The 25-year-old has not ruled out the possibility of staying with the Blades, but he knows Newcastle United - whether Chris Hughton or Alan Shearer is manager - are ready to take him to the Premiership.
The former Leeds defender was voted United's Player of the Season last term and Shearer had him on his 'wish list' during the summer.
Matthew Kilgallon: "I want this to be the right contract for me, because I'm now 25.
"I think I've done well enough to deserve one."