The NFL salary cap has been set at $120.6 million for the 2012 season, according to the Associated Press, just barely higher than last year's figure.
All 32 teams must be under the cap by Tuesday, when free agency begins. Any room left under the cap at the end of the season can be carried over to 2013.
Unrestricted free agency begins Tuesday and runs through July 22 or the beginning of camp, whichever is later; restricted free agents must wait until April 20 to sign with new teams. Marques Colston, Carl Nicks, Matt Flynn, Mario Williams and of course Peyton Manning are among the biggest free agents that teams will scramble to fit under the cap this offseason.