New York’s Secure Choice Retirement Program for 2026

Key Takeaways

  • New York’s Secure Choice Retirement Program becomes mandatory for many employers starting in 2026.

  • Businesses with 10 or more employees, operating for at least two years, and without an existing retirement plan are likely required to participate.

  • Employers are responsible for registration, payroll deductions, and remittance, but not for funding accounts or managing investments.

  • Deadlines vary by company size, with the first registration deadline as early as March 18, 2026.

  • Secure Choice may be the simplest option for some businesses, but establishing a private retirement plan can offer greater flexibility and tax advantages.

  • Planning ahead can help avoid penalties, payroll disruptions, and last-minute compliance issues.

New York State is rolling out a new retirement savings requirement in 2026 that will affect many small and mid-sized employers across Long Island and all of New York. If your business does not currently offer a retirement plan, this is something you’ll want to understand sooner rather than later.

The New York State Secure Choice Savings Program is designed to give employees access to retirement savings through automatic payroll deductions. While the accounts belong to employees, not employers, the program does create new compliance and payroll responsibilities for certain businesses.

Who Needs to Pay Attention

You are likely impacted by the Secure Choice program if all three of the following apply to your business:

  • You do not currently offer a qualified retirement plan (such as a 401(k), SEP IRA, or SIMPLE IRA)
  • You have at least 10 employees
  • Your business has been operating for two or more years

If you already sponsor a qualifying retirement plan, you can claim an exemption and will not be required to participate. However, if you do not, registration will be mandatory once your deadline arrives.

Registration Deadlines (Based on Company Size)

The state has set staggered deadlines depending on your employee count:

  • March 18, 2026:  Employers with 30 or more employees
  • May 15, 2026: Employers with 15–29 employees
  • July 15, 2026: Employers with 10–14 employees

These dates matter. Missing them could lead to penalties and unnecessary headaches.

What Employers Are Responsible For (and What You’re Not)

It’s important to be clear about what this program does, and does not, require from employers.

As an employer, you will be responsible for:

  • Registering with the Secure Choice program (or formally certifying an exemption)
  • Setting up and processing payroll deductions for participating employees
  • Remitting employee contributions through your payroll system
  • Keeping employee information current

You are not required to:

  • Contribute your own money to employee accounts
  • Manage investments
  • Provide financial advice to employees

Those responsibilities sit with the state-facilitated program and the individual employee.

How Employee Participation Works

Eligible employees will be automatically enrolled at a default contribution rate. However, participation is not mandatory for them.

Employees may:

  • Opt out entirely
  • Change their contribution percentage
  • Keep their account if they change jobs

The accounts are employee-owned Roth IRAs, meaning contributions are made after tax and withdrawals in retirement may be tax-free, subject to IRS rules.

What This Means for Your Business

For employers that don’t currently offer a retirement plan, Secure Choice introduces new administrative and payroll steps. This is not something to ignore or postpone until the deadline is looming.

You should be thinking now about:

  • Whether your current payroll system can handle the required deductions and reporting
  • Whether offering your own retirement plan might be a better long-term option
  • How to coordinate registration, employee notices, and payroll setup efficiently

For some businesses, Secure Choice will be the simplest path forward. For others, establishing a private retirement plan may provide more flexibility, tax advantages, and control.

Our Take: Plan Before You’re Forced To

Like many state mandates, this program isn’t complicated, but it is procedural. The businesses that run into trouble are usually the ones that wait too long to act.

At Ceschini CPAs, we help Greater New York Area business owners understand how new requirements like this fit into the bigger picture: payroll, tax planning, and overall compliance. If you’re unsure whether you’re covered, exempt, or required to register, now is the time to ask. We’d much rather help you get ahead of this than scramble to fix it later.

If you have questions about Secure Choice, payroll setup, or whether a different retirement strategy makes more sense for your business, reach out to our team to set up a call.

Similar Posts