Talk about Lewis Hamilton's contract has been going on ever since the F1 superstar entered negotiations with Toto Wolff a few months ago.

Now, rumour has it that Hamilton is closer than ever to signing a deal that would grant him two extra seasons with Mercedes and earnings of around £40 million a year.

Hamilton to Sign Soon?

It's looking pretty likely that Hamilton will re-sign with Mercedes. The only real questions relate to when he will do it and the terms he will secure for himself in what could be his last-ever F1 contract. Hamilton is currently in his final year with Mercedes, and after months of negotiations, we may soon see him close the deal.

Mercedes have given no formal timeline for the closure of the deal, although they reportedly wanted the contract finalised before the opening race in Australia this past March. That's not going to happen now, so the next reasonable sign-up date seems to be the British Grand Prix, which is not only on Hamilton's home turf, but is also an event in which has an excellent record.

Following the French Grand Prix, a race in which Hamilton finished first, Toto Wolff expressed that he was keen on finishing the deal as soon as possible, making vague statements such as, “I expect it to be done very, very soon”.

Contract Worth a Potential £120 Million

Hamilton has not yet spoken out about the possible terms of his new contract with Mercedes, stating only that fans will know about it when it happens. Yet rumours suggest that the contract could offer Hamilton £40 million a year.

This would be an improvement on the already extravagant £30 million-a-year contract that Hamilton currently has with Mercedes - a deal that expires in December. Hamilton is currently 12th on the Forbes rich list for athletes, which is way ahead of Tiger Woods and Rafael Nadal, but behind the likes of Floyd Mayweather and Roger Federer, who is the favourite in the Wimbledon competition.

Should he sign the new contract, Hamilton will cement his place as one of the world's highest-paid athletes.

The new deal will allegedly offer Hamilton two more seasons with Mercedes, as well as the possibility to extend for a year, bringing the potential value of the contract to a whopping £120 million.

Hamilton will reportedly be able to keep his current sponsorship deals with companies like Monster Energy and Loreal, and he will also be given more freedom in his personal life. If the rumours are true, he will be granted permission to take part in extreme sports and will be given fewer responsibilities when it comes to attending media and sponsorship days for Mercedes.

Hamilton on Track for an Excellent Season

It's not difficult to see why Mercedes are so keen on finalising a new deal with Hamilton. Aside from the marketing money that he brings in, he is their finest asset on the race course. Hamilton has won three Grand Prix this season already: the French, Spanish and Azerbaijan. He currently sits a single point behind Ferrari's finest, Sebastian Vettel, following his failure to finish in Austria due to a disappointing technical failure.

We're set for an exciting season, with the two drivers way up ahead at the top of the table; and Hamilton, as always, has the opportunity to win the title.