RetireReady NJ Exemption Registration is Fast Approaching
The New Jersey Secure Choice Savings Program Act requires certain New Jersey employers to establish a retirement savings program through the RetireReady NJ program, if they do not already sponsor a retirement savings plan. Once the program is established by the employer, New Jersey employees will then be able to make contributions to an IRA through automatic deductions, unless the employee opts out, at no cost to the employer. Once registered, RetireReady NJ will reach out to the employer to confirm the payroll deductions for each registered employee. Employers should have received information and an access code from the RetireReady NJ program before the registration deadline.
New Jersey employers that meet the following criteria will be required to register for the program or certify an exemption:
- Employer does not currently offer a qualified, employer-sponsored retirement plan to their employees.
- Employer has been in business for at least 2 years, and
- Employer has employed at least 25 workers during the previous calendar year.
Qualifying employers will either need to register for the program or, if they already offer an employer-sponsored retirement plan, certify that they qualify for an exemption by one of the following dates:
- September 15, 2024 – Employers with 40 or more employees
- November 15, 2024 – Employers with 25 to 39 employees
Requirements for Employers Already Offering a Retirement Plan: As an employer who already sponsors a retirement plan, you are exempt from registering in RetireReady NJ. However, you must still take certain actions to comply with state regulations:
Required Actions for Current Plan Sponsors:
1. Confirm Your Exemption:
- You must notify the state of your existing retirement plan by providing confirmation that your business already sponsors a qualified retirement plan. You can certify your exemption at by following the link at RetireReady NJ Program Link and clicking “Certify Your Exemption”. If you do not already have an Access Code for the exemption certification, you can request a code by entering your EIN or by completing the form at https://link.edgepilot.com/s/cbc0a26e/FR-Bl_9OXUi9jJLrgRagyw?u=https://retireready.nj.gov/request.
2. Documentation Submission:
- You will need to submit documentation proving that your existing retirement plan meets the qualifications outlined by the state. This may include providing details of your plan type, such as a 401(k), 403(b), or similar qualified plan.
The RetireReady NJ site provided a checklist for employers needing to register for the program, which can be found here.
We encourage you to act promptly to ensure compliance with RetireReady NJ requirements. If you need assistance with this process, our team is here to help. Please do not hesitate to contact Innovative at (856)-242-3328 or email resources@iifria.com.
