The White House announced a rule Thursday that will help states initiate retirement savings programs for private-sector workers who don't have a 401(k) at work.
The Department of Labor regulation creates a road map for states to set up retirement accounts that participants would fund with payroll deductions.
About 55 million American workers currently don't have access to a workplace retirement plan.
Right now, eight states have enacted or are weighing legislation to establish retirement accounts for employees who otherwise can't save for retirement.
California is the latest state to take steps toward implementing a program. The Golden State's assembly approved the Secure Retirement Saving Program on August 25, bringing it a step closer to passage.
Other states working on similar plans include Connecticut, Illinois, Maryland, New Jersey, Oregon, Massachusetts and Washington.
The Labor Department also announced a proposal to expand the rule to cover a limited number of larger cities and counties.