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Board of Pensions
Frequently Asked Questions

What is the Defined Benefit Plan?

The Defined Benefit Plan is a pension plan that offers each participant retirement benefits based on a defined or predetermined formula based on years of credited service.  Download the Defined Benefit Plan here.

Who is eligible to join the Defined Benefit Plan?

Licensed MCC clergy serving in the U.S. and who have completed four consecutive years of service in an approved ministry are eligible to join the Plan.  For more information about maintaining eligibility, see Article II of the Defined Benefit Plan.

What Benefits can be expected from the Defined Benefit Plan?

UFMCC’s Defined Benefit Plan is intended to serve as a supplementary retirement benefit in that this plan will not provide sufficient income to meet your retirement needs.  At present, the total amount of that benefit at normal retirement age of 65 is approximately $17,000. The plan also provides benefits in the event of disability or death. You should plan for additional sources of retirement income.

How is the Plan funded?

The Defined Benefit Plan is funded from two sources:  1) mandatory contributions from churches of $0.75 per church member per month, and 2) contributions from participating clergy of $120 per year.

How are Plan funds invested?

Plan funds are invested in professionally-managed mutual funds and conservative stock investments.  The Board of Pensions oversees investments and is guided by an Investment Policy Statement.

How do I enroll in the Defined Benefit Plan?

Eligible clergy may enroll in the Plan by completing the Coverage Election and Beneficiary Designation forms and sending them along with their contribution to:

UFMCC Board of Pensions (USA)
P.O. Box 1374
Abilene, TX  79604

When can I draw my retirement benefits?

Plan benefits are normally distributed upon retirement at age is 65 years, or after 10 years of consecutive service in an approved ministry, whichever is latest.  Plan participants must draw their retirement benefits no later than age 70.5.  For more information, see Article IV of the Defined Benefit Plan and Trust.

How are retirement benefits paid out?

Plan participants may choose a lump sum payment or monthly annuity payments for life.

What if I become disabled before I reach retirement age?

Plan participants who become disabled (defined as unable to engage in any substantial gainful activity because of any medically determinable physical or mental impairment which can be expected to result in death or to be of long, continued, and indefinite duration) may begin receiving benefits upon Determination of Disability by the Board of Pensions.  See Article VI of the Defined Benefit Plan for more information.

What if I die before reaching retirement?

If you die before reaching retirement age, your designated beneficiary will receive a distribution based on the greater of the value of your vested accrued benefit or the value of your contributions . For more information, see Article V of the Defined Benefit Plan and Trust.

Does MCC offer any other retirement plans for clergy?

Yes.  See information for the Self-Directed 403(b) plan.

Does MCC offer retirement plans for lay church employees?

Yes.  See information for the Self-Directed 403(b) plan.

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