MyCTSavings Urges Employers to Become Compliant with Retirement Security Law

The MyCTSavings program is reminding employers to become compliant with Connecticut’s retirement security law, the Comptroller’s Office said in a statement recently.

​State law requires that employers with five or more full-time or part-time employees that have been operating since at least January 1 of the previous calendar year, offer a retirement savings option. Employers that already provide a plan are considered compliant with the law. If your business does not currently offer a retirement option, you are required to register and enroll your employees in the MyCTSavings program or adopt another qualified retirement plan, such as a 401(k), 403 (b), or SEP to be compliant. The program is free for employers.
 
In 2025 the legislature adopted a financial penalty for qualified employers that do not either adopt a private plan or participate in MyCTSavings. Public Act 25-30 established a graduated penalty for noncompliant employers and extended the program to cover personal care attendants.
 
Enforcement is scheduled to begin in 2026, tentatively mid-year. Employers that have not responded to prior notices will be sent additional communications by email or postal mail before any penalties are assessed. Multiple notices will be sent to ensure employers have ample time to act. Annual fines will range from $500 to $1,500 annually, based on the number of employees.
 
To avoid future penalties, MyCTSavings urges employers that have not yet responded to previous outreach to either register for the MyCTSavings program or adopt a private retirement option as soon as possible. MyCTSavings is providing this compliance information well in advance of enforcement to allow businesses plenty of time to select a retirement option that works best for them.