Nazarene Pensions and Benefits has tried to help Nazarene pastors’ meager retirement plan. Last year P&B announced that pastors could get up to a 50% match of what a local church/pastor contributed in their Fidelity 403b account (up to a $2500 or 50% of $5,000). The latest addition of the NBUSA Quarterly–the newsletter for the Nazarene Benefits (see it here) has a troubling statistic. Through the first three quarters of last year, a whopping 76% of Nazarene ministers did not receive a match in their fidelity account.
76%?
What are you waiting for my fellow pastors?
This is free money for you? Who not named Elon Musk or Bill Gates turns down free money (I think even those guys would take free money).
As the church pays some (if not all) of the Pensions apportionment and the pastor/church contribute to the pastor’s Fidelity account; then Pension and Benefits matches (read: free money) up to $2500 (read again: free money) into their account. For example, my church pays its pension budget in full; then the church matches what a pastor contributes up to $2500. So the pastor gives $2500; our church gives $2500 and the denomination gives $2500. The grand total is $7500 in the pastor’s retirement account.
For old guys and gals like me, it helps a little bit. For younger pastors getting $7500 into a retirement account is a game changer. If young pastors do this year after year, when they become an old pastor like me, they will not need to worry about their retirement years.
Last year, I thanked P&B for this change (you can read that article here). The old adage, “you can lead a horse to water, but you can’t make him drink,” seems to be true. As it relate to Nazarene pastors’ retirement maybe it should read: “You can try to provide a better retirement for Nazarene pastors, but 76% have said, “Thanks, but no thanks.”
Pastors this is the best retirement plan ever offered by our church. Please take advantage of it. Even if the local church and pastor can’t contribute the full $5000, pay your P&B budget and do something, anything.
It’s a good deal.
What are you waiting for?
My Two Cent Offering 
For some, not all, the problem is low pay and high cost of living. I know some who, despite extreme frugality, have nothing left to invest in the future. Perhaps low wages for pastors has led to a poverty mindset as well… poverty= “spend it”… middle income= “save it”… wealthy= “invest it”. The problem is a combination of resources and mindset. You are right to encourage accessing the “free” money but we cannot ignore that for some the cost feels too high.
You are right Randy. Hopefully, lay leaders can see the need for the pastor’s retirement and budget accordingly.
Thank the Lord I started investing money when I was 30 years old and at my first pastorate. Back then it was called a Tax Sheltered Annuity. I couldn’t afford it but found away to put $25. per month in and my church matched it with another $25.(that was 1977). Each time I received an increase in pay, I increased my contribution. I did this consistently through my 36 years of ministry and now we are living comfortably off the sacrifice my family made back then. Congratulations to our Pensions Director and Board for this great new plan.