The good news is that the Indianapolis Colts are going to have quite a bit more cap room in 2026, if reports are correct that the NFL could be increasing its cap to more than $300 million. Instead of Indy looking to trim its roster of a bit of bloat, the team might be able to keep expensive players who will help well into the future.
But there is a catch to the higher ceiling for Indy. That is, every team in the NFL is going to have more cap room. If a team were going to look to outbid Indy for quarterback Daniel Jones or wide receiver Alec Pierce, for instance, they have more money to do so, just as the Colts do.
The extra cap room could mean that the Colts won't have to release wide receiver Michael Pittman, who has a $29 million cap hit in 2026, but Indianapolis would still need to create cash to compete with other teams and their extra cash.
Extra projected cap room for the Indianapolis Colts in 2026 comes with a catch
The teams that are truly helped by as much as $20 million (or more) in 2026 are those that were struggling with cap room anyway. The extra space could put them in play for Jones or Pierce, or some other highly-prized free agents that they might otherwise have no chance to sign.
The priorities for Indianapolis remain the same. The team needs to bring back Jones to a multi-year deal, and should do the same with Pierce. Keeping right tackle Braden Smith was probably affordable before, but might still be unnecessary as ascending second-year pro Jalen Travis might be ready to take over for Smith, who is nearing 30 years old.
The most positive aspect for Indianapolis is how extra money might affect extensions. The team can assume the 2027 cap will be even higher, and giving players such as running back Jonathan Taylor, left guard Quenton Nelson, and a couple of others new deals sooner than when they hit free agency would be wise.
General manager Chris Ballard's approach should also be the same as it was before the higher cap ceiling was reported: He needs to be aggressive this offseason. The Indianapolis Colts have to make the playoffs next season, or he should lose his job. No matter how much money the team had, Ballard was going to have to spend it wisely. That fact hasn't changed.