The Scottish midfielder will be playing in League One from now on.
Coutts' contract at Derby was due to expire at the end of the season so it would seem The Rams have cashed in on the player while they can. The creative midfielder has previous experience at this level with both Peterborough United and Preston North End - which is what convinced Derby to bring him in back in the summer of 2012.
Unfortunately his time at Derby has been greatly affected by injury. He was excellent in his first season at the club, but he dislocated a kneecap in September 2013 and he has never truly earned back a place in the Derby first-team.
Now he is at The Blades and will be hoping to help Nigel Clough's side to a promotion charge in the second half of the season.
But he is not going to forget his time at Derby County. The new Sheffield United man sent this message after the deal was done via his Twitter account:
Would like to thank every1 @dcfcofficial for my time at the club. Players,staff,facility's, and fans 1st class and ready for the next step.— paul coutts (@couttsy_7) January 23, 2015
Can't wait to get started @SUFC_tweets Looking forward to the challenges ahead and a promotion push.— paul coutts (@couttsy_7) January 23, 2015
It seems he will be missed as well. George Thorne, himself a Derby midfielder struggling with injury, has said a warm goodbye for the player online as well.