The 47-year-old started the season with his future under a cloud after a slow start by his team, but the Cowboys went on a five-game winning streak to put themselves in position to challenge for the finals.Â
Payten has taken the Cowboys to two finals series in his five completed seasons in charge and has been at the helm for 146 matches, with only Graham Murray (161) and 2015 premiership-winning coach Paul Green (168) ahead of him.
Speaking on Saturday ahead of the round-16 clash with the Warriors in Christchurch on Sunday, Payten said he was "really excited and grateful" to be given an extension.
"I've grown to love this club and that happened really quickly when I first moved to town as an assistant coach," Payten said.
"It's our home, our kids love it here and I am excited to be here for another couple of years.
"The club has done a great job. No-one flinched. Everyone swung in behind me so it's a team effort from board level, staff, family, friends and the playing group."
The Cowboys have traditionally persevered with their head coaches and not been in a rush to re-sign them, despite pressure from outside the club.
"Successful organisations don't make short-sighted decisions ... and we have taken the time to carefully assess the direction our club is heading," club chairman David Myles said.
"Over recent months we have seen significant growth in both our football program and the leadership of Todd.
"While results are always important, our decision was based on much more than the ladder. We have seen clear improvement and alignment around standards, accountability, culture and the long-term direction of our club."
Payten said the players had "built a good platform for the rest of the season".
"There are 10 games left for us and we have got a good group of youth and experience," he said.
"We know our game is effective when we can get it right so we have got to stay healthy and everyone has to put their head down and keep working.
"Our squad is evolving over the next year or two. We have some good acquisitions and the group underneath is really exciting too."
North Queensland have signed Cronulla outside backs Jesse Ramien and Sione Katoa for 2027 and beyond, but will lose star fullback Scott Drinkwater to St George Illawarra.