NFL Compensatory Draft Picks Explained and Why They're So Important

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Every year, the NFL awards compensatory draft picks to various teams across the league. Those picks, which range from rounds three to seven, exist to account for the net loss teams experienced when they lost free agents during the previous offseason.

Compensatory picks have existed in the NFL since 1994, and they have become an important part of a team's offseason strategies. Knowing that you may get a mid or late-round pick for losing a player in free agency can impact how a team approaches decisions when it comes to unrestricted free agents. For some organizations, it may be more opportunistic to allow a player to depart in free agency and receive a compensatory pick instead of re-signing them.

Additionally, teams will be protected from losing top talent to other clubs without receiving anything in return. Getting a compensatory pick will allow teams to further rebuild their roster in the NFL draft, or even trade that pick for other assets.

Here’s a full explainer on what compensatory picks are, how their value is determined and how teams receive them.

What are compensatory draft picks?

A compensatory draft pick is essentially a mid to late-round draft selection that’s awarded to a team that sustained a net loss of compensatory free agents during the previous offseason. For example, if a team signed two compensatory free agents but lost four in free agency, they’d be awarded two compensatory draft picks in the following year’s draft.

Teams that gained the same amount of CFA’s that it lost can also be awarded a compensatory pick at the end of the seventh round, but only if the NFL calculates that the value of the CFA’s the team lost exceeds that of what it signed.

Compensatory picks, which are positioned at the ends of rounds three through seven, are awarded based on a formula that weighs salary, playing time and postseason honors of the CFA’s that departed in free agency.

Compensatory draft picks are distributed in the following league year’s draft, so all 2026 compensatory picks are the product of moves made during free agency in 2025.

How many compensatory picks are distributed each year?

In total, as many as 32 compensatory picks are awarded each season, and teams can have no more than four.

This year, there were 33 compensatory picks awarded because the Lions received a “special compensatory pick” as a result of former defensive coordinator Aaron Glenn getting hired as the Jets’ head coach last offseason. Teams that have a minority employee hired as a head coach or a primary executive by another team are awarded special compensatory picks.

What is a compensatory free agent (CFA)?

Compensatory free agents are determined by the league as unrestricted free agents who sign with new teams. Only players whose contracts have expired are eligible to be considered compensatory free agents, meaning teams that cut a player will not receive a compensatory draft pick for doing so.

To receive a compensatory draft pick for a CFA, the player must sign with a new team “prior to 4:00 p.m., New York time, on the Monday following the NFL Draft for that League Year.” So, if a player doesn’t sign with a new team until late into the offseason, their previous team may not be eligible for a compensatory pick.

It’s important to note that not every unrestricted free agent, including some players whose contracts have expired, are considered compensatory free agents.

What is the formula to determine what players are compensatory free agents?

The league uses a formula weighing a players average annual salary, game participation and league honors to determine who is considered a CFA. Those metrics are compared to every player on a league roster at the end of the season. Only players deemed to be in the top 35% of the league will be considered CFA’s. The full explanation of the formula can be seen here, via OverTheCap, but we’ll try to explain it in simpler terms below.

In short, the league assesses points based on the following, compared against all players league-wide:

An inverse ranking of the maximum value of a player’s contract (higher-paid players will receive more points).
Percentage of snaps played on offense or defense (minimum 25%) -- one point is awarded per percentage point.
NFL honors - 20 points if selected as First Team All-Pro or All-NFL, 5 points for all-conference or PFWA awards

The sum of the allotted points total for those metrics are then used to divide players into percentiles, which then determine the value of draft pick attached to each player:

Third round = Players in top 5%
Fourth round = Below top 5% to top 10% of players
Fifth round = Below top 10% to top 15% of players
Sixth round = below top 15% to top 25% of players
Seventh round = below top 25% to top 35% of players

Players not judged to be in the top 35% of the league, based on the NFL’s formula, are not considered compensatory free agents. As such, teams would not receive compensatory picks if said players sign with new teams.

What teams have compensatory draft picks this year?

Here’s a full list of teams that received compensatory draft picks, and where in the draft those selections are positioned:

Team	Draft Round	Compensatory Draft Pick
Minnesota Vikings	3	97
Philadelphia Eagles	3	98
Pittsburgh Steelers	3	99
Jacksonville Jaguars (from Lions)	3	100
San Francisco 49ers	4	133
Las Vegas Raiders	4	134
Pittsburgh Steelers	4	135
New Orleans Saints	4	136
Philadelphia Eagles	4	137
San Francisco 49ers	4	138
San Francisco 49ers	4	139
New York Jets	4	140
Baltimore Ravens	5	173
Baltimore Ravens	5	174
Las Vegas Raiders	5	175
Kansas City Chiefs	5	176
Dallas Cowboys	5	177
Philadelphia Eagles	5	178
New York Jets	5	179
Dallas Cowboys	5	180
Detroit Lions	5	181
Pittsburgh Steelers	6	214
Philadelphia Eagles	6	215
Pittsburgh Steelers	6	216
Indianapolis Colts	7	249
Baltimore Ravens	7	250
Los Angeles Rams	7	251
Los Angeles Rams	7	252
Baltimore Ravens	7	253
Indianapolis Colts	7	254
Green Bay Packers	7	255
Denver Broncos	7	256
Denver Broncos	7	257

What 2025 free agency moves led to early 2026 compensatory draft picks?

There were four teams awarded compensatory draft picks at the end of the third round of the 2026 draft; the Vikings, Eagles, Steelers and Lions.

The Vikings were awarded pick No. 97 in the draft after losing Sam Darnold to the Seahawks in free agency. The Eagles received the No. 98 selection after Milton Williams agreed to join the Patriots. As for the Steelers, they got pick No. 99 after Dan Moore signed with the Titans.

The Lions received pick No. 100 after Glenn joined the Jets as the franchise’s head coach last offseason. That pick was then traded to the Jaguars during the 2025 draft as part of a larger deal.

What teams have the most compensatory picks in the 2026 draft?

The Eagles, Ravens and Steelers were each awarded four compensatory draft picks this year. The 49ers received three, and the Cowboys, Broncos, Lions, Colts, Raiders, Rams and Jets each received two.