New law requires all NY private businesses to provide retirement plan options for workers
STATEN ISLAND (TNS) — Gov. Kathy Hochul signed legislation this week that requires all private sector employers to provide retirement options for workers.
The new law requires private sector businesses that don’t currently provide their employees with a retirement plan to automatically enroll them in the state’s Secure Choice Savings Plan.
“Part of ensuring that New Yorkers are financially stable is guaranteeing they have a reliable retirement plan,” Hochul said. “This legislation allows all workers to have a sense of relief and security when it comes to retirement.”
Established in 2015 by the New York State Secure Choice Savings Program Act, the Secure Choice Savings plan is a self-sufficient retirement savings program in the form of an automatic enrollment payroll deduction IRA.
The program is overseen by the New York State Secure Choice Savings Board, composed of nine appointed members. The Department of Taxation and Finance will oversee the development and implementation of the program, said Hochul in a written statement.
“There are millions of New Yorkers who don’t have that secure retirement but that will no longer be the case, and I applaud Governor Hochul for signing the expanded NYS Secure Choice Savings Program,” said Senator Diane Savino (D-Staten Island/Brooklyn). who co-sponsored the bill. “Everyone thinks that when they are 22 or 23 they aren’t going to be 52 or 53, they always think they have time to save for retirement. Secure Choice will provide private-sector employees with an automatic, portable vehicle for retirement savings that will help ensure income security in retirement.”
Said Beth Finkel, AARP New York state director: “Governor Hochul is empowering millions of working New Yorkers to save for a financially secure and independent retirement — while providing small businesses an effective way to attract and retain employees. AARP applauds the Governor for signing this bill into law, and we thank her for her support of Secure Choice since before its enactment in 2018.”
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