The transition to the new tap-and-go system for New York City subway and bus riders is expected to save the agency at least $20 million annually, it said.

The MTA started installing OMNY, a contactless fare payment system, back in 2019, and the agency has been in the process of phasing out MetroCard machines over the past few years. The OMNY system allows riders to pay with their cellphone, smart watch, credit, debit or prepaid cards without having to purchase and swipe a physical card.

The MetroCard is officially going the way of the subway token. MTA Chair and CEO Janno Lieber announced on Wednesday that the agency will retire the MetroCard by the end of the year. Sales and distribution of the cards will end on Dec.