The Buffalo Bills came within a few plays of finally beating the Kansas City Chiefs in the playoffs. Instead, Josh Allen suffered more playoff heartbreak and it could prove costly for one of the Bills’ biggest stars and lead to even greater turmoil.

Buffalo pushed all of its chips in over the last two seasons, sacrificing long-term cap space and draft capital to build a championship-caliber roster. After falling short in the Divisional Round for the third consecutive year, the upcoming NFL offseason is expected to result in a talent drain in Buffalo.

• Stefon Diggs contract: $27.854 million cap hit in 2024, $18.5 million salary in 2024
  • Pre-June 1 Cut/Trade: -$3.242 million cap hit
  • Post-June 1 Cut/Trade: $19.005 million cap savings in 2024, $22.247 million dead cap

The list of Bills free agents in 2024 includes starters Gabe Davis, Leonard Floyd, DaQuan Jones, Tyrel Dodson, Micah Hyde and Dane Jackson. For a team that is currently $50.6 million over the 2024 NFL salary cap, Buffalo’s financial situation means there will be salary cap casualties and several free agents won’t return.

However, that’s not the only potential major domino that could fall this season. All-Pro wide receiver Stefon Diggs, who had a game-changing drop in the loss to the Chiefs, faces an uncertain future. While he’s expected to remain in Buffalo for now, one NFL reporter believes circumstances could make things more complicated for both sides.

NBC Sports’ Peter King wrote in Football Morning in America that he expects Bills’ general manager Brandon Beane to do “major surgery” on Diggs’ contract which he also expects to cause further issues with Buffalo’s disgruntled No. 1 wide receiver.

• Stefon Diggs stats: 107 receptions, 1,183 receiving yards, 11.1 yards per reception, 8 touchdowns
  • Last 8 Games: 37 receptions, 349 receiving yards, 1 touchdown, 58.7% catch rate

Buffalo essentially has to address Diggs’ contract because of its cap situation. The Pro Bowl wideout carries the second-largest cap hit on the team, only behind Allen ($47.056 million). An extension is likely off the table for the 31-year-old, especially considering his play in the second half of the regular season.

NFL rules would allow for the Bills to make small restructures of Diggs’ contract, providing small financial relief in 2024 without receiving his permission. To maximize cap savings, however, Buffalo would need Diggs’ approval to make major changes to his contract. For now, the Bills are likely to hang onto their No. 1 receiver but Beane’s management of the situation and Diggs’ contract could change things later this offseason.