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By Joey Butler*

Thursday, May 3, 2012 | TAMPA, Fla. (UMNS)

United Methodist clergy in the United States will continue to participate in a retirement program that includes a monthly pension payment.

By a vote of 819 to 78, delegates approved the restated Clergy Retirement Security Program. The plan combines a defined benefit component with a defined contribution component, like the clergy's current retirement program, but with a reduced benefit for clergy and, consequently, a lower contribution for U.S. annual conferences.

A defined benefit plan provides a monthly pension payment for life, with the employer assuming the investment risk. A defined contribution plan—like the 401(k) plans most corporate employees now have—provides an account balance to use during retirement, with the clergyperson assuming the risk that the money will run out in his or her lifetime.

Delegates endorsed an amendment made by the Financial Administration Legislative Committee to allow annual conferences to determine whether clergy who serve half-time or three-quarters appointments can participate in the program.

The body voted down a clergy retirement program that would have relied on defined-contribution only.

*Butler is editor of young adult content, United Methodist Communications, Nashville, Tenn.