How the Jaylen Waddle Trade Impacts the Broncos’ Salary Cap

The Denver Broncos had been quiet this offseason when it came to acquiring players who were on other teams in 2025 — that is, until news broke Tuesday morning about them acquiring wide receiver Jayden Waddle from the Miami Dolphins.

The Broncos reportedly sent the No. 30 overall pick (first round) and No. 94 overall pick (third round), plus swapped fourth-round picks (sending No. 130 and getting back No. 111) to acquire Waddle. The move was the Broncos' first acquisition of a player who played elsewhere in 2025, and they remain the only NFL team yet to sign an outside free agent since March 9.

Reportedly, the Dolphins have already paid the majority of Waddle's 2026 salary, with the Broncos responsible for $5 million. The Broncos are still on the hook for his salary in 2027 ($23.4M, of which $15.2M is fully guaranteed) and, if they keep him after 2027, for his salary in 2028 ($25.8M).

What does this mean for the Broncos' salary cap and the team's future? Let's examine it.

Salary Cap Impact

First of all, Over The Cap has accounted for the Broncos taking on an option bonus that is due March 20. The option bonus was for about $15M, leaving Waddle with a $1.215M base salary.

However, per ESPN's Jeremy Fowler, the Broncos will take on just that $5M cap hit for 2026, but they're responsible for the remainder of Waddle's contract. That would mean the Dolphins likely exercised the option bonus, hence why they would already have paid out some of Waddle's money.

According to Over The Cap's Jason Fitzgerald, if the option bonus has not been exercised, it's assumed the Broncos would exercise it, leaving Waddle with a cap charge of $4.9M.

If the option bonus hasn't been exercised, the Broncos could still decline the option and pay the money as base salary. If so, Waddle would have a cap charge of about $17.24M.

If the option bonus has, in fact, already been exercised, then that will affect current and future cap hits.

Along with the base salary and option bonus, Waddle was set to earn a $100,00 workout bonus and a $510K per-game roster bonus on his new contract, which Miami signed him to back in 2024.

If we are to assume the Broncos are only responsible for $5M in salary, the question is whether that includes the bonuses in question. If it does, the Broncos' cap charge would be a little more than $5M.

As for 2027 and 2028, the cap charges of $27M and $29.4M assume that the Broncos are taking the option bonus and will exercise it. But if it has already been exercised by the Dolphins, then those cap charge should be reduced by about $3.1M.

Bottom Line

Nov 30, 2025; Miami Gardens, Florida, USA; Miami Dolphins wide receiver Jaylen Waddle (17) takes the field prior to a game against the New Orleans Saints at Hard Rock Stadium. Mandatory Credit: Rich Storry-Imagn Images | Rich Storry-Imagn Images

Regardless of how the option bonus situation plays out, the Broncos are acquiring a player who will have a relatively small cap charge in 2026, but it will rise in 2027. Waddle will join fellow wideout Courtland Sutton, left tackle Garett Bolles, cornerback Patrick Surtain II, and right tackle Mike McGlinchey as players with cap charges above $20M.

The Broncos have ways to create cap space, but it's worth noting that there will now be five players with significant 2027 cap charges. It will be interesting to see what this means for extending current players entering the final year of their contracts, such as cornerback Riley Moss and wide receiver Marvin Mims Jr.

What the Waddle trade represents is a clear "win now" move. The Broncos are pushing to win a Super Bowl this coming season.

What happens from there is another question, as quarterback Bo Nix will be eligible for an extension in 2027 and the Broncos will have decisions to make about other players with expiring deals or who may need to be cut or traded.

For the short term, Waddle represents a move the Broncos likely believed they had to make to give them the best chance at winning a Super Bowl this season. For the long term, though, it's anyone's guess who remains on the roster.

But those are questions the Broncos will have to ask themselves after the 2026 season. For now, they will be able to manage Waddle's cap charge, regardless of whether the Broncos or Dolphins pay the $15M option bonus.

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