Reaction of [(cod)Pd(Me)(thf)][SbF6] or [(cod)Pd(Me)(MeCN)][B(ArF)4] (cod = 1,5-cyclooctadiene, B(ArF)4 = [3,5-(F3C)2C6H3]4B) with one or two equivalents of tBu3P gives [(tBu3P)2Pd(Me)]+ (3) exclusively. The two sterically encumbered tBu-groups prevent solvent coordination. In addition, this formally three coordinate complex is stabilized by a γ-agostic interaction in solid state, whereas solution NMR studies confirm that this interaction is rather weak. The strength of the γ-agostic interaction was evaluated using density functional theory (DFT) calculations. Surprisingly, [(tBu3P)2Pd(Me)]+ is unreactive toward CO, H2, C2H4 and norbornene.