The former American Idol contestant - eliminated from the show on Thursday - told reporters that he and Reed have been "hanging out" during their free time.
"Yes, me and Nikki Reed are dating. It's officially true," he said. "She's super cool, super smart, a really cool girl, so I'm happy. We've been hanging out here and there but we're both pretty busy. It's been fun so far, though."
The pair were initially introduced earlier this year when Idol finalists attended the Red Riding Hood premiere, where Reed praised McDonald's "amazing" musical talents.
> Read our full interview with Paul McDonald
Watch the first meeting between the couple below: