Employers With 5 or More Employees Required to Offer Retirement Savings Program by June 30, 2022

California law requires small employers with 5 to 50 California-based employees to offer a retirement savings program or enroll as a participating employer in the CalSavers Retirement Savings Program by June 30, 2022. The requirement is based on a company’s having California-based employees, regardless of the company’s state of incorporation or headquarters location.

Small employers that sponsor their own retirement savings program are required to register as exempt from the CalSavers program by the June 30 deadline. Information about the CalSavers program and employer registration may be found on the CalSavers program’s employer website.

While the CalSavers program may meet your legal requirements, there may be a better plan or plans for you to offer. Moskowitz LLP provides consultation to businesses to determine the best type of employee plan to offer from a tax and employee benefit perspective. Read more on our thoughts on Employee Benefit/Retirement Planning here.