The retirement landscape in the U.S. has evolved significantly. In the past, most American workers expected to rely on pensions and Social Security as their primary sources of retirement income. Today, that’s no longer the case. Workers are now far less confident that Social Security will provide meaningful support when they retire.
To address this shift, local, state, and federal governments have introduced legislation aimed at expanding access to retirement plans — either by offering public programs or encouraging private employers to step in with better benefits.
Why This Matters for Small Businesses
Currently, 46 states have either proposed or passed legislation addressing employee retirement savings. Nine states — California, Colorado, Connecticut, Illinois, Maryland, Massachusetts, Oregon, Virginia, and Washington — already have active programs in place. Others, like New York and New Jersey, have approved laws and are preparing to roll them out.
In many cases, these state-sponsored retirement initiatives are mandatory, meaning businesses that fail to comply could face fines or legal consequences. For example, New Jersey’s Secure Choice Savings Program requires employers to either enroll in a qualifying private plan or participate in the state-run option. Once deadlines are finalized, noncompliance could lead to penalties.
The Administrative Burden
These new mandates often place the responsibility of setup and maintenance directly on employers — especially small business owners. This includes enrolling eligible employees, managing payroll contributions into IRAs or other plans, and maintaining compliance documentation for at least three years.
For many smaller operations already juggling tight resources, this creates an overwhelming administrative load. Manually matching payroll with a retirement plan like a 401(k) can be time-consuming and prone to errors, increasing the risk of audits or fines.
A Smarter Solution: Integrated Payroll + 401(k)
One way to streamline retirement plan management is through full integration with your payroll provider. Beyond has partnered with Human Interest, a modern, affordable 401(k) provider, to offer seamless “No-Touch” integration between payroll and retirement plan contributions.
When you run payroll with Beyond, all 401(k) data flows automatically to Human Interest’s system, where contributions are processed without the need for manual intervention. This eliminates redundancy, saves time, and reduces the potential for costly mistakes.
As more states move toward enforcing retirement plan mandates, this integration helps small businesses stay compliant while simplifying operations.
Maximize Tax Credits
There’s also a financial upside. Businesses starting a new 401(k) plan may be eligible for up to $16,500 in tax credits under the SECURE Act 2.0. Human Interest can help you understand and apply for these incentives, making it easier and more affordable to support your employees’ financial futures.
To learn more about Beyond’s integration with Human Interest, and how it can help you implement a compliant and effective 401(k) plan, visit our site or reach out to our team.
