The French left back has signed a one-year deal that will keep him at Old Trafford through Louis van Gaal's first campaign.
The left back has been vocal in his uncertainty over his future but new manager Louis van Gaal was keen to retain the Frenchman's services.
The 33-year-old triggered a unilateral option to extend a contract worth over 6 million pounds annually into a fourth season. Evra was a target for Serie A champion Juventus but has now opted to remain at Old Trafford.
Van Gaal has reportedly approved of United's attempt to sign Luke Shaw from Southampton, but his plan is to split left back duties between the England international and Evra.
The former Monaco defender joined Manchester United in 2006 and has enjoyed a highly successful spell in England, winning five Premier League titles and a Champions League title.