Ministers’ Pension Plan Highlights (U.S.)

I think it would be helpful to report that the three-year Final Average Salary (FAS) is only 75% of the actual 3-year average total compensation of all active ministers in the Plan. That would help ministers to understand why the FAS is only $63,899 rather than the actual average total compensation of $85,199.

The other option would be to use the actual average total compensation in the calculations so that we see that the effective multiplier is only 0.975% of total compensation. Just as a point of reference, the 3-year average salary pension plan administered by Christian Education Benefit Solutions for Christian School teachers uses a multiplier of 1.84% on total compensation. That is just about double what ministers of the Word get for their years of service.

Currently the Minister's Pension Plan with an ideal 38.5 years of service only provides 37.5% replacement income of the average total compensation of $85,199. Even less if you take one of the other options to provide continued income for your spouse.

It is also helpful to note that the assessments on churches has not increased since 2012 despite a 35% increase in inflation to today in 2025. In the meantime, Pension Trustees have decreased minister accrued benefits by reducing the multiplier on the FAS from 1.46% for service between 1985 to 2010 and to only 1.3% for service in 2011 and beyond--an 11% reduction in benefits.