nineteen hundred and forty-six - Amazon Web Services

RELIEF AND ANNUITY BOARD 473
4. Cost of the Plan
a. The cost of this protection is set at 3% of the member's salary, up to
a maximum of $4,000.00, except as hereinbefore noted. The member pays half
the cost, his employer (board, institution, or other employing agency) contributes
the other half. The local church served by a pastor is not called upon
to make any contribution to this plan.
b. The 3% cost must be paid every year to continue protection the ensuing
year. Upon retirement, the member ceases payment of dues in the widows plan
and the plan ceases to operate so far as he is concerned.
c. Actuarial studies indicate the 3% dues to be actual cost. Thus the
plan creates no reserves accruing, to the member's credit. His money buys protection
on a yearly basis, and, if he lives, he has received what he paid for in
the dividends of peace of mind and a deepening sense of security. If he
dies, his widow receives an annuity to be paid her as long as she lives, ceasing
only in event of her re-marriage.
d. Operating experience may reveal the 3% dues to be more or less than
sufficient to defray costs involved. Accordingly, the provisions in Paragraphs
16 and 17 must be borne in mind at all times.
State units of Ministers Retirement Plan or other groups desiring to enter
the plan should begin work at once if they hope to complete the work necessary
for entrance on July 1, 1946.