New York State has introduced a new state-sponsored retirement savings program, known as the New York Secure Choice Retirement Savings Program. The initiative is mandated by state law and requires employers with ten or more employees who physically work in New York, and do not already offer a retirement plan, to participate.
Employers will be notified when registration for the program opens. To register, they will need their Federal Employer Identification Number (EIN) and an Access Code provided in the notification. Once an employer receives this notice, they must either enroll in the program or submit an exemption certification if they already provide a qualified retirement plan to their employees. The EIN and Access Code can be used for applying for such exemptions.
Employees eligible under this program will be automatically enrolled by their employers but have a 30-day window to customize their account settings or opt out of participation. Employers are then responsible for facilitating payroll deductions, submitting contribution information and funding, and maintaining records for those staff members who remain in the program.
After enrollment, employers’ duties are limited to administrative facilitation; they are not required to contribute funds or provide advice about the program or investment options. These aspects are managed directly between employees and the provider of New York Secure Choice.
Further details about the Secure Choice Retirement Savings Program can be found at www.NewYorkSecureChoice.com.
