The financial domino effect of Dak Prescott’s contract has already begun, allowing the Dallas Cowboys to make a pair of swift moves to secure their defensive secondary for the upcoming season. The team also gained additional salary-cap flexibility as it continues to shape its roster ahead of the 2026 league year.

“The Cowboys have tendered both exclusive rights FAs: CBs Josh Butler ($1.075m) and Reddy Steward ($1.005m),” the X post read. “They are under contract w/ the Cowboys and cannot sign with any other team. Team still working through final decisions on RFAs (Aubrey, Hoffman, Bass, Thomas).”

These moves help the Cowboys maintain depth in their defensive backfield as the team prepares for offseason activities and training camp later in the year.

Steward saw the bigger role during the 2025 season, appearing in 17 games and recording 40 solo tackles, 23 assists, and 1.5 sacks. Butler had a smaller role but still provided depth, featuring in just one game last season and recording 3 solo tackles.

Keeping familiar players in the system can be important for defensive continuity, especially in the secondary, where communication and chemistry play a major role.

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Moves like these also fit into the Cowboys’ broader offseason strategy. By securing depth players early, Dallas can focus its remaining resources on other roster needs as free agency and additional contract decisions approach. Beyond the defensive roster moves, Dallas also received an important boost to its financial flexibility ahead of the 2026 league year.

Dak Prescott’s contract restructure helps the Cowboys gain $8.5M cap flexibility

The Dallas Cowboys also created additional salary cap flexibility after restructuring the contract of quarterback Dak Prescott. The move was widely expected because Prescott’s deal includes built-in options that allow the team to convert part of his salary into bonuses to spread the cap impact across future seasons. NFL salary cap analyst Jason Fitzgerald shared the update on X.

“With today’s restructures, the Cowboys are now salary cap compliant for 2026,” the X post read. “They will have about $8.5 million in cap room.”

To create immediate breathing room, the Cowboys used a common tactic with Prescott’s contract. They converted the bulk of his $40 million salary into a bonus. While Prescott still gets paid, this maneuver allows the team to spread the cap hit across the next five seasons, though it does mean bigger cap numbers down the road.

The restructure created more than $30 million in cap relief for 2026, though it pushes larger cap numbers into future seasons. Prescott’s projected cap hit now rises to about $76 million in 2027 and $86 million in 2028. However, the Cowboys still have the option to restructure those years as well if they need additional flexibility.

Dallas has used this strategy for years when managing large contracts. The Cowboys structured Prescott’s current deal, which includes a four-year extension signed in 2024 worth $240 million in new money, to allow these kinds of cap adjustments.

By retaining key depth and creating $8.5 million in cap space, the Cowboys have given themselves options. The focus now shifts to how they’ll leverage this newfound flexibility to address bigger roster holes before the new league year begins.