OregonSaves is available for any Oregonian who has taxable reported income but does not have a retirement savings program at work. This includes part time employees, new hires, small business owners, and self-employed professionals.
600,000 Oregonians will be automatically enrolled in 2018. Oregon Saves will use a phase-in process to require Oregon businesses, beginning with Oregon’s largest employers, to either provide a private retirement plan or participate in OregonSaves.
200,000 Oregonians are excluded from their employer’s retirement plan, and 200,000 Oregonians are self-employed, both groups will not be automatically enrolled in OregonSaves, but may choose to opt-in at a later date.
OregonSaves employees will have a portion of their paycheck deducted and invested in a Roth IRA. Automatically enrolled Oregonians will be set to contribute 5% with a 1% yearly escalation (up to 10%) unless they opt out or specify a contribution percentage. Various investment options can be selected in the OregonSaves online portal. For ease of use, OregonSaves is portable between Oregon employers without the need for a rollover.
Unfortunately, at this time only a Roth IRA account option is available. Employees that earn more than the federal Roth IRA income limits will have to opt out of the program at this time.
For more resources and details about OregonSaves for employers, visit the OregonSaves website.