The Red Devils are ready to reward the midfielder following a standout campaign at Old Trafford.
Herrera has somewhat surprisingly proved to be an important figure in Jose Mourinho's team.
Despite the arrival of Paul Pogba, the 27-year-old has regularly featured.
And he shone on Sunday in United's 2-0 win over Premier League leaders Chelsea, scoring the second and shutting down Eden Hazard throughout.
Ander Herrera is to be rewarded for his excellent displays under Jose Mourinho at Manchester United Manchester United player ratings against Chelsea Sun, April 16, 2017
Express Sport rates how the Manchester United players performed during their win over Chelsea at Old Trafford
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Which Manchester United players impressed during their win over Chelsea?
Herrera had reservations over how he would fit in going forward
According to the Daily Mail, a new £120,000-a-week deal will be tabled to Herrera.
It is said the Spaniard, who was bought by Louis van Gaal in 2014, was initially worried about working with Mourinho.
The Portuguese arrived last summer, and Herrera had reservations over how he would fit in going forward.
But his importance has been obvious, and the former Athletic Bilbao star looks to have a long-term future in Manchester.
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Ander Herrera kept Chelsea superstar Eden Hazard quiet in Manchester United's win on Sunday
Herrera's current deal expires in 2018, although that has a one-year extension option, and talks are now planned for the summer.
Manchester United do not expect to have any problems with the player or his representatives in negotiations.
Herrera himself said in February he would be happy to begin discussions.