Jimmy Johnson believes Cowboys made a mistake with Dak Prescott extension

The Dallas Cowboys are in the midst of a disappointing 4-7 season and their future might be even bleaker due to their salary cap status.

Dak Prescott’s record-setting extension, along with the new deal CeeDee Lamb signed in August, will account for a large chunk of the Cowboys’ salary cap in 2025. As Dallas likely has some tough financial decisions this offseason, former Cowboys head coach Jimmy Johnson believes the franchise made a misstep with Prescott’s deal.

“They’re so financially strapped with all these contracts,” Johnson said on FS1’s “The Herd” when asked what he would do if he were running the Cowboys this offseason.

“First of all, I would’ve never given Prescott a new contract. I would’ve let him play it out. He’s the highest-paid player in the league. He’s not the best player in the league. He wasn’t going to go anywhere. If you go to the Super Bowl with him, hey, wasn’t going to go anywhere. Pay him whatever. If he struggled in the playoffs, then you negotiate. If he got hurt, you save money.

“But they’re so financially strapped right now, I don’t know what they do.”

Prescott signed a four-year, $240 million extension with the Cowboys in September that included $231 million in guaranteed money. The average annual value of the deal and guaranteed money were the richest in NFL history. His season ended after Week 9, when he tore his hamstring.

The contract for Prescott came a couple of weeks after Lamb inked an extension worth $136 million over four seasons with $100 million guaranteed. As a result, Prescott ($89.9 million) and Lamb ($35.5 million) will have mammoth cap numbers next season. With the salary cap for next season expected to be set around $272.5 million, Prescott and Lamb’s numbers will make up roughly 45% of their salary cap.

While Prescott and Lamb received new deals, standout linebacker Micah Parsons did not. He’s entering the final year of his contract in 2025 and if he were to be extended, the Cowboys would likely have a significant amount of their salary cap tied to three players in 2026 and future seasons.

As a contract decision on Parsons looms, some have pondered whether it’d be a good idea for the Cowboys to trade him in order to help round out a roster that’s proven to have several holes. Johnson doesn’t think that’d be a good idea.

Jimmy Johnson’s take on what the Dallas Cowboys should do this offseason

“Parsons is such a great, great player,” Johnson said. “It’d have to be a boatload of picks to trade him. I wouldn’t want to get rid of him. He is their whole defense. He is a game-changer. Al Davis told me one time, I was talking about players, and he said that particular player I was talking about — it was Michael Irvin — wins games for you. You don’t want to get rid of a player that wins games for you.”

Parsons has missed four games this season due to an ankle injury, which is just part of the reason why the Dallas defense ranks near the bottom of the league. But when he’s been healthy, he’s been productive. In seven games, he has a team-high five sacks, along with 25 total tackles, 11 QB hits and a forced fumble. He also has a team-high 36 pressures this season, per Pro Football Focus.

Earlier in the week, Johnson said on “The Facility” that he wouldn’t make a move to hire Colorado’s Deion Sanders as head coach if he were in charge of the Cowboys. As hot seat rumors swirl around head coach Mike McCarthy, Johnson wouldn’t make a move there either after owner Jerry Jones left open the possibility that McCarthy could be extended at season’s end.

“They’re talking about changing coaching,” Johnson said. “Well, I don’t know if changing coaching is going to help them. Mike McCarthy’s a good football coach. I don’t know if a new coach coming in can solve the problem.”

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