The 26-year-old midfielder is the latest player to commit his long-term future to the club after Jack Grealish and Tyrone Mings also agreed new deals earlier this season.
McGinn, who signed a five-year contract in August 2019, has agreed an extension on improved terms.
The Scotland international ranks among Villa’s best value for money signings in recent years.
Since joining for just £2.75 from Hibernian in 2018 he has scored the winner in the play-off final which won Villa promotion back to the Premier League and helped them retain top flight status last season.
"It was an easy choice," said McGinn. "I have a good relationship with everyone here and we had been talking for a while now.
"It was an important conversation, just one that been parked with the amount of games we had. But with the Newcastle game getting postponed earlier this month, it was the perfect time to get it agreed and I'm over the moon.
"I'm fully aware of what it means to play for this club, what the fans want. They want people dying for the jersey and I feel I can bring that.
"On the whole this season has been very positive. We are building something very special here."
McGinn's new deal is the next step in Villa increasing their wage ceiling, with skipper Grealish the top earner on around £125,000-a-week.
The club are also keen to tie down Douglas Luiz on new terms, with the midfielder having recently broken into the Brazil squad.