The 34-year-old, a two-time RBS 6 Nations Grand Slam winner, ended his international career in style on Saturday by scoring a last-minute try in his final Test match - a 24-18 defeat to Australia.
Williams' current contract with the region ends at the end of the 2012-13 season but after pulling on the Wales shirt for the last time he revealed an offer had been put to him to extend his stay by a further 12 months.
But Williams, who will turn 35 in February, is already planning for life after he's hung up his boots and admits an extra year could be a step too far.
"I've got this season and next season left in my playing contract," said Williams.
"I've already been offered an extension to stay another year, but I think realistically two years will be where I want to be.
"You can never say never, but I'm sure in two years' time that I'd like to be doing other things."
Williams has been with the region ever since his club side Neath merged with Swansea to form the Ospreys in 2003 and while he's uncertain about extending his playing deal the flying winger is in no rush to exit the Liberty Stadium.
"I have spoken to Mike and Andrew about remaining with the Ospreys for as long as I possibly can - for life if I could," he added.
"But it's like a family to me - whether that's on the coaching side of things or the commercial department.
"I'd love just to have the involvement with the Ospreys for the foreseeable future because I do love it here."