NFL.com's Albert Breer reported Sunday evening that Clady has agreed to a five-year contract worth $52.5 million in base salary and $33 million guaranteed, according to a source with knowledge of the situation. The contract can max out at $57.5 million.
The Broncos later confirmed the agreement, which first was reported by ESPN's Adam Schefter. Monday represents the league deadline for getting a long-term deal done with a player under the franchise tag, as Clady was.
As previously reported by Breer, Clady will receive $33 million in guaranteed money in the first three years of the deal. The guaranteed money in that time frame easily bests the contracts of Jake Long ($12 million) and Duane Brown ($22 million). Only Joe Thomas, who got $40 million in his first three years with the Cleveland Browns, bests Clady.
Clady told ESPN's Josina Anderson that "it was pretty hard to pass up $33 million guaranteed. That is pretty solid. The structure is a lot better from last summer."
Per Breer, Clady's deal will jump to $57.5 million in total if he is named to the All-Pro team twice during the life of the contract. He already is a three-time All-Pro. If he maxes out the contract, it will make him the third-highest paid lineman in the game behind Thomas and Jason Peters.
The escalator works in two tiers -- the first for making All-Pro once, the second for earning the honor again. Clady gets $500,000 for each remaining year after he makes All-Pro once and $1.5 million for each remaining year if he makes it twice. The escalator maxes out at $5 million.
Negotiations moved quickly after picking up last week. Ultimately, both sides compromised, with the Broncos offering more guaranteed money, while Clady reduced his annual and total value requests.
ProFootballFocus.com ranked Clady as the fourth-best left tackle in football in 2012. He allowed just one sack as Peyton Manning's blindside protector. Coming off a difficult week for the Broncos, locking up Clady for the foreseeable future represents some welcomed positivity.
Follow Dan Hanzus on Twitter @DanHanzus.