Blame Rodgers for Cap Problems? Not Exactly

Is Aaron Rodgers’ contract a reason for the Green Bay Packers’ salary cap situation? Of course, but it’s not the only reason.

GREEN BAY, Wis. – Over the weekend, the Green Bay Packers signed a backup safety and a long snapper – their lone additions during a quiet offseason – while the Detroit Lions added the NFL’s reigning interceptions champion as part of their continued spending spree.

Blame Aaron Rodgers’ contract for that, right?

Sure, but it’s not quite that simple.

Had there been no offseason drama and if Rodgers were set to return for a 16th season as Green Bay’s starting quarterback, his cap charge would be $31.6 million. Among quarterbacks, that’s the fourth-highest figure in the NFL.

With most of the league’s starters having cap charges of less than $20 million, that’s not exactly chump change. It’s also less than a million more than Lions quarterback Jared Goff, who will be the beneficiary of their aggressive offseason.

So, as Ray Weinkauf asked on Twitter, why are the Packers cap-poor? Here are seven reasons.

One, having a good team: David Bakhtiari, Kenny Clark, Jaire Alexander, Aaron Jones and Elgton Jenkins were players drafted by the Packers who earned lucrative second contracts. Rashan Gary, who is set to play 2023 under the fifth-year option of about $10.9 million, presumably will join that group. Good players cost money. That’s a good thing, not a bad thing.

Two, free agency: The Packers haven’t really been active in free agency since 2019, a spending frenzy that netted Za’Darius Smith, Preston Smith, Adrian Amos and Billy Turner. Preston Smith is the only one of the three who remains under contract.

However, De’Vondre Campbell (free agency) and Rasul Douglas (practice squad) were outstanding bargain-bin signings by general manager Brian Gutekunst who the Packers retained last offseason in hopes of putting together a championship-caliber defense.

Three, mistakes: No front office is perfect. A year ago, Gutekunst flipped the switch on safety Darnell Savage’s fifth-year option. Coming off a season in which he was benched, his cap charge for 2023 is a fully guaranteed $7.9 million. That’s the 17th-highest figure among safeties.

Four, restructures: To keep a championship-contending team together in past offseasons, Gutekunst robbed Peter to pay Paul. In exchange for lower cap numbers at the time, money was shifted onto future salary caps. It’s an approach comparable to paying off your Visa by whipping out your American Express.

The ultimate case-in-point is Bakhtiari. Even with another offseason restructure to reduce the sting by $7.5 million, his cap charge for 2023 is a whopping $21.3 million – sixth-highest at the position.

(That’s nothing. Because of restructure on top of restructure, his cap charge for 2024, his final season under contract, is scheduled to soar past $40 million.)

Five, voids: Restructuring contracts is so easy a caveman can do it. Again, it’s like paying off one credit card with another. “Whew! That was easy!”

Here’s how it works, Part 1: A big base salary gets cut to the minimum, with the difference turned into signing bonus that can be prorated over the life of the contract for cap purposes. A roster bonus, which 100 percent impacts the current year’s cap, also can be turned into a signing bonus with the stroke of a pen. No negotiating is necessary because the player is getting the exact same number of dollars.

To further help the cap-onomics, the Packers are among the teams who routinely employ void years. Void years are make-believe years tacked onto the end of a contract to ease the cap hit.

Here’s how it works, Part 2: If the restructured amount is $10 million for a player who is under contract for two seasons, that’s $5 million for each season for cap purposes. Now, take that same player and add three void years to max out the allowable number of years. Just like that, the restructured amount is $2 million for each season.

It’s simple cap-space creation. The problem comes when the real part of that player’s contract has expired. For 2023, Amos has a cap number of $7.95 million even though he’s not on the roster.

While that’s an extreme example, Amos, Dean Lowry ($3.01 million), Jarran Reed ($1.49 million), Randall Cobb ($1.39 million), Marcedes Lewis ($1.05 million), Mason Crosby ($1.01 million) and Robert Tonyan ($500,000) are counting $16.35 million against the 2023 cap even though every player on that list might be playing for a different team.

Six, Rodgers: The three-year, $150 million contract that Rodgers signed about 12 months ago is not cheap. As the two-time reigning MVP, Rodgers had the leverage over a team that was desperate for him and for salary cap space. With the Packers not nearly as confident in Jordan Love as they are now, the team practically handed Rodgers a pen and a blank check.

Now, the Packers and Rodgers are looking for fresh starts. Pressing the ejection seat bumps Rodgers’ cap number up to $40.3 million. That’s an additional $8.69 million the team must account for as it plans this year’s roster.

Seven, Financial reset: Thanks to another offseason of contract restructuring, OverTheCap.com shows the Packers have about $24.2 million of cap space as of midday Monday. That’s the fourth-most – NFC North rivals Chicago and Detroit are first and second, by the way.

Even accounting for the departure of Rodgers and the signing of the 2023 draft class, the Packers have about $11.6 million of cap space. That figure puts them 13th in the league, according to OTC. Eventually extending Gary, who is coming off a torn ACL, will give the Packers at least a few million dollars of additional breathing room.

The reality is Green Bay is in decent shape. Gutekunst probably will make a few low-cost veteran additions but the focus appears to be getting off the salary-cap carousel and creating a more stable financial foundation to build around Love.

A New Era as Jordan Love Replaces Aaron Rodgers

For the Packers, it’s the Great Reset

Packers and Jets, Rodgers and Leverage

Updated Super Bowl odds

Jordan Love, wasted draft pick? Not anymore

It’s now Jordan Love’s time

Green Bay Packers Free Agency and Draft News

The #Packers have lost four starters in free agency. What might that mean for 2024 compensatory picks?

I asked the King of Comp Picks, @nickkorte of Over the Cap, and he explained.https://t.co/prsCXr7kyJ

— Bill Huber (@BillHuberNFL) March 20, 2023

Updating the compensatory picks

NFC North Insiders: Free agent edition

Packer Central’s seven-round mock draft

NFL free agency turns NFC North upside down

Best available at five key positions

Interview: Get to know the new long snapper

Signed: Rocket-fast safety

Re-signed: Rudy Ford

Restructured: Rasul Douglas’ contract

Gone: Dean Lowry to Vikings

Gone: Robert Tonyan to Bears

Gone: Allen Lazard to Jets

Gone: Jarran Reed to Seahawks