The New York State Secure Choice Savings Program is creating a major shift for private-sector employers. This program mandates a payroll deduction Roth IRA mechanism for workers who don't have an employer-sponsored retirement plan.
If you’re a New York employer, your first job is to figure out where you stand. Here is a clear, step-by-step checklist to guide your compliance.
An employer must facilitate the New York Secure Choice Savings Program if three criteria are met:
The employer had 10 or more employees in the previous calendar year in NY State.
The employer has not offered a qualified retirement plan in the past two years.
The employer has been in business for at least two years.
If your business satisfies all three, compliance is mandatory. Don't worry, though; the state has made it intentionally simple.
If your business already offers any form of qualified retirement plan, you are exempt from the Secure Choice mandate. This is a crucial point for small business owners: if you offer an employer-sponsored retirement plan to any of your employees, you can certify your exemption.
Qualified retirement plans that grant exemption include:
Plans qualified under Internal Revenue Code sections 401(a) (including a 401(k) plan).
Qualified annuity plans under section 403(a).
Tax-sheltered annuity plans under section 403(b).
Simplified Employee Pension (SEP) plans under section 408(k).
Savings Incentive Match Plan for Employees (SIMPLE IRA) plans under section 408(p).
Governmental deferred compensation plans under section 457(b).
If you currently offer one of these plans, or are considering adopting one instead of facilitating Secure Choice, you can certify your exemption.
Employers that meet the mandatory eligibility criteria must register according to a tiered schedule based on their number of employees:
| Employee Count (in NY) | Mandatory Registration Deadline |
| 30 or more employees | March 18, 2026 |
| 15 to 29 employees | May 15, 2026 |
| 10 to 14 employees | July 15, 2026 |
The New York Secure Choice program will notify you, but eligible employers may register immediately. We recommend getting expectations up front and acting now if you know you're covered.
A major point of relief is that the employer's role is strictly defined, ensuring low administrative burden and minimal liability exposure.
A. Facilitation is Mandatory; Advice and Matching are Prohibited
Your sole responsibility is to facilitate the program:
Employer Fees: There are no fees for employers to facilitate the program.
Matching Contributions: Employers are neither required nor permitted to match employee contributions.
Providing Advice: Employers must not provide any advice about the program. Refer employees to the program website or a financial or tax advisor.
B. Streamlined Tax Reporting
You are relieved of much of the typical retirement plan tax reporting responsibility. Since the program is a payroll deduction IRA, the IRA trustee is responsible for filing Form 5498, IRA Contributions Information, with the IRS and sending employees a copy.
The process involves simple initial steps and a smooth ongoing maintenance routine.
A. Initial Registration
Visit the Employer registration page, enter your Employer Identification Number (EIN), and use your unique Access Code to register your business.
B. Providing Employee Information
After registering, you must provide basic information about your business and a list of employees, along with payroll information, to set up the accounts.
C. Delegation of Duties
To manage the administrative steps, you can delegate the registration and facilitation process. You can invite a payroll representative—a teammate, bookkeeper, or a payroll services provider 😉 —to help facilitate the process. The employer portal integrates seamlessly with many payroll providers.
D. Ongoing Maintenance
Once employees are added, your continuing duties are simple:
Update participating employees’ contribution rates within payroll after the initial 30-day enrollment period.
Keep employees’ payroll contributions and the staff list up to date.
The program covers eligible New York workers, regardless of employment status or residency, as long as they have New York-based wages.
A. Eligibility Criteria
All employees of a participating employer are eligible if they are at least 18 years of age and have earned taxable wages from a New York employer. This includes:
Out-of-State Residents: Eligible if their employment is based in New York.
Seasonal Employees: Eligible if they earned wages in the calendar year of enrollment.
Owners/Family Members: Eligible to participate if they are considered employees for tax purposes.
B. Employee Enrollment Process
The program directly notifies employees after you provide their information. Employees are automatically enrolled, but participation is completely voluntary. They have 30 days after being added to the program to choose to stay enrolled or opt out.
If your business initially facilitates Secure Choice but later chooses to offer an alternative qualified plan (like a 401(k)), specific notification requirements apply:
You must exempt your business on the portal.
You must provide notice to enrolled employees at least 60 days before payroll contributions cease.