Packers’ Micah Parsons contract true value revealed after big tax implications

Billy Heyen

Packers’ Micah Parsons contract true value revealed after big tax implications image

Micah Parsons is going to get a heck of a lot of money from the Green Bay Packers.

It ends up being just a bit less than initial reports suggested, though.

That's not because the Packers changed the terms of the contract. It's because of taxes.

ESPN's Adam Schefter broke it down in a new post on X on Saturday:

"Some accounting as an fyi: Micah Parsons’ $47 million per year will be subject to Wisconsin’s 7.65% state income tax, reducing his average annual salary to $43.4M per year — still more than the $40.5M average per year that Parsons was offered from the Cowboys in no state income tax Texas."

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As far as record-keeping goes, that $47 million per year number is the one that will stand as the record for a non-quarterback contract average annual value.

Because states all handle their income tax differently, it wouldn't make sense to track records like that with tax-altered values.

It is a real factor for players, though. It often comes up in the NBA, when players are predicted to land with the Miami Heat due to their being no state income tax in Florida.

This was a slightly different situation for Parsons, of course, because he wasn't a free agent. He was traded to the Packers after requesting out of Dallas.

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But given that a contract extension was in play, it's likely that Parsons' agency likely had some sense for where he was going in order to get a contract lined up and make the deal come off without a hitch.

Parsons is going to bring home a big bag. He already shared on social media that his mother is retiring thanks to his support. 

Green Bay is happy to have Parsons, no matter the cost.

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Billy Heyen

Billy Heyen is a freelance writer with The Sporting News. He is a 2019 graduate of Syracuse University who has written about many sports and fantasy sports for The Sporting News. Sports reporting work has also appeared in a number of newspapers, including the Sandusky Register and Rochester Democrat & Chronicle