Cavani has scored seven goals in 24 games for United since joining the club from Paris Saint-Germain.
Manchester United will have to pay Edinson Cavani £1.75 million if they decide not to extend his current contract for another season.
Cavani joined United on a one-year deal – with the option of a further year – in October after he was a free agent following his release from Paris Saint-Germain.
Ole Gunnar Solskjaer is believed to be keen to keep Cavani at the club beyond his initial one-year deal.
The Times understands that if United do not trigger the option, the Uruguayan forward will be due €2 million (about £1.75 million) in compensation.
The United manager will have to sit down with executive vice-chairman Ed Woodward to decide whether the club will take the option to extend the deal.
While on the pitch Cavani has popped up with vital goals – including a double away to Southampton to seal a sensational comeback – the veteran has also been a leader on the training ground.
Cavani is surrounded by younger players in forward areas; with the likes of Marcus Rashford, Anthony Martial, Mason Greenwood and Daniel James all said to be soaking up the Uruguayan’s knowledge.
While Solskjaer wants to keep Cavani at United, he is waiting to see how the striker recovers from his latest injury.
The Norwegian manager spoke of Cavani last week.
“I’ve been impressed by him, he’s really gelled in the group and we’ll sit down and speak with him in the near future to see his plans and our plans,” Solskjaer said.
United’s No. 7 is the third top scorer at the club with seven goals, behind Bruno Fernandes and Rashford.
However, he missed last week’s win against Newcastle with a muscular injury and is unlikely to feature against Chelsea on Sunday.