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Easier Retirement Plan Access for Part-Time Workers

This bill aims to make it easier for part-time employees to access employer-sponsored retirement plans, such as 401(k)s. It modifies the service requirements for participation, setting a qualification period of two years.
Key points
Part-time employees can join retirement plans after 2 consecutive 12-month periods with at least 500 hours of service each.
The changes apply to 401(k) and 403(b) plans, allowing participation upon meeting the new service requirements.
12-month periods beginning before January 1, 2022, will not be taken into account for the new requirement.
Employers may exclude these employees from certain retirement plan rules (e.g., top-heavy rules and nondiscrimination requirements).
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Additional Information
Print number: 117_S_3751
Sponsor: Sen. Casey, Robert P., Jr. [D-PA]
Process start date: 2022-03-03