The Austrian is a four-time Winter Olympic medalist, the most recent of which came when she collected silver in the slalom in Sochi in February.
Schild's success also saw her claim five career discipline titles in the FIS World Cup, four of which were in slalom, and she has 37 World Cup victories.
Rumours had persisted since the Sochi Games that Schilds may retire and, after taking time to deliberate on the issue, she confirmed the news at a press conference on Tuesday.
"I have thought long and hard about what to do in the future, if to continue or move on to something else," she said.
"I took enough time to make the right choice for me.
"I had some great and intensive 20 years in the sport, it brought me big consequences but also big achievements.
"I was able to live the dream I had as a little girl, I was able to have my dream job for so many years but my priorities have changed and I learned a lot about myself over the past months.
"I realised it's time for a new life and as of today my active career in skiing comes to an end."