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US S1707

US S1707
Helping Young Americans Save for Retirement Act


summary

Introduced
05/12/2025
In Committee
05/12/2025
Crossed Over
Passed
Dead

Introduced Session

119th Congress

Bill Summary

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.

AI Summary

This bill aims to lower the age at which young workers can participate in pension plans by modifying existing retirement and tax laws. Specifically, it reduces the minimum participation age from 21 to 18 for employees in retirement plans covered by the Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code. The bill allows younger workers to join pension plans either immediately upon turning 18 or after completing two consecutive 12-month periods with at least 500 hours of service in each period. Additionally, the legislation makes technical changes to how pension plan participants are counted and provides a transition period, with the new rules applying to plan years beginning one year after the Act's enactment. The goal is to help young Americans start saving for retirement earlier by removing age-based barriers to participation in employer-sponsored retirement plans, potentially giving them more time to accumulate savings and benefit from compound interest.

Committee Categories

Health and Social Services

Sponsors (8)

Last Action

Read twice and referred to the Committee on Health, Education, Labor, and Pensions. (on 05/12/2025)

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