« Go Back

Wineries with One Employee Must Comply: What to Know About CalSavers

California's CalSavers Deadline is December 31, 2025

Running a boutique winery involves juggling numerous responsibilities—harvests, tastings, bottling, staffing, events, and bookkeeping. Retirement planning might not have been on your radar, but a California law mandates that if you have even one employee, it's time to pay attention.

Here's what you need to know.

What is CalSavers?

CalSavers is a state-sponsored retirement savings program designed for employees whose employers do not offer a workplace retirement plan. Employees contribute to a Roth IRA through automatic payroll deductions, with an initial default contribution rate of 5%, increasing by 1% annually up to 8%, unless the employee chooses a different rate or opts out.

As the employer, you aren't required to contribute any money. You're simply the facilitator.

Who Needs to Register? 

If you employ at least one person (other than the owner) who  receives a W-2 and is age 18 or older, and you don't already offer a qualified retirement plan, you need to register with CalSavers by December 31, 2025 in order to create a plan. 

The mandate was rolled out over a number of years so that employers with 5 or more employees had to comply by the end of 2022.

The final group of employers—those with 1 to 4 employees—must comply by December 31, 2025. If you have seasonal tasting room help, year-round team members, or even just one admin on payroll, it's time to get familiar with this requirement.

If you already have a retirement plan in place, you're exempt, but you still need to certify your exemption on the CalSavers website.

You should have received information in the mail or via an email that says "Sent on Behalf of State of California - CalSavers Program <notice@calsavers.ca.gov>".  it is not spam. It explains how to register your exemption status and includes your CalSavers access code that is needed to register online. 

What Does the Winery Have to Do?

Here's what you're responsible for if you don't have a retirement plan:

  • Register your business at CalSavers.com

  • Upload employee information through the portal

  • Make sure payroll deductions are processed for anyone who participates

  • Keep employee records up to date

  • Employers should have begun receiving their official registration information by US mail and email in the Spring. If you believe your company is exempt from the mandate, submit an exemption request. Registration/Exemption Deadline is December 31, 2025.

    .

You're not managing investments or answering retirement questions—just ensuring the data flows where it needs to.

What Happens If You Ignore It?

This isn't one of those "nobody will notice" situations. CalSavers is run by the State Treasurer's office, and they're monitoring compliance carefully. If you don't register or file an exemption:

  • You could be fined $250 per eligible employee after 90 days

  • The fine increases to $500 per employee if you still haven't complied after 180 days

For a small winery, these fines can have a big impact. 

What Should You Do Now?

  1. Review your team. If you have one or more W-2 employees and no retirement plan, this applies to you.

  2. Decide if CalSavers makes sense. You can set up your own plan instead, but many small employers find CalSavers simpler.  There are a number of other simple plans available.  Check with your payroll provider for integrated, low cost retirement plan options. 

  3. Register or file for exemption. Don't wait until the end of 2025. The process is easy, and early compliance means one less thing to worry about later.

  4. Let your employees know. This is about their future, too.

Why This Matters

Retirement savings may feel far off for someone just starting in the wine industry, but the sooner they begin, the more secure their future becomes. As a business owner, offering access to this kind of benefit—without added cost—can boost retention and morale.

If you'd like help evaluating your options or setting this up the right way for your winery, our team is happy to assist. We'll make sure your compliance feels as smooth as your Cabernet.

Note: This article is based on information from the California State Treasurer's Office and the official CalSavers website as of June 2025. For the most current information, please visit CalSavers.com.