With the tag deadline having passed, the Indianapolis Colts and Daniel Jones were unable to come to terms on a new deal at this time. So the Colts will use the transition tag on him ahead of Tuesday’s deadline.
What is the transition tag?
The transition tag would allow Jones to still test the market and negotiate deals with other teams. However, the Colts would get the opportunity to match any offers Jones gets.
If no long-term deal with the Colts or another team were to be reached, Jones would remain with Indianapolis for the 2026 season and play on a pre-determined contract amount, totaling $37.83 million. That amount is fully guaranteed and will weigh heavily on the Colts’ salary cap.
Using the franchise tag on a quarterback would have come with a fully guaranteed $43.89 million for the 2026 season.
According to NFL research, the last time the transition tag was used on a quarterback was when the Falcons placed it on Jeff George in 1996.
ESPN’s Stephen Holder also noted that only four players have played an entire season on the transition tag. Most of the time, a new deal is reached.
Why did the Colts use the transition tag on Daniel Jones?
The Colts and Jones were unable to come to terms on a long-term deal prior to Tuesday’s deadline. Using the tag will provide the Colts with some insurance, as Jones is able to test the market and see what kind of contract he could potentially earn elsewhere, while Indianapolis still has the ability to match any offer.
One CBS Sports’ Jonathan Jones mentioned the Vikings as a team that was “closely monitoring” the situation between the Colts and Jones.
The market having a say in what Jones’ next deal will look like could be helpful, given the unique situation, with Jones playing high-level football for half of the 2025 season before suffering a significant Achilles injury. However, Jones’ price tag could potentially increase compared to what the Colts may have had to pay had they gotten a deal done beforehand.
The Colts and Jones can still continue to work towards a multi-year deal prior to free agency.
(This story was updated to add new information.)
This article originally appeared on Colts Wire: Why did Colts transition tag Daniel Jones and how does it work?
Reporting by Paul Bretl, Colts Wire / Colts Wire
USA TODAY Network via Reuters Connect
