Small employers: Your CalSavers registration deadline is approaching
The CalSavers Retirement Savings Program is a state-run retirement savings system for private-sector California employers that do not sponsor their own employee retirement plans. The program enrolls eligible employees into Roth Individual Retirement Accounts (IRAs) and was implemented in phases based on employer size. The registration deadlines are as follows:
| Employee Count | Deadline for Registration |
|---|---|
| 100 or more | September 30, 2020 |
| 50–99 | June 30, 2021 |
| 5–49 | June 30, 2022 |
| 1–4 | December 31, 2025 |
Accordingly, small or newly established employers without their own retirement plans must register by December 31, 2025, via the CalSavers employer portal.
There are no employer fees, no contributions, and no fiduciary responsibilities. Fortunately, the program also requires minimal administrative oversight.
Employers offering any of the following retirement plans are exempt: 401(k) plans, 403(b) plans, SEP plans, SIMPLE IRA plans, pension or defined benefit plans, or payroll deduction IRAs with automatic enrollment. Exempt employers must still report their exemption through the CalSavers website.
Eligible employees are automatically enrolled in the program upon hire unless they opt out.
Employers who fail to register or report as required will receive a notice from CalSavers. Failure to comply within 90 days of notice may result in penalties.
For more information or to register, visit the CalSavers employer portal.