California employers—especially small businesses—should be aware of an important compliance deadline coming up at the end of this year. Under state law, employers who do not offer a qualified retirement plan must register for the CalSavers Retirement Savings Program or apply for an exemption by December 31, 2025  

What Is CalSavers? 

CalSavers is a state-sponsored retirement savings program designed to help employees save for the future through automatic payroll deductions into a Roth IRA. It’s free for employers to facilitate and requires no employer contributions or fiduciary responsibility. 

Who Must Register? 

Any California employer that: 

• Has one or more employees (age 18+) based in California, 

• Does not offer a qualified retirement plan (like a 401(k), SIMPLE IRA, etc.), 
• And is not exempt (e.g., sole proprietors with no employees, religious or tribal organizations) 

Employers with 1–4 employees are the final group required to register or file for exemption by December 31, 2025.  Larger employers were required to comply in earlier phases. Employers who fail to register or apply for an exemption may face penalties of up to $750 per eligible employee. 

Find more info and registration at employer.calsavers.com  

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