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Employer Participation

An Episcopal employer must file an adoption agreement with CPF to become a participating employer in the Plan. The Plan cannot be adopted retroactively.

Participating employers should report all lay employees to CPF and enroll them in the Plan as soon as they are scheduled to work 1,000 or more hours per year.

Employer Assessments

After an employer adopts the Plan, it must pay Assessments in full and on time for its members. These Assessments are a percentage (currently 9%) of each member’s Earnings. Contributions from members are not permitted.

All Assessments are due on the last day of the month for which they are billed. This means that every month, your participating employer is required to pay a percentage of 1/12 of your projected annual Earnings. If a participating employer does not pay the full Assessment when it is due, interest will be applied as follows:

  • Prior to January 1, 2019, interest will be charged on Assessments that are overdue by more than two calendar years. The annual rate used to calculate interest is the Plan’s discount rate, which – as of April 1, 2018 – is 3.875%.
  • Beginning on January 1, 2019, interest will be charged on Assessments that are three months or more overdue. In addition, the annual rate used to calculate interest will increase to 7%, which is consistent with CPF’s investment objective. The rate is subject to periodic review.

Please note that CPF will not accept late Assessment payments unless the accrued interest is also paid. Once you retire under the Plan, however, no Assessments will be accepted.

Important note: We strongly encourage you to monitor whether your participating employer is paying Assessments in a timely manner. Late Assessment payments may accrue interest and also mean that you will not:

  • Earn Credited Service unless and until Assessments are paid in full; and
  • Receive all the benefits for which you and your family may be eligible because your member status under the Plan (Active / Terminated) may be impacted.

If Your Employer Stops Participating in the Plan

A participating employer can choose to stop participating in the Plan as of the end of a calendar year; however, CPF reserves the right to require a final contribution from the employer to ensure that the benefits of its members are fully funded, as determined by CPF in its sole discretion.

If you are actively working and enrolled in the Plan at the time your employer stops participating, you will become fully vested. You will not earn any additional benefits under the Plan while your employer is not a participating employer.

In keeping with the requirements of the Constitution and Canons of the Episcopal Church, an employer that chooses to stop participating in the Plan will be required to enroll eligible employees in The Episcopal Church Lay Employees’ Defined Contribution Retirement Plan (or any other plan permissible under General Convention Resolution 2009-A138).

If Your Employer Stops Participating in the Plan