Start a CalSAVERS Account

The CalSAVERS Program combined with California’s minimum wage law can help boost young, low-income workers' retirement income by 50%.
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What is CalSAVERS?

CalSAVERS was created to help people who don’t have access to a retirement plan through their work. This program is now a state mandate, and every employer who has five or more employees and doesn’t offer their own retirement program must enroll eligible employees within 30 days of their hiring. Employees can opt out at any time.

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What are the Benefits of a CalSAVERS Account?

CalSAVERS helps people save towards retirement by taking a portion of their paycheck and putting it towards an Individual Retirement Account (IRA). The CalSAVERS program is beneficial for those who have an employer that does not offer their own retirement plan.

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Who Qualifies for CalSAVERS?

After June 30, 2022, all employers with five or more employees are mandated by the state of California to offer either CalSAVERS or another type of retirement plan to their employees.

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Businesses that have between one and four employees will be required to offer CalSAVERS or another retirement plan by December 31, 2025. If you currently work for an employer with one to four employees and they do not offer a retirement plan, a CalSAVERS account is a good option for you.

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Are There Other Options?

Yes! There are a variety of options for people who have an earned income and want to start a retirement account. It’s important to note that a large majority of retirement plans require that you have earned income from a job and that you go through an employer to start an account. Additionally, if you’re looking to start an account on your own, individual 401k accounts are only available to those who are self-employed and business owners.

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If your employer offers multiple different options, you should ask some questions to see what type of account is right for you.

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Questions You Should Ask:

• What is the difference between a 401k and an IRA (Individual Retirement Account)?
• Do I need to have earned income to open an account?
• Are there any fees associated with this account?
• How do fees differ? 
• Am I taxed on the money that I pull out of the account? 
• Will my employer match any of the funds that I contribute?
• Does money I contribute help lower my taxable income?
• What is the maximum amount that I can contribute every year?

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Have an ITIN?

People with Individual Taxpayer Identification Numbers (ITIN) are eligible for the CalSAVERS program and for other retirement plans like a 401k.

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Open or Manage Your CalSAVERS Account

Open or manage your account by visiting CalSAVERS.

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Knowledge Check

Let's do a quick knowledge check on CalSAVERS accounts!

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