Washington Saves: Washington Retirement Mandate for Employers

Washington Saves covers Washington employers with 10,400+ employee-hours/yr (≈5 full-time) that do not offer a qualifying retirement plan. Counting rule: Employs, and at any point during the immediately preceding calendar year employed, employees working a combined 10,400+ hours (roughly five full-time employees). Applies to employers in business for 2+ years.

A penalty is enacted for willful violations only and cannot be assessed before January 1, 2030.

• Upcoming: Program launch, July 1, 2027
• Proposed: Employers with 20,800+ employee-hours (proposed WAC), December 1, 2028
• Proposed: All other covered employers (proposed WAC), December 1, 2029

RCW 19.05.010(6), 19.05.040, 19.05.070; proposed WAC 520-01. Official program: Washington Saves official site. Verified September 17, 2026.

You must take part if your business has 10,400+ employee-hours/yr in Washington and you do not offer a qualified retirement plan, such as a 401(k) or SIMPLE IRA. Businesses open fewer than 2 years are not covered yet. The section above explains exactly how Washington counts your employees.

Washington Saves has not opened registration, so no employer deadline is in effect yet. Watch for a notice from the program.

A penalty exists in the law for willful violations, but it cannot be charged before January 1, 2030.

Offer your own qualified retirement plan and certify it with Washington Saves. What counts in Washington: a qualified plan under 401(a)/401(k), 403(a)/403(b), SEP (408(k)), SIMPLE (408(p)) (may require up to one year of continuous employment).

Washington Saves spares you from running a plan, but it allows no employer match and caps each saver at the IRA limit ($7,500 for 2026). A 401(k) allows up to $24,500 per employee for 2026, lets you add a match, and credits can offset much of the startup cost for eligible employers.