Report: Chargers sign Donald Butler to 'multi-tiered' seven-year deal worth $48 million

Donald Butler was set to become a free agent this off-season before re-signing with the Chargers. (Stephen Dunn/Getty Images) The San Diego Chargers have

Donald Butler was set to become a free agent this off-season before re-signing with the Chargers. (Stephen Dunn/Getty Images)

The San Diego Chargers have signed linebacker Donald Butler to a three-year deal worth around $20 million dollars with a team option to extend him for four more years, according to Ian Rapoport of NFL.com. The four-year extension would be worth somewhere between $8 million to $9.5 million per year

The 25-year-old Butler's new deal will pay him $12 million this upcoming season, which will be his fourth with the Chargers. San Diego selected Butler in the third round of the 2010 NFL Draft.

Butler was a defensive captain for San Diego last season, racking up 85 tackles and an interception despite missing three games with a groin injury.

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Terms: Donald Butler’s multi-tiered deal with #Chargers. First 3 years worth just under $20M. Option for 4 more years worth $8M to $9.5M per

— Ian Rapoport (@RapSheet) March 3, 2014

Butler will earn just under $12M in first year, $15M over 2. If team picks up option, guarantee in first year of “2nd deal” is under $15M

— Ian Rapoport (@RapSheet) March 3, 2014