Church Retirement Plans

Plan Selection

What is a Church Retirement Plan?

A Church Retirement Plan, or a 403(b)(9) Plan, is designed for the unique needs of a church or those with 501(c)(3) church status. All Church Plans are considered Non-ERISA, which do not involve employer contributions and do not need to follow the stipulations of the Act.

Who is Eligible for a Church Retirement Plan Contribution?

Church Retirement Plan Administrators are allowed to choose which employees or group of employees will receive employer retirement plan contributions. Further, they can decide how each person, or categories of persons, will receive contributions. For example, they can determine that employees have specific service requirements before they can participate in the plan.

What Are the Benefits of a Church Retirement Plan?

  1. Participation Flexibility—The employer has the flexibility to decide whether to use universal availability or to choose which employees are allowed to participate in the plan. As an example, an employer may impose age and/or service requirements before an employee can participate in the plan.

  2. Housing Allowance—Allows ordained, licensed, or commissioned ministers to take non-taxable, ministerial housing allowance distributions in retirement from their 403(b)(9) plans, a big tax break. Ministers can contribute to their plan tax free. They can also receive distributions in retirement tax free. This is a huge benefit.

  3. Pre-SECA Tax—All monies contributed by the participant with a ministerial status are not subject to Social Security tax or income tax. They are made pre-SECA tax—a 15.3% tax savings.

  4. Time and Cost—403(b)(9) plans are less expensive to administer. These plans DO NOT fall under ERISA regulations, which requires that tax-deferred accounts undergo periodic reviews known as discrimination testing. This saves the cost of an audit, form preparation, and testing requirements.

Learn more about Envoy’s Church retirement plan options today!

Interested in Envoy’s Ministry Retirement Plans?
Start your custom Retirement Plan Proposal today!

Are you a Ministry Leader?

We have some great ways to promote Biblical Financial Stewardship to your staff.

To explore this, connect with us.