The 36-year-old's five-year contract expired last month and he had been linked with a move to
However, Beckham has now re-signed with the club with which he won the 2011 MLS Cup.
"This was an important decision for me," Beckham said on the club's website.
"I had many offers from clubs from around the world, however, I'm still passionate about playing in America and winning trophies with the
"I've seen first hand how popular soccer is now in the States and I'm as committed as ever to growing the game here.
"My family and I are incredibly happy and settled in America and we look forward to spending many more years here."
Galaxy general manager and head coach Bruce Arena said: "I am thrilled that David has chosen to re-join the Galaxy, especially as he had numerous options where he could continue his career.
"I felt that he was one of the best players in all of MLS last season and we could not have achieved the success that we did without him.
"We look forward to trying to replicate that success this season with David once again in a Galaxy uniform."
Beckham's business manager Simon Fuller added: "When David and I discussed making the move from Real Madrid to the LA Galaxy back in 2007, our minds were firmly focused on the massive opportunity of helping to grow soccer in the United States.
"We have made great progress over the past five years in raising the profile of soccer domestically and the MLS on a worldwide stage, and we are encouraged by all the results.
"However, clearly this is an ongoing mission and this new deal confirms our commitment to continuing our journey and making sure the world's biggest sport, soccer, continues to grow in the world's most passionate sports loving nation, the USA."
LA Galaxy starts its pre-season campaign next week and returns to competitive action on 7 March when it travels to face Toronto FC in the first leg of its 2011-2012 CONCACAF Champions League quarter-final.
Its first game of the 2012 MLS season is on Saturday, 10 March at home to Real Salt Lake.
Thierry Henry led the way as 10-man New York Red Bulls claimed a 2-1 victory over Philadelphia Union in the MLS Eastern Conference.