To all [Company Name] employees:
The state of California has set up a state-administered retirement program called CalSavers that most California businesses must offer to their employees by June 30, 2022, unless the business already offers a retirement program to their employees.
Unless you “opt out” or request that a different amount be withheld, we are required to automatically withhold 5% of your pay to contribute to your CalSavers retirement account. Your CalSavers account is a Roth IRA retirement account administered by the state of California. Please consult your tax advisor to determine whether you qualify to contribute to a Roth IRA and whether opting out of the CalSavers program is advisable for you.
Even if you are not eligible to contribute to a Roth IRA, we are required to continue withholding your CalSavers contribution from your paycheck until you opt out. You must opt out on the CalSavers website (https://saver.calsavers.com/home/savers/program-details.html) or by calling (855) 650-6918.
Our company does not offer a retirement program to employees. We have completed our required registration with CalSavers. The CalSavers program will be contacting you directly to share more information about this program. The communication will be sent to the e-mail or mailing address you have on file with us and will come from a company called Ascensus (e-mail: clientservices@calsavers.com), which is working with the state of California to administer the program.
If you have any questions regarding the program, you can go to www.calsavers.com or call (855) 650-6918.
Please note: [Company Name] does not sponsor or maintain CalSavers. [Company Name]’s involvement in CalSavers is limited to processing your payroll withholding contributions to the program and remitting them to CalSavers. We do not promise any particular investment return on your savings under CalSavers. In accordance with federal government regulations, [Company Name] does not endorse CalSavers. If you would like tax, investment, or financial advice, you should contact a financial advisor. [Company name] is not in a position to provide financial advice.
