Retirement Legislation: What Businesses Need to Know

Sponsored content by Human Interest.

The U.S. is facing a retirement crisis. To address this crisis, sixteen states and two cities have already passed legislation requiring employers to provide retirement benefits to employees. As of early 2023, Eight states have active programs where employers may be subject to penalties for non-compliance. Mandates may also apply to any company that may be based out-of-state but employ the minimum number of required workers in the state with the law in place. Is your franchise business compliant with the changing legislation?

Human Interest & Retirement Legislation


It’s more important than ever to figure out what’s required of your business and find the best retirement plan for you and your employees. For example, CalSavers, California’s sponsored retirement program, requires employers to offer retirement plans. This is a quick view of the penalties that can accrue for a business.


Understand your options.

While using the state-sponsored plan is not mandatory, in many states, businesses are legally required to offer a qualified  retirement plan like a 401(k). The good news is that you have options.

Many employers are prioritizing competitive retirement plans. Not only can starting an employer-sponsored plan come with tax benefits, but it’s also attractive to employees. Retirement benefits are central to employee loyalty, as 86% of workers say a 401(k) is a must when they’re looking for a new job.

However, finding the best retirement savings plan for your employees takes a little research. Start by identifying what is most important to you and your employees. It might be:

  • The total amount that you and your employees can save each year, as well as whether those contributions will come with any tax benefits.

  • The cost to you and your employees, and how those compare to the rest of the industry.

  • The level of support you and your employees desire, including help with setup and day-to-day administration, compliance, or choosing investments.

  • Whether you and your staff seek dedicated account management and ongoing support by phone or email.

  • The specific features of the plan, like investment education, vesting schedules, the type of investment options you’ll be able to access, the option to offer perks like an employer match, and more.

If you’re a franchise owner interested in offering a workplace retirement savings plan, it’s important to figure out what works best for you. Human Interest can help you find the latest information about state mandates.

We offer affordable, customizable plans that can satisfy the mandate in your state and allow you and your employees to make the most of your money. Reach out to us today!

Human Interest is an affordable, full-service 401(k) and 403(b) provider that seeks to make it easy for small and medium-sized businesses to assist their employees with investing for retirement. For more information, please visit