S. 1707 — Helping Young Americans Save for Retirement Act

This section revises the special participation rule under ERISA §202(c)(1) and IRC §401(k)(2)(D) to permit exclusion of service performed before age 18 (from before age 21) when determining the one-year service requirement for pension plan eligibility, or alternatively after two consecutive 12-month periods of at least 500 hours of service. (These rules govern minimum standards for when employees must be allowed to participate in or make elective deferrals to pension plans, including 401(k) plans.) It further excludes from participant counts—under ERISA provisions for simplified annual reports for pension plans with fewer than 100 participants and audit waivers—any employees who participate solely due to the revised rule, until five years after the first such employee participates. (Thus, small plans retain reporting relief despite adding younger participants.) Conforming amendments update headings and cross-references (e.g., adding "and certain younger employees"). The changes apply to plan years beginning one year after enactment.