The former Crewe captain, a veteran of over 350 games for the Railwaymen but is still relatively young at 26 and should bring experience to the middle of the park.
Lunt is more of a creative player but has got a good goalscoring record and will be wanting to fight Chris Brunt and Steve MacLean for set-piece duties.
He told the club's official site: "I'm going to try and do the best I can for myself and Sheffield Wednesday. Hopefully we're going in the right direction and I can help them along.
"It's everything about the place: The size of the club and where they want to go - they are heading in the same direction I want to go."
Paul Sturrock meanwhile has watched the player for a long time now and is happy to get his man.
He said: "I am very pleased to have signed Kenny. He brings a different style of midfield play to the squad. I have watched him over the years and he has a great goal-scoring average."