Colorado Secure Savings Program
State of Colorado IRA program
Year enacted |
2020 |
Status |
Not yet active; a pilot program is expected to launch in October 2022. Full program enrollment is slated for 2023.
The board approved a memorandum of cooperation with New Mexico’s Work and Save (a voluntary IRA program) to form a partnership for their auto-enroll IRA programs, making it the first auto-enroll IRA multistate program in the country. |
Employers affected |
Mandatory for employers with five or more employees who have been in business for two years and haven't offered a qualified retirement plan in the last two years. To encourage participation and defray costs, the state plans to provide grants to employers with 5 to 25 employees in an amount not to exceed $300. |
Type of account |
Roth IRA (default) and traditional IRA (optional) |
Automatic enrollment |
Yes |
Auto-escalation |
Yes (1% per year, up to 8%, with option to increase to 10% in the future) |
Default contribution rate |
5% |
Employer contributions |
Not permitted |
Investment options |
To be determined by the board
Default—The board will determine the investment option to serve as the default for participants who fail to elect an investment option. |
Fees |
Annual fees are capped at 1.0% of the total value of the program’s assets for the first five years of the program, and for the sixth year and subsequent years, capped at 0.75% of the total value of the program’s assets. The state bill doesn't specify whether fees are paid by employees or the owner, but suggests they're paid by employees. |
Website |
Sources: Most of the information is from “State-Facilitated Retirement Savings Programs: A Snapshot of Plan Design Features,” Georgetown University Center for Retirement Initiatives, 10/31/21 and the program's website. It is subject to change without notice. Please contact the state to learn more.
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