By Cecilia Oyediran, Esq.
1. What is the New York Secure Choice Savings Program?
The New York Secure Choice Savings Program is a state-sponsored retirement savings program that requires certain employers to automatically enroll employees in a Roth IRA if they do not offer a qualified retirement plan. The program is overseen by the State of New York but administered by a third-party provider.
2. Which employers are required to participate?
Employers must participate if they:
- Have 10 or more employees in New York
- Have been operating for at least two years
- Do not offer a qualified retirement plan (e.g., 401(k), 403(b), SEP IRA, SIMPLE IRA)
3. Who qualifies as an eligible employee under the program?
An eligible employee is any individual who is at least 18 years old, employed by an employer, and earns wages in New York State during a calendar year.
4. Are any employers exempt from the program?
Yes. Employers that already offer a qualified retirement plan are exempt but must certify their exemption through the program’s portal.
5. What are the registration deadlines?
- 30+ employees: March 18, 2026
- 15–29 employees: May 15, 2026
- 10–14 employees: July 15, 2026
5. How do employers register?
Employers must register through the online portal https://newyorksecurechoice.com/
6. What are employer responsibilities under the program?
Employers must:
- Register for the program
- Provide notices to employees about participation, contributions, and opt-out rights
- Facilitate payroll deductions
- Submit employee information
- Remit contributions in a timely manner
7. When must employer contributions be remitted?
Employers must remit employee contributions as soon as practicable, but no later than the last day of the month following the month wages were paid. Employers that are using professional employer organizations or third-party payroll providers should ensure that their vendors remit the contributions to the program.
8. Are employers responsible for managing the retirement accounts?
No. Employers are not fiduciaries and are not responsible for investment decisions, plan administration, or account performance.
9. Are employers required to pay program fees?
No, program fees are paid by employees through their accounts.
10. What notices must employers provide to employees?
Employers must:
- Provide program information at least 30 days before enrollment
- Inform new hires at the time of hiring
11. Can payroll providers or PEOs handle compliance tasks?
Yes, but employers remain responsible for ensuring payroll vendors properly remit contributions.
12. What happens if employers do not comply?
Penalties are authorized but have not yet been finalized under New York law.
13. Are employees automatically enrolled?
Yes. Eligible employees are automatically enrolled unless they opt out.
15. What is the default contribution rate?
The default contribution rate is 3% of gross wages.
16. Can employees change their contribution rate?
Yes. Employees can increase or decrease their contribution, stop contributions, or opt out entirely at any time.
17. When do payroll deductions begin?
Deductions begin 30 days after enrollment, allowing time to opt out or adjust contributions.
18. What type of account is this?
The program provides a Roth Individual Retirement Account (IRA), meaning contributions are made with after-tax income.
19. Does the employee own the account?
Yes. The account is individually owned and stays with the employee even if the employee changes jobs.
20. Are there contribution limits?
Yes, contributions are capped at $7,000 annually, or $8,000 if age 50 or older.
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For more information about The New York Secure Choice Savings Program, visit https://newyorksecurechoice.com/.
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