Coach Gennaro Gattuso and director Leonardo will announce their departures from Milan on Tuesday, claim Sky Sport Italia.
The decision comes after a meeting between CEO Ivan Gazidis and Gattuso this evening.
According to the reports, they part on friendly terms and will terminate the contract by mutual consent with another two years left to run.
It's suggested Gattuso will give up on 90 per cent of the salary he'd be owed for the rest of his contract.
The Rossoneri finished the season in fifth place, one point off the Champions League spots held by Atalanta and Inter.
Gattuso took over from sacked Vincenzo Montella in November 2017, just a few months after he was given the Primavera youth team job at Milanello.
He oversaw 40 victories, 22 draws and 20 defeats on the Milan bench.
There had already been multiple reports that director Leonardo is resigning, as he has received offers from the Brazilian Federation and also his old club Paris Saint-Germain.
The former midfielder had a series of personality clashes within the club, above all with Gattuso and ex-Arsenal chief Gazidis.
Paolo Maldini's future as part of the club is also yet to be decided, as it seems Gazidis is enacting a complete revolution behind the scenes.
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