House Bill 2174 was sponsored by Representative Luke Torian (D) in January 2021, which passed the House on January 26th and the Senate on February 27th. The program was renamed Virginia RetirePath.
The Virginia RetirePath program is administered by the Governing Board of the Virginia College Savings Plan, to provide a state-facilitated payroll-deduction individual retirement savings plan for private sector employees who do not have access to employer-sponsored retirement savings plans.
All employers with 25+ employees that have been in operation for at least two years, and do not currently offer a qualified retirement plan. Employees must be over 18 years of age and work 30+ hours per week.
Automatic enroll employees at 5% deferral with annual increases of 1% (up to a maximum of 10%) of the enrollee’s wages.
The program is anticipated to offer a suite of target date funds (TDFs), as the default investment option, and additional investment options - including a capital preservation, fixed-income, equity funds.