CA Retirement Plans


Employers MUST offer a Retirement Plan if you have 5 or more emloyees.  Learn your options, give us a call for a No-obligation consultation. 

California passed legislation that employers (including Non-Profit employers) who do not sponsor an employee-retirement plan must get one or participate in a state-run retirement program, known as CalSavers.

Employers who fail to comply with the requirements of the California mandate may be fined by the California Franchise Tax Board. 

Effective Deadlines based on W-2 employees:

September 2020   Employers with 100 or more employees

June 30, 2021    Employers with 50 or more employees

June 30, 2022   Employers with 5 or more employees

Employees include, full time, part time and seasonal employees.  An Employer with 2 full time employees, 1 part time employee and 2 seasonal employees are required to meet this mandate.

Action is needed by ALL California Employers.  You must request Exemption from or Enroll in CalSavers.


401k Plans offers the greatest flexibility to the Employer for defining eligible employees; terms and loan options.  Settling up a new 401k Plan provides some tax credit.

SIMPLE IRAs; SEP IRAs; 403b and 457 Plans will allow employers to be exempt from CalSavers.  Many of these options will be less costly both in money and time for the Employer.

CalSavers ONLY offers ROTH IRA accounts and therefore may not be allowed for some employees.  It is the Employers and Employees responsibility to know if they are eligible for contribution.  Employees have the option to Opt-Out but must do so annually.

For a No-Obligation consultation for your business, please give us a call and we will provide information on which Retirement Plan structure is your best fit.  831-717-4235