California Code of Regulations
Title 10 - Investment
Chapter 15 - Calsavers Retirement Savings Board
Section 10000 - Definitions

(a) "Account" means a Participant's Individual Retirement Account ("IRA") held within the Program.

(b) "Administrator" means the third-party administrator that operates the Program.

(c) "Automatic Escalation" means an automatic annual increase in a Participating Employee's Contributions as set forth in Section 10005.

(d) "Beneficiary" means the individual(s) or entity(ies) entitled to receive the proceeds of a Participating Employee's or Participating Individual's Account upon their death.

(e) "Board" means the CalSavers Retirement Savings Board.

(f) "Client Employer" means an Employer that is involved in a Multi-Party Employment Relationship due to obtaining the services of a third-party entity.

(g) "Compensation" has the same meaning as defined in Title 26 Code of Federal Regulations Section 1.415(c) - 2(d)(4) (April 5, 2007), which is incorporated herein by reference. In the case of a sole proprietor, a partner in a partnership, a member of a limited liability company treated as a sole proprietor or partner, or another self-employed individual, Compensation means such individual's Earned Income.

(h) "Contribution" means any monies contributed to an Account.

(i) "Contribution Rate" means the percentage of a Participating Employee's Compensation to be withheld and contributed to their Account via payroll deduction under the Program.

(j) "Earned Income" means an individual's net earnings from self-employment from the Participating Employer as determined under Section of Title 26401(c)(2)(A) of Title 26 of the United States Code.

(k) "Electronic Fund Transfer" has the same meaning as the term established under Section 1693a(7) of Title 15 of the United States Code.

(l) "Eligible Employee" means any Employee of an Eligible Employer who is at least eighteen years of age.

(m) "Eligible Employer" means an Employer that (i) has one or more Employees, as determined under the methodology described in Section 10001(a), at least one of whom is an Eligible Employee; (ii) does not maintain or contribute to a Tax-Qualified Retirement Plan; and (iii) is not the federal government, the state, any county, any municipal corporation, or any of the state's units or instrumentalities.

(n) "Employee" means any individual who has the status of an employee under Unemployment Insurance Code Sections 621, 621.5, 622, or 623 and who receives a W-2 with California wages. In the case of an Eligible Employer that is a sole proprietorship, partnership, or a limited liability company treated as a sole proprietorship or partnership for federal income tax reporting purposes, Employee shall also mean a sole proprietor, partner, or member of a limited liability company treated as a sole proprietor or partner for federal tax purposes.

(o) "Employee Information Packet" means the packet of information provided by the Program that includes the Opt-Out Form, instructions on how to opt out of the Program, and other information required under Government Code Section 100014.

(p) "Employer" means a sole proprietor, partnership, limited liability company, Subchapter C or Subchapter S corporation, trust, or other entity, whether for profit or not for profit, that is an employer under California Unemployment Insurance Code Division 1, Part 1.

(q) "Exempt Employer" means an Employer that (i) has zero Employees, as determined under the methodology described in Section 10001(a), has one or more Employees, but does not employ any Eligible Employees, or who does not employ any individuals other than the owners of the business; (ii) maintains or contributes to a Tax-Qualified Retirement Plan; or (iii) is the federal government, the state, any county, any municipal corporation, or any of the state's units or instrumentalities.

(r) "IRA" means an individual retirement account or individual retirement annuity under Section 408(a), 408(b), or 408 A of Title 26 of the United States Code.

(s) "Multi-Party Employment Relationship" means a relationship in which an Employer enters into a service contract with a third-party entity(ies) for services including, but not limited to, payroll, staffing (both temporary and non-temporary), human resources, and Employer compliance with laws and regulations.

(t) "Noncompliance" means the failure of an Eligible Employer to allow an Eligible Employee to participate in the program.

(u) "Opt-Out Form" means the form through which Eligible Employees may note their decision to opt out of participation in the Program.

(v) "Participant" means any person who is or was a Participating Employee, Participating Individual, or Beneficiary.

(w) "Participating Employee" means any person who is an Eligible Employee, is enrolled in the Program, maintains a Program IRA, and is not a Participating Individual.

(x) "Participating Employer" means an Eligible Employer that registered with the Program to provide its Eligible Employees access to the Program.

(y) "Participating Individual" means any person who enrolled in the Program independent of an employment relationship with an Eligible Employer, as further defined in Section 10006; maintains an Account; and is not a Participating Employee.

(z) "Program" means the CalSavers Retirement Savings Program offered by the CalSavers Retirement Savings Trust.

(aa) "Tax-Qualified Retirement Plan" means a retirement plan that qualifies for favorable federal income tax treatment under Sections of Title 26401(a), 401(k), 403(a), 403(b), 408(k), or 408(p) of Title 26 of the United States Code. An employer-provided payroll deduction IRA program that does not provide for automatic enrollment is not a Tax-Qualified Retirement Plan.