[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3305 Introduced in Senate (IS)]

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118th CONGRESS
  1st Session
                                S. 3305

 To amend the Employee Retirement Income Security Act of 1974 and the 
  Internal Revenue Code of 1986 with respect to minimum participation 
           standards for pension plans and qualified trusts.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           November 15, 2023

Mr. Cassidy (for himself and Mr. Kaine) introduced the following bill; 
     which was read twice and referred to the Committee on Health, 
                     Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
 To amend the Employee Retirement Income Security Act of 1974 and the 
  Internal Revenue Code of 1986 with respect to minimum participation 
           standards for pension plans and qualified trusts.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Helping Young Americans Save for 
Retirement Act''.

SEC. 2. ELIGIBILITY AT AGE 18 UNDER CERTAIN CONDITIONS.

    (a) ERISA.--
            (1) Age 18.--Subparagraphs (A) and (B) of section 202(c)(1) 
        of the Employee Retirement Income Security Act of 1974 (29 
        U.S.C. 1052(c)(1)) are amended to read as follows:
                    ``(A) the period determined under subsection (a)(1) 
                determined--
                            ``(i) without regard to subparagraph (B)(i) 
                        thereof; and
                            ``(ii) by substituting `18' for `21' in 
                        subparagraph (A)(i) thereof; or
                    ``(B) the first 24-month period--
                            ``(i) consisting of 2 consecutive 12-month 
                        periods during each of which the employee has 
                        at least 500 hours of service; and
                            ``(ii) by the close of which the employee 
                        has met the requirement of subsection 
                        (a)(1)(A)(i) (without regard to subparagraph 
                        (A)(ii) of this paragraph).''.
            (2) Conforming amendments.--Section 202(c) of such Act (29 
        U.S.C. 1052(c)) is amended--
                    (A) in the subsection heading--
                            (i) by striking ``Special Rule'' and 
                        inserting ``Special Rules''; and
                            (ii) by adding ``and Certain Younger 
                        Employees'' after ``Employees''; and
                    (B) in paragraph (3)--
                            (i) by striking ``Paragraph (1)(B)'' and 
                        inserting ``Paragraph (1)'', and
                            (ii) by striking ``section 
                        401(k)(2)(D)(ii)'' and inserting ``section 
                        401(k)(2)(D)''.
            (3) Opinion of independent qualified public accountant.--
        Section 104(a)(2) of such Act (29 U.S.C. 1024(a)(2)) is amended 
        by adding at the end the following:
    ``(C) For purposes of this paragraph and the last sentence of 
section 103(a)(3)(A), with respect to a pension plan in which at least 
one employee participates solely by reason of section 202(c)(1)(A), no 
employee participating in such plan solely by reason of section 
202(c)(1)(A) shall be treated as a participant until the date that is 5 
years after the date on which the first such employee first becomes a 
participant in such plan.''.
    (b) Internal Revenue Code of 1986.--
            (1) Age 18.--Clauses (i) and (ii) of section 401(k)(2)(D) 
        of the Internal Revenue Code of 1986 are amended to read as 
        follows:
                            ``(i) the period permitted under section 
                        410(a)(1), determined--
                                    ``(I) without regard to 
                                subparagraph (B)(i) thereof, and
                                    ``(II) by substituting `18' for 
                                `21' in subparagraph (A)(i) thereof, or
                            ``(ii) subject to the provisions of 
                        paragraph (15), the first of 2 consecutive 12-
                        month periods during each of which the employee 
                        has at least 500 hours of service, provided 
                        that the employee has satisfied the 
                        requirements of section 410(a)(1)(A)(i) 
                        (without regard to clause (i)(II) of this 
                        subparagraph).''.
            (2) Conforming amendments.--The Internal Revenue Code of 
        1986 is amended--
                    (A) in section 401(k)(15)--
                            (i) in the paragraph heading, by adding 
                        ``and certain younger workers'' after 
                        ``workers''; and
                            (ii) in subparagraph (B)--
                                    (I) in clauses (i) and (ii), by 
                                striking ``(2)(D)(ii)'' each place it 
                                appears and inserting ``(2)(D)'';
                                    (II) in clause (i), by striking 
                                ``202(c)(1)(B)'' and inserting 
                                ``202(c)(1)''; and
                                    (III) in clause (iv), striking 
                                ``paragraph (2)(D)(ii)'' and inserting 
                                ``clauses (i)(II) and (ii) of paragraph 
                                (2)(D)''; and
                    (B) in section 403(b)(12)--
                            (i) in subparagraph (A), by striking 
                        ``section 202(c)'' and inserting ``section 
                        202(c)(1)(B)''; and
                            (ii) in subparagraph (D)--
                                    (I) in the subparagraph heading, by 
                                inserting ``and certain younger 
                                employees'' after ``employees''; and
                                    (II) in clause (i), by striking 
                                ``202(c)(1)(B)'' and adding 
                                ``202(c)(1)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to plan years beginning after December 31, 2025.
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