to 2035 or later. This approach ensures that the Rams can manage their salary cap more effectively, especially in the short term.
The void years between 2031 and 2034 are associated with $39.9 million in cap hits, but none of the void years between 2035 and 2038 currently carry additional dead cap. This means that once Garrett is no longer on the Rams' roster, the dead cap will be accelerated onto the contemporary league year, impacting the team's cap space in 2031. This is a crucial distinction from Ohtani's contract, where the deferred money remains spread out over a longer period.
In my opinion, this restructuring is a testament to the NFL's evolving strategies in salary cap management. It allows teams to be more creative in their approach to player contracts, potentially leading to more competitive teams and a more dynamic league. However, it also raises questions about the long-term sustainability of such strategies and the potential impact on player welfare. As the NFL continues to innovate, it will be fascinating to see how this trend develops and whether it becomes a standard practice in the league.
