Buffalo Bills elite All-Pro linebacker Matt Milano has battled nagging injuries over the past two seasons, missing 27 regular season and postseason games. Milano suffered a season-ending tibial plateau fracture and MCL tear in Week 5 against the Jacksonville Jaguars during the 2023 season. He also sustained a bicep tear during training camp in 2024 and missed the first 11 games and also missed Week 16 with a groin injury.
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The Buffalo Bills’ LB was a potential cap casualty

He entered the first year of his 2-year, $28,330,000 contract extension and was scheduled to earn a $9.265 million base salary and a $15.822 million cap hit in 2025. Since he has battled injuries, the emergence of Terrel Bernard, and Dorian Williams playing well in relief, many considered Milano a cap casualty. If the Bills were to cut him, it would be post-June 1st cut, allowing the $17.253 million in dead cap to be spread into the 2026 offseason, and on June 2nd, they would free $10.414 million in cap space and incur a $5.408 million dead cap hit in 2025 and $11.845 million in 2026.
Buffalo Bills announce key defensive player returning in 2025

According to Jason Fitzgerald of Over The Cap, the Bills and Matt Milano have agreed to a $3,633,500 pay cut, which he can earn back in performance-based incentives, reducing his $9.265 million in guarantees to $5.631 million, freeing $3,658,500 in cap space. As a result his $9.265 million base salary drops to $3.275 million, and his $15.822 million cap hit drops to $12,163,500 in 2025. Finally, both parties have agreed to void the final year of his contract, making him a free agent in 2026 instead of 2027.