NFL

Cowboys use loophole to save nearly $3 million on Micah Parsons’ fifth-year option

The Cowboys are getting a little sneaky with Micah Parsons. 

Since the team drafted him in 2021, they have designated him as a linebacker each season.

However, they’re now planning on securing a fifth-year option for Parsons, but at a different position. 

The Cowboys are designating Parsons, 24, as a defensive end for the option, according to The Dallas Morning News, which helps the team save over $2 million. 

As a linebacker, Parsons would earn slightly more than $24 million in 2025, but if labeled as a defensive end, his salary would drop to $21.32 million, per the report. 

Micah Parsons has been one of the top defensive players in the league since getting drafted by the Cowboys.
Micah Parsons has been one of the top defensive players in the league since getting drafted by the Cowboys. AP

According to data from Pro Football Focus, Parsons played 87.8 percent of the regular season snaps on the line of scrimmage, which indicated the Cowboys chose the position that resembles Parsons’ — a three-time Pro Bowler — on-field usage more. 

As allowed by the NFL Collective Bargaining Agreement, a team has the right to “extend from four years to five years the term of any Rookie Contract of a player selected in the first round of the Draft.” 

Written notice must be given to the player by the team following the final regular season game and before May 3 of the next league year. 

While David Mulugheta, Parsons’ agent, could make a stink about the position designation, it’s likely that the defensive star would never play under the terms of his fifth-year option anyway. 

The Cowboys are hoping to sign Parsons to a long-term extension on a deal that is expected to make him the highest-paid defensive player in NFL history. 

The Cowboys classified Parsons as a defensive end for his fifth-year option.
The Cowboys classified Parsons as a defensive end for his fifth-year option. AP

If an extension isn’t worked out, Parsons would likely hold out until a new deal is agreed upon. 

Parsons has been a defensive stalwart in the NFL since entering the league and put up 40.5 sacks and 51 tackles for loss during his first three seasons. 

The Cowboys also have to think about extensions for quarterback Dak Prescott and wide receiver CeeDee Lamb, who both become free agents after the 2024 season.