The proposed bill establishes the Alaska Work and Save Program within the Department of Revenue, aimed at providing retirement savings options for employees who do not have access to a qualified retirement plan through their employers. Key provisions include automatic enrollment of eligible employees at a default contribution rate, the ability for employees to opt out or adjust their contribution rates, and the establishment of participant accounts. The bill also outlines the responsibilities of the program administrator, including managing investments, maintaining participant records, and ensuring compliance with tax laws.

Additionally, the bill amends existing laws to allow applicants for the Alaska permanent fund dividend to direct a portion of their dividend to their Alaska Work and Save Program accounts, among other charitable contributions. It specifies that contributions to the program will not incur a coordination fee, unlike other organizations listed for contributions. The bill includes provisions for confidentiality of participant information and establishes a complaint process for employees regarding employer compliance with the program. The Act is set to take effect on January 1, 2026.

Statutes affected:
SB0021A, AM SB 21, introduced 01/10/2025: 43.23.130, 43.23.200, 44.25.400, 44.25.490, 18.67.162, 37.05.142, 44.25.410, 44.25.420, 44.25.470, 44.25.430, 44.25.440, 39.20.180, 44.25.450, 44.25.460, 23.30.395, U.S.C
SB0021B, AM CSSB 21(L&C), introduced 04/09/2025: 43.23.130, 43.23.200, 44.25.400, 44.25.490, 18.67.162, 37.05.142