Menzies, 39, will be back at Brookvale Oval as a club ambassador in 2014 and 2015 after announcing his retirement at the end of the current season.
The second row forward will be involved across all aspects of the business, including event and corporate appearances.
“I spent my entire NRL career with the Sea Eagles and I’m excited to be involved with Manly once again,” Menzies said.
“It will be great to be back on the northern beaches, sharing my love for the club that gave me my start.”
Menzies scored 180 tries from 349 games for the Sydney club from 1993-2008, and Sea Eagles general manager David Perry said:
“Steve wasn’t just a great player and loyal clubman but an extremely popular character for the Sea Eagles on and off the field.
“He has a great passion for the Sea Eagles and the area in which he grew up and will be a great influence on our business and community.”