"I think we're going to look back on this day and say this is the moment that U.S. Soccer changed for the better," said player Megan Rapinoe.
According to the settlement, U.S. Soccer Federation will pay $22 million to the players in the case, which will be distributed by the USWNT players and approved by the district court.
USSF will also pay an additional $2 million into an account to benefit the players in their post-career goals and charitable efforts related to women's and girls' soccer.
According to the settlement, each player will be able to apply for up to $50,000 from the fund.
RELATED: American women players settle equal pay lawsuit vs US Soccer for $24M
Players and U.S. Soccer officials reacted on Good Morning America Tuesday morning.
"This is just such a monumental step forward in feeling valued, in feeling respected, and just mending our relationship with U.S. Soccer," said player Alex Morgan.
"I'm just really looking forward to turning the page on this and working together with our women's team," said U.S. Soccer Federation President Cindy Parlow Cone.
Carli Lloyd, a two-time Olympic gold medalist and World Cup Champion, retired from professional soccer last year but is one of the plaintiffs in the lawsuit.
She also was one of the five players who filed a discrimination complaint in 2016.
"Moving forward, we are guaranteed equal pay. So it's really terrific for the group," said Lloyd.
Lloyd says it's been a long road with many legal challenges, including a federal judge striking down key parts of the lawsuit in 2020.
The women's team appealed.
"Just doing what is right for the game and what is right for the future of this team, the future of women, and when you go with your heart, and you do what you feel is right. Then that's all that really matters," said Lloyd.
This settlement is contingent upon a new collective bargaining agreement for the women's team.
The women's current contract extension expires at the end of March.