Illinois Secure Choice Program and Its Implications for Businesses and Individuals
As a valued business client of Fates, Bodily & Parker, we wanted to make sure you are aware of the Illinois Secure Choice program and its implications for your business.
Illinois Secure Choice is a retirement program for employees facilitated by the state. It is a mandatory program for all businesses with 25+ employees. The deadline to register was November 2019 and the state will be assessing fines in late 2021 to any companies that did not enroll and do not provide their own retirement programs to employees. First year fines will be $250 per employee, subsequent year fines will be $500 per employee.
Companies are eligible for up to $5,000 in tax credits on startup costs of new 401K programs. If your company has 25 employees or more and offers its own 401K program, it must notify the state to ensure penalties are not assessed.
Fates, Bodily & Parker can answer any questions you may have about this program and its effects on your business. If you are interested in starting a retirement program for yourself and/or your employees, we will be happy to help you get started.