IL HB2461

Creates the Automatic IRA Program, a portable retirement savings program for employees of employers with 10+ employees that have not offered a qualified retirement plan in the preceding 2 years.

Establishes a 7-member Automatic IRA Program Board chaired by the State Treasurer to oversee the program, invest funds, and select investment options including conservative principal protection funds, target-date funds, and equity/growth funds.

Requires eligible employers to automatically enroll employees in the program with payroll deductions (default 3% of wages) unless employees explicitly opt out; participating employers deposit contributions into the Automatic IRA Program Fund held in the state treasury.

Limits annual administrative expenses to 1% of total fund balance and prohibits the State from assuming liability for benefits or investment performance; any financial liability falls on entities providing insurance protection.

Program must be implemented and open for enrollment within 12 months of the law's effective date; Department of Employment Security enforces compliance with civil penalties of $250-$500 per eligible employee for non-compliant employers.