What You Need to Know About Minnesota Secure Choice
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As of January 1, 2025, small businesses in Minnesota will be required to offer their employees a retirement savings option—even if they don’t currently provide a 401(k). It’s all part of Minnesota Secure Choice, a new state-run retirement savings program that’s now in effect. If you’re an employer with 5 or more employees and no existing retirement plan, this applies to you—and the time to act is now.
🧾 What Is Minnesota Secure Choice?
Minnesota Secure Choice is a mandatory retirement savings program for employers who don’t offer their own retirement plan. It allows employees to save for retirement through payroll deductions into a state-managed Roth IRA.
📌 Key Details for Employers
Who’s Required to Participate?Employers with 5 or more employees who do not currently offer a retirement plan (like a 401(k), SEP, or SIMPLE IRA)
What’s Required?Facilitate payroll deductions for employees who are automatically enrolled (unless they opt out)
Does the Employer Contribute?No. Employers are not required to contribute—just to process payroll deductions
Employee Enrollment:Eligible employees will be auto-enrolled with the option to opt out or change their contribution rate
✅ What You Should Do Now
Check Your Employee CountIf you have 5+ employees, you're likely required to participate.
Review Your Current BenefitsAlready offer a retirement plan? You may be exempt—but documentation will be required.
Update Your Handbook & PoliciesInclude language on enrollment, contributions, and employee rights under Secure Choice.
Get Payroll ReadyEnsure your payroll provider can support deductions and reporting requirements.
🛠 How People Solutions Hub Can Help
We help small businesses navigate state-mandated programs like this one. Our services include:
Determining if you're required to participate
Setting up payroll processes and employee communication
Drafting policy and handbook language
Ensuring you're ready for compliance
Let’s Get You Prepared
Don’t wait until the deadline. If you’re unsure how Secure Choice impacts your business, let’s talk and make sure you’re covered. 📧 Email: psolutionshub@gmail.com
