Corporate Payroll Services

State Retirement Program Mandates: What States Have Them and When Do They Take Effect?


Originally published by our partners at Vestwell.
Fourteen states have already enacted retirement savings programs to help individuals save for retirement.  Program mandates, structure, and roll-out vary, so be sure to understand how (and if) this applies to you and your company.  Here are some brief descriptions of the programs in different states:



Name: CalSavers

Mandate: Companies with 5+ employees must offer a plan or face a fine of $250 per eligible employee after 90 days of noncompliance and an additional fee of $500 per eligible employee after 180 days of non-compliance.

Timing:  As of June 30, 2022, this with 5+ employees must have complied.



Name: Colorado Secure Savings Programs

Mandate: Companies that have been in business for 2+ years with 5+ employees must offer a plan or face a fine of up to $100 per eligible employee per year (up to a max of $5,000 annually).

Timing: The pilot program begins in October 2022 and enrollment begins in 2023.



Name: MyCTSavings

Mandate:  Companies with 5+ employees paid more than $5K each in the calendar year (unless the business already offers a qualified, employer-sponsored retirement plan).  Non-compliance may result in an investigation and penalties.

Timing: MyCTSavings launched its pilot program in August of 2021 and the full rollout of the program is currently in motion.  At this time, the deadlines for registration for MyCTSavings are:

06/30/2022:  Employers with 100 or more employees.

10/31/2022:  Employers with 26 to 99 employees.

03/30/2023:  Employers with 5 to 25 employees.



Name: Illinois Secure Choice Retirement Program

Mandate: Companies with 25+ employees, have been in operation for at least 2 years, and do not offer a qualified employer-sponsored retirement plan.  Legislation has been recently enacted that lowers the threshold from 25 to 5 employees.  The enrollment deadlines for companies with less than 25 employees will be in waves starting in 2022.

Timing: Already live.  Upcoming enrollment deadlines are:

November 1, 2022: Employers with 16-24 employees must start offering a retirement plan or Illinois Secure Choice.

November 1, 2023: Employers with 5-15 employees must start offering a retirement plan or Illinois Secure Choice.



Name: Small Business Retirement Savings Program (Maryland Saves)

Mandate: Mandatory for all companies with automatic payroll processing that have been in business for 2+ years.  By offering a plan, the State will waive the annual $300 filing fee.

Timing: The pilot has been launched while targeting a fully expanded launch in September 2022.



Name: Maine Retirement Savings Program

Mandate: Mandatory for companies with 5+ employees, with the following two exceptions: (1) companies which have offered a tax-favored retirement plan at any time in the current or past two calendar years, or (2) companies which have not been in business during both the current and previous calendar year.

Timing: Launching April 1, 2023, the program will be implemented in three phases, based on company size, with the following enrollment deadlines:

April 1, 2023: Employers with 25 or more employees in Maine must start offering the program.

October 1, 2023: Employers with 15 to 24 employees in Maine must start offering the program.

April 1, 2024: Employers with 5 to 14 employees in Maine must start offering the program.

However, eligible employers of all sizes can voluntarily start offering the program to their employees on April 1, 2023.



Name: New Jersey Secure Choice Savings Program Fund

Mandate: Companies with 25+ employees (including leased employees) that have been in business 2+ years must offer a plan or face penalties which increase annually.  Employers with less than 25 employees and less than 2 years in business can join voluntarily.  Governmental employers and independent contractors are excluded.  NJ businesses which do not adhere to state-mandated retirement legislation within one year will receive a written warning from the government.  Each subsequent year of non-compliance will result in these penalties:

2nd year: $100 per employee

3rd and 4th years: $250 per employee

5th year and beyond: $500 per employee

Timing: To be determined, as the program is not yet operational.



Name: New Mexico Work and Save Program

Types: Planning to change their legislation in 2023 to mandate employer participation for eligible businesses.  Will partner with Colorado Secure Savings Program.

Mandate: Voluntary.  All companies with their primary place of business located in New Mexico are eligible.

Timing: Launching July 1, 2024.



Name: New York State Secure Choice Savings Program

Mandate: Requires most employers with 10 or more employees to provide retirement options for workers.  Senate Bill S5395A requires private sector employers without a current retirement plan to automatically enroll their employees in New York’s program.

Timing: Expected to launch in 2022.



Name: OregonSaves

Mandate: All employers that don’t already offer a qualified, employer-sponsored retirement plan.

Timing: Already live and mandatory for all companies with 5+ employees; There is a 3/1/23 deadline for businesses with 1-4 employees.



Name: Green Mountain Secure Retirement Plan

Type: MEP designed for employers with 50 or less employees (including self-employed) and employers that currently do not offer a retirement plan.

Mandate: Voluntary.

Timing: Already live.



Name: VirginiaSaves Program

Mandate: Mandatory for companies with 25+ employees that have been in business for 2+ years and do not already offer a qualified retirement plan to employees.   Noncompliance may result in fines of up to $200 per eligible employee.  The Board is still finalizing details.

Timing: Scheduled to launch on or before July 1, 2023.



Name: Retirement Small Business Marketplace (run by the Washington State Department of Commerce)

Types: Participating financial service providers offer 9 types of low-cost IRAs and 401(k)s to companies with less than 100 employees including sole proprietors and self-employed.

Mandate: Voluntary.

Timing: Already live.

Additionally, Arizona, Arkansas, Idaho, Indiana, Iowa, Kentucky, Louisiana, Minnesota, Missouri, Montana, Nebraska, Nevada, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Utah, West Virginia, Wisconsin and Wyoming have all introduced legislation but no word yet on when or if they will mandate the offered plans.

Schedule a time with a Corpay Retirement Services expert to see how you can affordably comply.


​Actify Investor Retirements, LLC dba Corpay Retirement Services.  Investment advisory services provided by Actify Investor Retirements, LLC. Actify Investor Retirements, LLC is a Registered Investment Advisor.  Information presented is for informational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies.  Investments involve risk and unless otherwise stated, are not guaranteed.  Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed herein.