Practice Management
The California Secure Choice Retirement Savings Investment Board on April 15 decided to extend the deadline for employers with 100 or more employees to register with CalSavers, the state-run retirement program for employees whose employers do not offer a retirement plan.
The extension will give employers until Sept. 30, 2020 to register with CalSavers; the deadline had been June 30, 2020. The board took this action because of the COVID-19 pandemic. The board has issued a Notice of Proposed Emergency Regulation Action to amend Section 10002(a)(1) of the CalSavers Retirement Savings Program regulations to change the registration deadline for eligible employers with more than 100 employees from June 30, 2020 to Sept.30, 2020.
The extension will give employers until Sept. 30, 2020 to register with CalSavers; the deadline had been June 30, 2020. The board took this action because of the COVID-19 pandemic. The board has issued a Notice of Proposed Emergency Regulation Action to amend Section 10002(a)(1) of the CalSavers Retirement Savings Program regulations to change the registration deadline for eligible employers with more than 100 employees from June 30, 2020 to Sept.30, 2020.
“Business owners are facing unprecedented challenges due to the COVID-19 emergency. We hope this action will help employers as they navigate through this difficult time. We are ready to help employers get started as they move into recovery,” said California State Treasurer Fiona Ma, who chairs the California Secure Choice Retirement Savings Investment Board, in a press release.
California Secure Choice Retirement Savings Investment Board Executive Director Katie Selenski stressed the heightened need for savings and the flexibility built into CalSavers. In a press release, Selenski said, “Now more than ever, the importance of long- and short-term savings is clear. CalSavers was designed to be flexible and, if necessary, help savers through periods of emergency.”
But Not So Fast
And the change will not take place immediately. California law requires that at least five working days before submission of a proposed emergency action to the Office of Administrative Law (OAL), the adopting agency must provide a notice of proposed emergency action to every person who has filed a request for notice of regulation action with the agency. After the proposed is submitted, the OAL must allow interested persons five calendar days to submit comments on the proposal. When it is filed, the OAL has 10 calendar days to review and make a decision on the proposal. If it is approved, the OAL will file the regulations with the Secretary of State, and the emergency regulations will become effective for 180 days.
And the change will not take place immediately. California law requires that at least five working days before submission of a proposed emergency action to the Office of Administrative Law (OAL), the adopting agency must provide a notice of proposed emergency action to every person who has filed a request for notice of regulation action with the agency. After the proposed is submitted, the OAL must allow interested persons five calendar days to submit comments on the proposal. When it is filed, the OAL has 10 calendar days to review and make a decision on the proposal. If it is approved, the OAL will file the regulations with the Secretary of State, and the emergency regulations will become effective for 180 days.
And the board’s extension of the registration deadline for employers with more than 100 employees does not change existing deadlines for 2021 or 2022. Employers with more than 50 employees have until June 30, 2021 to register, and employers with at least five employees have until June 30, 2022 to do so.
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