Powell is out of contract at the end of the season and there have been doubts over his long-term future at The Valley.
The former Charlton defender's position has been the subject of conjecture ever since the arrival of new Charlton owner Roland Duchatelet in January.
Powell, who has been in charge of Charlton since January 2011, has confirmed he has agreed personal terms on a new deal, but admits the contract is far from sealed as he waits on assurances on how the club will be run.
"We've agreed all the financial side of the contract - that didn't take long - but we have to agree the football side, players and recruitment moving forward," Powell told the South London Press.
"That's where we are at."