Brett Veach will need to do some heavy lifting to get Kansas City back on top.
On Wednesday, we learned that the NFL’s salary cap for the 2025 season will be set between $277.5 million and $281.5 million. The limit will increase by at least $22 million from 2024. Most contract reporting websites had previously assumed a $275 million figure for the coming season.
The Kansas City Chiefs were likely thrilled with the news. At Arrowhead Pride, we now estimate the team’s cap space will be between $4.8 and $8.8 million. While a clearer picture of the team’s finances will emerge at the start of the league year on March 12, the Chiefs will need to clear some cap space in order to make improvements to the team.
Let’s look at some likely paths for general manager Brett Veach to create salary cap space — and a major consideration that may limit the team’s activity in free agency. As always, the salary cap should not be confused with the team budget; we have no way of knowing what internal spending parameters Veach may have to work around.
Cut candidates
Simply put, the Chiefs are unlikely to create salary cap room by cutting players. The only two players the team would see a windfall by moving on from are likely future Pro Football Hall of Fame selections who should not end their careers anywhere else.
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Tight end Travis Kelce has confirmed that he is considering retirement, which would also have the effect of negating the 35-year-old’s scheduled $17.3 million salary off of the books. Kelce would leave behind a small dead money hit for a previously paid prorated bonus charge.
The Chiefs could clear $16 million by moving on from guard Joe Thuney. However, after previous restructures to his contract, he would leave behind almost $11 million in dead money. Assuming Thuney slides back to left guard when he retakes the field, $16 million is actually a bargain in the current offensive line market for his services.
While some of the team’s 2022 draft selections have seen mandatory raises for 2025, players like linebacker Leo Chenal and cornerback Joshua Williams are unlikely to factor into offseason salary cap considerations.
Restructures
As in the past, most of Veach’s work will come via restructuring existing contracts. League-wide, all eyes are on quarterback Patrick Mahomes — and his $66.3 million cap number.
The Chiefs will certainly take steps to lower Mahomes’ cap hit, probably well before a $32.5 million roster bonus becomes due on May 5. If the Chiefs were to push every dollar possible into the future, they could lower the star’s cap hit by as much as $39 million. While the team may not be that aggressive, another restructure is probably coming.
When Mahomes and the Chiefs agreed to a new contract structure in 2023 to increase his cash flow, it was reported that the parties intended to revisit the deal entirely after the 2026 season. Heading into 2025, however, the quarterback market appears remarkably stable, with almost every eligible star passer signed to a long-term deal. While the Chiefs will probably use the existing contract as a bank one or two more times, the possibility of Mahomes and the Chiefs going ahead and hammering out a new contract should not be discounted.
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The worst-kept secret in NFL finance is that most monster contracts are designed to be restructured after the first season. Defensive tackle Chris Jones — currently with a $34.9 million cap charge for 2025 — is not an exception. With four remaining seasons to spread out a restructure, expect to see the Chiefs possibly maximize the savings with Jones to clear as much as $20.7 million.
Kelce and Thuney are entering their final seasons under contract, making traditional restructures of their high salaries impossible. While the Chiefs have traditionally avoided void years to continue spreading out payments, an exception for either (or both) of the veterans — allowing a year-to-year approach on the remainder of their careers — would not be surprising.
One unlikely restructure candidate is tackle Jawaan Taylor. While his four-year contract signed in 2023 has proven controversial, he will likely continue as the team’s starting right tackle in 2025. Although the Chiefs have stood by Taylor through the good and the bad, expect Veach to highly value the $20 million in 2026 salary cap potentially gained by releasing Taylor after the coming season.
2026 considerations
A common misconception about NFL free agency is the amount of immediate salary cap space often needed. A month from now, dozens of players will sign contracts with new teams for astronomical amounts of money. Almost every mega-contract will see a curiously small 2025 salary cap hit built around a prorated signing bonus — followed by ballooning figures in coming seasons.
What a team does in 2025’s free agency effectively will be spending its 2026 salary cap. The Chiefs currently face major questions about 2026.
Mahomes and Jones are already on the books for high cap numbers in 2026, which will only grow after likely restructuring this spring. This is another reason that a new deal for Mahomes may make sense this offseason.
The Chiefs currently do not have a known solution at left tackle, one of the most expensive positions to fill on the free agency market.
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Later this spring, the Chiefs will undoubtedly exercise fifth-year options for cornerback Trent McDuffie and defensive end George Karlaftis — the team’s two first-round selections from 2022. The procedural moves will instantly tie up a combined $28 million to the two players for 2026.
Expect the Chiefs to consider extensions for both players this offseason. While that would hypothetically lower their fifth-year cap hits a year from now, the dollars to pay new signing bonuses and put future guaranteed salary in escrow must be budgeted.
Barring a solution at left tackle, no realistic move in either 2025 or 2026 free agency would likely benefit the Chiefs as much as taking care of McDuffie and Karlaftis.