It is currently unclear whether Lampard will now call time on his professional football career, with a return to Chelsea as a coach previously speculated.
The 38-year-old, who joined New York City in 2015 and registered 15 goals in 31 appearances for the club, will officially depart following the expiration of his contract.
“As my time at NYCFC comes to an end, I would like to thank so many people for the kindness and support that they have shown me over the last two years,” Lampard told the club’s official website.
“My teammates have been a pleasure to play alongside. The amazing fans have given me incredible support and backing. I have very much enjoyed my time, and I am very grateful to have had the opportunity to play for such a great club and in such an incredible city.”
Lampard, who made 106 appearances for England between 1999 and 2914, began his professional career with West Ham United in 1995, before representing Chelsea and Manchester City.