Woosnam, who won the event in 1988, and the American Steve Stricker have filled the final two places in the tournament, which will include the winners of golf's four majors this year for the first time in the 16-year history of the challenge.
Faldo, the Masters champion, and Montgomerie, who leads the European money list, were already in the 12-man field competing for the richest prize in golf between 28 November and 1 December, alongside Nick Price, of Zimbabwe, Ernie Els, of South Africa, and Germany's Bernhard Langer.
Stricker is the sixth American in the field, with the Open champion, Tom Lehman, the US Open champion, Steve Jones, the US PGA winner, Mark Brooks, Mark O'Meara and the defending Million Dollar champion, Corey Pavin.
The 38-year-old Woosnam, who will be competing in the event for the sixth time, is lying second on the European tour Order of Merit and is also expected to represent Wales in the 1996 World Cup of Golf at Erinvale near Cape Town the previous week.
For years, the Million Dollar Challenge, to be held at held at the Gary Player Country Club, drew a only few leading players, because of sanctions against South Africa.
The 29-year-old Stricker, one of the longest hitters on the American tour, has also been selected, along with Phil Mickelson and O'Meara, to represent the United States in the Alfred Dunhill Cup at St Andrews in October.Reuse content