The Kansas City Chiefs came so close to nabbing their three-peat at the Super Bowl this year, but it didn’t happen. Now begins the hard work of shaping things up for another run at the big game, and heading into the offseason, one of the team’s biggest worries has been a lack of cap space.

Kansas City started the offseason with $916,317 of cap space. Each team’s cap factors in a number of issues, including the NFL’s revenue each season. Think of it like a “bonus” for having a particularly successful season in the league. Now, the Chiefs are getting some welcome news that they’ll have more cap space to work with than they first thought.

Cap Space Mana from the NFL

On Wednesday, February 19, ESPN analyst and expert Dan Graziano reported that the NFL’s salary cap will increase by $22.1-26.1 million for the upcoming season from its current spot of $255.4 million. That’s more of an increase than many in the league thought, so it’s a good thing for all involved. That means the Chiefs, along with other teams in the NFL, will have more money to work with heading into the offseason.

Graziano states that he obtained a memo noting that the cap increase is substantial based on a $10 million decrease in 2024, in essence making up for a $9 million smoothing adjustment and a $1 million add to performance-based pay. The memo adds that these numbers are “subject to change based on further negotiations with the NFL Players Association.” There’s a lot of technical jargon in the memo, but it all boils down to more funding for teams to use to build their rosters for the 2025 NFL season.

What the Cap Space Means for the Kansas City Chiefs

So, what exactly does this mean for the Chiefs? The increase would bring Kansas City from their original $916,317 to about $7,941,128, according to the experts at Over The Cap. With that added funding, the Chiefs may be able to retain some key players heading into free agency that they thought they wouldn’t be able to afford next season, such as guard Trey Smith and linebacker Nick Bolton. The cap space lift could also help the team bring higher-priced talent onto their roster during the offseason.

“This is not say the Chiefs won’t still face fierce competition from rival teams, who already have been eyeing down the stars,” notes Idan Oz of Sports Illustrated in a February 20 feature. “However, now with over $7M to play with in free agent signings, it’s much more realistic that a deal for one of the stars can be made, especially to stay in a winning organization.”

Charles Goldman of A to Z Sports adds that the move “will make Veach’s job easier in terms of salary cap and free agency spending.”

It’s still true that the Chiefs have a bunch of gaps to fill before the start of next season, but having more funds to work with should make it easier.

The Kansas City Chiefs lost to the Philadelphia Eagles in Super Bowl LIX on Sunday, February 9, in 40-22 final score.