The Dallas Cowboys and quarterback Tony Romo agreed to a six-year, $108 million contract extension with $55 million in guarantees and a $25 million signing bonus, according to Ian Rapoport of NFL.com.

Romo’s extension will go into effect after the 2013 season. The 32-year-old is set to earn $11.5 million next year, meaning that he’s basically signed to a seven-year, $119.5 million contract through the 2019 campaign.

The new deal makes Romo the highest-paid player in Cowboys’ history, and provides him with more than the $52 million in guarantees the Baltimore Ravens recently handed quarterback Joe Flacco.

While Romo is set to receive a significant raise from Dallas, the deal helps the team’s current salary cap situation. Before the extension, Romo counted $16.8 million against the cap next season, and his new cap number was reduced to $11.8 million following the deal.