Where Does CalSavers Stand?

CalSavers, the state-provided retirement plan for employees whose employers do not provide one, was launched on July 1, 2019. Now, more than two and a half years later, where does it stand? 

Registration

Registration was set to take place in three waves: 

• Wave 1: Employers with more than 100 employees had to register by Sept. 30, 2020. 
• Wave 2: Employers with 51-100 or more employers had to register by June 30, 2021.
• Wave 3: Employers with five or more employees must register by June 30, 2022. 

CalSavers has reported that the number of registered employers more than tripled in 2021. As of Jan. 31. 2022, here’s where it stands, according to the CalSavers Retirement Savings Board: 

Registrations by Wave 

Wave	Registered Employers	Exempted Employers	Employers that Responded	Total Estimated Mandated Employers	Response Rate
Wave 1	1,696	5,442	7,138	7,833	91.13%
Wave 2	3,580	5,203	8,783	11,283	77.84%
Wave 3	21,772	49,200	70,972	267,982	26.48%
Total	27,048	59,845	86,893	287,098	30.27%

 

Registrations, Month to Month 

Measure	As of Oct. 31, 2021	As of Nov. 30, 2021	As of Dec. 31, 2021	As of Jan. 31, 2022
Employers registered	17,025	21,191	23,203	27,048
Employers that have started payroll deductions	6,277	6,566	7,059	7,865

 

Engagement

As with participation, employers and employees also were actively engaged in CalSavers in 2021. 

Employers. The number of registered employers tripled to more than 23,000 in 2021. 

Employees. Almost all—95%—of participating employees accepted the automatic but voluntary escalation of their contribution rate by one percentage point. For most of them that meant an increase from 5% to 6%.

Assets

Participants’ assets grew dramatically, reports the Board, and in aggregate they were contributing $16 million per month by the end of 2021, through an average contribution of $150 per month.

Assets, Month to Month 
 

Measure	As of Oct. 31, 2021	As of Nov. 30, 2021	As of Dec. 31, 2021	As of Jan. 31, 2022
Payroll contributing accounts	216,504	225,179	234,842	244,534
Total assets	$144,760,876	$154,303,495	$186,563,486	$202,134,184
Average funded account balance	$718	$738	$782	$794

 

Withdrawals

Participants may make withdrawals from their accounts as well. 
 

Measure	As of Oct. 31, 2021	As of Nov. 30, 2021	As of Dec. 31, 2021	As of Jan. 31, 2022
Withdrawals	$15,665,723	$18,105,870	$20,493,838	$23,901,548
Accounts with a partial withdrawal	1,702	1,995	2,237	2,554
Accounts with a full withdrawal	27,000	28,973	30,686	33,316

 

Opt-Outs

Participants may opt out of CalSavers. The percentage of participants opting out has held at close to 30% for a number of months. 

 

As of Oct. 31, 2021	As of Nov. 30, 2021	As of Dec. 31, 2021	As of Jan. 31, 2022
29.6%	29.79%	29.74%	29.88%