Pre-Conference Workbook - North Carolina Conference of The ...

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46 Additional Plan Assets: Present Value of Future Apportionments…………….………… $8,660,243 General Deposit Account (GBOPHB)…………………………… $11,494,074 Conference Managed Liquid Asset Accounts …………………..$3,068,509 Conference Superannuate Endowment Fund (GBOPHB)…… $357,513 Total Additional Plan Assets……… ..…………………………. $23,580,339 Proposed Past Service Rate: The 2014 CAC for the North Carolina Conference is $70,235. We propose that the past service rate beginning January 1, 2014 be increased to $672 per service year, or 0.96% of the CAC. Assuming 5% 2.5% future PSR increases and 7.0% investment earnings, this increase creates an unfunded liability of $22,448,103. The minimum annual contribution due December 31, 2014 is currently estimated to be $3,606,257. II. Ministerial Pension Plan (MPP) (effective through December 31, 2006) Guidelines for the Ministerial Pension Plan and the Comprehensive Protection Plan are contained in the plan document. A copy of the summary plan document is available on request by contacting pension services in the treasurer’s office. A. Service on and after January 1, 1982 through December 31, 2006 was funded on a defined contribution basis. This plan is basically deferred salary, and creates no unfunded liability because it builds an account of funds for a specific minister as his/her salary is paid. B. These contributions were placed in the individual minister’s Church Account to be available for benefits when the minister becomes eligible for payment in the retired relationship. C. Each minister who is eligible for benefits will be required to designate beneficiaries for the benefits he/she is qualified to receive. III. Clergy Retirement Security Program (CRSP) (Effective January 1, 2007) Guidelines for the Clergy Retirement Security Program and the Comprehensive Protection Plan are contained in the plan document. A copy of the summary plan document is available on request by contacting pension services in the treasurer’s office. Service on and after January 1, 2007 will be funded on a combined defined contribution/defined benefit basis. A. Defined Benefit (Effective January 1, 2007 – December 31, 2013) 1. The Defined Benefit will be 1.25% of the Denominational Average Compensation (DAC) according to the plan document. 2. The Defined Benefit portion will be funded based on a percentage of Plan Compensation calculated on a yearly basis using up to the normal cost rate provided by the General Board of Pension and Health Benefits factoring in the annual interest rate. The current assumed interest rate is 7.0%. The funding percentage rate for through 2013 is 10.4% of Plan Compensation. B. Defined Benefit (Effective January 1, 2014) 1. The Defined Benefit will be 1.0% of the Denominational Average Compensation (DAC) according to the plan document. 2. The Defined Benefit portion will be funded based on a percentage of Plan Compensation calculated on a yearly basis using up to the normal cost rate provided by the General Board of Pension and Health Benefits factoring in the annual interest rate. The current assumed interest rate is 7.0%. The funding percentage rate for 2014 is 8.8% of Plan Compensation. C. Defined Contribution 1. Benefits will be provided based on the participant’s account balance at their actual retirement date. 2. The Defined Contribution portion funding is based on three percent (3%) of Plan Compensation. 3. Of the 3% funding, a 2% non-matching contribution will be made to the participant’s Defined Contribution account with 1% matching if the participant makes a contribution of at least 1% to their United Methodist Personal Investment Plan (UMPIP) account. 4. Any funds remaining from a pastor’s non-participation in the matching component will be redirected to fund the liabilities of other components of the pension plan. D. Plan Compensation is calculated by the GBOPHB according to the plan document: 2013AnnualPensionsRpt Printed on 5/22/13 Page 6 of 22
1. Vouchered travel and utilities paid directly to utility companies are not used in Plan Compensation calculations since this is considered by the General Board of Pension and Health Benefits to be a local church expense. 2. Clergy couples housing: a. When only one of the spouses is furnished a parsonage, the one furnished the parsonage includes the housing allowance. b. When one spouse is furnished the parsonage and the other a cash allowance, the one furnished the parsonage will use the 25% housing allowance and the other will report the actual cash housing paid. c. When two parsonages are furnished each spouse claims a housing allowance. d. When neither is furnished a parsonage, the actual cash housing allowance may be counted by the person/or persons receiving the allowance. 3. In accordance with the plan document, the housing allowance for those furnished housing is 25% times the cash salary. 4. Those furnished a cash housing allowance will report the actual amount in accordance with the plan document. E. The Clergy Retirement Security Program contribution from the local church is to be paid monthly by the Church or Charge Treasurer to the Conference Treasurer’s Office. F. The Defined Contribution portions are placed in the individual minister’s Church Account to be available for benefits when the minister becomes eligible for payment in the retired relationship. G. Each minister who is eligible for benefits will be required to designate beneficiaries for the benefits he/she is qualified to receive. IV. Comprehensive Protection Plan (CPP) A. This part of the program contains provisions for a death benefit and disability income. In addition to the provisions of a death benefit for the pastor, there is a death benefit on the life of the spouse and dependent children under age 18 or who are dependent because of disability. The Comprehensive Protection Plan also includes educational benefits for the children of a deceased minister. This part of the plan is only available to those ministers covered under the CPP, whose charges are paying at least minimum full-time salary. 1. Effective January 1, 2002, the disability benefit equals 70% of plan compensation, with plan compensation capped at 200% of the DAC. (The DAC for 2013 is $63,867 and for 2014 is $65,186) The disability benefit is reduced by any disability benefits payable under the Social Security Act. This revised benefit applies only to eligible clergy whose disability effective date, as determined by the General Board of Pension and Health Benefits, is on or after January 1, 2002. 2. The Comprehensive Protection Plan contribution from the local church is to be paid monthly by the Church or Charge Treasurer to the Conference Treasurer’s Office. (Effective November 1, 2004) 3. Pastors who have been approved for a leave of absence for military service and who were enrolled in the CPP prior to the date of their leave will continue to be enrolled in the CPP under optional Conference enrollment. 4. Death Benefits provide $50,000.00 as the benefit paid on the death of an eligible active participant. B. Death Benefits in retirement prior to January 1, 2013 1. For participants who retire prior to January 1, 2013, the death benefit payable upon the death of the clergyperson is $19,160.10 for the year 2013 and $19,555.80 for 2014. This is 30% of the DAC. The death benefit payable upon the death of a spouse of an active or retired participant is $12,773.40 for 2013 and $13,037.20 for 2013. This is 20% of the DAC. The death benefit payable upon the death of a surviving spouse of a deceased active or retired participant is $9,580.05 for 2013 and $9,777.90 for 2014. This is 15% of the DAC. C. Death Benefits in retirement after January 1, 2013 1. For participants who retire after January 1, 2013, death benefits payable upon the death of the clergyperson will be fixed at $20,000. The death benefit payable upon the death of a spouse of an active or retired participant will be fixed at $15,000. The death benefit payable upon the death of a surviving spouse of a deceased active or retired participant will be fixed at $10,000. 2013AnnualPensionsRpt Printed on 5/22/13 Page 7 of 22 47
Page 1: Pre-Conference Workbook North Carol
Page 4 and 5: 4 So that, people of all ages and p
Page 6 and 7: 6 2013 CONFERENCE ORGANIZATION AND
Page 8 and 9: Persons with Special Needs 1. HEARI
Page 10 and 11: FINANCE AND ADMINISTRATION, COUNCIL
Page 12 and 13: II a. 2012 Actual Operating Budget
Page 14 and 15: II b. 2013 Actual Operating Budget
Page 16 and 17: 16 IIc. Contingency Reserve Fund Bu
Page 18 and 19: 18 Year Percent Base Year Net Disbu
Page 20 and 21: 20 A.Eligibility 1.Pastors of local
Page 22 and 23: 22 •Your move is 50 or more miles
Page 24 and 25: 24 2. Payroll tax forms and deposit
Page 26 and 27: 26 - New creative programs to respo
Page 28 and 29: 28 2. The lay employee must be an e
Page 30 and 31: 2. Stephen Compton, 8004 Rotterdam
Page 32 and 33: 32 EQUITABLE COMPENSATION, COMMISSI
Page 34 and 35: 34 1. A. That clergy members of the
Page 36 and 37: 36 3. Extraordinary Grants: These p
Page 38 and 39: 38 7. Participants applying at any
Page 40 and 41: 40 Health Church Portion $1,000.64
Page 42 and 43: 42 Bobby Lee Jordan John Albert Tro
Page 44 and 45: 44 b. Par. 358.2b (Retirement with
Page 48 and 49: 48 D. Effective January 1, 2007, th
Page 50 and 51: 50 with less than twenty years of e
Page 52 and 53: 52 5- 14 100% 0% 15-19 60% 40% 20-2
Page 54 and 55: 54 the gospel (within the meaning o
Page 56 and 57: 56 B. Minister Contributions - Each
Page 58 and 59: 58 C. Prohibition on Before-Tax Sal
Page 60 and 61: 60 3. Within a reasonable time befo
Page 62 and 63: 62 such person’s benefit, or appl
Page 64 and 65: 64 In December, Nancy Van Antwerp a
Page 66 and 67: 66 image of Jesus in sharing the fa
Page 68 and 69: MULTICULTURAL MINISTRIES TEAM As th
Page 70 and 71: 70 2013 Conference Journal Report C
Page 72 and 73: Disciple Bible Outreach Ministries
Page 74 and 75: NORTH CAROLINA ANNUAL CONFERENCE: A
Page 76 and 77: 76 Boston University School of Theo
Page 78 and 79: 78 Eastern PA and Peninsula Delawar
Page 80 and 81: 80 653 Beckwith Street SW Atlanta,
Page 82 and 83: 82 Greetings from the General Board
Page 84 and 85: 84 HINTON RURAL LIFE CENTER PO Box
Page 86 and 87: 86 The Media Center continues to of
Page 88 and 89: 88 A BRIEF HISTORY OF THE UNITY DIA
Page 90 and 91: 90 "Our Provisional Purpose" appear
Page 92 and 93: 92 The assembly discusses Dr. Walte
Page 96:
North CaroliNa aNNual CoNfereNCe of
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