Retirement Toolkit
Most private household jobs do not come with pensions or 401(k)s, so planning ahead is essential. If you’ve worked off the books or had inconsistent W-2 income, here’s what matters most:
- Social Security (credits & 35-year rule): Your benefit is based on your highest-earning 35 years. Any year not reported on payroll counts as a zero. You need 40 credits (about 10 years on the books) to qualify.
- On-the-books vs. cash: Off-the-books pay won’t build Social Security or unemployment protection. Moving on-the-books in your final working decade can meaningfully raise your future benefit.
- IRAs & Roth IRAs: Even without an employer plan, you can open your own IRA or Roth IRA and contribute up to the annual limit if you have reported income.
- Catch-up contributions (50+): After 50, the IRS lets you contribute extra to accelerate savings.
- Health insurance: In your last working decade, prioritize roles with employer coverage or budget for ACA Marketplace plans so health costs don’t eat your savings.
If you’re on a payroll/W-2:
- Stay on payroll to earn Social Security credits (keep your W-2s).
- Use a Roth IRA (and catch-up if you’re 50+).
- Ask about any employer health plan or use the ACA Marketplace.
If you’re self-employed/1099:
- Consider a Solo 401(k) or SEP-IRA for higher contribution limits.
- Plan for quarterly taxes; consider an HSA with a high-deductible plan.
- Report income to build Social Security credits for later.
Because Social Security depends on reported income, nannies who worked mostly off the books often receive very low monthly checks. It’s never too late to switch to on-the-books roles and build credits for the future.
Use this Social Security Estimator to see your monthly benefit and how adding on-the-books years could increase it.
Social Security Estimator
Educational estimate only; not financial, tax, or legal advice. Exact SSA math includes wage indexing, year-specific bend points, and claiming rules.
State Auto-IRA Programs
Some states automatically enroll workers in a retirement savings plan if employers don’t offer one. Click your state to see if it participates.
Click a state to see if it participates.
California - CalSavers
Status: Active, mandatory auto-IRA
- Employers without a plan must facilitate payroll Roth IRAs.
- Employees auto-enrolled; can opt out anytime.
- No employer contributions required.
Source: CalSavers
Colorado - SecureSavings
Status: Active, mandatory auto-IRA
- Auto-enroll Roth IRA for workers at employers without a plan.
- Opt-out allowed; no employer contributions.
Source: Colorado SecureSavings
Connecticut - MyCTSavings
Status: Active, mandatory auto-IRA
- Employers without a plan must facilitate payroll Roth IRAs.
- Auto-enrollment with opt-out.
Source: MyCTSavings
Delaware - EARNS
Status: Active, mandatory auto-IRA
- Employer facilitation required if no plan is offered.
- Auto-enroll Roth IRA; workers may opt out.
Source: Delaware EARNS
Illinois - Secure Choice
Status: Active, mandatory auto-IRA
- Applies to employers without a plan (size thresholds phased in).
- Auto-enrollment; opt-out allowed.
Source: IL Secure Choice
Maine - Retirement Savings Program
Status: Active, mandatory auto-IRA
- Employers without a plan must facilitate Roth IRAs.
- Auto-enroll with opt-out.
Source: ME Treasurer
Maryland - MarylandSaves
Status: Active, mandatory auto-IRA
- Employers without a plan facilitate Roth IRAs; fee relief incentive.
Source: MarylandSaves
Minnesota - Secure Choice
Status: Active (launched 2025), mandatory auto-IRA
- Employers without a plan must facilitate payroll IRAs.
- Auto-enrollment; workers can opt out.
Source: MN Secure Choice
Nevada - Employee Savings Trust
Status: Active (launched 2025), mandatory auto-IRA
- Employers without a plan facilitate payroll Roth IRAs.
- Auto-enroll with opt-out.
Source: NV Program
New Jersey - RetireReady NJ
Status: Active, mandatory auto-IRA
- Employer facilitation required if no plan exists.
- Auto-enroll Roth IRA; opt-out permitted.
Source: RetireReady NJ
Oregon - OregonSaves
Status: Active, mandatory auto-IRA
- Auto-enrollment for workers where employer has no plan.
- Opt-out allowed; no employer contributions.
Source: OregonSaves
Vermont - VermontSaves
Status: Active (launched 2025), mandatory auto-IRA
- Employer facilitation required if no plan is offered.
- Auto-enroll Roth IRA; employees can opt out.
Source: VermontSaves
Virginia - RetirePath VA
Status: Active, mandatory auto-IRA
- Employers without a plan must facilitate Roth IRAs.
- Auto-enrollment with opt-out.
Source: RetirePath Virginia
Washington - Retirement Marketplace
Status: Voluntary marketplace now; mandatory auto-IRA planned (2027)
- Marketplace lists private plans for small employers.
- State auto-IRA anticipated to launch in 2027.
Sources: WA Marketplace · WA 2027 note
Hawaii - Hawaii Retirement Savings Program
Status: In development
- Auto-IRA authorized; statewide rollout pending implementation.
Source: Pew overview
New Mexico - Work and Save IRA
Status: Voluntary program / phased rollout
- Facilitated IRA available; employer participation voluntary.
Source: NM Work & Save
New York - Secure Choice
Status: Authorized; statewide implementation ongoing
- Auto-IRA framework in place; rollout/coverage expanding.
Sources: NY program site · overview
Pennsylvania - Keystone Saves
Status: Proposed (pending full enactment)
- Would require employers without a plan to facilitate auto-IRA.
Source: PA Treasury
Rhode Island - RI Savers
Status: In development
- Auto-IRA authorized; launch timeline being finalized.
Source: RI Savers FAQ
Massachusetts - CORE Plan (MEP)
Status: Voluntary open MEP (nonprofits)
- Multiple-employer 401(k) for eligible nonprofits; not an auto-IRA.
Sources: overview
Missouri - Show-Me MyRetirement Savings Plan
Status: Voluntary open MEP (launching 2025)
- Voluntary 401(k) MEP for small employers; not an auto-IRA mandate.
Sources: program overview
Georgia - Peach State Saves
Status: Proposed (SB 226)
- Bill would create a state auto-IRA; not yet enacted.
Sources: NTSA summary · SB 226 text
No State Program
Your state doesn’t have a mandatory auto-IRA or an active state-facilitated option yet. You can still save using a Roth/Traditional IRA, and if you’re self-employed, consider a Solo 401(k) or SEP-IRA.
Overview: Georgetown CRI State Initiatives
More Helpful Resources
Ready to go deeper? These quick guides explain how Social Security credits work, how to save on your own with IRA/Roth accounts, and what options exist if you’re self-employed.
On-the-Books & Credits
Social Security requires credits (quarters of coverage). Learn how payroll, W-2s, and reported income build eligibility and increase your benefit.
How Credits WorkDIY Savings: IRA & Roth IRA
No employer plan? You can still save. Compare IRA vs Roth IRA, contribution limits, and catch-up options if you’re 50+.
See IRA BasicsSelf-Employed? Solo 401(k) & SEP
For contractors and agency freelancers: higher contribution limits may be possible with Solo 401(k) or SEP-IRA.
Compare PlansWant Help Planning Your Next Steps?
If you’d like a hand comparing on-the-books scenarios, mapping IRA/Roth choices, or balancing work and school, I’m here to help.
Book a ConsultationThis toolkit is for informational purposes only and does not constitute financial, tax, or legal advice.
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