The Dallas Cowboys face a pressing challenge to generate salary cap space to accommodate a deal for wide receiver George Pickens as they approach the 2026 NFL offseason. After a disappointing 7-9-1 season that saw them miss the playoffs despite strong performances from quarterback Dak Prescott, the team must take decisive financial actions to strengthen their roster, particularly on defense.
Restructuring High-Value Contracts Including Dak Prescott’s
As the Cowboys enter the free agency period, their salary-cap situation shows a deficit of over $30 million, creating an urgent need for adjustments. A common strategy in the NFL involves converting portions of player salaries into signing bonuses, which can be prorated over the life of a contract to reduce immediate cap hits while providing the team more financial flexibility.
Among all players, Dak Prescott’s contract offers the greatest opportunity for restructuring. According to Randy Gurzi, this could reduce Prescott’s cap number from $74 million to $43 million, freeing approximately $31 million in space. This adjustment alone could bring the Cowboys under the salary cap threshold. Additional restructures involving key players such as CeeDee Lamb and Tyler Smith are expected to provide further breathing room, enabling the team to pursue critical free agents during the offseason.
Considering a Release or Trade of Defensive Tackle Kenny Clark
In order to make room for new acquisitions, the Cowboys may need to part ways with veteran defensive tackle Kenny Clark, who was acquired in the trade involving Micah Parsons. Clark’s performance did not meet the team’s expectations, especially since the defense finished only moderately improved against the run, ranking 22nd by allowing 125.5 rushing yards per game.
At 31 years old during the 2026 season, Clark carries a $21 million salary that does not impose a dead cap hit, making a release a viable cap-saving option. Alternatively, the Cowboys could seek a trade that might yield additional draft picks while relieving financial burdens.
Bill Barnwell of ESPN highlights the financial realities, noting,
“Clark’s money isn’t guaranteed, and it’s unlikely that he would be in position to land that same $21.5 million in 2026 compensation if he hits free agency,”
and further adds,
“If the Cowboys are going to cut Clark and he won’t land the same caliber of contract in free agency, the alternative might include taking a pay cut to the $14 million range and netting the Cowboys a swap of late-round picks in the process.”
Clark may be reluctant to take a pay cut but could be enticed by a move west to reunite with former Packers defensive line coach Jerry Montgomery, under whom he excelled in previous seasons. Montgomery’s familiarity with Clark’s strengths could make such a transition mutually beneficial.
Parting Ways with Offensive Tackle Terence Steele
The Cowboys’ offensive line underperformed in 2025, finishing 21st in the NFL according to Pro Football Focus, despite significant investment. Terence Steele’s five-year, $86 million contract signed in 2023 has not yielded the expected returns. Steele’s overall grade positioned him 55th out of 89 NFL tackles, while his pass-blocking ranked 76th with a score of 54.9, numbers that suggest the Cowboys can find stronger options elsewhere.
Releasing Steele could free up approximately $9 million in cap space. Given the likelihood that the Cowboys will aim to be aggressive in free agency, this financial flexibility will be valuable for acquiring new talent, whether from the draft or free agent market. The move reflects a pragmatic approach to balancing performance with financial responsibility.
The Road Ahead for the Cowboys
Dallas is positioned to become an elite NFL team if they manage their salary cap effectively and bolster their defense. The offensive talent remains strong, particularly with figures like Dak Prescott and potentially George Pickens joining the roster. These salary cap moves are vital to enable the Cowboys to pursue impactful free agents, improve their defensive unit, and make a legitimate run at the 2026 playoffs.
The organization’s decisions in the offseason will reveal its commitment to competing at the highest level while navigating the complex financial landscape of the NFL. With strategic restructuring, roster pruning, and smart acquisitions, the Cowboys could turn a disappointing season into a foundation for sustained success.
