The 21-year-old has scored nine goals in 22 appearances for United this season and, it would appear, will be rewarded for his exploits with a salary increase.
According to The Sun, Welbeck stands to earn £42,000-a-week from his new deal and will put pen to paper inside the next fortnight.
It is reported that United's original contract offer was more linked with bonuses but the two parties now seem to have found some middle ground.
Welbeck scored the winner for the Red Devils against Arsenal on Sunday and is likely to play a significant role at Old Trafford in years to come.
The England international has already struck up a decent understanding with strike partner Wayne Rooney, and believes he can continue to flourish alongside the 26-year-old.
“My aim to come and play for United’s first team and luckily I’m doing that at the moment," Welbeck told the official Manchester United website.
"To get a starting berth up top with Wazza in behind me, we’re forming a great partnership and I’m just looking forward to carrying that on.”