Gov. Kathy Hochul has announced the launch of the latest phase of New York State’s Secure Choice Savings Program, a state-sponsored savings vehicle for private-sector employees who lack access to a retirement plan at work. This program, the 14th state-facilitated retirement savings program in the country, provides automatic enrollment and payroll deductions for New York employees to build their own Roth IRA.
New York State’s Secure Choice Savings Program was created in the 2018-19 state budget as a voluntary option and modified in 2021 with a bill that made participation mandatory for certain covered employers. However, enrollment in the program remained voluntary until a governing board and administrative framework could be established. Fast forward to Fall 2025, when the state has announced it will begin notifying employers required to facilitate the program with registration details. Employers are required to participate if they:
- Have been in business for at least two years.
- Had at least 10 employees in the previous calendar year.
- Do not offer a qualified retirement plan.
Employers required to facilitate the program will have staggered registration deadlines, based on employee headcount.
- 30 or more employees — must register by March 18, 2026.
- 15 to 29 employees — must register by May 15, 2026.
- 10 to 14 employees — must register by July 15, 2026.
Employees will be automatically enrolled in the New York Secure Choice Savings program at a default savings rate of 3% of their gross pay, although participation is ultimately voluntary. Therefore, employees may choose to stay automatically enrolled or opt out and re-enroll later and can adjust their contribution rate at any time. Employers are neither required nor permitted to match employee contributions to the program.
All New York employers should be on the lookout for notification from New York Secure Choice, whether required to participate or to certify exemption from the program when a qualified retirement plan is already being offered to employees.
Read the New York State Secure Choice Savings Program's Overview & Registration and Employer Fact Sheet for more information.