Josh Jacobs contract details prove Packers got a bargain

The Green Bay Packers shocked the world with a busy start to free agency, highlighted by the signings of Josh Jacobs and Xavier McKinney and the release of Aaron Jones and David Bakhtiari.

Handing big contracts to running backs is a risky business. The Packers went a step further than that, as they signed Jacobs as a replacement for Jones.

In 2022, Jacobs led the NFL in rushing, with 1,653 yards and 16 touchdowns to go with 400 receiving yards—that's the version of Jacobs the Packers are hoping to get. His numbers halved this past season, but Jacobs wasn't helped by a Las Vegas Raiders offensive line that struggled to run-block.

The initial reporting was that the Packers signed Jacobs to a four-year, $48 million contract, but it's impossible to get the complete picture until the full details are revealed.

In actual fact, the Packers got a bargain.

Josh Jacobs contract is a huge win for the Packers

Spotrac has provided the complete breakdown of Jacobs' new contract in Green Bay. While the Packers are paying a lot of money, it's about as risk-free of a deal you can make for a star player on Day 1 of free agency.

The Packers will pay cap hits of $5.3 million, $11.3 million, $14.6 million, and 16.6 million over the next four years. That's fine.

Only $12.5 million of the $48 million total is fully guaranteed. It's effectively a year-to-year deal, and the Packers can safely get out of the contract after only one season.

Here are the dead cap hits Green Bay would pay by releasing Jacobs:

• 2025: $9.4 million
• 2026: $6.3 million
• 2027: $3.1 million

In a worst-case scenario, the Packers regret the signing and want to move on after a year. They could get out of the deal with a $9.4 million dead cap hit in 2025. But that's unlikely. If Green Bay moves on after two seasons, they would only have to pay $6.3 million in dead money.

Jacobs is a star, and the two-time Pro Bowler is still only 26 years old. However, the Packers have effectively signed him to a year-to-year contract, significantly reducing the risk. It's a high-upside and relatively low-risk move.

The next step for Green Bay is to improve the interior offensive line, notably right guard, where it lost starter Jon Runyan Jr. to the New York Giants.

Signing Jacobs is step one. The Packers must now ensure that the run-blocking is good enough to help him play at his Pro Bowl best in 2024.

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