ATTENTION NEW BUSINESS OWNERS:
Look for MyCTSavings notices in your inbox or mail in July
MyCTSavings, the state-sponsored retirement program, will be sending notifications to newly eligible employers in July. The enrollment deadline is August 31, 2024. To be eligible, businesses must have five or more employees, not offer a qualified retirement plan, and have been in business continuously since January 1, 2023. State law requires eligible employers to either enroll in MyCTSavings or establish their own private plan.
MyCTSavings is free to businesses and offering a retirement option gives you a competitive edge in hiring and retaining talented staff.
Once you register the business and enroll employees, MyCTSavings will contact employees to explain their options:
1. Do nothing and a standard Roth IRA with a 3% payroll contribution will be opened in their name and payroll deductions will begin in 30 days.
2. Customize a Roth IRA by choosing from a menu of investment choices and setting their contribution rate.
3. Opt-out of saving, (employees who opt-out can opt-in later).
Your responsibility as an employer is to keep your payroll records updated and process employees’ contributions to their accounts.
Employer notifications will be sent by email or postal mail, from Vestwell State Savings, LLC dba Sumday. The notices include an access code to register on the MyCTSavings portal. If employers with an existing qualified retirement savings plan or fewer than 5 employees receive a notice, they should log on to myctsavings.com with their access code and check the exemption box.
If your business previously received notices from MyCTSavings, and has not responded, you can still register at www.myctsavings.com. When you register your business, your employees can start saving for a more secure financial future.
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