What Is the NFL Fifth-Year Option and How Does It Work?

New York Jets cornerback Sauce Gardner (1) intercepts a pass intended for Jacksonville Jaguars wide receiver Parker Washington (11) during the second half of an NFL football game Sunday, Dec. 15, 2024, in Jacksonville, Fla.
(AP Photo/John Raoux)

American football fans canโ€™t fully comprehend the vast and confusing landscape of NFL contracts without first understanding the rookie scale.

Successful NFL franchises โ€“ the ones who compete at the top of the Super Bowl odds market every year โ€“ are almost always the clubs that successfully identify and draft good players.ย 

Teams who hit on their first-round picks are rewarded with additional years of contractual control. Thatโ€™s where the fifth-year option comes in.

What Is the NFL Fifth-Year Option and How Does It Work?

In simple terms, the NFL fifth-year option is each teamโ€™s optional ability to extend its control of any first-round pick for a fifth year.

First-round contracts are guaranteed to run for a base of four years, per the Collective Bargaining Agreement that governs NFL contracts.ย 

But if a team likes one of its first-round players, and theyโ€™re still on their rookie contract, the front office can execute its team option to extend that contract for a fifth year. Hence, itโ€™s a fifth-year option.

Fifth-year options give a team additional control of key impact players. Teams retain even more anti-market abilities thanks to the additional powers of the franchise tag.ย 

In turn, these front office CBA powers translate directly to how competitive a team can remain on the field.

How If the Fifth-Year Option Calculated?

Fifth-year options pay rates are calculated by a complicated tiered system that depends on several factors.ย 

From the playerโ€™s perspective, the best-case scenario is when he has already made multiple Pro Bowls on his rookie contract. In that case, heโ€™s paid the same rate as the franchise tag. (Players with a single Pro Bowl nod are paid the transition tag rate.)

For players that havenโ€™t made a Pro Bowl, theyโ€™re then paid a market average thatโ€™s based on what position they play and how much time they spend on the field.ย 

All fifth-year option salaries are fully guaranteed.

NFL Fifth-Year Option Deadline

Teams have to execute their fifth-year options by a specific deadline set in the prior-year spring ahead of the playerโ€™s fifth year.

So, for example: The NFL Draft class of 2022 is now approaching its fourth season in the league.ย 

First-round picks from 2022 are eligible for a fifth-year option for 2026, but teams had to execute those options by May 1, 2025.ย ย 

You can see the teams that executed fifth-year options for 2026 below.ย 

Fifth-Year Option Tracker for 2026

  • Travon Walker, Jaguars ($14.75 million)
  • Aidan Hutchinson, Lions ($20.86 million)
  • Sauce Gardner, Jets ($20.19 million)
  • Kayvon Thibodeaux, Giants ($14.75 million)
  • Ikem Ekwonu, Panthers ($17.56 million)
  • Drake London, Falcons ($16.82 million)
  • Charles Cross, Seahawks ($17.56 million)
  • Garrett Wilson, Jets ($16.82 million)
  • Chris Olave, Saints ($15.49 million)
  • Jameson Williams, Lions ($15.49 million)
  • Jordan Davis, Eagles ($12.94 million)
  • Kyle Hamilton, Ravens (18.6 million)
  • Trent McDuffie, Chiefs ($13.63 million)
  • Tyler Smith, Cowboys ($21.72 million)
  • Jermaine Johnson II, Jets ($13.41 million)
  • Devonte Wyatt, Packers ($12.93 million)
  • George Karlaftis, Chiefs ($15.20 million)
  • Dax Hill, Bengals ($12.68 million)

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About the Author

Chase Kiddy

Read More @chaseakiddy

Chase Kiddy is a writer for BetMGM and co-host of The Lion's Edge, an NFL and college football podcast available on Spotify, Apple Podcasts, and everywhere else. He has also written for a number of print and online outlets, including the Richmond Times-Dispatch, Washington Post, Daily News-Record, and HERO Sports. His first novel, Cave Paintings, is in development.

Chase Kiddy is a writer for BetMGM and co-host of The Lion's Edge, an NFL and college football podcast available on Spotify, Apple Podcasts, and everywhere else. He has also written for a number of print and online outlets, including the Richmond Times-Dispatch, Washington Post, Daily News-Record, and HERO Sports. His first novel, Cave Paintings, is in development.