Agent’s Perspective: Lamar Jackson’s New Contract Should Reflect His Leverage
Baltimore Ravens head coach John Harbaugh recently shared at the NFL’s annual league meeting that the team has been internally discussing a potential contract extension for Lamar Jackson. While the specifics remain unclear, Harbaugh confirmed that the Ravens are considering addressing Jackson’s contract situation, acknowledging the importance of managing salary cap constraints, with Jackson being the team’s franchise player.
Jackson, who represents himself and has never used an agent, is entering the third year of a five-year, $260 million deal he signed in 2023 after being designated a franchise player. His contract includes a $43.5 million salary cap hit in 2025, and he became the NFL’s highest-paid player with a $52 million annual salary, which included a $72.5 million signing bonus.
Despite now being the ninth-highest-paid quarterback in the league by average annual salary, Jackson’s cash flow remains substantial. His $155.25 million earnings from 2023 to 2025 is second only to Dak Prescott’s $165 million during the same span.
Jackson’s leverage for a new deal has grown, particularly after his impressive 2024 season, which saw him set new career highs in passing yards (4,172) and touchdowns (41). His performance included a historic combination of over 4,000 passing yards and nearly 1,000 rushing yards, with just four interceptions, showcasing a remarkable touchdown-to-interception ratio. Jackson’s ability to dominate both passing and rushing makes him a key figure in the NFL’s salary structure.
Looking ahead, Jackson should be patient, potentially waiting until 2026 when the NFL salary cap is expected to increase. However, he could also negotiate a new deal under his terms, following the example of players like Aaron Donald, who negotiated a deal that essentially replaced the final years of his contract without extending it. This could allow Jackson to secure more money while maintaining the leverage of his existing contract.
Alternatively, Jackson could pursue a more traditional contract extension, like those seen with quarterbacks such as Josh Allen or wide receiver A.J. Brown. For Jackson, this could mean negotiating a six-year, $342.5 million deal, averaging $57 million per year, making him the highest-paid player in the league.
Regardless of the approach, Jackson’s contract should ensure he remains among the NFL’s top earners, with provisions to protect him in case of a significant rise in salary cap figures. The Ravens would be wise to address this matter sooner rather than later, as delaying negotiations could increase the overall cost.