Ravens Insider Highlights $15.8 Million Reason to Explain Why Lamar Jackson is Poised for a Big Payday This Season

It’s hard to believe, but Lamar Jackson’s future with the Baltimore Ravens was once uncertain. Back in March 2023, Jackson requested a trade out of Baltimore. The Ravens, though, never truly seemed willing to let Jackson get away. And in April 2023, they agreed to a five-year, $260 million contract.

Jackson became the highest-paid player in NFL history when he inked that deal. He currently ranks 10th in average salary despite having more MVP awards (2) than the nine quarterbacks ahead of him have combined (1). He’s also coming off the best season of his career, where he threw 41 touchdowns and just four interceptions.

Fortunately for Jackson, he and Baltimore have reportedly begun exploring another extension that would rectify this in short order. But the Ravens have their own motives for an extension, too.

Joey Peterson of Ravens Rundown elaborated on Jackson’s potential new pact from a team perspective on Saturday. Baltimore securing Jackson’s services for the duration of his career would obviously be a good thing. But beyond that, an extension would help the front office maintain the roster around him.

“They want to get a deal done… I think they’re going to get a deal done… Baltimore wants Lamar to stay. Lamar wants to stay in Baltimore… something is going to happen… their cap space is totally screwed next season if it doesn’t.” – Joey Peterson

Jackson’s 2025 cap hit is currently $43.5 million. An extension, according to multiple sources, would net Baltimore an additional $15.8 million in cap space this season. On top of that, it would (presumably) significantly lower Jackson’s whopping $74.5 million cap hits in 2026 and 2027.

The Ravens managed to make important moves earlier this offseason in spite of Jackson’s cap hit. They re-signed left tackle Ronnie Stanley and added cornerbacks Chidobe Awuzie and Jaire Alexander, but now hold just $17.5 million in cap space. That, and the projected $20 million they have for 2026, isn’t enough to prevent some big names from reaching free agency next offseason:

• TE Mark Andrews; TE Isaiah Likely
• C Tyler Linderbaum; EDGE Odafe Oweh
• DT Travis Jones; DE David Ojabo; OL Daniel Faalele

No matter how hard he tries, GM Eric DeCosta simply won’t be able to retain those seven players. But he’ll have the chance to keep more of them in Baltimore with additional cap space. That, in turn, will help keep the Ravens’ Super Bowl window open for the long haul. In other words, Jackson’s potential extension offers immense upside and practically no downside. If both parties play ball, we should receive news of it before the season begins.