Your employer funds the Clergy Pension Plan and all other benefits provided by CPF through Assessments. However, there are certain situations when you may personally pay Assessments.
The CPF Board of Trustees sets the Assessment rate, which is 18% of your Total Assessable Compensation. This means that every month, your employer is required to pay 18% of 1/12 of your projected annual Total Assessable Compensation. If you have multiple employers, each one is billed based on the portion of your Total Assessable Compensation that it pays or provides to you.
A Word About Funding*
The timely payment of Assessments is critical since they fund the benefits that CPF provides to eligible clergy and their beneficiaries. All Assessments (contributed by employers and clergy) are pooled together and invested by CPF. When you retire, you generally will receive a monthly pension benefit for the rest of your life. After you die, the Clergy Pension Plan may also provide ongoing benefits for your eligible surviving family members. Since pension benefits are based on a formula, the amount of your benefit will not be affected by CPF’s investment performance.
Important note: We strongly encourage you to monitor whether your employer is paying Assessments in a timely manner. Late Assessment payments may accrue interest, and mean that you will not
- earn Credited Service unless and until Assessments (and, if applicable, interest) are paid in full, and
- receive all the benefits for which you and your family may be eligible because your status (Active/Inactive) under the Clergy Pension Plan may be affected.
* The Constitution and Canons mandate that employers that are subject to the authority of the Church, or employers that are associated with the Church and that elect to participate in the Clergy Pension Plan, make Assessment payments to CPF on behalf of eligible Episcopal clergy.