The Indianapolis Colts have several key financial decisions to make in 2026. One, of course, is whether to re-sign quarterback Daniel Jones. Another is how much the team wants to spend to possibly bring back wide receiver Alec Pierce. Part of the issue is that wide receiver Michael Pittman's deal causes issues.
The blame for the situation shouldn't lie with Pittman, of course. A player is simply trying to get paid as much as they can for a career that will tend to be short. The wealth gained can be generational and well beyond the rest of the player's life.
But Pittman doesn't produce the same value as the value of his contract. Maybe that isn't completely his fault, either. He is part of an offense that spreads the ball around to its receivers and uses a heavy running attack led by the elite Jonathan Taylor. When people are healthy, it works well.
Indianapolis Colts are overpaying for Michael Pittman Jr.
One of the best receivers Indianapolis has is Alec Pierce, who is tall and fast. With a different offense, he would produce more himself. The issue is that Pierce is set for free agency after this season, he is only 25 years old, and has led the NFL in average yards per reception in each of the last two seasons. He is a keeper. Pittman's contract might stop that from happening.
According to Spotrac, the Colts have $47,595,927 of cap space in 2026. A decent amount, though if Indianapolis re-signs Daniel Jones, the quarterback's deal would eat a lot of that cap away. Besides Pierce, the Colts would need to ask themselves if they want to re-sign longtime starter at right tackle, Braden Smith.
One easy way to create more cap room is to do something with Michael Pittman. That could mean signing the wide receiver, who is entering the final year of his contract in 2026, to an extension. That would lower his cap hit for next season.
The other way is to release Pittman and hope that Indy can sign another wide receiver to a much cheaper deal in free agency, or find a wideout in the second round who could maybe have an immediate impact.
Pittman's cap hit in 2026 is a ridiculous $29 million. He originally signed an extension in 2024 for three years and $70 million. While he had been productive early in his career, he didn't put up numbers that would rank him among the best in the league. His $29 million cap hit next season ranks seventh among wideouts.
In 2025 through Week 15, Pittman ranks 29th in the league in receiving yards (725), and he is 12th in catches (72). He is a good player, but he is also an overpaid one. Releasing him in the offseason would save the team $24 million.
The Indianapolis Colts also need to think several seasons ahead if they are thinking of signing Michael Pittman to an extension. He won't be the only player set to hit free agency in 2027. The other players include Jonathan Taylor, left guard Quenton Nelson, and wide receiver Josh Downs, among others.