The England winger has 18 months left on his present contract and reports this week stated talks are at an impasse, with the player supposedly demanding pay parity with top earner Kevin De Bruyne on £285,000-per week.
City insiders, however, have revealed the club are yet to even sit down with the player and it was decided it could wait until after the World Cup and new Premier League season was back in full swing.
Sterling's agent Aidy Ward has made it clear to City's director of football Txiki Begiristain his man is looking for a substantial increase on his present £170,000-per-week package.
The Manchester giants are understood to be willing to pay the former Liverpool man around £220,000-per-week, with the promise of further bonuses if he continues to be successful over the next five years.
City boss Pep Guardiola desperately wants Sterling to remain and the money men are confident a deal can be secured when they now meet face-to-face in the coming days.
Sterling bagged 23 goals in all competitions last season and he has started this term in a similar vein, scoring three times in his five appearances, giving no indication he wouldn't be happy continuing his career at City.