Steelers insider shares major update on T.J. Watt's contract after Jalen Ramsey's move

The Pittsburgh Steelers made a major trade on Monday when the club acquired star cornerback Jalen Ramsey and talented tight end Jonnu Smith from the Miami Dolphins. Although the team did send Minkah Fitzpatrick the other way to the Dolphins franchise, the organization's defensive unit is once again in the media spotlight.

Star defensive player T.J. Watt appears to still be holding out for a new contract this offseason as he enters the final campaign of the deal he signed before the start of the 2021 season.

On June 30, the X profile "JPAFootball" revealed some news on Watt's current contract situation. The post contained quotes from Steelers reporter Mark Kaboly.

"How does it benefit T.J. Watt to sign right now? You know he’s gonna hold in, you know from a couple years ago when he did hold in that he had 22.5 sacks. Even if he does sign the contract, he’s not going to participate much in the preseason, if all...so why not take it up until September 9? See what Micah Parsons and Aidan Hutchinson might be able to get." Kaboly said.

In 2025, Watt is expected to earn a cap hit of $30,418,694, according to the popular sports financial and contract company 'Spotrac'.

What will T.J. Watt's next contract look like?

After the Ramsey trade, the Steelers look like they are going all in on winning a Super Bowl this year. As a result, as of this time, all signs point towards Watt and the Steelers likely figuring out a new contract before the new campaign begins in September.

According to Spotrac, T.J. Watt's current market value is a four-year contract worth $146,551,588, a deal that would carry an average annual value of approximately $36.6 million.

However, if Kaboly's report is accurate, it appears as though Watt may be interested in resetting the defensive market in his new deal. Myles Garrett is currently the highest-paid defensive player in the league in average annual value, earning $40 million per season.

Should he wait until both Parsons and Hutchinson sign their new contract, it does not seem out of the realm of possibility for Watt's next deal to be north of $40-41 million per season.