Rutemoeller whose exact function in the Iranian coaching staff is still subject to further talks with Iranian football officials, is to start his new job in Iran next month.
"I am glad to have agreed and I am looking forward to this enjoyable and exciting task," the 63-year-old coaching instructor was quoted saying.
"My engagement is limited to the national team," added Rutemoeller who stressed Iran's successful qualification for the 2010 World Cup in South Africa was "absolutely realistic."
Rutemoeller is expected to stay with the Iranian coaching team until after the 2010 World Cup, provided the triple Asian Cup winners make it to South Africa.
Iran is currently ranked second behind South Korea in Group B of the Asian World Cup qualifying round.
As the ex-DFB head instructor, Rutemoeller had already been to Iran where he had lectured trainers.
"Iranian coaches have been trained well and football is the number one sport in Iran. Furthermore, the Iranian federation plays a leading role in the Asian confederation," added Rutemoeller who served also a coach in the DFB junior squad.
The former FC Cologne and Hansa Rostock coach is still employed as an advisor to the DFB.