Why Plan for Retirement? by Superintendent Gene Roncone

Pastors are often hesitant to talk about retirement. They may feel unprepared, anxious about not planning, or even overwhelmed by all the terms and complexities surrounding retirement accounts. However, a retirement account is nothing more than a savings tool that earns higher interest while leveraging tax advantages. You only need to know some of the technicalities to get a good start. Moreover, there are many reasons why you should have a retirement account and start planning for retirement now, no matter how old or in what stage of life you may be. 

1. The Bible teaches us to save for the future. In Proverbs, King Solomon tells us to consider modeling the wisdom of the tiny ant and how it prepares for the future. Go to the ant, you sluggard; consider its ways and be wise! It has no commander, no overseer or ruler, yet it stores its provisions in summer and gathers its food at harvest (6:6-8 NIV). Another proverb speaks to the need to prioritize the future over what seems pressing in the present: Put your outdoor work in order and get your fields ready; after that, build your house (24:27 NIV).

2. The future is unpredictable. You may not always be able to work, save, or enjoy the financial blessings of a consistent income. There will be a time when age, health, or limited opportunities may prevent you from working in ministry or even a secular job. Assuming you can work until the day you die is unlikely and would be an unwise strategy. Ecclesiastes teaches that our lives consist of times of abundance and times of shortage (3:1-8). That is why it is wise to save during times of plenty for times of scarcity. 

3. You do not want to burden your family. Many adult children struggle to be financially responsible for their aging parents and their own children simultaneously. You must set aside money for the future to avoid becoming financially dependent upon your children or family for financial support. The best way to help your children experience financial freedom is to prepare for your future now. 

4. You do not want to burden a church. Unfortunately, many pastors who do not plan for retirement must continue in ministry long after their drive, health, and abilities can lead well and grow a church. Planning for retirement now will help you steward your ministry without wearing out your welcome or causing the church to decline. 

5. Social Security will not be enough. Social Security was never intended to be a person’s only source of retirement income. Its purpose was to be a supplement to personal savings. Social Security will be insufficient with rising health care costs, inflation, taxes, market volatility, longer life spans, and the evolving work environment. You must establish a retirement account now and begin making regular deposits. 

6. You will enjoy your “golden years.” Unfortunately, many ministers who do not plan for retirement cannot enjoy their golden years due to financial pressure, required work schedules, and limited employment opportunities. That is not God’s will for your future. Blessed are all who fear the Lord, who walk in obedience to him. You will eat the fruit of your labor; blessings and prosperity will be yours (Psalm 128:1-2 NIV). Ecclesiastes says: I know that there is nothing better for people than to be happy and to do good while they live. That each of them may eat and drink, and find satisfaction in all their toil—this is the gift of God (3:12-13 NIV).

Although it may be difficult to imagine now, there will be a day when your regular paycheck will stop. A time will come when you will not be able or willing to earn an income. That is why no matter how old you are or what stage of life you are in, you need to begin regularly contributing to a retirement account.

The RMMN created the Empower Initiative to partner with our ministers by providing options for a future retirement with peace, freedom, and dignity.

The Empower initiative is a voluntary program in which ministers can choose to have ten percent of their monthly ministry contribution forwarded into a retirement account with either Church Extension Plan (CEP) or Ministers Benefit Association (MBA). The plan is limited to these two Assemblies of God financial services companies. Should you decide to participate, you must decide which of these two AG organizations is best for you. Many ministers use both as a way to diversify their retirement planning.

Use the accordion tabs below to learn more about each organization, the steps required to participate, and the forms you must submit. Again, feel free to contact John Bryant if you have any questions at jbryant@rmdc.org.

This module provides helpful information concerning the EMPOWER minister retirement option through the Rocky Mountain Ministry Network. Current, new credentialed, or transferring eligible ministers to RMMN may elect to choose one retirement option offered by RMMN in partnership with Minister’s Benefit Association or Church Extension Plan.

Following a minister’s successful enrollment with RMMN in either CEP or MBA, a tithe (10%) of the minister’s received qualifying contribution is sent monthly to their selected organization (MBA or CEP), to be deposited in the ministers 403(b) account.

All RMMN ministers, current with their tithes/dues, may elect to participate in this 403(b)-retirement program. Every month, as you send your tithe to RMMN, we take 10% of your tithe and invest it in your established retirement account, managed by MBA or CEP. Please remember that you assume sole responsibility for investment choices and elections and should review all information available.

Should you elect this plan, here is a checklist to help you in enroll in the CEP 403(b) plan.

1. Review the RMMN minister’s tithe policy at this link.

2. Review information concerning the CEP 403(b) Retirement Plan at this link. 

3. Contact the CEP Investment Team to assist you at (800) 821-1112.

4. Access and complete all sections of the CEP 403(b) Participation Agreement at this link.

5. Print your Participant Agreement form. After you fill out all sections of the form and sign the document, scan the completed document and save it for your records. (On page 3 Signature Page: If you decide to not include the name of name your spouse as a beneficiary, your spouse must acknowledge the election and her/his signature must be notarized).

6. Email the completed and signed form to investment@cepnet.com. For a secure email option, please contact CEP at (800) 821-1112.

7. CEP will notify RMMN that your form has been completed. When the first contribution is received from RMMN, you will be provided with your account number and additional information about the 403(b) plan.

8. You can confirm receipt of your enrolment form by contacting CEP.

• Email: investment@cepnet.com
• Call: 800-821-1112
• Fax: 503-581-3237

This module provides helpful information concerning the EMPOWER minister retirement option through the Rocky Mountain Ministry Network. Current, newly credentialed, or transferring eligible ministers to RMMN may elect to choose one retirement option offered by RMMN in partnership with Minister’s Benefit Association or Church Extension Plan.

Following a minister’s successful enrollment with RMMN in either CEP or MBA, a tithe (10%) of the minister’s received qualifying contribution is sent monthly to their selected organization (MBA or AGF), to be deposited in the minsters 403(b) account.

All RMMN ministers, current with their tithes/dues, may elect to participate in this 403(b)-retirement program. Ministers over the age of 70 may not enroll. Every month, as you send your tithe to the RMMN, we take 10% of your tithe and invest it in your established personal retirement account, managed with an MBA or CEP. Please remember that you assume sole responsibility for investment choices and elections and should review all information available.

Should you elect this plan, here is a checklist concerning enrolling in MBA.

1. Review the RMMN minister’s tithe policy at this link.

2. Review information concerning the MBA 403(b)-Retirement Plan at this link. 

3. Identify a regional MBA consultant to assist you at this link.

4. Fill out all six sections of the MBA 403(b) enrolment form at this link. 

5. Print your enrollment form. After you fill out all six sections of the form and sign the document, download it and save it for your records. (Under Certifications and Signatures: If you decide to not use your spouse as a beneficiary, AG Financial requires you to use a notary).

6. Upload the file. Upload the completed and signed electronic file you previously downloaded to MBA’s site at this link. 

• Enter your email address in the form field.
• Enter a subject matter, such as Enrollment In MBA.
• Type a message in the message body.
• Verify with the reCAPTCHA.
• Attach the 403(b) Enrollment form you have printed and signed.

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7. Click SEND when complete.

8. You can confirm receipt of your enrolment form by contacting AG Financial

• Email: clientservices@AGFinancial.org
• Call: 866.621.1787
• Fax: 417.831.7429

Pastors can be hesitant when it comes to talking about retirement. They may feel unprepared or overwhelmed by all the terms, laws, and complexities surrounding retirement accounts. That is why the RMMN has created a  three-hour self-paced interactive online class entitled “Retirement Essentials.”  The course is free to all RMMN ministers and can be taken at your own pace from anywhere with internet access. After completing this training, you will receive a Certificate of Completion. The first 50 individuals who complete the course will receive $250 as a special contribution from the Network to open their CEP retirement fund.

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You can do this! A retirement account is nothing more than a unique savings account established to provide future income through tax-advantaged savings and the power of compounding interest. You do not need to know all the technicalities to get a good start. Moreover, there are many reasons why you should have a retirement account—no matter how old you are or in what stage of ministry you may be. 

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In this super-simple course, you will learn the following: 

• Why retirement planning should be important to you as a minister.
• Five Biblical truths about ministerial retirement.
• The common misconceptions about retirement savings.
• Reasons why pastors do not save for retirement. 
• Consequences of not saving for retirement.
• The power of compounding interest.
• Basic kinds of retirement accounts.
• The benefits of the minister’s 403(b) retirement account.
• 8 Steps to Getting Started.
• How the Board can Help. 
• How the Network can help you. 

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After completing this training, you will receive a Certificate of Completion that can be used to open your new retirement account with Church Extension Plan and receive your first $250 as a special contribution from the Network. This innovative resource can be accessed by clicking here. 

 

Minister Retirement, Bringing Clarity to Retirement Planning by Gene Roncone and Darren Mullenix, CFP®, ChFC®

Pastors can be hesitant when it comes to talking about retirement. They may feel unprepared or overwhelmed by all the terms, laws, and complexity surrounding retirement accounts. But a retirement account is nothing more than a unique savings tool that earns higher compounding interest rates while leveraging tax advantages. In this Charles T. Crabtree School of Ministry resource, Gene Roncone and Darren Mullenix CFP®, ChFC® address …

• Why retirement planning is important for ministers.
• Common misconceptions about retirement saving.
• Reasons pastors don’t save for retirement.
• Consequences of not planning.
• The power of compounding interest
• Common obstacles and how to overcome them.
• Basic kinds of retirement accounts.
• The benefits of the minister’s 403(b) retirement account.
• 8 Steps to Getting Started.
• How the Board Can Help.
• How Church Extension Plan (CEP) can help.

You need not know all the technicalities about retirement savings to get a good start. Help is on the way!

If you are an RMMN minister, you can receive your free copy of the book by contacting the Secretary/Treasurer’s office at finance@rmdc.org.

The Network has provided the following educational resources for local church boards.  

1. ARTICLE:  Superintendent Gene Roncone and retirement specialist Darren Mullenix, CFP®, ChFC®, wrote a practical article to help boards better understand the importance of offering a retirement program for their pastors and practical ways any church can do that. We encourage you to download this article and share it with your church board on behalf of the Network Superintendent. You can download the article at this link. 

2. BOOK, STEWARDING THE FUTURE.  The Bible teaches us that pastors are God’s gift to the church (Ephesians 4:11-12). Although the church as a whole is expected to care for a pastor, most churches delegate that stewardship to the church board. However, a pastor’s salary is unique compared to other professions; and most boards, even if they include business people who have employees, do not understand the complexity surrounding a minister’s remuneration. They know God expects them to be good stewards of His gift to them in the office of pastor; but when it comes to retirement, they do not always know how.

In this resource, Gene Roncone and Darren Mullenix partner together to remove the complexity of ministerial retirement options and help church boards understand how they can better steward the future. After reading this practical resource, you will have a grasp of:

• Five biblical truths about ministerial retirement.
• Why church boards should facilitate retirement planning.
• The basic kinds of retirement accounts.
• The superiority of the minister’s 403(b) retirement plan.
• Practical things church boards can do.
• Ways Church Extension Plan can help.

Because ministerial retirement planning is important to God, it should be important to church boards. This resource will help your leadership community better steward the church’s future as well as the shepherd God has given you. This resource is available at this link. 

Gene Roncone and Darren Mullenix, CFP® team up to help you and your board address the reasons and practical steps needed to start a retirement plan for a church of any size. Starting a church retirement plan for ministers has roots in biblical history, opens doors of opportunity for pastors, and has many advantages for a church. It is not as complex as you may think and can be accomplished relatively quickly by following a few easy steps. You can download this helpful resource here. 

Pastors can be hesitant when it comes to talking about retirement. They may feel unprepared or overwhelmed by all the terms, laws, and complexity surrounding retirement accounts. But a retirement account is nothing more than a unique savings tool that earns higher compounding interest rates while leveraging tax advantages. In this blog series, Superintendent Gene Roncone offers practical ways of thinking and acting that can help ministers retire with peace, freedom, and dignity. Access the series here.