Active mandate

Colorado Retirement Plan Mandate: Requirements for Employers

Colorado SecureSavings

Colorado SecureSavings covers employers with 5 or more employees, in business 2+ years, that do not offer a qualified retirement plan. All registration deadlines have passed. Colorado founded and leads the multi-state Partnership for a Dignified Retirement.

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Reviewed by the LRS compliance team · July 2026

How the Colorado SecureSavings program works

Colorado SecureSavings is Colorado's automatic-enrollment Roth IRA program for private-sector workers. It applies to employers with five or more employees that have been in business at least two years and do not offer a qualified retirement plan. All registration deadlines have passed, so covered employers should already be registered or exempt.

Colorado is also the anchor of the Partnership for a Dignified Retirement — the interstate consortium it founded and leads, now spanning Colorado, Maine, Delaware, Vermont, Nevada, and Minnesota. The partnership lets smaller states run their programs on Colorado's infrastructure, which is one reason program mechanics look similar across those states.

Enrolled employees contribute to a Roth IRA at a 5% default rate. Employers facilitate payroll deductions but do not contribute. Non-compliance carries penalties of $100 per eligible employee per year, capped at $5,000 annually.

Employers that would rather offer matching contributions, higher limits, or a tailored plan design can satisfy the mandate with any qualified retirement plan — 401(k), Safe Harbor, 403(b), SEP, or SIMPLE.

The Colorado mandate at a glance

Registration deadlines

All registration deadlines have passed. Unregistered covered employers should register or certify their exemption immediately.

Covered employers

Employers with 5 or more employees, in business 2+ years, with no qualified retirement plan.

Penalties / enforcement

$100 per eligible employee per year, capped at $5,000 annually.

Who must comply in Colorado — and what is required

Employer requirements

Register with Colorado SecureSavings and facilitate payroll deductions for enrolled employees, or certify an exemption based on a qualified retirement plan.

Employee eligibility

Eligible employees are enrolled automatically unless they opt out; enrollment is administered through the Colorado SecureSavings program.

Exemptions

Employers offering a qualified retirement plan; employers under the size or tenure thresholds.

Penalties and enforcement

$100 per eligible employee per year, capped at $5,000 annually.

Qualifying retirement plan alternatives in Colorado

Any qualified employer-sponsored retirement plan — 401(k), Safe Harbor 401(k), 403(b), SEP, or SIMPLE — satisfies the Colorado SecureSavings mandate and unlocks matching contributions and plan-design flexibility the state Roth IRA does not offer.

Start a new 401(k)

Design a plan around your workforce — matching, Roth options, vesting, and federal startup tax credits.

Start a new plan

Upgrade an existing plan

Confirm your current plan qualifies, then tune its design so the mandate works in your favor.

Upgrade my company’s plan

Full plan administration

LRS handles compliance testing, filings, and day-to-day administration so the plan stays qualified.

Plan administration services

What Colorado employers should do next

Confirm coverage: five or more employees and two or more years in business without a qualified plan means the mandate applies.
If covered and unregistered, register with Colorado SecureSavings now — all deadlines have passed.
Verify payroll deductions are flowing correctly for enrolled employees.
Evaluate whether an employer-sponsored plan would serve your team better than the state Roth IRA.
Document your registration or exemption with your compliance records.

Talk to a retirement plan consultant

Colorado mandate FAQs

Who must register for Colorado SecureSavings?

Employers with five or more employees that have been in business at least two years and do not offer a qualified retirement plan. All registration deadlines have passed, so covered employers should already be registered or exempt.

What is the penalty for skipping Colorado SecureSavings?

Non-compliance carries a penalty of $100 per eligible employee per year, capped at $5,000 annually.

What is the Partnership for a Dignified Retirement?

It is the interstate consortium Colorado founded and leads u2014 including Maine, Delaware, Vermont, Nevada, and Minnesota u2014 that runs member states' auto-IRA programs on shared infrastructure. For employers it mainly means program mechanics look consistent across those states.

Do new businesses have to comply immediately?

The mandate applies to businesses that have operated for two or more years. Once you cross the two-year mark with five or more employees and no qualified plan, you become covered.

Can we satisfy the Colorado mandate with our own 401(k)?

Yes. Any qualified retirement plan exempts you from SecureSavings u2014 and lets you add employer matching and higher contribution limits. LRS can help you weigh the state program against a plan of your own.

Source and review information

Official program source: coloradosecuresavings.com (opens in a new tab)
Last reviewed July 2026 by the LRS compliance team. High confidence

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This page is provided for general information only and is not legal or tax advice. Program details change; confirm requirements with the official state program or your advisors.