The deal, announced by Minnesota general manager Chuck Fletcher on Monday, also ensured that Backstrom, 35, does not become an unrestricted free agent.
A finalist for the Vezina Trophy in 2009, Backstrom is the most successful goaltender ever for the franchise, piling up 184 wins in 369 games during a seven-year span.
During the lockout-shortened 2012-13 season, he went 24-15-3 with a 2.48 goals against average, a .909 save percentage and two shutouts in 42 games.
Backstrom tied for most wins in the league but was unable to compete in the playoffs due to injury. He had sports hernia surgery on May 16.
Initially signed by the Wild as a free agent in June 2006, Backstrom has posted a 184-124-45 record with a 2.43 goals against average and a .917 save percentage for the club.