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Jim Harbaugh is staying with Michigan football.
Harbaugh agreed to a contract extension that could keep him in Ann Arbor through 2026, according to a person with direct knowledge of the situation. They were granted anonymity because they were not authorized to speak about the talks.
The extension adds five years to Harbaugh's deal, which had only one year remaining. The extension lowers Harbaugh's base salary to $4 million but includes multiple incentives allowing him to double that figure if he can turn the program into championship material.
© Tim Fuller, Tim Fuller-USA TODAY SportsNov 30, 2019; Ann Arbor, MI, USA; Michigan Wolverines head coach Jim Harbaugh during the first quarter against the Ohio State Buckeyes at Michigan Stadium. Mandatory Credit: Tim Fuller-USA TODAY Sports ORG XMIT: USATSI-404592 ORIG FILE ID: 20191130_pjc_af2_245.JPG
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Multiple people confirmed to the Detroit Free Press escalators in Harbaugh's deal are tied to winning the Big Ten East Division and the Big Ten conference title, qualifying for the College Football Playoff and claiming a national championship.
The people were granted anonymity because they were not allowed to speak publicly about the negotiations.
Harbaugh, 57, has a 49-22 record since being hired before the 2015 season, immediately returning the program to respectability after a string of poor seasons.
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© Julian H. Gonzalez, DFPJim Harbaugh smiles as he is introduced as the next Michigan football head coach, while sitting with his wife and family during a news conference in Ann Arbor on Dec. 30, 2014.
But Harbaugh's recent struggles had left his future in doubt. He has yet to beat Ohio State or advance to the Big Ten championship game. And the Wolverines had a 2-4 record in 2020, including losses to heavy underdog Michigan State, to Indiana for the first time since 1987 and a winless-at-the-time Penn State team. Michigan's final three games of the season were canceled due to COVID-19 concerns within the program.
The extension provides a resolution to Michigan's coaching situation nearly a month after the early signing period, which ran Dec. 16-18. Harbaugh entered this season as the only Power Five coach with less than two years remaining on his contract.
Harbaugh told reporters this summer that a new contract was in the works, but the coronavirus pandemic paused those discussions.
Harbaugh's original contract was set to expire three days after the final game of the 2021 season. According to USA TODAY Sports' database of college football coaching salaries, he was scheduled to earn a $7.79 million salary - the fourth-highest figure in the country.
Athletics director Warde Manuel, who has not spoken to reporters since this summer, has repeatedly expressed his desire to keep Harbaugh at Michigan for the rest of his coaching career.
"I stand by my decision and my statement that I want him to retire here," Manuel said at the Big Ten athletics director meetings in May 2019.
This article originally appeared on Detroit Free Press: Michigan football coach Jim Harbaugh signs extension through 2026 at lower base salary