Chargers Restructure Contracts to Create $40 Million in Salary Cap Space
The Los Angeles Chargers have solved their salary cap woes without having to release any formidable playmakers ahead of the new league year that starts on Wednesday, creating $40.37 million in salary cap space and enabling them to become salary cap compliant with $19 million in cap space. This move allows the Chargers to keep together the pillars of a roster that the organization hopes can challenge in the AFC West and make a deep playoff run.
The Chargers restructured the contracts of edge rushers Joey Bosa and Khalil Mack and receivers Keenan Allen and Mike Williams, a league source told ESPN's Field Yates. The reworked deals for Bosa and Mack created $25.99 million, while the restructuring of Allen's and Williams' deals earlier this week created $14.37 million in space. The Chargers are compliant with the salary cap, however they are still open to making changes to the roster in order to address their needs during free agency.
Tom Telesco, the general manager for the Chargers, has dismissed speculations that the team would be looking to part ways with Keenan Allen during the offseason. If Telesco was not considering moving on from Allen this offseason then he likely is not going to move on from Allen next year with an $11.6 million dead cap hit. Regarding Williams, if he were to be released, the Chargers would take on a $12.4 million dead cap hit, yet they would still save $20 million.
Similarly, the Chargers are on the clock to sign Justin Herbert to a blockbuster deal, with the quarterback now eligible for an extension as he prepares for the fourth season of a five-year rookie deal.
Allen, a third-round pick in 2013, is entering his 11th NFL season. He has amassed 796 receptions for 9,287 yards and scored 52 touchdowns in his career. In terms of franchise history, he is second in receptions, third in receiving yards, and fourth in touchdown catches.
Right tackle Trey Pipkins III is expected to be re-signed by the Bolts, however, safety Nasir Adderley and linebacker Drue Tranquill, both of whom are scheduled for free agency, are not expected to be retained.
Ultimately, the restructuring of Allen, Williams, Bosa, and Mack's contracts gave the Chargers the much-needed cap space to remain competitive in the AFC West.
0. “Sources – Chargers save $40M in cap space with reworked deals” ESPN, 11 Mar. 2023, https://www.espn.com/nfl/story/_/id/35835340/sources-chargers-rework-joey-bosa-khalil-mack-deals-save-26m
1. “Report: Joey Bosa, Khalil Mack Restructure Chargers Contracts Ahead of Free Agency” Bleacher Report, 9 Mar. 2023, https://bleacherreport.com/articles/10068429-report-joey-bosa-khalil-mack-restructure-chargers-contracts-ahead-of-free-agency
2. “Sources: Chargers save $40M in cap space with reworked deals” ABC News, 11 Mar. 2023, https://abcnews.go.com/Sports/sources-chargers-save-40m-cap-space-reworked-deals/story?id=97788556
3. “Chargers restructure Keenan Allen and Mike Williams, what it means” Bolt Beat, 9 Mar. 2023, https://boltbeat.com/posts/chargers-news-restructure-keenan-allen-mike-williams-means
4. “Chargers restructure WR Keenan Allen's contract to save $9M” Hastings Tribune, 9 Mar. 2023, https://www.hastingstribune.com/sports/chargers-restructure-wr-keenan-allens-contract-to-save-9m/article_24fc35bd-8ebd-58c0-a9d0-dd3e51b2ab2c.html