The South Africa international midfielder spent the second half of last season on loan at Goodison Park after failing to impress under then-Spurs boss Harry Redknapp.
He only signed for Tottenham last year for a reported £3million fee after spending four years, the first of which was on loan from Borussia Dortmund, with Everton.
Opportunities were limited for Pienaar at Tottenham, where he started just five Barclays Premier League matches.
But he excelled on his return to Everton, scoring four goals in 14 league games to help them finish seventh, with boss David Moyes stating at the beginning of the month one of his aims for the summer was to re-sign Pienaar.
Pienaar made no secret of his desire to return to Merseyside and Tim Cahill's move to Major League Soccer outfit the New York Red Bulls paved the way for the 30-year-old's comeback.
"I am happy to be here. It took a few weeks to sort out but I am delighted to be back and excited to play for Everton," he told evertontv. "There was no doubt in my mind that I would be back here. At the end of the season I told the manager how I felt and I am happy now it is all done."
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