How to certify your CalSavers exemption, step by step
If your business already sponsors a retirement plan, or has no eligible employees, you do not have to join CalSavers. But the state does not know that until you tell it. Certifying an exemption takes about ten minutes online and stops the compliance notices. Here is how to do it. Not sure whether you qualify? Request a plan review.
Who can claim an exemption
The CalSavers employer portal accepts an exemption request when one of these applies:
- The business already sponsors a qualifying retirement plan, such as a 401(k), 403(b), SEP IRA, SIMPLE IRA or profit-sharing plan.
- The only employees are the owners or officers.
- The business has no California employees.
- The business has closed or been sold.
- The employer is a government entity, religious organization or tribal organization.
The mandate applies to employers with at least one eligible W-2 employee (other than owners). If you have one, you either offer your own plan or register with CalSavers. See CalSavers or your own plan? for how the two paths compare.
What you need before you start
- Your federal Employer Identification Number (EIN).
- Your CalSavers access code, printed on the notice CalSavers mailed or emailed to the business. If you can’t find it, CalSavers employer support can reissue it.
- If you sponsor a plan: the plan type and basic details, such as the plan name and provider, in case the portal asks.
How to certify your exemption, step by step
- Go to the CalSavers employer site (employer.calsavers.com) and choose the option to register or request an exemption.
- Enter your EIN and access code.
- Confirm your business information.
- Select the exemption reason that applies, for example that you already sponsor a qualified retirement plan.
- Review the details and submit. Keep the confirmation with your plan records.
What happens if you ignore the notices
CalSavers notifies employers that appear to be out of compliance. If a business still hasn’t registered or certified an exemption 90 days after a notice, the penalty is $250 per eligible employee; after 180 days, an additional $500 per eligible employee can apply. An employer with a plan in place can still be penalized simply for not telling CalSavers about it.
If you are starting a plan now
An owner who sets up a 401(k), SIMPLE IRA or SEP IRA can certify the exemption once the plan is in place. Eligible small employers may also qualify for federal tax credits that offset part of the first years’ cost (see what a plan really costs after SECURE 2.0 credits).
If you stop sponsoring a plan
An exemption is tied to the reason you gave. If you later end your plan or hire your first eligible employee, the mandate may apply again, and you would need to register with CalSavers or start a plan.
Common questions
Do I need to certify an exemption if I already have a 401(k)?
Yes. Sponsoring a qualifying plan exempts you from CalSavers, but you still need to tell CalSavers by certifying the exemption on the employer portal, or you may keep receiving compliance notices.
What do I need to certify a CalSavers exemption?
Your federal Employer Identification Number (EIN) and the CalSavers access code from the notice sent to your business. The request is submitted online at the CalSavers employer site.
Are owner-only businesses subject to CalSavers?
No. If the only employees are the owners or officers, the business is not subject to the mandate. The portal lets you record that reason so the notices stop.
Want help deciding between CalSavers and your own plan?
Tell us your headcount and goals, and we’ll help you choose a path and get the paperwork right. The initial plan review is complimentary, and we aim to reply within one business day.
Request a plan reviewGeneral educational information as of September 27, 2026; limits and rules change. Not individualized investment, tax or legal advice. Consult your tax adviser about your situation.