Saban, coming off his second national title in three years, will average $5.62 million per year under the new contract, ranging from $5.32 million in 2012 (a $550,000 raise) to $5.97 million in 2019, ESPN reported.
The 60-year-old mentor's deal -- which makes him college football's highest-paid coach -- was approved Monday by the compensation committee of the university's board of trustees.
The Crimson Tide have gone 55-12 since Saban was hired as coach in 2007.
He has guided the team to FBS titles following the 2009 and '11 seasons.
Celebrity Families of 2014 [PHOTOS]