Church Pension Group | Evaluate CPF Plans

Evaluate CPF Plans

What Will Lay Pensions Cost?

We developed tools to help you estimate the cost of providing a pension plan to your eligible lay employees. The two versions of these calculators - one for congregations and one for schools - let you determine the cost to your church or institution.

To calculate plan costs for your church organization or school:

Access the Lay Pension Contribution Calculator and Instructions.
Download our Defined Contribution Pension Calculator for Episcopal Schools and Instructions. (To be used by free-standing schools or organizations with a Parish School/Preschool.)

Need Help? Get Step-By-Step Guidance

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Contact us and we will help you evaluate your plan choices and associated costs, when to proceed, and how the system will benefit your employees and your organization.

What To Consider When Choosing A Plan

	Defined Contribution Plan	Defined Benefit Plan
Retaining Employees	With 100% immediate vesting your employees who leave keep their full account balance including the employer contribution and match.	Longer vesting time encourages long-term employment. Employees are generally not entitled to a benefit until they work five years. The benefit under this plan increases as the employee earns additional years of service.
Anticipating costs	Your organization's costs may be lower, depending on how much employees contribute. If an employee doesn't contribute, you are only required to contribute 5% of compensation.	A fixed percentage, currently set at 9%, allows you to budget your annual costs up front.
Encouraging employee savings	Your match encourages employees to save for retirement.	You can offer the Retirement Savings Plan at no cost to your organization to enable employees to save on their own with pre-tax dollars.
Managing risk	The retirement benefit varies based on how much is contributed and how investments perform. Employees manage their own investments and assess risks on their own. Learn more about the Defined Contribution Plan.	The benefit is fixed at retirement based on years of Credited Service and Highest Average Compensation. Employees do not contribute or manage investments. The Church Pension Fund's Investment Committee manages the plan assets. Learn more about the Defined Benefit Plan.

The Lay Defined Benefit Plan is a qualified plan under Section 401(a) of the Internal Revenue Code, but as a church plan, it is not subject to ERISA. The plan's financial condition is disclosed in the Church Pension Group Annual Report.

The Church Pension Fund, as sponsor of this plan, continues to monitor the funding status closely. Like many defined benefit plans, the Lay Defined Benefit Plan currently is not fully funded. The Church Pension Fund retains the right to amend, terminate or modify the terms of the Lay Defined Benefit Plan, including the employer assessment rate, without notice and for any reason.

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