Eligible employers must first register their business before their mandated deadline. Once registered, employers will be required to begin facilitation of the program, including adding their roster of eligible employees and remitting contributions for participating employees. Based on the law, businesses with four or fewer employees must register by Dec. 31, 2025, or offer a private plan similar to the state program that meets the mandate.
Employers also will:
- Not be able to make contributions
- Submit employee contributions
- Incur no fees to facilitate the program
Even though there is no fee to register for the program, employers could face financial penalties for not having a retirement savings plan available for eligible employees to join. The proposed fines range from $250 per eligible employee if an employer remains noncompliant after 90 days of being served notice, escalating to $500 per eligible employee if noncompliance reaches 180 days or more after the notice.