Ten Ways Dolphins Can Create Cap Space

The Dolphins must clear $19 million in cap space by March 13, and here are some of the team's viable options to trim payroll

The Miami Dolphins must reduce payroll and officially have one weeks to balance the team's books.

Before the Dolphins can even begin the free agent shopping process, re-signing the team’s own free agents and bidding on newcomers to add to the 2024 roster, the Dolphins must be compliant with the NFL's salary cap by March 13. 

And to do that the team's decision makers must untangle a complicated mess the team's win-now mentality created.

Releasing pass rusher Emmanuel Ogbah and cornerback Xavien Howard last week creates $32.2 in cap saving, which will help. But with Howard being designated a June 1 cut, the cap space his departure creates won’t become available to the team till June 1.

On Tuesday the Dolphins released linebacker Jerome Baker ($9.8 million in cap space) and cornerback Keion Crossen ($3 million), clearing another $12.8 million.

That leaves General Manager Chris Grier and his contract negotiators and cap experts another $19 million in cap space to create to be become cap compliant, and that doesn't factor in money the franchise would need to re-sign or lure free agents.

Here are 10 avenues the Dolphins can use to create a substantial amount of cap space in the coming days.

Possible Extension Options

Extend receiver Tyreek Hill’s deal - The Dolphins can create roughly $14 million in cap space this offseason by adding two years to Hill’s deal if they keep the All-Pro receiver around his same pay rate of $24-26 million a season. Hill’s guaranteed money concludes after this season, and his 2026 salary of $45 million is something he’ll never see, so it benefits everyone to extend Hill’s contract if the Dolphins are comfortable he’ll be on his best behavior and remain productive for another three seasons.

Extend cornerback Jalen Ramsey’s deal - When Ramsey joined the Dolphins, he restructured his contract, making it a three-year deal worth $55 million. He’ll receive $25.5 million of that payout this season in base salary ($14.5 million) and a roster bonus ($11 million), and all of it is guaranteed. The best way to reduce Ramsey's $27.2 million cap hit in 2024 is by adding new years to his deal, replacing the voidable seasons in 2026 and 2027 with legitimate contract terms that continue compensating the seven-time Pro Bowler like he’s a top-five cornerback. If $24 million of his 2024 salary were turned into a signing bonus, his 2024 cap number could be reduced by $14 million or so, depending on the details of the new deal.

Extend quarterback Tua Tagovailoa’s deal - The Dolphins are actively negotiating a long-term deal with Tagovailoa that would prevent him from playing on the fifth-year option, which will pay the Pro Bowl quarterback $23.2 million. Since this deal likely will be the biggest contract in franchise history if it's on par with the deals his peers have received the past two seasons, it might take some time to get hammered out. However, the Dolphins are motivated by the additional $8 million in cap savings a four- or five-year extension with Tagovailoa should create in year one. 

Extend linebacker David Long Jr. - Long, who led the Dolphins in tackles last season, was one of the defense’s more consistent contributors in 2023. But it was the first season where he’s stayed healthy and played every game. Long will earn $4.5 million in the final year of the two-year, $10 million deal he signed as a free agent last offseason. Miami could extend the deal a year or two to drastically reduce his $6.7 million cap hit. That type of deal likely would provide the 28-year-old with injury protection, which is always favorable from the player's standpoint.

Extend tailback Raheem Mostert deal - Miami’s Pro Bowl tailback will earn $2.7 million in 2024, which is the final year of the two-year, $5.5 million deal he signed last offseason. The Dolphins could add a season or two to the 32-year-old’s contract, but in reality it wouldn’t reduce his $3.3 million cap hit much, no matter how creative the Dolphins get. And just imagine what could happen if Mostert is seeking a substantial raise considering he just produced a career-year?

Release or extend quarterback Mike White - White, who spent all of last season as Tagovailoa’s backup and produced a 118.1 passer rating from his 53 offensive snaps, is slated to earn $3.5 million in 2024, and all of that salary becomes cap space if he’s released. The Dolphins could extend White, a South Florida native, one more season, turning most of his base salary into a bonus and cut his $5.2 million cap hit in half, or close to it.

Contracts That Can Be Restructured

Restructure pass rusher Bradley Chubb - The pass rusher’s cap numbers in 2024, 2025, 2026 and 2027 are all just under $27 million per season. If the Dolphins restructured him for the second straight offseason, they’d basically be guaranteeing more than just this year’s $19.7 million salary, and that’s risky to do for a player coming off an ACL injury he suffered in December. Turning most of his $19.7 million base salary into a roster bonus would also escalate his additional cap hit to an extra $4.5 million a season, which would be problematic. The way his contract is presently structured, the 2026 and 2027 seasons are option years for the Dolphins, who can release him and move on before those seasons start.

Restructure defensive tackle Zach Sieler - Sieler signed a three-year, $30.7 million deal before last season began because it guaranteed the former waiver wire find $20 million of his contract. He produced 63 tackles, 10 sacks, two forced fumbles and one interception), delivering a career year, which makes his $8 million-a-year salary look like a massive bargain. Miami could turn $7 million of his base salary into a roster bonus, and it would cut his $10.6 million cap number in half. However, Sieler and his camp might want the Dolphins to sweeten his existing deal a bit, raising the salary slightly and rewarding him for his career year in 2023.

Possible Players To Release

Release offensive tackle Terron Armstead as a June 1 cut or restructure his deal - The Dolphins are patiently awaiting word from Armstead on his future, but it’s unlikely that he walks away from his $14.2 million salary in 2024 — $5 million is guaranteed, and all of it becomes guaranteed March 15. The Dolphins could release Armstead as the team’s second June 1 cut to clear $9.5 million in cap space, but that’s a move that would need to be decided by March 15. It’s possible the Dolphins could also approach Armstead about restructuring his deal to ensure the 33-year-old, who has battled through numerous injuries the past two seasons, doesn’t find himself relocating again. Keep in mind that removing Armstead would create a massive void on the roster.

Release tailback Jeff Wilson - Wilson, who spent most of last season as Miami’s third or fourth tailback, creates $2.9 million in cap savings if he’s released from the second year of the two-year, $5.8 million deal he signed as a free agent last offseason.

Grier's Decisions this Offseason Will Charter Important Course for Dolphins