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RISavers

Helping Rhode Islanders plan for the future

RI Savers helps employers offer a great new benefit and provides a seamless way for employees to save and plan for retirement.

RISavers is overseen by the RI Office of the General Treasurer. State law requires that all businesses with five or more employees that do not offer a qualified retirement plan must offer RISavers to their employees. 

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RISavers is available for:

  • RI workers whose employers do not offer a workplace retirement plan
  • Self-employed individuals
  • Others who want an easy way to save through a Roth Individual Retirement Account (IRA) they can take to their next job.

Benefits to help you succeed

Employer benefits

  • Little to no cost for employers
  • Getting started is fast, easy, and secure
  • Works seamlessly with any payroll process
  • Stay competitive by offering a great employee benefit

Saver benefits

  • Secure, simple way to save for retirement
  • Your account and funds go with you regardless of where you work next
  • Flexible contribution levels to meet your needs
  • You choose to stay enrolled automatically or opt out and re-enroll later
  • Customer service support to help answer your questions

Program Description

An estimated 40% of Rhode Island employees do not have access to adequate retirement savings. To address this urgent need, the Rhode Island General Assembly passed a law creating RISavers to make it easier for more workers to save for their retirement. Employees are enrolled automatically but can opt out if they don’t want to participate or prefer to save another way. Contributions are processed automatically as a payroll deduction. 

When will RISavers go into effect?

The program is expected to launch in the spring of 2025. 

Do other states have programs like this?

Yes, similar programs have been enacted in 19 other states and are up and running in neighboring states like Connecticut, Vermont, Maine, and New Jersey. Since these programs first launched in 2017, they have helped thousands of hard working individuals save over $1.7 billion — and this number continues to grow each day. * Even more states are taking notice, with several states working to enact similar programs. 

How is the RISavers program different from plans like a 401(k) or an IRA?

Many plans involve complex administration requirements, fiduciary liability, and high costs, all of which can keep employers from offering employees a retirement savings option. But RISavers is different. It offers some of the best features of popular employer plans and IRAs without the administrative burden, allowing employers to focus on their business.

Does this program replace 401(k)s?

No, this program is not meant to replace or compete with 401(k)s or other qualified retirement plans.

What are qualified, employer-sponsored retirement plans that would exempt a business from program participation?

An employer-sponsored retirement plan includes a defined benefit plan or a 401(k), 403(b), 457(b) simplified employee pension (SEP) plan, or savings incentive match plan for employees (SIMPLE) plan, or that offers an automatic enrollment payroll deduction IRA. 

Disclaimer

RISavers is overseen by the Rhode Island Office of the General Treasurer (“Treasurer”). Vestwell State Savings, LLC,  (“Vestwell”) is the program administrator, and will be responsible for day-to-day operations. However, participants’ who open an account through RISavers retain ownership and control over their  Roth Individual Retirement Accounts (“IRA”).

RISavers' Portfolios will offer several investment option. Account balances in RISavers will vary with market conditions and are not guaranteed or insured by the Treasurer, the State of Rhode Island, the Federal Deposit Insurance Corporation (“FDIC”) or any other organization.

RISavers is a voluntary retirement program. Saving through a Roth IRA will not be appropriate for all individuals. Employer facilitation of RISavers should not be considered an endorsement or recommendation by your employer of RISavers, Roth IRAs, or these investments. Roth IRAs are not exclusive to RISavers and can be obtained outside of the program and contributed to outside of payroll deduction. Contributing to a RISavers Roth IRA through payroll deduction offers some tax benefits and consequences. You should consult appropriate professional advice or consultation if you have questions related to taxes or investments.

The RISavers name and the RISavers logo are trademarks of the Treasurer and may not be used without permission.

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