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Why Some Clergy
May Not Be Able to Retire

How you and your congregation can help.

It's no secret among religious circles: Retirement options for some clergy are poor, especially among clergy who are baby-boomers.

How Thirty-Eight Cents Can Help Fund Retirement

You and the members of your congregation can help. The Retirement InCome - for Everyone Trust®, also known as the RIC-E Trust®, a patented retirement planning tool allows you to make a contribution toward your clergy's retirement, and you can do so for as little as $20 per person.*

It's true: If every member of a 500-person congregation donates just $20 per year - that's just thirty-eight cents a week - for 20 years (a contribution of $10,000 per year), the clergy would have $409,954** in 20 years, assuming a 7% annual return. That would go a long, long way to making your clergy's final years much more comfortable.

Your contributions would be collected by your church or synagogue for the benefit of your clergy. The organization then establishes a RIC-E Trust® for its clergy and places the combined contributions into it. The Trust manages the assets on behalf of your clergy until he or she reaches retirement age (which is determined by your church or synagogue, a minimum of age 59½). Until then, assuming no withdrawals, the clergy pays no income taxes on the money contributed, or on its growth. And should you find a volunteer trustee among your congregation or a family member of your clergy, there are no annual trustee fees, either. (There is only a one-time set-up fee of $400.) When the clergy reaches the pre-set retirement age, he or she can begin withdrawing the money. And should the clergy ever become disabled, the money would be available immediately.

A weekly contribution equal to just thirty-eight cents can make a huge difference for the leader of your congregation. It's a wonderful way to acknowledge all that he or she does for you and for the entire congregation.

To learn how to get your church or synagogue started, simply call 888-PLAN-RIC (888-752-6742) or click here.

 

*To establish a RIC-E Trust®, the minimum initial aggregate contribution is $5,000. You can give more if you want, without limitation. For each contribution you make, you are eligible for a tax deduction, up to the fullest extent of the law. Contributions thereafter can be as little as $500, and can be made as often as the congregation desires.

**Results based on $10,000 earning 7% per year compounded annually for 20 years. Calculation does not reflect any charges or fees that might be applicable; such charges or fees would reduce the return. This figure is for illustrative purposes only and does not reflect actual performance of any particular investment. Investment results fluctuate and can decrease as well as increase. Figures do not take into consideration time value of money or any fluctuation in principal. Funds withdrawn from the trust will be subject to income taxes at the beneficiary's marginal tax rate at the time of withdrawal. Your tax liability may vary depending on your particular circumstances. Please consult your tax advisor. Funds cannot be withdrawn from the trust prior to the beneficiary reaching age 59½, except under limited circumstances. Please note that changes in tax rates, the tax treatment of investment earnings, or the tax treatment of annuities may impact comparative results.

Edelman Business Services LLC (EBS) is the marketer and licensor of the RIC-E Trust® and an affiliate of Edelman Financial Services LLC (EFS), a Registered Investment Advisor. The principal and associates of EFS are individual Registered Representatives with Sanders Morris Harris Inc., an affiliated broker-dealer, member FINRA/SIPC. Other independent Financial Advisors not with EFS, but who may be selected by the client, are individual Registered Representatives with other broker-dealers. EFS associates may provide financial and investment advice to the RIC-E Trust® and when doing so, all securities are offered through Sanders Morris Harris Inc. Sanders Morris Harris Group (SMHG) owns Sanders Morris Harris Inc. and 76% of Edelman Financial Center LLC, the parent company of EFS and EBS.