2019 Annual Conference Approved Plan Design Changes
The NC Conference Board of Pension proposed plan design changes to the Ministers’ Transition Fund (MTF) to the 2019 session of Annual Conference and the changes were approved. All clergy members are encouraged to read about the details of the changes. A list of Frequently Asked Questions about the changes are posted to the 2019 Annual Conference webpage. Additional questions can be directed to firstname.lastname@example.org. More detailed information will be sent to current members as the new Transition Fund is implemented with a February 1, 2020 effective date.
Current Plan Design
Any ministerial member of the NC Annual Conference who is serving full time in an Episcopal appointment (including NC Annual Conference Institutions) is eligible to enroll in the MTF. Eligible members can enroll anytime by completing the Enrollment and Beneficiary Designation Form and submitting them to JoAnna C. Ezuka, Pension Program Administrator & Educator. For more information, refer to Ministers’ Transition Fund Plan Document or contact JoAnna C.Ezuka, ext. 225.
How does MTF work? Each year members make an annual contribution equal to 1% of their salary plus utilities allowance (regardless of whether it’s paid by vouchered or non-vouchered system). Effective January 1, 2017, the contribution basis will become salary plus all non-vouchered cash allowances. The first 10 years of making contributions is considered the vesting period. In the 11th year dividends begin to accrue. Upon retirement, members can choose to have their balances paid to them directly or rolled over to another qualifying plan, such as the United Methodist Personal Investment Plan (UMPIP). There are no restrictions on how the balance may be used.
There are a variety of payment methods available to MTF members. These methods include:
- Monthly Billing Option – the annual contribution is divided into equal monthly payments, withheld from the member’s salary on an after-tax basis, and included on the monthly pension bill sent from the NC Conference to the local church. To sign up for this billing option, simply mark the appropriate box on the enrollment form.
- Monthly Automatic Bank Draft – the annual contribution is divided into equal monthly payments and drafted from the member’s personal bank account. To sign up for this billing option, complete the Authorization Agreement for Automatic Debits form and return it to the address at the bottom of the form.
- Annual Billing for a lump-sum payment – the member will receive a contribution letter each October/November which details the payment due for that year. The lump-sum payment is due no later than January 31st of the following year. If the lump-sum payment is not received by January 31st, the member will lose either the year’s credit towards the dividend or the dividend declared for that year, depending on the member’s time in the plan.
For questions or help in determing which payment method may be best for you, please contact JoAnna C. Ezuka, ext. 225.