The Frenchman finished his 22-year rein in north London a year before his contract expired.
The Times reports that Wenger’s final year was paid in full, along with other settlements to his staff.
The news has caught the ire of some Gooners, who have had to endure a frustrating January transfer market.
Manager Unai Emery has publicly discussed the lack of funds available for transfers, despite his current injury crisis.
The Gunners are not out of the race for the Champions League qualification spots, but a depleted squad could hinder their chances of catching fourth-placed Chelsea, who are three points ahead of their London rivals.