Burgess, 26, has represented England in 25 Test matches over the past six seasons and was part of the Rabbitohs premiership-winning 2014 team.
“Souths is all I’ve known and I’m really pumped to be signed up long term now,” Burgess said on the club website.
“The Club gave me a chance when I came to Australia for the first time, a 20-year-old young lad, not knowing what to expect. Now six or seven years down the track, I’m still enjoying my football here.
“I love calling Sydney home and I wouldn’t want to play anywhere else in the NRL than with the Rabbitohs.
“To play my 100th game with Souths last year was really significant for me, but now it’s about quality rather than quantity and I want to play my best each week.
“I’m looking forward to getting out there and performing for the Members. They are the cornerstone of our Club and without them, the Club wouldn’t be in the position it’s in today.
“I’m really looking forward to the seasons ahead and wearing that famous Red and Green jersey.”