Micah Parsons contract: What we know as Dallas Cowboys training camp continues
It's been an offseason of extensions for top NFL players across the league.
Wide receivers Ja'Marr Chase and Garrett Wilson signed big-money deals to lead the way on offense. It's been an even better offseason for defensive players. Cornerback Sauce Gardner re-set the market at his position with an $120.4 million extension. Edge rushers Myles Garrett and T.J. Watt signed record-setting deals to change the market at their position.
But one star player up for an extension remains unsigned: Dallas Cowboys edge rusher Micah Parsons.
The No. 12 overall pick in the 2021 NFL Draft is entering the final year of his rookie contract and has been one of the best players at his position since he stepped into the league. He won Defensive Rookie of the Year honors and was a first-team All-Pro in year one in Dallas and has made the Pro Bowl every year of his career.
Since Parsons entered the league, only four players have racked up more sacks than him: Garrett, Watt, Trey Hendrickson and Nick Bosa. It's easy to see why he'd want a new deal in line with the extensions signed earlier this offseason.
"I will never understand it," Parsons said in a recent interview. "We wanted to do the contract last year – then you go out there and perform again. You would think, 'All right, we'll get it done early, we know some guys are about to get re-paid.' There's Myles [Garrett], Maxx [Crosby] is going, so you would think, 'Hey, let's get ahead of that.'
"You can't want us to take less (now) because you're the one that decided to wait."
Here's what we know about contract talks between the Cowboys and Parsons as of July 30.
Is Micah Parsons holding out?
Parsons is not holding out and is in attendance at Cowboys training camp in Oxnard, California. He is limiting himself to individual drills and not participating in team drills.
This is in line with his attendance at minicamp earlier this offseason, amid speculation that he'd miss it and hold out.
Jerry Jones on Parsons extension
Jones was asked about Parsons' extension talks ahead of the start of training camp. He noted Parsons missing time last season and the prior extensions the Cowboys have handed out.
"Just because we sign him doesn't mean we're going to have him," Jones said. "He was hurt six games last year, seriously. We've signed, I remember signing a player for the highest-paid at the position in the league and he got knocked out two-thirds of the year in Dak Prescott. So there's a lot of things you can think about, just as the player does, when you're thinking about committing and guaranteeing money."
Parsons missed four games in 2024, not six as Jones stated.
"Contracts are four, five years, okay?" Jones continued. "There's a lot of water under the bridge if you step out there and do something in the first two or three. You can get hit by a car. Seriously."
Jones said that he hadn't spoken with Parsons in negotiations but explained that he doesn't necessarily talk directly to players during extension talks.
"I've talked with people that have talked to him, let's put it like that," he said. "I don't necessarily talk to these agents or I don't necessarily talk to attorneys and I do stuff everywhere. And I don't necessarily talk to the people that are hired to do certain things. I talk to the principals 90% of the time."
Cowboys fans in Oxnard voiced their opinion to Jones during training camp by shouting "Pay Micah!" to him before he gave a speech.
Jones' son and Cowboys executive vice president Stephen Jones was the latest to weigh in on contract talks at the start of training camp.
"We want to pay Micah too," Stephen said. "He's got to want to be paid."
How much would Micah Parsons' extension be?
Parsons is entering his age-26 season and has only been outperformed by a few pass rushers since entering the NFL. He's missed five games total in four years and has recorded at least 12 sacks every season.
That means he could easily earn more per year than Watt got in his three-year, $123 million extension with $108 million guaranteed. Watt is five years older than Parsons and is likely entering the decline of his career.
Parsons could very likely become the highest-paid non-quarterback in the NFL with his extension, taking that title from Watt.
Micah Parsons salary
Parsons signed a four-year contract with a fifth-year option ahead of his rookie season in 2021. The Cowboys picked up his fifth-year option to secure his services through at least the 2025 season.
In 2025, Parsons' compensation will take a massive jump. He's made a total of $7.29 million over his first four years, per OverTheCap, but that will increase to $24 million in 2025 alone due to the fifth-year option structure.
All of that $24 million is guaranteed money because the Cowboys picked up his option.
Other stars taken in the 2021 NFL Draft, such as offensive lineman Penei Sewell and Rashawn Slater, as well as cornerbacks Patrick Surtain II and Jaycee Horn, have all signed extensions ahead of the 2025 season, allowing teams to avoid paying a fully guaranteed salary against the cap.
For example, Sewell would have been owed roughly $23.4 million fully guaranteed against the cap in 2025 on his fifth-year option. Because the Detroit Lions signed him to an extension last offseason, he'll be down to a $9.54 million cap hit in 2025, making room for other key signings.