In an exclusive interview with the Liverpool Echo, Liverpool's No.23 has said he will not be performing a U-turn on his plans to retire.
"I made my decision and nothing that's happened since has changed my mind about that," he told the Echo.
"I've not had any second thoughts just because things are going well.
"People say because I'm playing I should carry on for another year. But in fact being back in the team only confirms for me that I've made the right decision.
"I want to go out on a high, proving I can still perform at that level. I want to stay in the team for the rest of the season and help the club get as many wins as possible - that's my target. I can't think of a better way to go out.
"Obviously the previous 12 months had been difficult in terms of starting games. You never lose that buzz of wanting to play every week and I'm delighted to be back in the side.
"I could play on for another season but the fact is the club will be buying players in my position in the summer and I can't go back to being a substitute again."
Carragher is set for a landmark appearance on Sunday as, if selected, he will become only the second player in Liverpool's illustrious history to make 500 league appearances in a red shirt.
He added: "Getting to 150 European appearances and 500 Premier League games was something in the back of my mind at the start of the season.
"I've known for a while this would be my last season and I thought I might just miss out on them both.
"But I got to 150 European games against Zenit and I'm pleased to be on the verge of a 500th Premier League appearance with 10 games still to go. The manager has helped me get there by bringing me on as a sub late on in some games.
"At the moment we're on a good run and we just need to concentrate on getting as much as we can over the last 10 games.
"The team has more strength now and you can see that in the results.
"With the way the summer transfer window ended and then injuries, the manager was relying on a lot of young players. But we've got a bit more experience in the team now with young players coming off the bench which is probably better for them.
"We just need a few more bodies this summer to take that progress into next season."