Cowboys Insider on Dak Prescott: 'Most Likely Scenario Is' QB Signs Contract in March

Dak Prescott is entering the final year of his contract and has a massive cap hit for the 2024 season, a major issue for a Dallas Cowboys team with roster holes to fill and pending free agents in running back Tony Pollard, offensive tackle Tyron Smith, cornerbacks Stephon Gilmore and Jourdan Lewis and edge-rusher Dorance Armstrong, among others.

The expectation, then, is that the star quarterback and the team will soon work out a new deal, per The Athletic's Jon Machota:

"The Cowboys have given no indication that they are considering an immediate future without Prescott, who is entering the final season of his current deal. The most likely scenario is that he signs a new contract next month. If the Cowboys leave his deal as is, he'd count just under $60 million against their 2024 cap, making it difficult to do anything to improve the roster outside of the draft."

The Cowboys are going to have to make some tough financial decisions in the future outside of Prescott's new deal, especially with Trevon Diggs' five-year, $97 million extension kicking in this year.

CeeDee Lamb will be a free agent after the 2024 season and is line for a massive extension. The Cowboys will almost assuredly exercise the fifth-year option for Micah Parsons, locking him up through 2025, though his own massive extension will shortly follow. Will the Cowboys have the financial flexibility to keep their core players in Dallas?

The answer to that question likely will revolve, at least in part, around the extension Prescott signs. Even on a team-friendly deal, the three-time Pro Bowler won't come cheap. If the Cowboys are going to be legitimate contenders in 2024, however, lessening his cap hit for next season will be crucial.