Washington Saves exemption: if you already offer a retirement plan
By Dustin Metcalf, CRPC® · Updated October 7, 2026
Plans that count for the exemption
- 401(k), including safe harbor and pooled employer plans (PEPs)
- SIMPLE IRA
- SEP IRA
- 403(b)
- Pension or other defined benefit plan
- A plan offered through a PEO or an association
The exemption applies when the plan is offered to employees. If the plan covers only you as the owner, ask how that applies to your business before relying on it.
How certifying works
Under the proposed rules, the program may contact Washington businesses it believes could be covered. If you already offer a plan, you certify your exemption instead of registering. Keep basic plan documents handy, such as your plan name and provider.
A good time to review your plan
Being exempt doesn't mean your plan is still the right one. Many small-business plans were set up years ago and never revisited. Questions worth asking:
- Fees: what are you and your employees paying in total, and how does it compare today?
- Design: does the plan let you, as the owner, save as much as you'd like? Would a safe harbor design or profit sharing help?
- Investments: are the options and defaults still appropriate for your team?
- Credits: adding automatic enrollment to an existing 401(k) or SIMPLE IRA may qualify for a $500-a-year credit for three years.
We review existing plans at no cost and will tell you plainly if yours is already a good fit.
Frequently asked questions
Am I exempt from Washington Saves if I have a SEP IRA?
Yes. A SEP IRA counts as a retirement plan for the exemption, as do a SIMPLE IRA, 401(k), 403(b), pension, and plans offered through a PEO or association.
How do I certify my Washington Saves exemption?
Under the proposed rules, if the program contacts you, you certify that you already offer a qualified retirement plan instead of registering.
We use a PEO. Are we exempt?
If the PEO offers a retirement plan to your employees, it counts as an exemption. Your business, not the PEO, is the covered employer.
If I drop my plan, do I have to join Washington Saves?
If your business then meets all the coverage tests, yes, you'd need to register or offer another plan.
Want this worked out for your business?
Book a free intro call with Dustin. We'll compare Washington Saves with a plan of your own, including estimated cost after tax credits and what you could save for yourself. If Washington Saves is the best fit, we'll tell you.