Are you aware of how much you’re contributing to your United Methodist Personal Investment Plan (UMPIP) pension account? Specifically, do you know what percentage of your salary that amount represents? If you are appointed half-time or more, it’s crucial to contribute at least 1% of your salary to ensure you receive denominational matching funds in the Compass Retirement and Savings Plan (CRSP). By contributing just 1% of your total yearly compensation to UMPIP, the Church will match that with an additional 1% into your account.
While some individuals contribute a fixed amount, many do not calculate this as a percentage of their salary plus housing. If you’re not already contributing 1%, it’s highly recommended to add housing compensation, as we often emphasize, not doing so means potentially forfeiting additional funds.
Looking ahead to 2026, the new Compass retirement plan will require clergy to contribute 4% of their salary. Currently, contributing at least 1% to receive matching funds is advisable. If you’re already contributing 1%, the next step is evaluating whether you can increase to 4%. If not, consider adjusting your contributions now or planning to reach that level by 2026. Ultimately, it is recommended that you contribute up to 10% of your salary if it is feasible to do so, to meet your retirement needs.
Even though we’re already midway through the year, you can still qualify for the full 1% match in CRSP. You simply need to contribute the equivalent of 1% of your compensation for the remainder of this year, approximately a little over 2% of your paycheck.
If you’re unsure about your current contribution level or what percentage it represents, please contact us at the Benefits Office for assistance.
If you wish to adjust your contribution, please complete and return this form to our office. We are happy to answer any questions you may have.
Ensure you’re maximizing the benefits of our current pension plan and preparing yourself for the transition to CRSP in 2026.
Last Updated on August 1, 2024