Explaining the Kansas City Chiefs’ standing within the NFL’s salary cap
AI-generated summary reviewed by our newsroom.
- Chiefs face $58M cap deficit in 2026 driven by Mahomes and Jones costs.
- Team plans restructures, cuts or trades starting around the Feb. 23 Combine.
- Decisions may include Taylor, Danna moves and potential McDuffie trade.
The Kansas City Chiefs had a down season in 2025, missing the playoffs for the first time since 2014.
Rebounding fast in 2026 will come down to three keys:
1. Quarterback Patrick Mahomes’ rehab from a season-ending knee injury goes well, and he’s ready for Week 1.
2. The Chiefs this spring have their best draft since 2022, when they landed five eventual starters and several other contributors.
3. They manage the salary cap effectively, despite entering the offseason with more work to do than anyone else in the league. The first requisite is largely out of Kansas City’s control. Mahomes has already stated that he’s driven to be back for Week 1, and history says he’ll do everything in his power to make it happen. But every player recovers at a different pace, even those who have seemed bionic in the past.
The second key will be tougher for the Chiefs to pull off in 2026 than it was in 2022, when they selected 10 players in the draft. As of now, the Chiefs hold just six picks in the 2026 draft (including a projected compensatory selection). General manager Brett Veach hasn’t made a habit of trading back, but perhaps he shifts strategy this year to take more shots.
The third key typically begins to play out in early March, when teams have to make difficult cap-driven decisions, including cutting players they might otherwise keep if the cap weren’t a factor. Teams can also work through contract restructures, possible pay cuts or incentive-heavy deals if both sides want a player to stay.
What is the NFL’s salary cap?
The salary cap is a per-team limit on player costs for a given league year, broken down by base salaries, bonuses and certain incentives.
The number is calculated by a formula laid out in the most recent collective-bargaining agreement between the NFL and the NFL Players Association.
The cap rises when the league’s revenue projections rise. That can happen thanks to such factors as television-rights deals, sponsorships, ticketing and otherwise.
Recently, the league projected that the 2026 cap would rise from $279.2 million in 2025 to somewhere in the range of $301.2 million to $305.7 million for 2026.
Where do the Chiefs stand?
During the offseason, only a team’s top 51 contracts count against the cap. This helps teams manage their 90-man rosters.
Spotrac currently has the Chiefs at roughly $58 million over the cap. KC according to this estimate ranks No. 32 in the league — last — on the list of available cap space. This primarily stems from the upcoming (2026) cap numbers for Mahomes ($78 million) and defensive star Chris Jones ($45 million).
For reference, the No. 31-ranked team, the New Orleans, is $42 million over the cap.
Some points to keep in mind
Some things to remember off the bat: The Chiefs’ predicament isn’t a surprise to those at One Arrowhead Drive. Also, the moves required to address it might not happen all at once.
One reason Kansas City is here is because the Chiefs went all-in to chase a three-peat in 2024, including a massive commitment to Jones and additional ones elsewhere — smaller deals with players such as Mike Danna and Drue Tranquill.
The Chiefs’ personnel department considers the long view, which is where assistant general manager Chris Shea factors in, working closely with Veach on long-term roster management.
In other words, Kansas City already has a blueprint in mind to become cap-compliant. The maddening thing for fans (especially in the age of social media) is watching that blueprint unfold one transaction at a time.
Many of the Chiefs’ conversations with player representatives on cap-alleviating maneuvers won’t heat up until the NFL Scouting Combine, which this year begins Feb. 23.
What type of moves can the Chiefs make to get under the cap?
The cleanest path to becoming cap-compliant is typically a contract restructure, which converts base salary into a signing bonus. That lowers the current year’s cap hit while pushing cap charges to future seasons.
Mahomes is the obvious starting point. His 2026 cap number ($78 million) is massive, and the Chiefs have repeatedly reworked his deal over the years. When he signed his extension in 2020, the contract included special “guarantee mechanisms,” with money vesting by the third day of the league year. This has allowed the Chiefs to open up cap space when they have needed it.
The quarterback’s current contract ties him to the Chiefs through the 2031 season, but there may never be a better time to renegotiate and create a new contract — a move that would theoretically allow the team to reset Mahomes’ cap numbers entirely. His 2027 number ($74 million) could use some adjusting, as well.
Jones’ situation is trickier, considering the Chiefs may not be keen on extending a 31-year-old with just three years remaining on his contract. A restructure is still possible, but the bigger decision might be whether to eat a heavy cap year now and preserve flexibility later.
Next year, when Jones’ cap savings overwhelm dead money, could be a different story.
Other possible Chiefs moves to watch
Other potential cap decisions would be moving on from right tackle Jawaan Taylor ($20 million in savings) and trading or outright releasing defensive end Mike Danna ($9 million in savings).
With so many decisions to make, the Chiefs would have to get awfully creative to extend cornerback Trent McDuffie (who is entering the final year of his contract), which is why his name has floated in trade hypotheticals.
In November, the New York Jets acquired two first-round picks from the Indianapolis Colts for All-Pro cornerback Sauce Gardner. If the Chiefs explored a similar move for McDuffie, it likely would be for less value than that haul. But the logic would draw parallels.
Perhaps there is something in the ballpark that makes it digestible, allowing the Chiefs to acquire much-needed draft selections and shed $14 million in cap space.
This story was originally published February 5, 2026 at 6:00 AM.
