ALAMEDA – Raiders quarterback Derek Carr signed a five-year contract extension Friday morning that will pay him $25 million in 2017 and $125 million over the life of the deal.
That’s a lot of scratch. Could’ve been more.
Carr received life-changing money. He didn’t want to handcuff the Raiders front office in the process.
“I just wanted to be a Raider,” Carr said Friday in a press conference. “It’s more than just a team to me. It’s family. The way it went down, it was easy. Both sides wanted it to get done, and it was about family members figuring out to get along. We figured out a way to do it so that we have the opportunity to sign other guys who are important to this organization. That was really important to me, not to just take every single dime that we could”
That list is long but it starts with homegrown talents Gabe Jackson and Khalil Mack. Jackson is up next, and could get locked up before the regular season starts. The Raiders have some time on Mack – his contract doesn’t expire until after 2018 – and Amari Cooper should be a keeper on down the road.
“The bottom line is we’re able to continue to move forward with it, keep all the players that we need to keep in the correct timing,” Raiders general manager Reggie McKenzie said. “This affords us to do that. We’re going to start on that ASAP.”
Carr got the deal he wanted. The 26-year old found market value and upped the ante for NFL quarterbacks a smidge while deferring some cash payouts – his big-time bonuses are broken up over two years -- to create windows of financial flexibility to sign other players. Carr’s percentage of the salary cap should decrease over time and won’t become an insurmountable burden to his employers. His deal won’t prevent the Raiders from keeping Jackson, Mack, Amari Cooper in time, or other vital veterans in house.
With Carr locked up, the McKenzie can work deals and the timing of them around his centerpiece.
Carr understands the NFL business and his role in the market, but he wants to maintain a competitive window as best he can and understands other guys will draw huge paychecks in the near future.
He’s scheduled to draw the NFL’s largest sum next season. A record $25 million is headed his way, though that total will decrease a bit in time and will certainly he surpassed by Matthew Stafford and possibly Kirk Cousins in the near future.
“I don’t care if they all do. We got our contract done, that’s all that matters to me,” Carr said. “The other thing that was important to me is that we didn’t worry about what other people were going to do or doing. I just wanted to get mine done and make sure that the team had, again like we talked about, flexibility to make sure my friends stay around.”
Carr was intimately involved in the negotiation process. Both sides said it was easy, wrapped up well before Carr’s training-camp contract deadline. Common ground was found in short shrift once talks warmed up – preliminary talks started months ago -- and a deal was ironed out that produced smiles on both sides once the deal was formally done.
Even after taking a relatively soft-line stance on dollars and the timing of payments – Carr could’ve been difficult all year and eventually forced a franchise tag – he’s still the league’s highest-paid player. His salary will now be compared with his stats. He was a second-round draft steal before. Now he’s a big-money player. In short, expectations will rise.
Carr insists it won’t add pressure to next year’s proceedings.
“You could give me a dollar, you could give me $25 million, it doesn’t matter,” Carr said. “To me, my No. 1 goal is to make sure that I give everything that I have to this organization. There’s no pressure. There’s no we’ll be on the 1-yard line and I won’t give it to Marshawn (Lynch), I’ll throw it. None of that stuff. I don’t care about the stats. That’s not my No. 1 objective. I don’t care if I throw 10 touchdowns next year. If we win every game, that’s all I care about.”
Derek Carr is now the NFL's highest paid player. The Raiders quarterback agreed on terms of a five-year, $125 million contract extension a source confirmed on Thursday morning, keeping the franchise's public face in silver and black through the 2022 season.
Carr confirmed the agreement on Twitter early Thursday.
"Now it's done!" Carr wrote. "From the jump I've wanted to be a Raider 4 life. One step closer to that! Blessed!!! Business done! Let's just play now!!!"
Carr was set to make a $977,515 base salary in 2017, the final year of his rookie contract. Carr's raise is significant, and underscores his value to the franchise. Carr's $125 million extension includes $70 million in guaranteed money and $40 million fully guaranteed at signing -- the portion not fully guaranteed is guaranteed for injury -- a source said. The deal features $25 million in the first year -- there's a $12.5 million signing bonus -- with $67.5 million over the first three years, according to ESPN's Dan Graziano.
Carr's deal resets the quarterback market -- Matthew Stafford may do so again soon -- with an annual value above Andrew Luck's previous record extension. The Colts quarterback signed a five-year, $122.9 million extension last year, which Carr has now exceeded.
The complete contract structure is not yet known, but a somewhat delayed payout plan is expected due to two key factors. The largest is Carr's desire to see other star Raiders receive extensions, and his deal gives the team some flexibility to keep important players in house. The Raiders will also move to Las Vegas by 2020 at the latest, where there is no state tax. California residents max out at a 13.3-percent tax rate, meaning his money will be worth more later in the deal.
The 26-year old's ultimate goal was to maximize earnings without handcuffing the organization, and that's setting up well. His deal will help the Raiders that regard, though the team has also budgeted to extend several members of their young core. They have financial flexibility in future seasons and upfront salary cap space, though productive drafts are required to remain competitive as the cash gets gobbled by Carr and others in coming years.
The Raiders were always confident the Carr extension would get done this offseason, and the deal was finalized well before the quarterback's self-imposed training camp deadline. Carr's camp had discussed parameters of an extension months ago, but talks heated up in the last few weeks and ended up with an agreement that locks Carr down.
The Raiders also hope to extend two more members of a star-studded 2014 draft class. Right guard Gabe Jackson is next in line, and could get a new deal this offseason and edge rusher Khalil Mack will get a massive contract at some point in the near future. Jackson's entering a contract year, but the team exercised a fifth-year option that creates more time to get a Mack deal done. Amari Cooper has some time under his rookie deal -- it could last through the 2019 season -- but the Raiders want to pair him with Carr for several seasons.