The writing had been on the wall, but the decision was made official on Monday, March 9. The Miami Dolphins are moving on from quarterback Tua Tagovailoa and resetting at the position for the future.
The move came after a tumultuous relationship with the quarterback, who went from leading the league in passing yards in 2023 to having several injuries that sidelined him, from which he never quite recovered.
Tagovailoa was the fifth overall pick in the 2020 NFL Draft and was given a massive four-year, $212,400,000 contract extension that began ahead of the 2025 regular season. Only one year into the new deal, Miami opted to cut its losses and release the quarterback, which carries a record-setting dead cap hit.
Here is more on the infamous record that the Miami front office has now set, and how much money Tagovailoa will be paid not to play for the Dolphins.
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Tua Tagovailoa contract guarantees
Tagovailoa signed his massive rookie extension in the summer of the 2024 season. He played that year on his fifth-year option, with his new deal kicking in starting in 2025, and running through the 2028 season. Tagovailoa's deal was for $212,400,000, with $167,171,000 guaranteed.
With the recent surge in absurd quarterback contracts, Tagovailoa's guarantees don't even rank in the top five for most ever, which starts with Los Angeles Chargers QB Justin Herbert's $218.7 million.
Tua Tagovailoa dead cap hit
While Tagovailoa hadn't performed to his potential, or his high contract, on the field, the choice to cut him does not come lightly. The released QB will cost the Dolphins a record $99 million dead cap hit.
This ranks as the largest dead cap hit in NFL history, surpassing Russell Wilson's previous dead cap hit record of $85 million when he was released by the Denver Broncos after the 2023 season.
Player Team Year Dead cap hit
Tua Tagovailoa Dolphins 2026 $99 million
Russell Wilson Broncos 2024 $85 million
Matt Ryan Falcons 2022 $40.5 million
Aaron Rodgers Packers 2023 $40.3 million
Tom Brady Buccaneers 2023 $35.1 million
Carson Wentz Eagles 2021 $33.8 million
MORE: Tracking every notable NFL salary cap cut in 2026
What is a dead cap hit?
Dead cap space is the term used for money allocated from a team's salary cap for a player who is no longer on the team. Most often, this figure comes from guaranteed money still due to a player who has been released, traded, or retired.
For Tagovailoa, he was given $167,171,000 in guarantees when he signed his contract extension ahead of the 2024 season. The Dolphins are still on the hook for $99 million. Miami has designated Tagovailoa as a post-June 1 designation, which is important because the NFL's financial rules allow the franchise to spread his cap hit over two seasons. The Dolphins are expected to have a $67 million cap hit for Tagovailoa in 2026, and the remaining $32 million will be on their books in 2027.
How much do the Dolphins owe Tua Tagovialoa?
Guarantees, dead cap and money owed to a player can get confusing. For example, a signing bonus is paid to a player in full upon signing their contract. But teams are allowed to prorate the signing bonus over the contract term on their books. So there are little nuances to contracts, to where even though, in this example, Tagovailoa has a dead cap hit of $99 million, he isn't still owed $99 million.
Tagovailoa is still owed $54 million in guarantees, which Miami will have to pay him this season. This allows the quarterback to sign with another team at the veteran minimum, since the Dolphins will be paying him so much.
MORE: Ranking Tua Tagovailoa's best free agent fits
When did Tua Tagovailoa sign his contract extension?
Tagovailoa was drafted with the fifth overall pick in the 2020 NFL Draft. That gave him an initial rookie contract covering his first four seasons, from 2020 through the 2023 regular season. First-round picks also have a fifth-year option that franchises can exercise to keep their former first-round picks around for an extra year at a discount in hopes of working out a long-term extension.
This is what happened with Tagovailoa. Miami picked up his fifth-year option for the 2024 season, but before that year's regular season, they came to terms on his four-year, $212,400,000 extension. That new contract began with the 2025 season, and after just one year into the four-year extension, the Dolphins have opted to release Tagovailoa.