With the start of NFL free agency and the official new league year, teams will be gearing up for a fresh campaign from now until September. Most organizations likely still have key contract extensions to dole out ahead of the 2025 season and could resort to placing the franchise tag on players to kick the can down the road, so to speak.
The franchise tag notably differs from the transition tag, another tag option that teams can employ. What’s the difference between the two? Here’s everything you need to know about the two tags.
Under the umbrella of “franchise tag,” there are three types of tags: the non-exclusive tag (most common), exclusive tag and transition tag.
This offseason, Kansas City Chiefs guard Trey Smith and Cincinnati Bengals wide receiver Tee Higgins are the only two players to receive the franchise tag.
The transition tag is more rare, with the New England Patriots last using it on safety Kyle Dugger in 2024. Prior to that, the transition tag has been used just five times since 2014:
- 2020: Kenyan Drake, RB tagged by Arizona Cardinals
- 2018: Kyle Fuller, CB tagged by Chicago Bears
- 2015: Charles Clay, TE tagged by Miami Dolphins
- 2014: Alex Mack, C tagged by Cleveland Browns
- 2014: Jason Worilds, LB tagged by Pittsburgh Steelers
There are two key differences between the franchise tag and transition tag: price and compensation.
Franchise Tag vs. Transition Tag Differences: Compensation
One difference between the two tags involves team compensation.
Just like a non-exclusive franchise tag, a transition tag is a one-year, fully guaranteed contract given to a pending free agent. Both tags allow players to negotiate with teams in free agency and potentially receive an offer sheet.
But, whereas a non-exclusive franchise tag gives the original team the option to match another team’s offer or receive draft compensation (two first-round picks) when the player leaves, the transition tag only gives the original team one option: the right to match another team’s offer. If the original team declines to match the offer, it won’t receive any compensation when the player leaves.
Franchise Tag vs. Transition Tag Differences: Price
The other difference is price.
Across the board, the franchise tag is more expensive than a transition tag. The value of the non-exclusive franchise tag is calculated using the average of the top five salaries at the player’s position over the last five years, or 120% of the player’s previous salary—whichever is greater.
By contrast, the value of the transition tag is calculated using the average of the top 10 salaries over the same five-year period. Since this tag option uses the last 10 years of salary data as opposed to five years, the transition tag is cheaper.
Franchise Tag vs. Transition Tag Salaries for 2025
Exactly how much does the price of the non-exclusive franchise tag and transition tag differ in the 2025 season?
Here’s a handy table to compare the two:
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This article was originally published on www.si.com as Comparing the Franchise Tag to the Transition Tag: What's the Difference?.
