Feb. 8, 2026, 2:23 p.m. ET
The Indianapolis Colts and free agent quarterback will begin contract talks soon, according to Tom Pelissero of the NFL Network.
“My understanding is the Colts plan to open talks soon with Daniel Jones on a multi-year deal to keep him in Indianapolis,” Pelissero reported on Sunday.
This report does not come as a surprise. Chris Ballard and Shane Steichen have made it quite clear that they want Jones back, and Jones has also said he would like to return.
“I am told Jones wants to be in Indianapolis,” Pelissero added. “The Colts want to work out a deal. If they can’t, the franchise tag would be an option, but either way, the plan is Jones stays in Indy.”
Although both sides want to work out a new deal, determining the length of the deal and the amount could be a hurdle with Jones coming off a major injury.
Expert NFL picks: Exclusive betting insights only at USA TODAY.
With that said, Ballard has already stated that he is “confident” in Jones’ ability to recover from the Achilles injury and bounce back.
According to Over the Cap, the franchise tag for the quarterback this season is projected to be $47.32 million. Since this is effectively a one-year deal, that entire amount would count towards the 2026 salary cap.
It’s possible that the franchise tag is utilized to essentially extend the negotiating window. Rather than needing a long-term deal done by the start of free agency on March 9th, the franchise tag would allow the two sides to continue those conversations without Jones hitting the open market.
Then, when a new deal is reached, Jones’ cap hit for the 2026 season would be much more manageable, and he would be under contract beyond just this season as well.
We saw the Colts do this with Michael Pittman during the 2024 offseason.