Ratified by the California State Legislature in 2016, new laws were enacted that require certain employers to provide retirement plan benefits for their employees.

What is CalSavers?

CalSavers is the name of a new law that requires that employers with at least five employees must soon offer an employer-sponsored retirement plan.

Who does it impact?

Every California employer must participate in CalSavers if it has:

  1. No retirement plan; and
  2. More than five full or part-time employees (with at least one employee in California).

Calsavers Vs. 401k

Dates to consider

The mandatory registration dates for employers will phase-in yearly, based on the number of full-time and part-time employees working for the employer. The following deadlines are based on the average number of employees as reported to the California Employment Development Department over a four-quarter period ending December 31.

  • » Sept 30, 2020: Employers with at least 100 employees.
  • » June 30, 2021: Employers with 50-99 employees.
  • » June 30, 2022: Employers with 5-49 employees.

**Note** The content of this resource is intended exclusively for marketing purposes. For more information on the CalSavers program, visit www.calsavers.com