New York State Secure Choice: What Employers Should Know for 2026

New York’s Secure Choice Savings Program is a state-run retirement savings program that allows employees to save for the future through payroll deductions sent to individual Roth IRA accounts. The program was created to expand access to retirement savings for workers without an employer-sponsored option. It is mandatory for many private employers that do not offer a qualified retirement plan, and it requires employers that do offer such a plan to certify their exemption.

The program takes full effect in 2026. A business must participate if it had ten or more employees working in New York during the previous calendar year, has been operating for at least two years, and does not already offer a qualified retirement plan such as a 401(k), SIMPLE IRA, or SEP. Businesses that already provide a plan are not required to enroll in Secure Choice, but they must confirm their exemption through the state’s portal. Employers with fewer than ten employees are not required to participate.

Secure Choice relies on employer facilitation, but employers do not contribute funds, advise employees, or assume any financial responsibility for the accounts. Their role is to register, supply required employee information, and ensure payroll deductions are processed correctly.

Registration Deadlines

New York has set different deadlines based on employer size:

Employer Action Steps

New York State will notify employers of the Secure Choice requirement, but employers must take proactive steps to either enroll in the program or certify their exemption; compliance will not happen automatically.

Employers without an exemption will need to provide company information, upload basic employee data, and prepare internal workflows to process deductions. Employers must also distribute the state-issued program materials to ensure employees understand how automatic enrollment works, including that eligible employees will be enrolled at a default three percent payroll deduction unless they opt out or choose a different contribution amount.

Exempt employers must certify their exemption by providing information about their current retirement plan.

For our payroll clients, HR One will support Secure Choice as a standard after-tax payroll deduction, but we are not integrating directly with the state’s system. Employers will be responsible for entering required employee information and any updates into the Secure Choice portal, either directly or through the program's reporting tools. Although the deduction is simple to set up in payroll, employers must manage all program-related data submissions to the state.

Employers cannot provide tax or investment advice, contribute to accounts, or manage them in any way.

Best Practices for Preparing

Each business covered by this program should decide whether to participate in the program or establish its own qualified retirement plan. Employers who are unsure whether their current plan qualifies for an exemption should contact their plan administrator or financial advisor to confirm whether the plan meets the state’s requirements. Any employer choosing a private plan must have it in place by the deadline and maintain documentation demonstrating that it qualifies for exemption.

Planning ahead for employee communication is important. Workers should be told what automatic enrollment means, how payroll deductions will appear on their paychecks, how to change their contribution rate, and how to opt out if they choose.

Even businesses that are not required to join may choose to participate as a simple, low-cost way to offer a retirement savings benefit.

Next Steps

As 2026 approaches, employers should review their headcount and decide whether they need to participate or certify an exemption. Early planning will help ensure compliance and make the transition smoother for both employers and employees.