NFL Franchise Tags: How They Work, What They Cost and More

While it's easy to focus on the games, much of the work that goes into building an NFL champion takes place behind the scenes. There are plenty of hours spent on the practice field and in the film room, and that's not even thinking about the front office. That's where responsibility lies for crunching the numbers, identifying talent and building a competitive roster while fitting everything under the salary cap ceiling.

A franchise tag is a key tool in the quest toward accomplishing that goal.

And with eyes turning toward the 2024 NFL offseason, let's break down some of the logistics around that term.

What Is a Franchise Tag?

For the most part, players in North American pro sports work their way through a contractual hierarchy. Things usually start with a rookie contract, which limits both salary and term. When that expires, there's restricted free agency. While the nuts and bolts of that category can vary across the leagues, the underlying principle is that the player is out of contract, but their previous team holds an advantage during the bargaining process. Then, there's unrestricted free agency, during which the player is free to test the open market and sign anywhere they desire.

The NFL's franchise tag, which entered the picture in 1993, adds another wrinkle to that trajectory.

While there are two types of tag (we'll get to those shortly), they pay the player a fixed fee for one year's worth of service. There's no bargaining involved. If team places a franchise tag on a player, that's largely the end of the discussion; barring a trade, you'll play for that team the following season or hold out. It is worth noting, however, that the team and player can negotiate until a certain deadline during the summer (again, we'll touch on that later) to negotiate a larger contract extension. That deal, however, is a separate contract, not the franchise tag itself.

In today's NFL, the two main types of franchise tags are exclusive and non-exclusive. As the names suggest, the former option means the player cannot talk to any other teams; the latter means they can negotiate with other clubs, but their previous club gets the chance to match any offers and will receive two first-round compensation picks.

The "transitional tag," which is similar to a non-exclusive tag but doesn't provide any compensation picks if the player goes elsewhere, also exists, but that's not commonly used.

What Is This Year's Franchise Tag Window?

On the front end of things, the 2024 franchise tag window opens relatively early, on February 20. From a logistical perspective, that makes sense. The new season's free agency opens in mid-March, and the 2024 draft takes place at the end of April.

Given that franchise tags supersede free agency, their window needs to open before the bidding wars can begin.

After that, the date to watch is March 5. That's the final day that a team can apply a franchise tag for the 2024 offseason.

Focusing on the longer term, another date to remember is July 15. That day represents the deadline for a franchise-tagged player to negotiate a proper extension with their team. Once that cutoff passes, the only way they can play in the upcoming season is on the one-year tender.

How Much Does a Franchise Tag Pay?

Money, like it or not, makes the world go round. And, as you might expect, the cash compensation plays a key role in the franchise tag discussion.

For the most part, franchise tags will pay the average of the top-five salaries at a given position across the past five years. Sometimes, though, a player will command more. If 120 percent of the athlete's previous year's salary is larger than the top-five average, that's his compensation.

Over the Cap projects the 2024 base franchise tag costs as follows:

• Quarterback: $36,293,000
• Linebacker: $22,748,000
• Defensive tackle: $20,943,000
• Wide receiver: $20,672,000
• Defensive end: $20,205,000
• Offensive line: $19,885,000
• Cornerback: $18,762,000
• Safety: $16,224,000
• Tight end: $12,027,000
• Running back: $11,326,000
• Special teams: $5,670,000

And while taking away an extra year's worth of unrestricted free agency may seem unduly restrictive, that financial limit does largely work to keep things balanced. It isn't cheap to apply a franchise tag, and subjecting the same player to back-to-back tags also activates the 120 percent payout. A third consecutive tag would be even more expensive.

Add in the fact that each team can franchise-tag a maximum of one player per offseason, and things don't veer too far out of control.

Who Are Some of This Year's Franchise Tag Candidates?

Now that we've gotten those logistics out of the way, who are some players who could receive a 2024 franchise tag?

Starting with the defending champs, Chris Jones' previous salary probably makes a tag too expensive for the Chiefs. L'Jarius Sneed could receive a one-year tender, but that also depends on how the rest of Kansas City's plans play out. Will they want to leave space for a big-time wide receiver? Or will general manager Brett Veach feel comfortable adding a rookie into the mix while leaning on Rashee Rice?

And, on the subject of receivers, Bengals wideout Tee Higgins could receive a franchise tag. The Colts could also consider their options with Michael Pittman Jr., who's largely irreplaceable within their offense. Mike Evans, another big-time pass catcher who's out of contract, doesn't seem like he'll be tagged; that will make him one of the biggest names to hit free agency.

On the defensive side of the ball, the Panthers seem prepared to franchise-tag Brian Burns. It will remain to be seen whether a longer-term deal materializes, but the tag will buy some more time.

Ultimately, the franchise tag window is just the start of the NFL offseason. And, as with the on-field action, we'll just have to see how things play out. In the world of sports, there tends to be an unexpected twist or turn.