The native of Novi Sad, Yugoslavia, finishes her 15-year career with a record of 595-122. She had not played since the 2003 French Open in Paris.
"Tennis has been and will always be a huge part of my life," she said in a statement. "I have for some time considered a return to professional play, but I have now decided not to pursue that. I will continue to play exhibitions, participate in charity events, promote the sport, but will no longer plan my schedule around the tour. I look forward to pursuing other opportunities with the same passion and energy."
Seles, 34, became a U.S. citizen in 1994 and resides in Sarasota, Fla. She was the sport's first left-handed star and the youngest-ever No. 1.
Her career was interrupted for two years after a crazed fan stabbed her on a court in Hamburg, Germany.
Her career earnings were $14,891,762.
She won the Australian Open four times, the French Open three times and the U.S. Open twice, but she never won a Wimbledon title.
"Monica Seles is one of the great champions in the history of the Sony Ericsson WTA Tour, and an inspiration and role model for millions of fans throughout the world," said her longtime manager, Tony Godsick.