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

If your business has at least five employees in Delaware, was in business there for at least six months of last year, and offers no qualified retirement plan, the state requires you to register with Delaware EARNS or offer your own plan.

Every deadline the state has listed has passed; the most recent was June 30, 2026, for businesses newly eligible in 2026.

Newly eligible businesses are notified each year, with their own deadline. If you offer a 401(k), you certify an exemption instead.

In forceDelaware EARNS

Who has to do this?

Under Delaware's EARNS law (19 Del. C. chapter 38)2, a Delaware employer is covered when all of these are true:

  • You employ, and during the previous calendar year employed, at least five covered employees. Nonprofits are included. 2
  • You were in business in Delaware for at least six months of the previous calendar year. 2
  • You don't offer a qualified retirement plan. 1

What a covered employer does: Register with Delaware EARNS, give employees the choice to save or opt out, and send their contributions on time, or certify an exemption. 2

When?

Every deadline the state has listed has passed. The rule is in force.

Delaware EARNS deadlines
WhoDeadlineWhat is due
All covered employers (first deadline)October 15, 2024PassedRegister or certify an exemption 6
Covered employers not yet registeredOctober 15, 2025PassedRegister or certify an exemption 5
Businesses newly eligible in 2026June 30, 2026PassedRegister or certify an exemption 1

The program sends notices to newly eligible businesses each year. The deadline for the 2026 group was June 30, 2026; no later date is published yet. 1

What is Delaware EARNS?

  • Savings go to a Roth IRA in each employee's name by default. 2
  • Employees save 5% of wages to start, rising 1% each January up to 10%, unless they choose otherwise. 3
  • Employers may not contribute. 2

What if we already have a 401(k)?

  • Employers that maintain a 401(a), 401(k), 403(b), SEP or SIMPLE IRA plan are not covered. 2
  • Certify your exemption online at EARNSDelaware.com/exempt with the Access Code from your notice and your EIN. 1

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 Delaware EARNSOffer your own plan
What you doRegister with Delaware EARNS, give employees the choice to save or opt out, and send their contributions on time, or certify an exemption. 2Certify an exemption online with the Access Code from your notice and your EIN. 1
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 cost to employers, according to the state. 5Set by the provider you choose

What does it cost?

The state program: No cost to employers, according to the state. 5

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?

  • After a notice of noncompliance and 90 days to comply, the state may impose penalties of up to $250 per employee per year, capped at $5,000 a year. There is no enforcement until one year after an employer was first required to comply. 2
  • The Treasurer's plan for 2026 starts formal enforcement with Notice of Obligation letters. 4

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

Sources & Methodology
  1. Delaware Office of the State Treasurer, Delaware EARNS, Program details (employers). Read October 13, 2026.
  2. State of Delaware, Delaware Code, Title 19, Chapter 38. Read October 13, 2026.
  3. Delaware Office of the State Treasurer, Delaware EARNS, Program description, page dated March 2026. Read October 13, 2026.
  4. Delaware Office of the State Treasurer, EARNS strategic objectives for 2026, page dated December 2025. Read October 13, 2026.
  5. State of Delaware News, October 15 deadline approaching for employers to register for Delaware EARNS, page dated October 1, 2025. Read October 13, 2026.
  6. State of Delaware News, Registration is now open for Delaware EARNS, page dated July 1, 2024. 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 Delaware EARNS 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.