The 107-year-old program has gone online for the second year in a row.
The nonprofit Volunteers of America-Greater New York says it doesn't have the money to manage and pay formerly homeless men to play Santa and gather donations. Spokeswoman Rachel Weinstein said Saturday that many are elderly and in fragile health.
The Sidewalk Santas formerly set up chimney-like donation boxes in front of some of the city's most expensive stores for a month before Christmas.
Online contributions to Sidewalk Santa will still buy food vouchers for people who can't afford holiday meals.