Dolphins Face Tough Decision on Tua Tagovailoa's $99.2M Cap Hit

Team must decide whether to absorb full charge this year or spread it over two seasons

Published on Feb. 20, 2026

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The Miami Dolphins have a difficult decision to make regarding quarterback Tua Tagovailoa's contract. Tagovailoa is owed $54 million in 2026, with the full amount guaranteed. If the Dolphins release him, they would face a $99.2 million cap charge, which could significantly impact their ability to field a competitive team this season. The team must decide whether to absorb the full charge in 2026 or use a post-June 1 designation to split the cap hit over two years.

Why it matters

Tagovailoa's bloated contract, signed in 2024 when he still had one year remaining on his deal, has put the Dolphins in a tough spot. The team must weigh the short-term impact of a massive cap hit against the long-term benefits of clearing Tagovailoa's contract from their books.

The details

If the Dolphins release Tagovailoa without the post-June 1 designation, they would face a $99.2 million cap charge in 2026. This would account for anywhere from 32.4% to 32.9% of the team's total cap space for the coming year. Alternatively, the Dolphins could use the post-June 1 designation, which would split the cap hit, with $55.4 million applying in 2026 and $43.8 million in 2027.

  • Tagovailoa's contract, signed in 2024, is set to count $54 million against the Dolphins' 2026 salary cap.

The players

Tua Tagovailoa

The Miami Dolphins' quarterback, who is owed $54 million in 2026 with the full amount guaranteed.

Chris Grier

The former general manager of the Miami Dolphins, who gave Tagovailoa the ill-advised contract in 2024.

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What’s next

The Dolphins must decide by the start of the 2026 league year whether to release Tagovailoa and absorb the full $99.2 million cap charge or use the post-June 1 designation to split the hit over two seasons.

The takeaway

The Dolphins' decision on Tua Tagovailoa's contract will have significant implications for their ability to field a competitive team in 2026. Absorbing the full $99.2 million cap hit would be a 'soft tank' move, but it would clear the books for 2027. Spreading the hit over two years would lessen the immediate impact, but the team would still be saddled with Tagovailoa's contract for another season.