For fifty years, Geneva Benefits Group has administered the Ministerial Relief Fund on behalf of the Presbyterian Church in America (PCA). The first General Assembly of the PCA established this committee to manage retirement and benefits of the newly formed denomination and to develop a program to “meet the needs of ministers and other workers in the church in an adequate manner.”
As our name suggests, Geneva Benefits Group is a part of the reformed tradition. That means our decisions are directed by Scripture and guided by our church documents, even in financial matters like church staff compensation packages. But when it comes to enrolling a church staff in a retirement plan, it can be difficult to know where to start.
From the very beginning of the church, the apostles called Christians to care for widows. The most famous passage in the Bible about widows carries that very message, and it is the inspiration for our yearly Look/After campaign: “Religion that is pure and undefiled before God the Father is this: to visit orphans and widows in their affliction, and to keep oneself unstained from the world” (James 1:27).
In our research, we found that 70% of PCA pastors are not confident that they have enough savings for retirement, and therefore need to plan for retirement. As many PCA pastors reach retirement age, Geneva helps the most pressing cases with financial aid through the Relief Fund.
Under U.S. tax code, ordained ministers can opt out of Social Security. Form 4361 declares that ministers who are theologically opposed to receiving benefits from the government can excuse themselves from Social Security. While keeping 15.3 percent each paycheck instead of giving it to the government might seem like the way to go, opting out of social security is not a decision to make lightly. There are irrevocable repercussions. Once a pastor chooses to opt out, they are out for good in most cases.