RetireReady NJ is a new retirement, State-administered, savings program designed to reach New Jersey workers who do not have access to employer provided retirement plans. Information mailers were sent to covered employers during July.
New Jersey businesses with 25 or more employees over the age of 18 that do not currently offer a qualified retirement plan and have been in business for two years or more will be required to register with the program. The program will also be available to self-employed individuals and employees of businesses with under 25 employees.
The following is a summary of the program and important dates for employers:
- Employers that currently provide a qualified retirement plan are exempt from the program but must submit verification.
- The program is governed by the Secure Choice Savings Board, a State-run agency.
- There is no cost for employers to participate in the program.
- Employers do not have a fiduciary responsibility related to the program.
- Employer matching contributions are not permitted.
- Employees may contribute to either a Traditional or Roth IRA through payroll deductions via their employer’s existing payroll system.
- Employees may opt-out of contributing to the program.
- Business owners and their family members that are also employees may participate.
- Employers with employees in multiple states need to facilitate the program for New Jersey based employees only.
- Employer registration deadlines are as follows:
- September 15, 2024 for employers with 40 or more employees
- November 15, 2024 for employers with 25 to 39 employees
RetireReady NJ has informational webinars available at RetireReady.nj.gov.