In two years at the school, Prince has compiled a 12-13 overall record and led Kansas State to wins over top 10 opponents in consecutive seasons, including the program's first-ever road win over a top 10 team last season, a 41-21 victory at Texas.
"I am very appreciative of the commitment that the university has shown to our organization," Prince said on the school's Web site. "The administration has proven its long-term commitment to us as a program."
The deal, retroactive to Jan. 1, 2008, extends to Dec. 31, 2012, and replaces the contract Prince signed in December 2005.
His 2008 base salary is $143,000, with a total guaranteed package of $1.1 million, including compensation from television, radio, Internet, personal appearances and shoe and apparel endorsements.