401k Deadline for CA Employers Approaching June 30th 2021
Last year began the induction of the Secure Act program for workers in California to be able to save for retirement. Employers with 100+ employees had show proof of a retirement plan by June 30th, 2020. This year, that deadline is for all employers with 50+ employees. In 2022, it will be for all employers with 5+ employees. Firm Foundation HR is helping our clients stay on top by providing up to date services and products. Our retirement plans save more money for your employees than our competitors. Contact our team to start saving today!
• If you are an employer of 50+ employees, without an established qualified retirement plan for your workers, you need one by June 30, 2021. CalSavers is a state ran program that will help you meet the requirements, but why just meet them when you can beat them?
• Companies who fail to comply by their respected deadlines will pay a fine between $250-$500 per employee. However, the fine isn’t the worse part. Businesses are also opening themselves up for potential civil liability claims brought on by the staff. The damages done here could be more than monetary value.
• Firm Foundation HR has multiple options to help maximize your team’s retirement. We cater to all company sizes but our heartbeat is for the small businesses. If you thought you were too small to offer 401k to your staff please call us. Our Multiple Employer Plan (MEP) and Pooled Employer Plan (PEP) are the most affordable way to start saving for your team’s retirement. Don’t let another year go by without investing!