Private sector employers and employees; to create the Alabama Retirement Savings Program for the purpose of promoting greater retirement savings for private sector employees

SB 135 creates the Alabama Retirement Savings Program to help private sector employees at small businesses (with 500 or fewer employees) save for retirement. The program allows eligible employees to voluntarily contribute to retirement savings through payroll deductions into Individual Retirement Arrangements (IRAs), without requiring employers to offer or mandate participation. Administered by the Alabama Department of Workforce, the program uses existing IRA structures to provide a low-cost, portable savings option, with contributions held in a separate state fund that cannot be commingled with public monies. Employees directly benefit by accessing retirement savings tools they might otherwise lack, while employers avoid significant administrative or financial burdens.