diff --git a/lib/aca_entities.rb b/lib/aca_entities.rb
index e3a9cf3c5..d099f6588 100644
--- a/lib/aca_entities.rb
+++ b/lib/aca_entities.rb
@@ -11,6 +11,7 @@
 require 'aca_entities/error'
 
 require 'aca_entities/configuration/encryption'
+require 'aca_entities/encryption'
 require 'aca_entities/operations/mongoid/model_adapter'
 
 require 'aca_entities/libraries/aca_individual_market_library'
diff --git a/lib/aca_entities/encryption.rb b/lib/aca_entities/encryption.rb
new file mode 100644
index 000000000..9e638a79c
--- /dev/null
+++ b/lib/aca_entities/encryption.rb
@@ -0,0 +1,10 @@
+# frozen_string_literal: true
+
+require_relative "encryption/symmetric"
+
+module AcaEntities
+  # Manages encryption and encryption primatives for ACA Entities
+  # and associated payloads.
+  module Encryption
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric.rb b/lib/aca_entities/encryption/symmetric.rb
new file mode 100644
index 000000000..04c90d1c4
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric.rb
@@ -0,0 +1,45 @@
+# frozen_string_literal: true
+
+require "base64"
+require_relative "symmetric/legacy_keyset"
+require_relative "symmetric/key_manager"
+require_relative "symmetric/encrypted_payload"
+require_relative "symmetric/legacy_encrypted_payload"
+require_relative "symmetric/parse_encrypted_payload"
+require_relative "symmetric/decrypt_payload"
+require_relative "symmetric/encrypt_payload"
+
+module AcaEntities
+  module Encryption
+    # Management and algorithms for symmetric algorithms, supported by
+    # libsodium.
+    module Symmetric
+      # Algorithm implementation versions.
+      #
+      # Right now we have only Version 1.
+      ALGO_VERSIONS = ["S1"].freeze
+      CURRENT_ALGO_VERSION = "S1"
+
+      class InvalidPayloadHeaderError < StandardError; end
+
+      class KeyNotFoundError < StandardError; end
+
+      # Manages nonces for symmetric encryption
+      class Nonce
+        def self.generate(byte_size)
+          RbNaCl::Random.random_bytes(byte_size)
+        end
+      end
+
+      def decrypt(payload)
+        DecryptPayload.new.call(payload)
+      end
+
+      def encrypt(payload)
+        EncryptPayload.new.call(payload)
+      end
+
+      module_function :decrypt, :encrypt
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/decrypt_payload.rb b/lib/aca_entities/encryption/symmetric/decrypt_payload.rb
new file mode 100644
index 000000000..be1bc8a2f
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/decrypt_payload.rb
@@ -0,0 +1,47 @@
+# frozen_string_literal: true
+
+require 'dry/monads'
+require 'dry/monads/do'
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # Decrypt a payload.
+      class DecryptPayload
+        send(:include, Dry::Monads[:result, :do])
+        send(:include, Dry::Monads[:try])
+
+        def call(payload)
+          encrypted_payload = yield parse_header_and_payload(payload)
+          decrypt_payload(encrypted_payload)
+        end
+
+        def parse_header_and_payload(payload)
+          ParseEncryptedPayload.new.call(payload)
+        end
+
+        def decrypt_payload(encrypted_payload)
+          if encrypted_payload.header?
+            found_key = yield lookup_key(encrypted_payload)
+            decryption_result = Try do
+              decryption_box = RbNaCl::SecretBox.new(found_key)
+              decryption_box.decrypt(encrypted_payload.nonce, encrypted_payload.content)
+            end
+            decryption_result.to_result
+          else
+            secret_box = RbNaCl::SecretBox.new(LegacyKeyset.secret_key)
+            Success(secret_box.decrypt(LegacyKeyset.iv, Base64.decode64(encrypted_payload.content)))
+          end
+        end
+
+        def lookup_key(encrypted_payload)
+          key_result = Try do
+            KeyManager.resolve_key(encrypted_payload.algo_version, encrypted_payload.key_version)
+          end
+
+          key_result.to_result
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/encrypt_payload.rb b/lib/aca_entities/encryption/symmetric/encrypt_payload.rb
new file mode 100644
index 000000000..903d71bc0
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/encrypt_payload.rb
@@ -0,0 +1,51 @@
+# frozen_string_literal: true
+
+require 'dry/monads'
+require 'dry/monads/do'
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # Encrypte a payload.
+      class EncryptPayload
+        send(:include, Dry::Monads[:result, :do])
+        send(:include, Dry::Monads[:try])
+
+        def call(payload)
+          encrypted = yield construct_encrypted_payload(payload)
+          encode_payload(encrypted)
+        end
+
+        def construct_encrypted_payload(payload)
+          encryption_attempt = Try do
+            current_algo_v = KeyManager.current_algo_version
+            current_key_v = KeyManager.current_key_version
+            key = KeyManager.resolve_key(current_algo_v, current_key_v)
+            encrypt_box = RbNaCl::SecretBox.new(key)
+            nonce = Nonce.generate(encrypt_box.nonce_bytes)
+            content = encrypt_box.encrypt(nonce, payload)
+            EncryptedPayload.new(
+              current_algo_v,
+              current_key_v,
+              nonce,
+              content
+            )
+          end
+          encryption_attempt.to_result
+        end
+
+        def encode_payload(encrypted)
+          encoded_result = Try do
+            # rubocop:disable Style/StringConcatenation
+            encrypted.algo_version + "." + encrypted.key_version + "." +
+              Base64.encode64(encrypted.nonce) + "." +
+              Base64.encode64(encrypted.content)
+            # rubocop:enable Style/StringConcatenation
+          end
+
+          encoded_result.to_result
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/encrypted_payload.rb b/lib/aca_entities/encryption/symmetric/encrypted_payload.rb
new file mode 100644
index 000000000..334464e02
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/encrypted_payload.rb
@@ -0,0 +1,23 @@
+# frozen_string_literal: true
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # A standard payload with a header for encryption.
+      class EncryptedPayload
+        attr_reader :algo_version, :key_version, :nonce, :content
+
+        def initialize(a_version, k_version, nonce_value, content_value)
+          @algo_version = a_version
+          @key_version = k_version
+          @nonce = nonce_value
+          @content = content_value
+        end
+
+        def header?
+          true
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/key_manager.rb b/lib/aca_entities/encryption/symmetric/key_manager.rb
new file mode 100644
index 000000000..2d1954f8d
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/key_manager.rb
@@ -0,0 +1,26 @@
+# frozen_string_literal: true
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # Manages the selection of a key and algorithm using version headers
+      class KeyManager
+        def self.current_algo_version
+          CURRENT_ALGO_VERSION
+        end
+
+        # Right now, since we're using the legacy configuration as our source,
+        # we'll tag our key version as 'L'.
+        def self.current_key_version
+          "L"
+        end
+
+        # Eventually we will replace this with a dynamic lookup to allow key
+        # rotation.
+        def self.resolve_key(_algo_version, _key_version)
+          LegacyKeyset.secret_key
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/legacy_encrypted_payload.rb b/lib/aca_entities/encryption/symmetric/legacy_encrypted_payload.rb
new file mode 100644
index 000000000..04bd5bc2b
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/legacy_encrypted_payload.rb
@@ -0,0 +1,20 @@
+# frozen_string_literal: true
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # A payload from before we versioned our algorithms or keys.
+      class LegacyEncryptedPayload
+        attr_reader :content
+
+        def initialize(content_value)
+          @content = content_value
+        end
+
+        def header?
+          false
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/legacy_keyset.rb b/lib/aca_entities/encryption/symmetric/legacy_keyset.rb
new file mode 100644
index 000000000..296f90612
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/legacy_keyset.rb
@@ -0,0 +1,19 @@
+# frozen_string_literal: true
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # Manages key settings for the 'original' implementation.
+      class LegacyKeyset
+        def self.secret_key
+          key = AcaEntities::Configuration::Encryption.config.secret_key
+          [key].pack("H*")
+        end
+
+        def self.iv
+          AcaEntities::Configuration::Encryption.config.iv
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/encryption/symmetric/parse_encrypted_payload.rb b/lib/aca_entities/encryption/symmetric/parse_encrypted_payload.rb
new file mode 100644
index 000000000..fcc0b464b
--- /dev/null
+++ b/lib/aca_entities/encryption/symmetric/parse_encrypted_payload.rb
@@ -0,0 +1,50 @@
+# frozen_string_literal: true
+
+require 'dry/monads'
+require 'dry/monads/do'
+
+module AcaEntities
+  module Encryption
+    module Symmetric
+      # Parse the header and body for an encrypted payload.
+      #
+      # We might return an error in the case of an invalid payload, or we
+      # we might return an empty payload, as the current data was provided
+      # in the 'legacy' encryption format.
+      class ParseEncryptedPayload
+        send(:include, Dry::Monads[:result, :do])
+        send(:include, Dry::Monads[:try])
+
+        def call(payload)
+          return Success(LegacyEncryptedPayload.new(payload)) if payload.blank?
+          return Success(LegacyEncryptedPayload.new(payload)) unless payload.include?(".")
+
+          payload_parts = yield split_parts(payload)
+          parse_header_values(payload_parts)
+        end
+
+        def split_parts(payload)
+          split_attempt = Try do
+            payload_parts = payload.split(".").map(&:strip)
+            raise InvalidPayloadHeaderError, "Payload only had #{payload_parts.length} parts, expected 4." if payload_parts.length < 4
+            payload_parts
+          end
+
+          split_attempt.to_result
+        end
+
+        def parse_header_values(payload_parts)
+          parse_attempt = Try do
+            algo_version = payload_parts.first
+            key_version = payload_parts[1]
+            nonce = Base64.decode64(payload_parts[2])
+            content = Base64.decode64(payload_parts[3])
+            EncryptedPayload.new(algo_version, key_version, nonce, content)
+          end
+
+          parse_attempt.to_result
+        end
+      end
+    end
+  end
+end
\ No newline at end of file
diff --git a/lib/aca_entities/operations/encryption/decrypt.rb b/lib/aca_entities/operations/encryption/decrypt.rb
index c919a8321..53b93b901 100644
--- a/lib/aca_entities/operations/encryption/decrypt.rb
+++ b/lib/aca_entities/operations/encryption/decrypt.rb
@@ -15,18 +15,7 @@ class Decrypt
 
         # @param [hash] pass in value to be encrypted
         def call(params)
-          decrypted_value = yield decrypt(params[:value])
-
-          Success(decrypted_value)
-        end
-
-        private
-
-        def decrypt(value)
-          key = AcaEntities::Configuration::Encryption.config.secret_key
-          iv = AcaEntities::Configuration::Encryption.config.iv
-          secret_box = RbNaCl::SecretBox.new([key].pack("H*"))
-          Success(secret_box.decrypt(iv, Base64.decode64(value)))
+          AcaEntities::Encryption::Symmetric.decrypt(params[:value])
         end
       end
     end
diff --git a/lib/aca_entities/operations/encryption/encrypt.rb b/lib/aca_entities/operations/encryption/encrypt.rb
index eba080f10..a87358d9f 100644
--- a/lib/aca_entities/operations/encryption/encrypt.rb
+++ b/lib/aca_entities/operations/encryption/encrypt.rb
@@ -15,18 +15,7 @@ class Encrypt
 
         # @param [hash] pass in value to be encrypted
         def call(params)
-          encrypted_value = yield encrypt(params[:value])
-
-          Success(encrypted_value)
-        end
-
-        private
-
-        def encrypt(value)
-          key = AcaEntities::Configuration::Encryption.config.secret_key
-          iv = AcaEntities::Configuration::Encryption.config.iv
-          secret_box = RbNaCl::SecretBox.new([key].pack("H*"))
-          Success(Base64.encode64(secret_box.encrypt(iv, value)))
+          AcaEntities::Encryption::Symmetric.encrypt(params[:value])
         end
       end
     end
diff --git a/spec/aca_entities/operations/encryption/decrypt_spec.rb b/spec/aca_entities/operations/encryption/decrypt_spec.rb
index 1118187d7..97ce000b4 100644
--- a/spec/aca_entities/operations/encryption/decrypt_spec.rb
+++ b/spec/aca_entities/operations/encryption/decrypt_spec.rb
@@ -8,12 +8,27 @@
 
   subject { described_class.new.call(input) }
 
-  context 'When any type of value is passed' do
+  context 'Given a value encrypted with the corresponding encryption operation' do
 
     let(:encrypted_value) {AcaEntities::Operations::Encryption::Encrypt.new.call({ value: "Hello World" }).value! }
     let(:input) { { value: encrypted_value } }
 
-    it 'should return success with decrypted value' do
+    it 'can decrypt correctly' do
+      expect(subject).to be_a Dry::Monads::Result::Success
+      expect(subject.value!).to eq "Hello World"
+    end
+  end
+
+  context 'Given a legacy encrypted value' do
+    let(:encrypted_value) do
+      key = AcaEntities::Encryption::Symmetric::LegacyKeyset.secret_key
+      iv = AcaEntities::Encryption::Symmetric::LegacyKeyset.iv
+      box = RbNaCl::SecretBox.new(key)
+      Base64.encode64(box.encrypt(iv, "Hello World"))
+    end
+    let(:input) { { value: encrypted_value } }
+
+    it 'can decrypt correctly' do
       expect(subject).to be_a Dry::Monads::Result::Success
       expect(subject.value!).to eq "Hello World"
     end