The two-time MVP has agreed to restructure his contract in order to clear an additional $21.6 million worth of salary-cap space for the Chiefs, according to ESPN’s Adam Schefter.

Chiefs restructure Mahomes' contract, save $21.6 million in cap space

Mahomes became the highest-paid player in the NFL when he signed a 10-year extension worth $450 million during the 2020 offseason. His cap hit for 2024 was set at $58.6 million, according to Spotrac. The platform now has his numbers against the cap estimated to be $37 million in 2024, $66.2 million in 2025 and $68.6 million in 2026.

This latest money move comes after the Chiefs restructured his contract in September 2023, setting Mahomes up to make $208.1 million between 2023 and ’26. It was the largest deal over a four-season span in NFL history. At the time, the team said they would revisit his deal in 2026, which likely still stands.

Report: Chiefs rework Patrick Mahomes' contract to create $21.6 million in cap  space - Yahoo Sports

It has already been a busy offseason for the reigning champions. The team secured the return of star defensive tackle Chris Jones on a massive deal with $95 million guaranteed last week, though his deal will represent only a $7.35 million cap hit this year.

The Chiefs also reportedly cut wide receiver Marquez Valdes-Scantling, signed punter Matt Araiza and placed the franchise tag on cornerback L’Jarius Sneed, who stands to represent $20 million against the cap. Sneed was reportedly given permission to seek a trade, however.

Patrick Mahomes will restructure contract to create $21.6M in cap space for  Chiefs, per report - Yahoo Sports

Now, the Chiefs will have more money to play with in free agency as they look to build another Super Bowl team and go for an unprecedented three-peat.