The 56-year-old has been out of football since he was sacked by Derby for the second time in March.
He was linked with a return to management after emerging as a contender with Hearts but didn’t make the club’s final five-man shortlist.
He will work under Maccabi manager Jordi Cruyff, who was a player at Manchester United when McClaren was assistant to Sir Alex Ferguson.
“I have known (Cruyff) since the time we spent together at Manchester United and we have been in touch over the past couple of years,” McClaren told the club website.
“I have huge respect for such a well known club both in Israel and in Europe and I intend to help Jordi and the players achieve success for the fans this season.”