The deal is for the veterans minimum exception of $2.6 million, sources told ESPN's Bobby Marks.
Howard, 34, is considered among the greatest big men of his generation, with career averages of 16.7 points, 12.3 rebounds and 1.9 blocks per game.
He signed a one-year, $2.56 million contract with the Lakers in August 2019, making his return to Los Angeles after an acrimonious departure in 2013.
An eight-time All-Star and three-time Defensive Player of the Year, Howard found himself in an unfamiliar role with the Lakers this past season, coming off the bench in all but two of his 69 games. In just under 19 minutes per game, Howard averaged 7.5 points, 7.3 rebounds and 1.1 blocks.
Despite playing even fewer minutes in the postseason, Howard started seven games and won his first NBA championship in his 16th season.
Before joining the Lakers, Howard appeared in just nine games for the Washington Wizards in the 2018-19 season, missing almost all of that season after undergoing spinal surgery. When healthy with the Charlotte Hornets in 2017-18, Howard averaged 16.6 points and 12.5 rebounds per game.