Home › States › Vermont
UPDATED SEPTEMBER 2026 · STATUTE-VERIFIED

Vermont Retirement Mandate: Vermont Saves

Vermont Saves has been live since December 2024. It applies to Vermont employers with 2+ employees that do not offer a qualifying retirement plan. Penalty: Up to $75 / employee / yr (escalating). Already passed: 5+ employees (2025-03-01); 2–4 employees (newly eligible Feb 2026) (2026-06-30) — unregistered employers should register or certify an exemption now.

Vermont SavesACTIVE
State program
2+ employees
Employee threshold
Up to $75 / employee / yr (escalating)
Non-compliance penalty
// 60-second check

What does Vermont actually require?

Set your headcount for your real exposure — data verified against the statute.

Informational only, not legal or tax advice.

Annual exposure · Vermont
—

Get your full breakdown + a private-plan savings estimate:

// verified to the statute

Vermont Saves at a glance.

Who is covered

Vermont Saves covers Vermont employers with 2+ employees that do not offer a qualifying retirement plan. Counting rule: Two or more employees at any time during a calendar year (Vermont Saves Program Rule, February 2026). Must have been in business in a prior calendar year (program: two years).

Penalty and enforcement

Escalating: $20 per employee (2025-10-01 to 2026-09-30); $75 per employee (on/after 2026-10-01). The program has launched; enforcement has not begun.

Deadlines

Already passed: 5+ employees (2025-03-01); 2–4 employees (newly eligible Feb 2026) (2026-06-30) — unregistered employers should register or certify an exemption now. Newly eligible employers: at least 30 days after the notice.

Source

3 V.S.A. §§531, 535; Vermont Saves Program Rule §I.12 · Official program: vtsaves.vermont.gov · Verified 2026-09-17.

// state plan vs your own

You can comply two ways. Only one builds anything.

The state auto-IRA

Compliance, nothing else
  • No employer match allowed
  • Low Roth-IRA contribution limits
  • One-size-fits-all investments
  • No tax credits for your business
RECOMMENDED

Your own 401(k)

Compliant — and working for you
  • Match if and when you want
  • Far higher contribution limits
  • SECURE 2.0 credits offset setup
  • A real recruiting & retention perk
// frequently asked

Asked by employers here.

What is Vermont Saves?

Vermont Saves is Vermont's state-facilitated retirement savings program. It has been live since December 2024. Program: https://vtsaves.vermont.gov.

Who must comply with Vermont Saves?

Vermont Saves covers Vermont employers with 2+ employees that do not offer a qualifying retirement plan. Counting rule: Two or more employees at any time during a calendar year (Vermont Saves Program Rule, February 2026). Must have been in business in a prior calendar year (program: two years).

What is the Vermont Saves penalty?

Escalating: $20 per employee (2025-10-01 to 2026-09-30); $75 per employee (on/after 2026-10-01). The program has launched; enforcement has not begun.

When are the Vermont Saves deadlines?

Already passed: 5+ employees (2025-03-01); 2–4 employees (newly eligible Feb 2026) (2026-06-30) — unregistered employers should register or certify an exemption now. Newly eligible employers: at least 30 days after the notice.

How do Vermont employers become exempt?

Exempt with a plan under 401(a)/401(k), 403(a)/403(b), SEP (408(k)), SIMPLE (408(p)) or 457(b); certification required. A private 401(k) or SIMPLE IRA satisfies the mandate and may qualify for SECURE 2.0 startup credits.

Find out where you stand — before the state does.

Book a free 15-minute compliance audit. We'll show your exact requirement, your real exposure, and whether your own plan saves you money.

Free 15-minute audit

No obligation · 848-400-4899
Book my free audit