{"id":660,"date":"2025-06-11T20:19:51","date_gmt":"2025-06-11T20:19:51","guid":{"rendered":"https:\/\/secure.eplanservices401k.com\/blog\/?post_type=article&#038;p=660"},"modified":"2025-06-11T20:21:02","modified_gmt":"2025-06-11T20:21:02","slug":"prepare-your-clients-for-calsavers","status":"publish","type":"article","link":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/","title":{"rendered":"Prepare Your Clients for CalSavers"},"content":{"rendered":"\n<p>In 2019, when CalSavers\u2014California\u2019s retirement plan mandate\u2014was first signed into law, financial advisors significantly increased the number of 401(k) plans they sold in the Golden State. However, that mandate only affected a small proportion, less than 2%, of overall businesses in California. That is changing this December, when businesses that employ between 1 and 4 people will also be required to comply with the law. The size of this opportunity for financial advisors is staggering. Here\u2019s what you need to know.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-text-align-center\">Key Takeaways<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>December\u2019s CalSavers deadline affects 1.5 million businesses in California.<\/li>\n\n\n\n<li>Take advantage of the chance to educate your solopreneur clients about retirement savings.<\/li>\n\n\n\n<li>Educate your clients about their retirement savings options.<\/li>\n\n\n\n<li>Help your clients understand that sponsoring a retirement plan is a win for them and their employees.<\/li>\n\n\n\n<li>Show your employees how an ePlan Services 401(k) compares to CalSavers.<\/li>\n\n\n\n<li>Stay ahead of the competition by preparing your out-of-state clients as well.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">CalSavers presents a massive opportunity for financial advisors<\/h2>\n\n\n\n<p>In 2019, when <a>CalSavers<\/a> was first launched, employers with 100 or more employees were required to enroll.<\/p>\n\n\n\n<p>In the last 6 years, that has changed dramatically. Starting December 31, 2025, businesses with even 1 employee or more are required to enroll in CalSavers or another qualifying retirement plan. If they don\u2019t, they could pay the price of up to $500 per employee.<\/p>\n\n\n\n<p>Nearly 1.5 million enterprises fall into the mandated range, employing between <a href=\"https:\/\/labormarketinfo.edd.ca.gov\/file\/indsize\/Chart_SOB2024_2.pdf\">1 and 4 people<\/a>. In other words, this December, three quarters of businesses in California will be legally required to establish a retirement plan. The market for businesses impacted by the mandated deadline is huge. How should financial advisors prepare?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Connect with your professional network today<\/h2>\n\n\n\n<p>Start with your network of California-based entrepreneurs. By giving your contacts a heads-up and helping them prepare for the new implementation, you can help strengthen your professional bonds and open conversations around the benefits of a retirement option beyond what\u2019s mandated.<\/p>\n\n\n\n<p>Some of your California contacts with small businesses may be unaware of CalSavers. Or they may misinterpret the requirement, thinking it doesn\u2019t apply to their businesses (more on that below). You wouldn\u2019t want your connections to end up like some business owners in Oregon who claim they didn\u2019t find out about Oregon\u2019s retirement savings mandate from the state, but from their payroll provider. Others have said the state didn\u2019t make it clear that the savings program was a requirement, so they initially ignored the notification. Misunderstandings like this can cause delays in plan implementation, which could eventually result in costly fines. (If you have a client who needs a 401(k), fast \u2014reach out to us. Your client\u2019s plan can be set up and funded within 24 hours.)<\/p>\n\n\n\n<p>Your inner circle needs to understand the state\u2019s mandate and what it means in relation to their businesses. More importantly, they must understand the price they\u2019ll have to pay if they fall into non-compliance.<\/p>\n\n\n\n<p>Proactively sharing your knowledge with your professional network could allow you all to stay on the same page, helping to ensure more cohesive working relationships down the road.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Connect with your solopreneur clients<\/h2>\n\n\n\n<p>Don\u2019t let your solopreneur clients get lost in the shuffle. When researching this topic, we uncovered confusion from solo entrepreneurs regarding the December 31, 2025 deadline. It mandates that companies with between 1 and 4 employees are obligated to establish a retirement plan or enroll employees with CalSavers. If your client runs a business of 1, does that include them?<\/p>\n\n\n\n<p>No, it does not include solo entrepreneurs. Your solo clients may breathe a sigh of relief to hear that&#8230;if they\u2019re misinformed, that is. Because, while they may be exempt from California\u2019s retirement savings mandate, that doesn\u2019t mean their retirement planning should fall by the wayside.<\/p>\n\n\n\n<p>After all, shouldn\u2019t all their sweat equity and hard work pay off with big retirement savings? Now is your chance to present them with their options, such as a solo 401(k), so they can start preparing for their future. As a trusted authority in your industry, it\u2019s necessary to make sure that no client gets left behind in the journey to saving for a comfortable retirement.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Review the benefits of establishing a retirement plan<\/h2>\n\n\n\n<p>Initially, your clients may have reservations about sponsoring a retirement plan for their employees, even if it\u2019s a legal requirement. Common objections range from setup is too difficult to retirement plans are too expensive. By anticipating these objections, you\u2019ll be ready to provide them with an exceptional solution.<\/p>\n\n\n\n<p>For starters, your clients can have an ePlan 401(k) plan set up in just 15 minutes and ready to fund within 24 hours. We\u2019ll even provide smooth plan administration so they can rest easy.<\/p>\n\n\n\n<p>Your clients might think that sponsoring a plan isn\u2019t worth the expense, but what they may not realize is changes from the SECURE Act allow special tax breaks for employers who <a href=\"https:\/\/www.irs.gov\/retirement-plans\/retirement-plans-startup-costs-tax-credit#:~:text=Eligible%20employers%20may%20be%20able%20to%20claim%20a%20tax%20credit%20of%20up%20to%20%245%2C000%2C%20for%20three%20years%2C%20for%20the%20ordinary%20and%20necessary%20costs%20of%20starting%20a%20SEP%2C%20SIMPLE%20IRA%20or%20qualified%20plan%20(like%20a%20401(k)%20plan.)\">setup new retirement plans<\/a>, add an <a href=\"https:\/\/www.irs.gov\/retirement-plans\/retirement-plans-startup-costs-tax-credit#:~:text=An%20eligible%20employer,auto%2Denrollment%20plan.\">automatic enrollment feature<\/a>, and provide <a href=\"https:\/\/www.irs.gov\/retirement-plans\/retirement-plans-startup-costs-tax-credit\">employer contributions<\/a>.<\/p>\n\n\n\n<p>You can even help seal the deal by showing them their savings potential with our <a href=\"https:\/\/secure.eplanservices401k.com\/blog\/article\/determine-client-tax-credit-eligibility-with-our-secure-act-tax-credit-estimator\/\">Tax Credit Estimator<\/a>. Simply enter information about your client\u2019 companies into the estimator and click calculate. You\u2019ll be able to show your clients their potential tax savings in real time.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Compare the CalSavers IRA to the advantageous alternative\u2014 ePlan Services\u2019 401(k) plan<\/h2>\n\n\n\n<p>Unlike the CalSavers IRA which doesn\u2019t permit employer contributions, an ePlan Services 401(k) plan will allow higher contribution limits for participants, matching or profit-sharing employer contributions, and higher catchup contributions for participants when they reach the age of 50 and older.<\/p>\n\n\n\n<p>Let\u2019s take a closer look at how ePlan Services stacks up against CalSavers.<\/p>\n\n\n\n<div class=\"table-blue\">\n    <table class=\"has-fixed-layout\">\n        <tbody>\n            <tr style=\"border:none\">\n                <td style=\"border:none\">&nbsp;<\/td>\n                <td style=\"background: #0165a3;color: #fff\"><strong>CalSavers IRA<\/strong><\/td>\n                <td style=\"background: #0165a3;color: #fff\"><strong>ePlan Services 401(k) Plan<\/strong><\/td>\n            <\/tr>\n            <tr>\n                <td><strong>Contribution Limit<\/strong><\/td>\n                <td>$7,000<\/td>\n                <td>$23,500<\/td>\n            <\/tr>\n            <tr style=\"background: #f9fafc\">\n                <td><strong>Employer Matching<\/strong><\/td>\n                <td>Not permitted<\/td>\n                <td>Permitted up to 100% of employee\u2019s salary subject to IRS limits<\/td>\n            <\/tr>\n            <tr>\n                <td><strong>Catchup Contributions<\/strong><\/td>\n                <td>$1,000<\/td>\n                <td>$7,500<\/td>\n            <\/tr>\n        <\/tbody>\n    <\/table>\n<\/div>\n\n\n\n<p>Take the initiative to capitalize on this need by presenting them with a retirement plan that will keep money in their pockets, provide greater savings potential for their employees, and satisfy California\u2019s retirement savings requirements.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Prepare your clients in other states<\/h2>\n\n\n\n<p>CalSavers is not a one-off. Other states are close behind. Now is the time to reach out to your out-of-state clients and educate them early about the mandates that are on the horizon in their states. A few states with upcoming <a href=\"https:\/\/www.paychex.com\/retirement-services\/state-retirement-plans\">employer registration deadlines for eligible businesses are as follows<\/a>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Nevada, (NEST) \u2014July 1, 2025<\/li>\n\n\n\n<li>OregonSaves\u2014*July 1 of each year for newly mandated employers<\/li>\n\n\n\n<li>Connecticut, (My CTSavings) \u2014*August 31 of each year for newly mandated employers<\/li>\n<\/ul>\n\n\n\n<p>Presenting contacts in these states with their best options now could lead to successful retirement plan sales in the future.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Conclusion:<\/h2>\n\n\n\n<p>December will be here before we know it: don\u2019t let California&#8217;s mandate enforcement bite your clients. Contact your network (including solo entrepreneurs) and start those conversations now. Brush up on common objections to establishing a 401(k) and be prepared to demonstrate how valuable they can be for your clients. Start talking to employers in states who will soon be in a similar position to Californian small business owners. In California alone, 75% of businesses will be impacted by mandate enforcement on December 31, 2025. <\/p>\n","protected":false},"featured_media":661,"template":"","categories":[24],"tags":[],"class_list":["post-660","article","type-article","status-publish","has-post-thumbnail","hentry","category-for-advisors"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Prepare Your Clients for CalSavers - 401(k) Blog<\/title>\n<meta name=\"description\" content=\"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Prepare Your Clients for CalSavers - 401(k) Blog\" \/>\n<meta property=\"og:description\" content=\"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/\" \/>\n<meta property=\"og:site_name\" content=\"401(k) Blog\" \/>\n<meta property=\"article:modified_time\" content=\"2025-06-11T20:21:02+00:00\" \/>\n<meta property=\"og:image\" content=\"http:\/\/secure.eplanservices401k.com\/blog\/wp-content\/uploads\/sites\/12\/2025\/06\/krakenimages-376KN_ISplE-unsplash.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"683\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/\",\"url\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/\",\"name\":\"Prepare Your Clients for CalSavers - 401(k) Blog\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/wp-content\\\/uploads\\\/sites\\\/12\\\/2025\\\/06\\\/krakenimages-376KN_ISplE-unsplash.jpg\",\"datePublished\":\"2025-06-11T20:19:51+00:00\",\"dateModified\":\"2025-06-11T20:21:02+00:00\",\"description\":\"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/#primaryimage\",\"url\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/wp-content\\\/uploads\\\/sites\\\/12\\\/2025\\\/06\\\/krakenimages-376KN_ISplE-unsplash.jpg\",\"contentUrl\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/wp-content\\\/uploads\\\/sites\\\/12\\\/2025\\\/06\\\/krakenimages-376KN_ISplE-unsplash.jpg\",\"width\":9504,\"height\":6336},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/prepare-your-clients-for-calsavers\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Articles\",\"item\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/article\\\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Prepare Your Clients for CalSavers\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/#website\",\"url\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/\",\"name\":\"401(k) Blog\",\"description\":\"ePlan Services\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/secure.eplanservices401k.com\\\/blog\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Prepare Your Clients for CalSavers - 401(k) Blog","description":"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/","og_locale":"en_US","og_type":"article","og_title":"Prepare Your Clients for CalSavers - 401(k) Blog","og_description":"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.","og_url":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/","og_site_name":"401(k) Blog","article_modified_time":"2025-06-11T20:21:02+00:00","og_image":[{"url":"http:\/\/secure.eplanservices401k.com\/blog\/wp-content\/uploads\/sites\/12\/2025\/06\/krakenimages-376KN_ISplE-unsplash.jpg","width":1024,"height":683,"type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_misc":{"Est. reading time":"6 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/","url":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/","name":"Prepare Your Clients for CalSavers - 401(k) Blog","isPartOf":{"@id":"https:\/\/secure.eplanservices401k.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/#primaryimage"},"image":{"@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/#primaryimage"},"thumbnailUrl":"https:\/\/secure.eplanservices401k.com\/blog\/wp-content\/uploads\/sites\/12\/2025\/06\/krakenimages-376KN_ISplE-unsplash.jpg","datePublished":"2025-06-11T20:19:51+00:00","dateModified":"2025-06-11T20:21:02+00:00","description":"Registration for CalSavers is coming sooner than you think for newly eligible business owners. Make sure your clients are prepared today.","breadcrumb":{"@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/#primaryimage","url":"https:\/\/secure.eplanservices401k.com\/blog\/wp-content\/uploads\/sites\/12\/2025\/06\/krakenimages-376KN_ISplE-unsplash.jpg","contentUrl":"https:\/\/secure.eplanservices401k.com\/blog\/wp-content\/uploads\/sites\/12\/2025\/06\/krakenimages-376KN_ISplE-unsplash.jpg","width":9504,"height":6336},{"@type":"BreadcrumbList","@id":"https:\/\/secure.eplanservices401k.com\/blog\/article\/prepare-your-clients-for-calsavers\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/secure.eplanservices401k.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Articles","item":"https:\/\/secure.eplanservices401k.com\/blog\/article\/"},{"@type":"ListItem","position":3,"name":"Prepare Your Clients for CalSavers"}]},{"@type":"WebSite","@id":"https:\/\/secure.eplanservices401k.com\/blog\/#website","url":"https:\/\/secure.eplanservices401k.com\/blog\/","name":"401(k) Blog","description":"ePlan Services","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/secure.eplanservices401k.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"}]}},"_links":{"self":[{"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/article\/660","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/article"}],"about":[{"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/types\/article"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/media\/661"}],"wp:attachment":[{"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/media?parent=660"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/categories?post=660"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/secure.eplanservices401k.com\/blog\/wp-json\/wp\/v2\/tags?post=660"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}