The Chicago Sun-Times reported early this month Hinrich, who played for Atlanta last season, was to get $6 million for two years, but the team didn't divulge the terms of the deal.
The 31-year-old guard averaged 6.6 points, 2.8 assists and 2.1 rebounds in 48 games for the Hawks last season. He spent his first seven NBA seasons with Chicago and has averaged 12.5 points. 5.4 assists an 3.2 rebounds for his career with the Bulls, Hawks and Washington.
Bulls General Manager Gar Forman said the team is pleased Hinrich is returning to Chicago.
"His ability to play both spots in the backcourt will help us immensely this season," he said. "Kirk's tenacity and passion for the game complement our style of play, and we look forward to seeing him back in a Bulls uniform."