Cotterill won 24 caps for Wales and played over 400 games in a club career which took in spells at Sheffield United, Doncaster Rovers and Barnsley, as well as Bristol City, Wigan, Swansea, Portsmouth and Birmingham.
The 30-year-old’s last club was Indian Super League team ATK, and Cotterill’s announcement comes just weeks after he revealed in an BBC interview that he had suffered from depression during his career.
“The time feels right to hang up my boots after 14 years of playing professional football,” Cotterill said in a statement on his personal Twitter account.
“I have loved living out my childhood dream but now it is time to start a new chapter in my life, one that will be devoted to helping others.
“I want to say a special thank you to Brian Tinnion for my professional debut at Bristol City and... the Welsh national team for presenting me with career-defining opportunities such as the Euros 2016.
“I have thoroughly enjoyed my years with all of my previous clubs, particularly winning the league with Doncaster, helping Swansea to a promotion and my time at Birmingham City which was one of my longest stints at a club.”
Cardiff-born Cotterill, who could play in central midfield or out wide, made his Wales debut in a 2-0 home win against Azerbaijan in October 2005.
He scored two international goals, one of them coming in a vital 2-1 victory over Cyprus which helped Wales qualify for Euro 2016.