Rangers appointed Gerrard on a four-year deal in May 2018 and the former Liverpool midfielder led them to second in the Scottish Premiership in his first season in charge.
The 39-year-old missed out on a first piece of silverware in senior management after a controversial 1-0 loss to rival Celtic in the Scottish League Cup final on Monday (AEDT).
However, Gerrard remains committed to guiding the club back to its previous heights after it was relegated to the Third Division for the 2012-2013 season.
"The club approached me probably a week, 10 days ago about a new deal and it's a pretty simple decision as far as I'm concerned," said the Liverpool legend.
"I'm happy here and I'm as hungry and determined to get the good days back here as I ever was, so talks have been pretty straightforward and positive.
"When it's signed and announced you'll have to wait and see."
Gerrard stated official confirmation of renewals for Allan McGregor and Steven Davis could arrive after Rangers take on Young Boys on Thursday with a place in the last 32 of the Europa League on the line. He also hopes to tie down Bournemouth loanee Jermain Defoe beyond this season.
"[Extensions for] Allan McGregor and Steven Davis are imminent. That'll be very close and will probably be announced after Thursday's game. But that's all agreed," said Gerrard.
"They're two players I want around for a year's extension on top of this year.
"Jermain's is a bit different because he's a Bournemouth player until the end of the season but it's a similar situation in the fact that we want him to stay around.
"We'll obviously deal with that as and when we need to."