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The information provided on this site is for general informational purposes only and should not be construed as professional financial, tax, or legal advice. For advice tailored to your specific situation, we recommend consulting with a qualified professional.
If you have a business at least one person on Payroll in California - PAY ATTENTION!
🚨 California Expands Retirement Plan Mandate
Action needed by December 31, 2025
California has expanded its retirement mandate to the smallest employers. If you have even one W-2 employee (other than the owner or owner’s spouse) and do not sponsor a qualified plan, you must either (a) adopt a private plan (e.g., 401(k), SIMPLE IRA) or (b) register for CalSavers by December 31, 2025.
Penalties for non-compliance: $250 per eligible employee if you remain non-compliant 90+ days after notice, plus an additional $500 per eligible employee at 180+ days. Those add up quickly.
Why It Matters
- Compliance: Non-compliance triggers penalties of $250 per employee after 90 days and $500 per employee after 180 days.
- Flexibility: You may choose between a private retirement plan (more control, possible tax benefits) or the state-run CalSavers program.
- Exemptions: If you already sponsor a retirement plan, simply file an exemption with CalSavers.
Quick Decision Guide
- Do you have at least one W-2 employee (not counting owner/spouse)?
- ❌ No → Exempt (you may opt in voluntarily).
- ✅ Yes → Continue.
- Do you already have a plan?
- ✅ Yes → File CalSavers exemption form.
- ❌ No → Adopt a private plan or register with CalSavers by 12/31/25.
Need help fast (or prefer a turnkey setup)?
- We’re happy to review costs, design options, payroll integration, and tax implications so you choose the most cost-effective path.
- Or, contact Tyler at ADP directly—he’s offering aggressive pricing for our clients and can stand up a compliant plan quickly. (Tell him you’re with our firm.)
✅ Final Takeaway
Don’t wait until penalties hit—take action now.
- Special Deal: Contact Tyler Mata at ADP (📞 928-243-4860) for an exclusive offer for our clients.
- Need Guidance? Call our office—we’ll help you review options and keep you compliant.
- Deadline: December 31, 2025
Closing Note:
We’re here to keep your business sharp, your taxes optimized, and your future protected. If you’d like to see whether this strategy fits your situation, reach out today. 855-922-WeDo (9336)
by: Michael DiSabatino
Pull ahead and accelerate your business growth!
The first step toward financial success is scheduling a consultation with our team. Bring your questions and concerns to our attention. Our engines are revved and ready to drive your business across the finish line as the champion of your industry!
Pull ahead and accelerate your business growth!
The first step toward financial success is scheduling a consultation with our team. Bring your questions and concerns to our attention. Our engines are revved and ready to drive your business across the finish line as the champion of your industry!
(855) 922-9336 |
