Manninger has enjoyed a rare spell in the team recently, filling in for the injured Marwin Hitz for the past four matches, three of which Augsburg have won.
That form was enough to earn the 36-year-old a contract extension that will see him remain at the club until 2015, and director of sport Stefan Reuter was full of praise for the veteran.
"Alex Manninger is an absolute model professional who always puts the team first," Reuter is quoted as saying by PA.
"Not only have his performances made him a cornerstone of our side in the second half of this season, but he was equally important last season and will help us in the future too with his sporting and human qualities."
Manninger has made 22 appearances in total for Augsburg since joining them in December 2012.