The Dallas Cowboys took crucial steps to manage their salary cap by restructuring quarterback Dak Prescott’s and offensive lineman Tyler Smith’s deals on Wednesday. These adjustments generated $47 million in available cap space, a necessary move given the team’s previous financial constraints. Additionally, the Cowboys are anticipated to restructure wide receiver CeeDee Lamb’s contract to maintain cap compliance.
Financial Status Prompted Urgent Cap Management Actions
Before the restructures, the Cowboys had the lowest salary cap space in the NFL, with Over The Cap indicating a negative $56.6 million. The team’s need to clear space was pressing, not only to become compliant with league rules but also to allow for strategic additions aimed at improving performance in the coming season.
Team Performance and Defensive Concerns Drive Offseason Priorities
Dallas finished last season with a disappointing 7-9-1 record, missing the playoffs amid defensive shortcomings. While the offense ranked second in yardage and seventh in scoring, led by Prescott, Lamb, and George Pickens, defensive issues proved too great to overcome. The defense ranked last in points allowed and 30th in yards allowed. Compounding these problems was the offseason trade of star pass-rusher Micah Parsons, which left a significant void on defense.
Ownership Signals Intent to Increase Spending in Free Agency
To address these weaknesses, the Cowboys are expected to invest more heavily in free agency. Team owner Jerry Jones conveyed this commitment, stating,
“I would bet that we will spend more money in free agency than we have.”
Jones’s remarks highlight the urgency to bolster the roster, especially on defense, to avoid a repeat of last season’s struggles.
New Defensive Leadership and Upcoming Free Agency Opportunities
Dallas has already taken a step by hiring Christian Parker as its new defensive coordinator. Despite this leadership change, Parker will likely require enhanced personnel acquisitions in free agency or the NFL draft to strengthen the defense sufficiently. Free agency officially begins on March 11 at 4 p.m. ET, with the legal signing period opening on March 9 at noon. With the additional cap space from restructures, Dallas will be in a better financial position to pursue needed reinforcements as the offseason progresses.
Cowboys now have officially restructured the contracts of Dak Prescott and Tyler Smith, creating $47 million in cap room, per @FieldYates and me.
They still are expected to restructure CeeDee Lamb’s contract to help get cap compliant. pic.twitter.com/rXf71e6gox
— Adam Schefter (@AdamSchefter) March 4, 2026
