Facing the Houston Astros in the 1998 NLDS, the Padres won the series 3–1. Hoffman earned two saves, both in 2–1 wins. In Game 1 against Atlanta in the 1998 National League Championship Series, Hoffman entered to stop a rally in the eighth inning with a 2–1 lead. He allowed a run in the ninth, tying the game, after converting 53 of 54 save attempts during the regular season. After Padre Ken Caminiti hit a home run in the top of the 10th, Hoffman got two outs but ran into trouble and was taken out after throwing 43 pitches. He was credited with a win as the Padres held on, 3–2. Hoffman entered Game 3 with the bases loaded and two out in the eighth, and he struck out Javy López on three pitches to end the inning and would save the Padres' 4–1 victory. San Diego was up 3–0 in the series and would go on to win 4–2. The Padres reached the 1998 World Series, but lost the series 4–0 against the New York Yankees, who finished with an MLB-record 125 combined regular season and playoff victories and the third-best overall winning percentage (.714) for a World Series champion. In his only appearance in the series in Game 3, Hoffman entered in the eighth with a runner on and no outs and a 3–2 lead. Later in the inning, he surrendered a three-run homer to Scott Brosius, the eventual World Series MVP, and the Padres lost the game 5–4.