Rome:World player of the year Kaka has extended his contract at AC Milan until 2013, the club said.
The 25-year-old Brazilian attacking midfielder is reportedly going to be paid more than the six million euros a year he earns with his current contract, that was due to expire in 2011.
Milan refused to comment on the financial details of his new deal.
Last week Kaka had told Britain's Daily Mail that he wanted to finish his career at Milan.
"I think I will stay at Milan until the end of my career," he said. "I've got used to the life here and I'm settled in the city.
"I can't see myself going anywhere else, even if we never know what will happen in life."
Kaka joined Milan in 2003 from Sao Paulo and helped them to the Champions League crown last season.