Following the 1992 season, Reardon signed as a free agent with the Cincinnati Reds. However, his days of closing were over; he worked as the setup man to Rob Dibble. Reardon finished the 1993 season with his highest ERA (4.09) since 1987 and his fewest saves (8) since 1981. Granted free agency, Reardon signed with the New York Yankees on February 15, 1994. Although he went north with the team, Reardon retired on May 4, 1994, after compiling an 8.38 ERA while allowing 17 hits over innings in 11 games. After his 16-year career, Reardon stood second on the all-time saves list (to Lee Smith), finishing with more saves (367) than walks (358) and was the only reliever to have more than 20 saves every year from 1982 to 1988.