As a Super Two player, Martin was eligible for arbitration for a fourth time, and he signed a $7.5 million one-year contract for the 2012 season with up to $100,000 in performance bonuses with the Yankees to avoid arbitration on January 24. He spent the year as the starting catcher with Chris Stewart as his backup. In 133 games, he hit .211 with 21 HR and 53 RBI. Martin started all 9 games of the Yankees postseason, going 5-31 with 1 HR.