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UPDATED SEPTEMBER 2026 · STATUTE-VERIFIED

Minnesota Retirement Mandate: Minnesota Secure Choice

Minnesota Secure Choice has been live since January 2026. It applies to Minnesota employers with 5+ employees that do not offer a qualifying retirement plan. Penalty: Up to $500 / employee / yr (escalating). Upcoming: 50–99 employees by 2026-12-31; 25–49 employees by 2027-06-30; 10–24 employees by 2027-12-31; 5–9 employees by 2028-06-30.

Minnesota Secure ChoiceACTIVE
State program
5+ employees
Employee threshold
Up to $500 / employee / yr (escalating)
Non-compliance penalty
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What does Minnesota actually require?

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Annual exposure · Minnesota
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// verified to the statute

Minnesota Secure Choice at a glance.

Who is covered

Minnesota Secure Choice covers Minnesota employers with 5+ employees that do not offer a qualifying retirement plan. Counting rule: Five or more covered employees (18+, full- or part-time); seasonal or temporary workers under 180 days are excluded. The program uses headcount data as of January 2026. No years-in-business test; employers not doing business in Minnesota in the preceding 12 months are not covered.

Penalty and enforcement

Escalating: $100 per employee (2nd anniversary of the enrollment window); $200 per employee (3rd anniversary); $300 per employee (4th anniversary); $500 per employee (each later anniversary). The program has launched; enforcement has not begun.

Deadlines

Upcoming: 50–99 employees by 2026-12-31; 25–49 employees by 2027-06-30; 10–24 employees by 2027-12-31; 5–9 employees by 2028-06-30. Already passed: 100+ employees (2026-06-30) — unregistered employers should register or certify an exemption now.

Source

Minn. Stat. §§187.03, 187.05, 187.07, 187.12 (Laws 2025 c.37; 2026 c.106) · Official program: securechoice.mn.gov · Verified 2026-09-17.

// state plan vs your own

You can comply two ways. Only one builds anything.

The state auto-IRA

Compliance, nothing else
  • No employer match allowed
  • Low Roth-IRA contribution limits
  • One-size-fits-all investments
  • No tax credits for your business
RECOMMENDED

Your own 401(k)

Compliant — and working for you
  • Match if and when you want
  • Far higher contribution limits
  • SECURE 2.0 credits offset setup
  • A real recruiting & retention perk
// frequently asked

Asked by employers here.

What is Minnesota Secure Choice?

Minnesota Secure Choice is Minnesota's state-facilitated retirement savings program. It has been live since January 2026. Program: https://securechoice.mn.gov.

Who must comply with Minnesota Secure Choice?

Minnesota Secure Choice covers Minnesota employers with 5+ employees that do not offer a qualifying retirement plan. Counting rule: Five or more covered employees (18+, full- or part-time); seasonal or temporary workers under 180 days are excluded. The program uses headcount data as of January 2026. No years-in-business test; employers not doing business in Minnesota in the preceding 12 months are not covered.

What is the Minnesota Secure Choice penalty?

Escalating: $100 per employee (2nd anniversary of the enrollment window); $200 per employee (3rd anniversary); $300 per employee (4th anniversary); $500 per employee (each later anniversary). The program has launched; enforcement has not begun.

When are the Minnesota Secure Choice deadlines?

Upcoming: 50–99 employees by 2026-12-31; 25–49 employees by 2027-06-30; 10–24 employees by 2027-12-31; 5–9 employees by 2028-06-30. Already passed: 100+ employees (2026-06-30) — unregistered employers should register or certify an exemption now.

How do Minnesota employers become exempt?

Exempt with a 401(a), 403(b), 457(b), SEP, SIMPLE, IRA-based or multiemployer plan sponsored in the preceding 12 months; certification required. A private 401(k) or SIMPLE IRA satisfies the mandate and may qualify for SECURE 2.0 startup credits.

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