Sources say $62 million of Schroder's new deal is guaranteed -- at a flat annual rate of $15.5 million -- with the remaining $8 million achievable through incentives.
Schroder becomes the third member of the NBA's 2013 draft class to land an extension before Monday's annual Halloween deadline for deals, joining Portland's C.J. McCollum and Milwaukee's Giannis Antetokounmpo.
The deal represents an additional boost of confidence from Hawks management in Schroder, who became Atlanta's new starting point guard when the club elected to trade former All-Star Jeff Teague to Indiana in the offseason.
The Hawks open their season Thursday night against the Washington Wizards.