**Additional Retirement Program Laws to Take Effect in Nevada, Among Other Jurisdictions.**

On Wednesday, the Colorado Department of the Treasury announced that Nevada has joined Colorado, Delaware, Maine, and Vermont in their interstate partnership designed to provide state-facilitated auto-IRA programs for private sector employees who are not eligible for employer-sponsored retirement programs.

The state collaboration, called the “Partnership for Dignified Retirement”, formed as states have begun to institute legislation that requires private sector employers that do not otherwise offer retirement plans to offer ways for their employees to save for retirement via payroll deductions, either by enrolling employees in state-run programs or sponsoring their own plans.

Though not currently required for New York employers, New York is expected to mandate its own state-wide auto-IRA program, as early as late 2025. The New York State Secure Choice Savings Program would cover employers with 10 or more employees that have been in business for at least 2 years.

To date, 20 states plus New York City and Seattle have passed such requirements. 14 of those 20 statewide programs are now in effect, but the city programs remain subject to ongoing legal challenges and so have not yet been implemented. These programs are nuanced and vary in structure and employer coverage. Most are Roth IRA-based and, while they generally provide for auto-enrollment, workers may choose to opt out. Others, like in Massachusetts, have voluntary coverage through a multiple employer plan. Notably, Minnesota recently added as covered employees both temporary and seasonal workers, and implemented employer certification requirements, whether they are covered by the requirement or not.

Noncompliance with these state obligations may result in penalties to employers. Therefore, as state-mandated retirement programs become more popular, it is crucial for employers that do not operate their own retirement plans, to be aware of their compliance obligations.

D+G will continue to monitor these state-specific retirement program developments.

Colorado State Treasurer Dave Young Forges Retirement Savings Partnership with Nevada | Treasury