The Bavarian giants have agreed a fee with the Champions League semi-finalists for the goalkeeper, and will now negotiate personal terms with the Germany internationalhere.
Bayern Munich have agreed a deal to bring Schalke's Manuel Neuer to the Allianz Arena, according to Bild.
The Bavarian giants will pay €18 million (£15m) upfront for the 25-year-old, who has also been linked with Manchester United, with a further €7m (£6m) a possible part of the transfer, €3m (£2.6m) guaranteed with the remaining €4m (£3.4m) in performance-related bonuses.
Schalke reportedly accepted Bayern's offer after three hours of negotiations between the two clubs, with it being reported that Neuer will sign a four-year contract with the Munich side.
Despite Neuer publicly declaring his intention to leave the Gelsenkirchen club this summer, a deal between the two sides looked unlikely when negotiations began in late April, according to Schalke's sporting director, Horst Heldt.
"The offer from Bayern was not worth mentioning, not acceptable. It is seriously worth considering keeping the world's best goalkeeper for another year," the club's sporting director told German media last month.
However, talks between the two parties on Tuesday were more successful, with Heldt claiming: "Yes, we [Schalke and Bayern] had a decent conversation."
Neuer's imminent departure has lead to speculation regarding who will replace the keeper, with Ajax's Maarten Stekelenburg, Werder Bremen's Tim Wiese and Hannover's Ron-Robert Zieler emerging as likely candidates, according to Derwestern.
The goalkeeper is rated by the Castrol EDGE Rankings as the 210th best player currently plying his trade in one of the top five leagues in Europe.