He has played 278 times for Everton since his move from Millwall in 2004, scoring 68 goals. An Australian international with 55 caps, Tim has scored 24 times for his country.
Tim, 32, will move to the Red Bulls for a nominal fee, subject to agreeing personal terms and passing a medical. He will travel to the US in the next few days.
Everton have agreed with Major League Soccer (MLS) that Tim Cahill can be transferred to the New York Red Bulls.