According to ESPN's Buster Olney and media reports, Lincecum's base salary will be just short of $2 million -- a prorated portion of a $2.5 million salary. He also has the ability to earn additional incentives in his contract.
The 31-year-old free-agent right-hander is trying to come back from left hip surgery. He didn't pitch after June 27 last year with the San Francisco Giants -- his only other major league team -- because of degenerative issues with his hips. He had surgery Sept. 3 and didn't sign with a team after concluding his $35 million, two-year deal last season.
"It is tough [joining another team] because I've had a lot of emotions and time built up with [the Giants]," he said.
Lincecum went 7-4 with a 4.13 ERA in 15 starts last season. He threw a showcase for interested clubs May 6 in Arizona. He hopes to start, and that could happen with the injury-plagued Angels.
"I'm anxious, excited and a little nervous," Lincecum said by phone. "I'm pumped to see what I can do out there on the field. I know what I'm fighting for and that's to get back to a starting role."
Angels general manager Billy Eppler said the team's new pitcher will need up to a month to get ready and will first report to the team's training facility in Arizona.
"The common denominator of these star-level players is they know their body really well," Eppler said. "We're relying a lot on the player. He'll tell us when he's ready because he's earned that."
Lincecum won the NL Cy Young Award in 2008 and 2009 and made four All-Star Game appearances. He helped the Giants win three World Series titles in five years, and he threw a pair of no-hitters against the San Diego Padres in an 11-month span during the 2013 and 2014 seasons.
The Angels seem to view the signing as a bit of a calculated risk.
"Tim is an outstanding pitcher, one of the most competitive pitchers that has ever taken the mound," Angels manager Mike Scioscia said. "That will go a long way to offset maybe some of the velocity changes that have happened over the last four, five years with Tim. He still has plenty of fastball, his off-speed pitches are still terrific, so when you put that whole combination together, he's going to go out there and give us a chance to win games."
Eppler reaffirmed the notion that signing Lincecum was the right call.
"Is he going to be the version of himself six, seven years ago?" Eppler said. "I don't know, but the circumstances were right for us to take this chance."
Lincecum's goals for himself have also changed, given his recent history.
"Success will be being healthy at the end of this season and seeing where I'm at after that," he said.
The Associated Press contributed to this report.