Liverpool legend Gerrard left Anfield in the summer of 2015 to join MLS side LA Galaxy.
The 36-year-old, who retired as a player last November, will begin coaching at the Merseyside club in February.
Steven Gerrard has revealed he wants to become Liverpool manager one day
I dream of becoming Liverpool manager but I realise I'm at the bottom of the ladder
Liverpool legend Steven Gerrard
And he has now revealed what he hopes to achieve in his new role.
“I’m back at Liverpool now in a youth coaching role,” Gerrard told BT Sport.
“I'm going to try and learn and develop and become a decent coach to good manager one day.
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Liverpool legend Steven Gerrard has returned to the club as a youth coach
“It's exciting times for me personally.
“I dream of becoming Liverpool manager but I realise I'm at the bottom of the ladder.
“It's a long way off but it is a dream.”