HARTFORD, Conn., March 24, 2022 /PRNewswire/ — Controller Natalie Braswell announced on Thursday the launch of MySavingsCTSa new retirement savings option for those over 600,000 Connecticut private sector workers who are not offered a plan by their employer.
“Everyone deserves a financially secure retirement,” said Controller Natalie Braswell. “The MyCTSavings program creates new opportunities for workers to plan for their future and addresses a critical need in the marketplace. The plan is designed to be easy for employers to maintain and is optional for workers to participate. I am grateful to everyone who has worked to get us to this point and I look forward to the hard working people Connecticut take advantage of this important program. »
“This program provides an option for workers who currently do not have the ability through their employer to save for retirement and make smart investments in their future,” said Governor Ned Lamont. “Expanding opportunities like this not only helps the workers themselves, but also supports small businesses in their efforts to attract employees. I express my gratitude to the former Comptroller Kevin Lembo on its efforts to get MyCTSavings working, and to Controller Braswell on its efforts to see it through to launch.
At the beginning of April, letters will be sent to approximately 30,000 Connecticut employers informing them of the MyCTSavings program and the conditions of participation. Employers are required to register if they have more than five employees and do not currently offer a qualifying retirement savings option. Employee participation is voluntary – they can choose to remain enrolled or even opt out and re-enroll later. Regular contributions to a Roth IRA help save for retirement and the account is portable; if a participant changes jobs, their account follows.
MyCTSavings is designed to be simple and flexible for both employer and employee. Employer registration is fast and the program integrates seamlessly with any payroll process. A pilot program began in October, enrolling multiple employers to test processes and get feedback. Participants have found it easy to enroll and maintain, and are already seeing the benefits for their workers.
“I really like the program and see how beneficial it has been for my employees,” said Diane PetersPresident of JCHI Cleaning, LLC in norwalk. “Some chose to participate and others chose not to, but what this type of program offered was an opportunity to educate them about saving, especially for retirement. This program will be invaluable for small businesses like mine because it gives us the opportunity to add value to our business and eventually attract future employees.”
“As a small business, it can be difficult to compete with the benefits of larger companies,” said Axel CollazoDeputy Director of Ace Transportation of Tolland. “It was easy to sign up and our employees who opted in are already excited to start saving for their retirement.”
“I investigated 401K pension plans for our staff in the past, but they have always cost our business too much,” said John Millerowner of National Chromium in Putnam. “This program is very easy to administer, charges no fees, and literally takes me five minutes a week to enter weekly payroll deductions for our employees who have elected to participate.”
“Massage therapists have traditionally not had good vehicles for retirement savings. The MyCTSavings program is the first opportunity some of our therapists have had to begin planning for their financial security,” said Julie RobinFounder and CEO of The Well For Women in New Haven. “We found the system to be very simple, easy to maintain and easy to modify if needed. The whole team is so excited about the MyCTSavings plan and we are grateful to have participated in the pilot program!”
Businesses across the state are now able to offer this important program to their employees at a crucial time when 51% of Americans are increasingly concerned about their retirement due to the COVID-19 pandemic (according to a National Institute on Retirement Security report).
“We are delighted that the MyCTSavings program is launching and will provide a more secure retirement for the more than 600,000 workers who do not currently benefit from a retirement savings program through payroll deductions,” said Nora DuncanAARP Connecticut State Director. “Employees are 15 times more likely to save for retirement when offered the option of self-deduction. This program is a win, win, win. It will help employers provide a free benefit to their employees. a safe retirement that will benefit everyone Connecticut taxpayers by reducing the need for social safety net programs in the future. »
The program is sponsored by the Connecticut Retirement Security Authority, of which Comptroller Braswell is the chairman. The Council selected Vestwell as the third-party administrator for the program after a competitive bidding process.
Comptroller Braswell acknowledged the contributions of the board, former Comptroller Kevin LemboGovernor Lamont, AARP, and the Comptroller’s Office staff for their work in launching this program.
For more information or to register, visit myctsavings.com.
Contact: Tyler Van Buren
[email protected] | (860) 702-3325
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SOURCE Connecticut State Comptroller’s Office