How Derek Carr’s retirement impacts the Saints’ salary cap situation
05/10/2025
By Ross Jackson
NEW ORLEANS, La. — While his tenure in New Orleans was tumultuous, former New Orleans Saints quarterback Derek Carr did his former team a favor as he announced his retirement.
The Saints are set to receive some major cap relief.
While the Saints reportedly will not pursue Carr’s $10 million roster bonus from 2024, his $30 million base salary is set to return to the team.
Both sides gain financially — By retiring, Carr forgoes the $30M guaranteed this season, while the Saints won’t seek reimbursement for the $10M roster bonus and signing bonus. https://t.co/uAyfRErYTZ
— Ian Rapoport (@RapSheet) May 10, 2025
This won’t happen immediately, as the transaction of his retirement isn’t set to process until after June 1, another solid benefit for New Orleans as a large portion of Carr’s dead cap hit will be deferred to 2026.
The return for the Saints may not be as immediate as some would hope due to the restructuring off the contract compounded with the post-June 1 timeline.
The Saints will recover the $1.255 million base salary that was set to go to Carr as soon as the retirement is processed. But the additional funds may impact 2026’s salary cap more dramatically, infusing a huge improvement for their spending position in the near future.
In speaking with several sources, there isn’t a clear certainty as to whether the full $30 million will come back this year or just 1.255 million this year with the rest hitting next year. Another possibility exists as a middle ground in which the prorated amount comes back this year (about $6 million), and the rest frees up next season with the advancement of otherwise dead cap. But in any variation, it’s extremely helpful.
Even an immediate repayment wouldn’t have a major impact for the Saints. What would they spend it on at this point in the league calendar? The savings would just have been rolled over to next season, aiding their future years.
The future relief is massive for the Saints while moving on at quarterback to a passer that will be on a rookie contract. Both top candidates, rookie Tyler Shough and second-year passer Spencer Rattler will be in rookie-scaled deals for the next few years. That gives the Saints a lot of flexibility in terms of building around the quarterback in future seasons.
No matter which way it accounts, the Saints are set to recoup that $30 million over time. It should, in theory, bring the Saints the closest they’ve been to financial freedom in some time.