Josh Allen recently signed a six-year, $330 million extension with the Buffalo Bills, solidifying his place as one of the <a href="https://www.buzzineintl.com/category/football/nfl/”>NFL’s highest-paid quarterbacks. This deal, announced after his MVP-caliber season and another deep playoff run, averages $55 million per year but leaves Buffalo with a narrow salary cap margin as they approach the 2025 season.
Cap Space Shrinks Despite NFL Salary Cap Increase
Although the NFL salary cap will rise to $279.2 million in 2025, the Bills currently have only about $1.846 million in effective cap space, according to Over The Cap. This figure highlights the ongoing challenges Buffalo faces in managing player salaries despite the increased salary ceiling.
The Bills’ front office has heavily invested in preserving their core roster, extending contracts worth nearly $637 million to homegrown players this offseason. Besides Allen, key contracts include wide receiver Khalil Shakir ($53 million over four years), defensive back Christian Benford ($76 million), defensive end Gregory Rousseau ($80 million), linebacker Terrel Bernard ($50 million), and running back James Cook ($48 million).
Long-Term Roster Commitments Complicate Financial Flexibility
Buffalo’s commitment to key players strengthens their future competitiveness but leaves limited financial flexibility in the short term. The team faces a projected $10 million salary cap deficit in 2026 and only about $30 million in cap room by 2027, based on current contracts.
Allen’s cap hit of $41.3 million in 2025 is expected to jump sharply to nearly $61 million in 2026, placing additional strain on Buffalo’s salary structure and making it clear that more salary cap adjustments will be necessary in the coming years.
Team Moves To Manage Cap Load While Maintaining Core Talent
The Bills have already taken steps to alleviate cap pressure, including releasing veteran pass rusher Von Miller, restructuring defensive tackle Ed Oliver’s contract, and folding Allen’s previous contract into his new extension. Despite these measures, further contract restructures appear inevitable to create necessary space.
Potential adjustments for players such as Dion Dawkins, Dawson Knox, Matt Milano, DaQuan Jones, A.J. Epenesa, Taron Johnson, and Spencer Brown could generate up to $40 million in additional relief. Combined with current restructures, this may allow Buffalo to open upwards of $65 million in cap space.
Looking Ahead: Building Around Allen With Limited Salary Cap Flexibility
The Buffalo Bills‘ limited salary cap space suggests that major free-agent signings are unlikely in the near future. Instead, the team will likely rely on contract extensions and draft picks to maintain and enhance the roster surrounding Josh Allen. Balancing a strong Super Bowl-contending roster with one of the tightest cap situations in the league will remain a significant challenge for the organization.