The 28-year-old has spent the last six years at the Allianz Arena.
He is a product of the famed La Masia academy system at Barcelona and made his senior breakthrough at Camp Nou.
There are, however, no plans on the part of a man with over 200 appearances for Bayern to his name to leave his current surroundings any time soon.
Thiago told Bayern’s official website: “I feel as a part of the club, I can fully identify with this idea. A player can’t have as a motto: ‘I’ll play for 90 minutes, and that’s all I’m interested in’.
“I always say: FC Bayern is like a big house where everyone lives closely together under the same roof.”
Quizzed further on whether he could be sticking around for the foreseeable future, Thiago added: “Both parties must make this decision.
“I feel fantastic, my family are very happy. The quality of life is incredibly good in Munich, so why not?”
Thiago believes there is still plenty left for him to achieve in Bavaria, despite having already tasted considerable success during his time in Munich.
“Winning. That’s why I’m here, that’s what I play for,” he said.
“It was the same when I took to the pitch for my small home club: I compete to win.
“Of course it’s more fun if it’s a good game. But in my view sport is always about being better than your opponents. It’s a contest.”
Bayern have made a habit of being better than their opponents, particularly on a domestic stage, with Thiago buying into a philosophy which is similar to that enjoyed at Barcelona.
He added: “Bayern are a big club with a central idea. That’s important.
“Take Ajax: they’ve had their own culture since Johan Cruyff. Barcelona adopted this philosophy with Cruyff, and both clubs have been living by this idea for many decades.
“Bayern represent a large family, that’s unique. And we’ve had a philosophy of our own for about a decade, similar to Barcelona and Ajax.
“We want to dictate the game with the ball. We should look for players according to this idea. It’s also important to consistently pursue it in the youth section.”