CalSavers: does your business have to register, and by when?

If your California business had an average of one or more employees last year and doesn't sponsor a qualified retirement plan, the state requires you to register with CalSavers or offer your own plan.

The next deadline is December 31, 2026, for employers newly required to join in 2026.

Employers newly required to join register, or report an exemption, by December 31 of that year. If you already offer a 401(k), you report an exemption instead.

Deadline coming upCalSavers

Who has to do this?

Under the CalSavers law (Cal. Gov. Code § 100000 and following) and its regulations4, a California employer is covered when all of these are true:

  • You employed an average of one or more California-based employees in the previous calendar year, as reported on your four quarterly DE 9C payroll filings. 2
  • You don't sponsor a qualified retirement plan. 2
  • You have employees other than the owners. A business with no employees besides its owners is exempt. 1

What a covered employer does: Register with CalSavers and send employees' payroll deductions, or report an exemption. 3

When?

The next deadline is December 31, 2026, for employers newly required to join in 2026.

CalSavers deadlines
WhoDeadlineWhat is due
Employers with more than 100 employeesSeptember 30, 2020PassedRegister or certify an exemption 4
Employers with more than 50 employeesJune 30, 2021PassedRegister or certify an exemption 4
Employers with 5 or more employeesJune 30, 2022PassedRegister or certify an exemption 4
Employers with 1 to 4 employeesDecember 31, 2025PassedRegister or certify an exemption 1
Employers newly required to join in 2026December 31, 2026Register or report an exemption by December 31 of the current year 3

Each year, employers that newly meet the test have until December 31 of that year to register or request an exemption. 3

What is CalSavers?

  • Savings go to a Roth IRA in each employee's name by default. 2
  • The default contribution is 5% of gross pay, rising 1% each year up to 8%. Employees can change it or opt out. 2
  • Employers are not allowed to contribute or match. 2

What if we already have a 401(k)?

  • Employers that sponsor a qualified retirement plan, such as a 401(k), 403(b), SEP or SIMPLE IRA, are exempt. 1
  • CalSavers asks exempt employers to report the exemption in its employer portal with the CalSavers access code and the company's EIN. 2

Your two options

Either one meets the requirement. The state program column is as the state describes it; which suits you depends on your business and your people.

Join CalSaversOffer your own plan
What you doRegister with CalSavers and send employees' payroll deductions, or report an exemption. 3Report an exemption in the CalSavers employer portal with your access code and EIN. 2
Where the money goesA Roth IRA for each employee, by default 2Accounts in the plan you choose, such as a 401(k)
Employer contributionsNot permitted 2Up to you, within the plan's design
Fee to the employerNo employer fee for taking part, according to the program. 2Set by the provider you choose

What does it cost?

The state program: No employer fee for taking part, according to the program. 2

Your own plan: the provider sets the fees, and federal tax credits can cover part of the cost of starting one. See 401(k) tax credits for small businesses and our pricing.

What happens if we don't?

  • $250 per eligible employee if noncompliance lasts 90 days or more after a notice, and another $500 per eligible employee at 180 days or more. 2
  • After that, $500 per eligible employee for each later calendar year of noncompliance. 4

General information, not legal advice. Rules change; confirm with the state program or your counsel.

Sources & Methodology
  1. CalSavers Retirement Savings Board, Employers. Read October 13, 2026.
  2. CalSavers Retirement Savings Board, Frequently asked questions. Read October 13, 2026.
  3. CalSavers Retirement Savings Board, Employer information. Read October 13, 2026.
  4. California State Treasurer, CalSavers Retirement Savings Board, CalSavers regulations (Cal. Code Regs. tit. 10, ch. 15). Read October 13, 2026.

Each statement is paraphrased or quoted from the source it cites. A link to a state agency does not mean the agency endorses alooola. Last verified October 13, 2026.

Get help with CalSavers in three steps

  1. Tell us about your business: your state, how many people work for you, and any plan you have now.
  2. An advisor talks it through with you and sends a written proposal with the fees, so you can weigh it against the state program.
  3. If you choose your own plan, we coordinate the setup with you and your payroll provider. You then certify your exemption with the state.
Request a proposal

Prefer to talk? Call (484) 275-5525, Monday–Friday, 9am–5pm ET.