Josh Jacobs and the Packers’ Cap Crunch: What Comes Next?
On paper, Josh Jacobs feels like a lock to return to Green Bay in 2026. He’s a former All-Pro, the engine of the Packers’ ground game, and when healthy, one of the most punishing backs in the league. But with the Packers facing a serious salary cap squeeze, there’s a scenario-however unlikely-where Jacobs’ future in green and gold isn’t guaranteed.
Let’s unpack it.
The Cap Situation: Tight, Even After Tough Cuts
Green Bay entered the offseason more than $30 million over the salary cap. That’s a hefty figure, and even after releasing cornerback Trevon Diggs-a move that freed up $15.5 million-the Packers are still in the red. General manager Brian Gutekunst and football operations chief Russ Ball have some serious financial maneuvering ahead.
And it’s not just about getting under the cap. The Packers will need flexibility to re-sign key free agents, explore the open market, and sign their 2026 draft class. That means more cap space needs to be created-and fast.
Why Jacobs’ Name Is in the Mix
Jacobs is set to turn 28 in February. That’s not old by most standards, but in running back years, it’s a pivot point.
He’s logged 108 career games and has battled injuries, including a knee issue that limited him this past season. The physical toll adds up, and the Packers have to weigh whether he can continue to deliver at a high level.
Financially, Jacobs is due $22.4 million over the next two seasons. His cap hit jumps from $11.3 million in 2025 to $14.6 million in 2026 and $16.6 million in 2027. For a position that’s often undervalued in today’s NFL, that’s a significant investment-especially for a team trying to get its books in order.
That’s why ESPN’s Rob Demovsky floated Jacobs as a potential cap casualty. Again, it’s not the likely outcome, but it’s not off the table either.
Cutting Jacobs Would Leave a Big Hole
Let’s be clear: moving on from Jacobs wouldn’t just be a financial decision-it would be a football one with major consequences. Over the past two seasons, Jacobs has racked up 2,258 rushing yards and 28 touchdowns. That kind of production doesn’t grow on trees.
And it’s not like there’s an obvious replacement waiting in the wings. Emanuel Wilson, Jacobs’ backup, is a restricted free agent.
To retain him, the Packers would need to offer a one-year tender worth about $3.2 million. If they don’t, he could hit the open market-and then Green Bay’s backfield depth chart gets real thin, real fast.
The Most Likely Path: A Restructure
Given all that, the most realistic option is a contract restructure. It’s a move that would allow the Packers to lower Jacobs’ cap hit while keeping their offensive centerpiece in the building.
But that path comes with conditions.
First, the Packers have to believe Jacobs can still be the guy. They need to trust that he can rebound from his knee issues and continue to produce at a high level despite the wear and tear. That’s a gamble, especially given the age curve for running backs.
Second, Jacobs would have to agree to the restructure. That likely means less guaranteed money and a reworked deal that helps the team but doesn’t necessarily help his bottom line. Jacobs has always been a team-first player, but this is a business decision-and he’ll have to weigh that accordingly.
What’s Next?
The Packers are in a financial bind, and tough decisions are coming. Josh Jacobs is still a key piece of their offense, but his contract, age, and injury history make him a candidate-however reluctantly-to be part of those conversations.
A release would be shocking. A restructure feels far more probable.
But in a cap-driven league, even star players aren’t immune to the numbers game. The next few weeks will be telling as the Packers chart their path forward-and figure out whether Jacobs is still part of it.