Retirement Deadline Reality Check: What California Small Businesses Must Do Now

In this timely and eye-opening interview, host Mark Alyn sits down with Kevin Busque, Head of Gusto 401(k) powered by Guideline, to break down what California small-business owners urgently need to know about the state’s retirement savings mandate—and why waiting could be a costly mistake.

With the December 31, 2025 compliance deadline rapidly approaching, California employers with as few as one W-2 employee are legally required to offer a retirement savings option. Business owners must either enroll employees in the state-run CalSavers IRA program or implement a qualified private retirement plan, such as a 401(k). Yet, according to recent research shared in the interview, nearly 75% of small-business owners are unaware of CalSavers, and 65% don’t realize they could face fines of up to $750 per employee for missing deadlines.

Kevin clearly explains the penalty structure, which begins with $250 per eligible employee after 90 days of noncompliance and escalates to an additional $500 per employee after 180 days. But this conversation goes far beyond warnings—it’s about smart, strategic action. Kevin outlines how today’s modern 401(k) plans are far more affordable, flexible, and tax-advantaged than many business owners realize. With new federal tax credits and simplified administration, retirement plans are no longer just for big corporations.

Mark and Kevin also explore how offering a quality retirement benefit can do more than satisfy a mandate—it can boost recruitment, strengthen employee loyalty, enhance your employer brand, and align with long-term business growth. Kevin’s entrepreneurial background and leadership at Guideline and Gusto add practical insight into how small companies can implement powerful benefits without overwhelming cost or complexity.

This interview is a must-watch for any California business owner who wants to avoid penalties, stay compliant, and turn a regulatory requirement into a competitive advantage