Ancelotti's current deal runs to June, 2026.
On retirement, he told France Football: "I can imagine it, yes. I started in football forty-eight years ago. So, I start to think about the day when this could end. What could make me say stop? I would say I would stop if Madrid fired me. I don’t know what would make me stop.
"My family? No. My wife wants me to continue. What I am sure of is that the day I retire will be a fantastic day. I have many things to do and see. I would like to go to Argentina, the Maldives, Australia, for example, I want to travel. I have five children, my son here. Maybe I could train a team. I will follow him and put pressure on him: ‘What are you doing? ’ The day I stop will not be sad.”
On his biggest career mistake, Carletto also said: “It is impossible to make only good decisions in thirty years. For example, I had a bad one here in Madrid, after my first year. I was very close to extending my contract, the club wanted to keep me, but I pushed too hard in relation to my salary and they stopped.
"It was a mistake, the worst I could have made. But it allowed me to learn.”
He added, “Before I stop, I would like to win another Champions League. And then another one. Every coach wants to reach the top. But coaching Madrid is really... This club is special, it is the best in the world, because of its history, its atmosphere, its environment, its fans. And so, the goal was to one day be in that place.
"And then there is Milan, the best club to study football. I had the opportunity to coach both of them.”