Cole is a two-time Pro Bowl selection who ranks third on the team's all-time list for sacks with 68. The deal was announced Wednesday.
Cole had 11 sacks in 2011, his fourth season with a double-digit total.
"We are excited to be able to sign Trent to a new contract," coach Andy Reid said. "Trent plays the game with a level of tenacity that's hard to replicate. He's one of the premier defensive ends in the league."