The pair will receive a special tribute for their contributions to the Performing Arts in Washington DC on December 4.
Cellist Yo-Yo Ma, saxophonist Sonny Rollins and Broadway legend Barbara Cook will also be recognised at the gala.
Kennedy Centre Chairman David M Rubenstein said that he is very proud to be saluting this year's nominees.
"This year, the Kennedy Centre celebrates its 40th anniversary by selecting five extraordinary individuals whose collective artistry has contributed significantly to the cultural life of our nation and the world," Rubenstein commented.
Lucille Ball, Julie Andrews, Bruce Springsteen and Oprah Winfrey have been honoured in previous years.
The 2011 Kennedy Centre Honors will air on December 27 on CBS.
Streep will next star as former British Prime Minister Margaret Thatcher in biopic The Iron Lady, which opens on December 16 in the US and January 6 in the UK.
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Watch a trailer for The Iron Lady below: