COSAR (Committee On Support And Retirement) Meets

Janesville, WI: The Committee on Support and Retirement (COSAR) whose name is descriptive of their work, met at the SDB Center on Sunday June 29.

The voting members of COSAR are shown in the picture (l-r seated: Butch Hibbard, Eric Rudert and Clayton Pinder all elected by Conference; standing: Gordon Lawton, Director of Pastoral Services and Jim Goodrich, Memorial Fund Trustee, both ex-offico. Additionally there is a representative of the Missionary Society (usually the Executive Director, Kirk Looper) and the Executive Director of the General Conference, Rob Appel. Rob took the picture.

The major topic for discussion was the upcoming changes to the federal laws about retirement plans for pastors. Many pastors have retirement accounts to which the church contributes. Usually this accout is a 403(b), which refers to the section of the IRS code that created and allows this kind of account to exist. The IRS states on their website that "A 403(b) plan, also known as a tax-sheltered annuity (TSA) plan, is a retirement plan for certain employees of public schools, employees of certain tax-exempt organizations, and certain ministers." The rules are changing and new, more restrictive rules as to reporting, will be in force January 1, 2009. Pastors are eligible for Housing Allowance deductions on their income tax, even after retirement. Not all retirement accounts can be designated as Housing Allowance. 403(b) accounts can be so designated. This is a real help in stretching retirement income for retired pastors. COSAR is in the process of creating a plan for all SDB pastors and Conference workers and plans to have details to present at Conference in August.

Other topics included:

• reviewing the old retirement progam for which the Pastors Retirement Offiering Project (PROP) raises money. An increase for the 13 remaining participants was considered.
• Suggested Pastor Salary Guidelines for 2009 were set and will be discributed in time for considereation at and before October business meetings.
• reviewed the disability insurance that is provided for pastors serving 30 or more hours per week.
• reviewing emergency requests and aid given to pastors and their families.