I like state mandates for retirement plan coverage, because it increases interest in employers sponsoring 401(k) plans. I’m of the opinion that when push comes to shove, employers would rather sponsor their own 401(k) plan or join a pooled employer plan, rather than dealing with a State sponsored IRA program.
Data from Icon, suggests that 70 percent of employees are not interested in these plans and with those covered under California’s CalSavers program, 37% of employees opted out of saving under the auto enrollment feature.