Why Packers gave Jordan Love contract extension instead of fifth-year option

The Green Bay Packers made a fascinating decision on Jordan Love's future, but it's a win-win for both sides.

By Tuesday, the Packers had to decide whether to exercise Love's fifth-year option. They decided against picking up the option, handing Love a one-year extension instead.

The decision wasn't a simple one. There were pros and cons on either side.

If Green Bay didn't pick up the option and then Love looked like a superstar in 2023, the Packers would run the risk of losing their young quarterback in free agency next offseason. They would then need to use the franchise tag if they couldn't work out a long-term deal in time.

However, if the Packers picked up the option and then Love had an awful 2023 season, Green Bay would have already committed to a fully-guaranteed deal north of $20 million for 2024.

As GM Brian Gutekunst said last week, it would've been "a lot of money for a guy who hasn't played."

In the end, the Packers hedged their bets and found a nice middle ground, one that suits both the team and Love.

Jordan Love contract: Why Packers new deal makes sense over fifth-year option

Had Green Bay picked up Jordan Love's fifth-year option, it would've effectively been a one-year, $20.27 million deal that's fully guaranteed in 2024, according to Over The Cap.

Love's contract extension isn't far off those numbers, but there are some key differences.

According to ESPN's Adam Schefter, it's a one-year extension worth up to $22.5 million, with $13.5 million guaranteed.

It's a win-win for both Love and the Packers. Love gets an extension that guarantees him at least $13.5 million, no matter what. Had Green Bay declined the option, he wouldn't have that guaranteed money. He can also earn over $2 million more than he would on the fifth-year option.

The Packers get the additional one year of Love but without having to pay over $20 million fully guaranteed. They have essentially hedged their bets. If Love struggles in 2023 and they decide to move on, they won't be left with a huge, fully-guaranteed contract to pay.

And, let's be honest, if Love has an absolutely incredible 2023 season, he'll get a massive deal in no time. This contract extension doesn't change that. If Love shows star potential this season, he'll almost certainly land a monster contract extension next offseason.

The Packers and Love found a nice compromise that didn't involve the fifth-year option. Hopefully, Love dominates this season and signs a huge deal during the season or early next year.