Bill > AB2650

This bill makes several changes to the CalSavers Retirement Savings Program, which aims to help private employees save for retirement. Key provisions include expanding the definition of "eligible employer" to include household employers, who hire individuals for their homes and issue W-2 tax forms. The bill also removes the program's ability to invest in myRAs (a federal retirement savings program) and instead requires the program to establish Individual Retirement Accounts (IRAs) for participants who are eligible for other federal or state retirement benefits, and to create payroll deposit emergency savings accounts to protect retirement investments, with participants being notified 30 days before these accounts are created. Additionally, the bill authorizes the CalSavers Retirement Savings Board to explore multi-state or regional agreements for program administration and changes the requirement for vendors to contract with the board instead of registering for a "clearinghouse" on the board's website, which is being eliminated. The deadline for eligible employers to offer a retirement savings arrangement is also extended to December 31, 2027, and penalties for non-compliant employers are increased, with a limit on how often they can be imposed.

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB2650