Qualification driven by strong, bipartisan voter support for protections against retroactive taxes and new taxes on personal property, like retirement and savings accounts

Signatures are being submitted this week to qualify for November ballot

Sacramento, CA  —  A growing coalition of seniors, Veterans, taxpayer advocates, and small businesses today announced submitting more than 1.4 million signatures to qualify the Retirement & Personal Savings Protection Act for the November 2026 ballot. 

The Retirement & Personal Savings Protection Act prohibits retroactive taxes and new state taxes on personal property, including retirement accounts, savings accounts, and other assets. Recent internal campaign polling shows 72% of likely voters support prohibiting new state taxes on personal property and banning retroactive taxes. There is strong, bipartisan backing from voters concerned about California’s high tax burden and cost of living.

“For millions of California seniors, retirement security is not a luxury,” explained Bishop Dwight E. Williams, President, California Senior Alliance. “It comes from years of hard work and careful saving, and seniors depend on that security every day. Proposals to tax pensions, 401(k)s, or personal savings put that stability at risk. This measure is just common sense: what you have earned and saved should be protected. The California Senior Alliance is proud to support it.” 

By submitting more than 1.4 million signatures before May 1, the measure has far surpassed the necessary 874,641 valid signatures and is on track to qualify. County elections officials will now verify the signatures and report their results to the Secretary of State by June 25.

Supporters say the measure comes at a critical moment for Californians who are paying some of the highest taxes in the nation. Today, California is the third most expensive state for retirement, with the average Californian needing nearly $2 million in savings. As families struggle to keep up with rising costs, recent legislative proposals raise serious concerns.

“People are doing everything right by working hard and saving what they can for retirement. But, they’re worried the rules could change on them, negatively impacting their long-term financial security,” said Sean Morgan, a financial advisor with advanced certifications from Stanford University and the MIT Sloan School of Management.

Though California does not currently tax retirement accounts on their value, recent state proposals – including AB 2088 (2019), AB 310 (2021), and AB 259 (2023) – sought to annually tax the value of retirement accounts. While initially proposed for high-income earners, once a tax is passed, it is easy to expand that tax to more taxpayers and income levels. The federal income tax began as a narrow “class tax” on the wealthy and now impacts everyone.

If such a tax were to pass, the impact would be significant. A recent economic analysis found that even a seemingly small 1% tax on retirement accounts would result in negative financial impacts for Californians. Many individuals would need to reduce contributions to offset the tax, compounding its impact over time. This could significantly shrink retirement savings, delay retirement by up to seven years, and create annual retirement tax bills of up to $10,000 for those nearing retirement. This would be in addition to income taxes that are already paid on 401(k) withdrawals.

“California is already a tough place for small businesses to survive,” said Mike Hedges, President of the California Small Business Association. “Rising rent, energy bills, payroll, and existing taxes leave many mom-and-pop shops struggling to make ends meet. This measure offers much-needed relief by stopping politicians from imposing new taxes on the mere ownership of small businesses, which will help local businesses keep their doors open.”

“Veterans earned their benefits through years of service to our country,” emphasized Commander Armando Hernandez, Disabled American Veterans, Department of California. “Disabled Veterans often face higher medical expenses and limited income, making retirement and savings accounts critical to supporting them and their families. The Retirement and Personal Savings Protection Act will safeguard the savings veterans depend on. Disabled American Veterans, Department of California strongly supports this initiative to protect veterans and all Californians from new taxes that threaten their financial security.” 

“It’s not surprising that voters support protecting their retirement and savings from new taxes,” said Tom Hudson, President, California Taxpayer Protection Committee. “History shows that taxes sold as narrow taxes on the wealthy often end up reaching working and middle-class families. Californians want our state to do better with the money they already have. They shouldn’t get to take more money from Californians if they saved responsibly.”