States are Requiring Qualified Employee Retirement Plans

Oregon and California, are among states now requiring employers to offer qualified retirement plans to their employees. These legislative measures are meant to prepare citizens for retirement.

These mandates have already rolled out in 11 states, with many more coming down the pipeline, including our third most popular client state, New Mexico.

We have a solution that can best these programs and is available at no cost for our PEO clients*!

Please read the message below and click the to learn more about your state’s required program. Is your state not listed? This email address is being protected from spambots. You need JavaScript enabled to view it. for more information.

What are the eligibility requirements?

• Oregon Employers – All registered employers are required to offer a qualified retirement plan.
• California Employers – Employers with five or more employees are required to offer a qualified retirement plan.
• Employees – Must be offered participation in a state program or otherwise qualified plan if they are 18 years or older (state programs); receiving wages and/or are self-employed; a sole-proprietor; or a partner in a partnership.

Our new partnership with Slavic401K is a great choice whether you are in a state currently requiring participation in a 401K plan like Oregon or California*, or you simply want to enjoy the business tax benefits and personal portfolio growth of retirement savings. Some of the key features include:

• Prism Employee Portal – Integration means all needed retirement info, paystubs, updating withholdings and more are available from a single sign on in a system you and your staff already use.
• Financial Experts – Weekly portfolio analysis at your employees’ fingertips, or available any time on demand.
• Choice of Portfolio Mix – Staff select the mix of IRA, 401K, markets, and indexes that makes sense for them (and can update at any time).
• More for Tomorrow – Higher annual investment caps for 401k plans allow owners and staff alike to save for their future at their pace.
• Trusted Advisors – 30+ years of experience available through Slavic; enjoy your investment strategy, hands-on or bespoke, knowing you are in good hands.
• Tailored Retention Benefits – Company owners can elect contribution match, profit sharing, or bonus options that fit their business.
• Tax Benefits and Potential Savings – Up to $5000 business tax credit in first three years of initiation of 401K plan for qualifying business. Ample personal tax benefits to share with staff**.

Free for PEO clients* including fiduciary oversight, record keeping, and plan administration costs. One-time setup or plan transfer fees may apply for transitioning existing 401K, please This email address is being protected from spambots. You need JavaScript enabled to view it. for more details!

Why choose or circumvent state programs?

Oregon Saves, CalSavers, and NM Work and Saves Act are built on Roth individual retirement accounts (IRA) and traditional IRAs and have no cost associated with enrollment nor participation.

Many small business appreciate that staff contributions through these programs belong directly to the employee and are portable to any employer offering state programs.

Conversely, compared to other investment options through a private retirement program, staff and businesses may see fewer tax benefits. These programs also are limited by a lack of robust investment options, and lower contribution limits due to lack of 401K integration.

Further, because state programs belong to a business’ individual FEIN, administration is a shared responsibility for PEO clients or solely the responsibility of HRO and ASO clients.***

For tax benefits, more robust program portability, investment options, administrative support, and importantly higher caps for contributions, we are excited to offer a premium alternative to our clients through Slavic!

What Next?

If you are a PEO client and you would like us to take on this requirement for you, simply let us know and we will schedule time to connect with you and our partners for greener tomorrows!

• This email address is being protected from spambots. You need JavaScript enabled to view it.
• 503-646-5716 and ask for Human Resources

Are you an ASO or HRO client who needs to start the process of participating in a state program? Please utilize the below links to get started and reach out if you need assistance!

• Oregon Saves
• CalSavers
• New Mexico Work and Saves Act