The former England boss has reportedly signed a deal which will keep him at Crystal Palace until 2020.
Hodgson was brought into the club last November to replace Frank de Boer, who was sacked following a poor run of results.
The ex-Liverpool manager suceeded in his job objective to keep Palace in the Premier League, steering them to an 11th-placed finish last season.
The performance has allegedly earnt him a one-year extension, with the board and supporters happy to keep Hodgson at the helm.
Palace will kick off their new season under Hodgson on August 11 at Fulham.