The 38-year-old has competed in the NBA for 18 seasons, including 15 years at the Boston Celtics before short stints at the Brooklyn Nets and Washington Wizards.
Announcing his decision in a column for the Players' Tribune, Pierce wrote: "This is it, my final season. It's time to move on from the game of basketball.
"Just like any difficult decision, I think you've got to be at peace with yourself. I'm at peace with retiring, but I've got one more ride left. One more season. One more opportunity. With the Clippers, in the city where I grew up, I feel like I have that opportunity on a great team. We're hungry. We want to win a championship.
"After 18 NBA years, it's hard to believe I'll be playing in each arena for the last time. So I'm going to enjoy every practice, every bus ride, every team dinner, every time running out through the tunnel. I'm going to do my part to give us a shot at the ultimate goal."
Pierce won the NBA title with the Celtics in 2008 and was also named the NBA Finals' MVP.