Whether through trades or releasing players, every NFL team eventually needs to trim its roster. Because of how NFL contracts are structured, parting ways with a player often comes with a financial cost known as “dead cap.” According to Spotrac, dead cap refers to the portion of a player’s contract that still counts against the salary cap even after they’ve been released.
Any future, unpaid, guaranteed salary or bonus + any already paid signing bonus that hasn’t yet been allocated to the salary cap becomes the responsibility of the team in the event of a release.
Heading into the 2025 offseason, the Houston Texans faced two major decisions: what to do with Stefon Diggs and whether to keep their underperforming but highly paid offensive line.
Ultimately, the team opted for a reset. Between those moves and a few others, the Texans racked up a $43 million dead cap charge — over 15% of their total salary cap for the upcoming season. While that figure ranks 10th highest in the league, it’s still less than half of the San Francisco 49ers’ NFL-leading $91.7 million dead cap hit.
A staggering 72% of Houston’s dead cap space stems from just two players: Laremy Tunsil and Stefon Diggs.
The Texans restructured Diggs’ hefty deal from Buffalo as a safeguard, anticipating potential personality clashes rather than an untimely injury — the first major one of his career.
After voiding the final three years of Diggs’ contract, Houston is still on the hook for $15 million this season, even though he’ll now suit up for the New England Patriots.
Interestingly, this isn’t unfamiliar territory for Diggs. When Buffalo dealt him to Houston, the Bills absorbed the largest non-quarterback dead cap hit in NFL history.
Thankfully for the Texans, not all of their dead cap spending is tied to players now suiting up elsewhere. A few rookies who were initially cut ended up rejoining the team via the practice squad.
Among them are Jawhar Jordan and Solomon Byrd from the 2024 draft class, both of whom are still with Houston and receiving dual pay this year — their original rookie deals and new practice squad contracts.
Beyond the hefty figures tied to Stefon Diggs and Laremy Tunsil, two more former offensive linemen significantly contribute to the Texans’ dead cap total: Shaq Mason and Kenyon Green. Mason, a free agent signing, and Green, a former first-round pick, were both released as part of Houston’s effort to revamp a struggling offensive line.
At the other end of the spectrum is Killian Zierer, the 6-foot-7 undrafted left tackle from Munich, Germany. Now a member of the Atlanta Falcons, Zierer accounts for the Texans’ smallest dead cap hit — just $3,334, roughly the price of an Apple Vision Pro.
