The U.S. House Ways and Means Committee on Dec. 10 voted 40-0 to approve a bipartisan bill sponsored by U.S. Rep. Vince Fong (R-CA) that aims to provide America’s pastors and clergy members with more retirement security.
“Faith leaders are trusted friends and pillars of their community who deserve to retire with dignity,” said House Ways and Means Committee Chairman Jason Smith (R-MO). “I’m glad to see the Ways and Means Committee was able to advance this needed proposal to provide members of the clergy the opportunity to opt back into the Social Security system and improve their retirement security.”
The Clergy Act, H.R. 227, which Rep. Fong introduced on Jan. 7 alongside original cosponsors U.S. Reps. Mike Kelly (R-PA) and Mike Thompson (D-CA), advanced to the full chamber for action.
“We know our faith leaders are the backbone of our communities, guiding moral and spiritual life across the Central Valley and our entire nation,” Rep. Fong said. “The Clergy Act gives them the freedom to temporarily re-enroll in Social Security if they previously opted out, empowering them to take greater control of their financial future.”
If enacted, H.R. 227 would establish a one-time re-enrollment window for pastors and other clergy members who previously opted out of Social Security to voluntarily opt back in, according to a bill summary provided by Rep. Fong’s office.
Under current law, the opt-out is permanent, creating hardship for pastors who opted out decades ago, often due to inaccurate advice, the summary says.
The legislation would create a two-year window covering taxable years beginning Jan. 1, 2029 and Jan. 1, 2030 for eligible clergy members who previously opted out of Social Security to revoke their exemption and begin contributing.
The bill would not modify existing Social Security regulations and eligible clergy would still have to meet the standard 10-year contribution requirement to earn full retired-worker benefits, receiving benefits proportional to their contributions.
H.R. 227 also would require the Internal Revenue System (IRS) and Social Security Administration to submit a plan to Congress outlining their strategy to inform clergy members of their eligibility to re-enroll, the summary says.
The measure is supported by the National Association of Evangelicals, the Church Alliance, the Evangelical Council of Financial Accountability, GuideStone Financial Resources, the Lancaster Baptist Church, and AARP.