Vol. VIII, Issue 5
October 1, 2010
Church Plans Compared with ERISA Plans
The financial crisis of 2008 and recession that followed it have put employee benefit plans under stress, particularly retirement plans. The crisis also has become a catalyst for increased legislative and regulatory oversight of financial, health care and retirement systems. Recent federal legislation (including the economic stimulus bill, the health care reform bill and the financial regulatory reform bill) has created new uncertainties for employee benefit plans, including church plans.
Like other investors, church plans have suffered investment losses; some plans in other denominations have reduced benefits, and at least one church plan was terminated. In response, regulators and legislators have been scrutinizing church plans more carefully. In recent months, the General Board has received inquiries regarding the differences between church plans and more heavily regulated corporate employee benefit plans that are subject to the Employee Retirement Income Security Act (ERISA), the federal law that governs most retirement and welfare benefit plans.
The General Board has created a document to help plan sponsors better understand the meaning of the “church plan exemption” from ERISA, and the impact of the treatment of church plans under other federal laws and regulations.
Address Change
The General Board's address change is effective immediately:
The General Board of Pension and Health Benefits
of The United Methodist Church
1901 Chestnut Avenue
Glenview, IL 60025-1604
847-869-4550
All phone and fax numbers will remain the same.
Copyright © General Board of Pension and Health Benefits
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