Savers
Program details
New York Secure Choice can help you save for retirement through automatic payroll contributions to your own Roth Individual Retirement Account (IRA). Setting up an account is easy, and you can decide how much to save.
How it works
Save through your employer
If your employer facilitates New York Secure Choice, they'll automatically add you to the program. From that point, you'll have 30 days until your employer automatically begins to deduct contributions from your paychecks and deposit them into a Roth IRA.
During the 30 days, you can choose to:
Set up and customize your New York Secure Choice account. You can customize your savings rate, investment options, and beneficiaries. You can also choose to automatically increase your savings rate each year until you reach 10%.
Do nothing and save automatically. If you do not set up your account or customize your options, you'll start saving after 30 days with the default savings and investment options.
Opt out. Participation in New York Secure Choice is completely voluntary. If you're not ready to start saving, you can opt out and re-enroll at any time.
Who's eligible?
You're eligible for a New York Secure Choice account if:
you are at least 18 years old, and
you have earned taxable wages from a New York State employer.
What is a Roth IRA?
A Roth IRA is a type of retirement account that you fund with your after-tax wages, a percentage of which are deposited into your Roth IRA. Your Roth IRA earns money based on the performance of the investments you choose, and those earnings are automatically added to your contributions. When you retire and start taking money out of your Roth IRA, both your contributions and earnings are tax-free, provided you meet IRS requirements. For more details on Roth IRAs, visit the IRS website.
What to expect once your account is active
If your employer added you to the program and you did not customize your account or opt out, after the 30-day notification period you'll automatically save with the default savings and investment elections:
3%
Contribution rate
You'll contribute 3% of your gross income earned with your facilitating employer to your Roth IRA. That amount is deducted from your paycheck after taxes have been taken out.
First
30
days
When you begin saving, your funds will be invested in the Conservative Principal Protection option until 30 days have passed after your initial contribution.
After
30
days
After 30 days, your existing savings and future contributions will be invested in a default Target Retirement Date option based on the expected year of your retirement at age 65.
How to customize your account
Once you set up your New York Secure Choice account, you’ll have the power to:
change your contribution rate
select to automatically increase your savings rate each year
change your investment selections
designate beneficiaries
manage your personal information
make withdrawals
Deciding how much to save
How much to save is your choice. You’ll have the flexibility to choose the savings rate and investment options that feel most comfortable to you. Need help? Check out our resources and tools for additional information.
Your ideal savings rate
You can also use our retirement calculator to find the savings rate that fits your budget.
Can I save less than 3% or opt out?
Yes, anytime! If trying a lower savings rate doesn’t work for you, you can opt out of participating in New York Secure Choice online, by phone, or by mail.
If you opt out before the end of the 30-day notification period:
your employer will not deduct any contributions from your paycheck, and
we will not activate your New York Secure Choice account.
If you opt out after 30 days:
we will notify your employer to stop your payroll deductions, and
you can withdraw any contributions made from previous payroll deductions.
You can re-enroll in the program at any time through your online New York Secure Choice account or by contacting our Client Service Team.
See how your contributions can add up
Discover how your contributions to a New York Secure Choice account can add up over time and help you save for your future.
What does the program cost?
New York Secure Choice has an annual asset-based fee ranging from 0.22% to 0.31% depending on your investment choices. This means you’ll pay from $0.22 to $0.31 for every $100 in your account. There is also an annual per-account fee of $28 (that is charged quarterly at $7).
These fees are automatically deducted from your New York Secure Choice account and pay for the administration of the program and the operating expenses charged by the underlying funds in which the program’s investment options are invested. See the Program Description for more information.
Have questions?
We've got answers.
Check out our frequently asked questions (FAQs) for answers to common questions.