Montpelier, VT – Eligible employers are required to sign up for the Vermont Saves program by March 1, Treasurer Mike Pieciak reminded Vermonters today. The program provides a simple, no-cost solution for employers to offer their employees a retirement savings plan, helping tens of thousands of Vermonters save for their future and achieve greater financial security in retirement.
Since Vermont Saves launched in December, Vermonters participating in the program have collectively saved tens of thousands of dollars.
Employers who at any time have 5 or more employees and do not currently offer their workers a retirement plan are required to sign up for Vermont Saves. Their employees will automatically be enrolled in a Roth IRA account with flexible options to save at their own pace. Employers with less than five employees, or who already offer their workers a retirement plan such as a 401(k), are not required to enroll in Vermont Saves.
Savers can set their own contribution rate, choose from a menu of investment options, or opt out of the program at any time if they choose. Savers can always access any principal funds they put into their Vermont Saves account.
“As costs rise across the board, too many hardworking Vermonters risk outliving their savings, jeopardizing their future and our economy,” said Treasurer Pieciak. “Vermont Saves will give thousands of Vermonters access to a retirement savings plan for the first time, helping them save for their future and retire with dignity. Since enrollment opened in December, our office has been encouraged by the number of individuals, especially young people, who are participating in the program and planning for a more secure retirement.”
Eligible employers have been sent information about enrollment by mail and email from Vestwell, the program’s administrator. Many enrolled employers report that the enrollment process is easy, and their employees are thrilled to have access to a retirement savings option.
Vermont Saves earned unanimous support from the Legislature and was signed into law by Governor Scott in June 2023. To lower costs and launch the program ahead of schedule, Vermont has joined the Partnership for a Dignified Retirement, an interstate consortium including Colorado, Delaware, and Maine.
Eligible employers can learn more about Vermont Saves here.
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