Minnesota Secure Choice to Launch in January 2026

The Minnesota Secure Choice Retirement Program will launch on January 1, 2026.

Companies that do not currently offer a retirement plan and have at least five Minnesota-based employees must automatically enroll their workers in an individual retirement account in which a portion of the employees’ wages will be set aside every pay period. Employees are allowed to change their contribution amount or opt out of contributions.

Information on the program’s website indicates that the “soft launch” for employer registration—during which employers with any number of employees may register—will run from January 1 through March 30. Starting April 1, employers are required to act. Employers with at least 100 employees will have until June 30 to register. Then, registration deadlines occur in six-month increments for employers of smaller sizes, down to those with at least five employees.

Employers with at least five Minnesota employees will be contacted by the program recordkeeper, Vestwell, during their registration phase. Minnesota is working with Vestwell as part of the state’s participation in the Partnership for Dignified Retirement, a six-state coalition of Colorado, Delaware, Maine, Minnesota, Nevada and Vermont that banded together to reduce costs.

Founded by the Colorado Department of the Treasury, the partnership collectively has more than $212 million in assets under management, reaching close to 140,000 savers, according to information this week released by Colorado State Treasurer Dave Young.

Vestwell is the recordkeeper for the consortium. The firm will provide employers with log-in information for an online portal and require them to either register for the program and set up Roth IRAs for all their part-time and full-time Minnesota-based employees or file for an exemption—if the organization already offers a suitable retirement program.

The Minnesota Secure Choice Retirement Program Act was signed into law by Minnesota Governor Tim Walz in May 2023 after passing by a 71 to 60 vote in the Minnesota House of Representatives and a 34 to 33 vote in the Minnesota Senate.

As of October 21, 20 states have enacted state-facilitated retirement savings programs, including 17 auto-IRA program states. Sixteen of the 20 state programs, including 14 auto-IRA programs, are fully open to all eligible employers and workers. Rhode Island’s auto-IRA program, RISavers, which launched October 21, is the most recent program to open.

State-facilitated retirement savings programs held more than $2.64 billion in assets as of October 31, according to information collected by the Center for Retirement Initiatives at Georgetown University.