Fall, 2017 Concordia Plan Services Navigating the Concordia Plans: A Guide for LCMS Intentional Interim Ministers Fall, 2017 Concordia Plan Services

The Concordia Retirement Plan The vast majority of active LCMS congregations have adopted the CRP All those working more than 20 hours per week must be enrolled in the CRP, and the employer pays the entire cost Enrolled CRP members earn service credits toward a defined benefit pension over the course of their service at participating LCMS ministries The CRP pays retirees a monthly Primary Retirement Benefit The scenarios displayed next assume the congregation you are considering for an IIM posting has adopted the CRP

. CRP Scenarios Begin with Whether you are Receiving a Primary Retirement Benefit

And at the end of this IIM Assignment . . .

The Concordia Disability and Survivor Plan Employers who adopt the CRP also adopt the CDSP, thus the vast majority of LCMS ministries also provide CDSP benefits All those working more than 20 hours per week must be enrolled in the CDSP and the employer pays the entire cost Enrolled CDSP members are covered by term life insurance and disability income benefits Term life insurance is equal to two-times your annualized pay, plus another 1 X pay for each eligible dependent child, up to a maximum of 6 X pay Disability income benefits are paid at 70% of your reported pay (offset by other sources of income after six months)

As you commence this IIM Assignment . . .

And at the end of this IIM Assignment . . . The disability income coverage ceases when active, full-time service ends The group term life insurance benefits may be continued at your cost

The Concordia Retirement Savings Plan Employers who adopt the CRP/CDSP may also adopt the CRSP, a retirement savings plan Half of CRP/CDSP employers have also adopted the CRSP At these employers, members of the CRP/CDSP may also elect to save for their retirement by making CRSP contributions Some employers also match their workers’ CRSP contributions As you consider an IIM role, ask whether the employer sponsors the CRSP and whether they match contributions If the employer sponsors the CRSP and you participate, your contributions remain in your CRSP account with Fidelity when your IIM assignment ends

The Concordia Health Plan Employers who adopt the CRP/CDSP may also adopt the CHP, and roughly 75% of CRP/CDSP employers also sponsor the CHP Employers determine: Which CHP coverage option to sponsor If CHP will be offered only to those who work >20 hrs/week >25 hrs/week 30 or more hrs/week, or >30 hours per week What the employer contribution will be toward the cost of coverage, but not less than 50% of the cost of Self-Only coverage Whether to sponsor any Personal Spending Accounts Assuming the congregation offers the CHP, there are several scenarios that may influence your decision—starting with whether you are Medicare-eligible

If you’re too young for Medicare . . .

Medicare and the Concordia Health Plan Americans become eligible for Medicare at age 65 Medicare Part A covers Hospitalization While it is “free” one must sign up for it Medicare Part A is started automatically when one starts Social Security Medicare Part B covers Physician expenses and requires a premium Medicare Part C created Medicare Advantage plans wherein which private entities agree to provide comprehensive hospital, physician and prescription benefits, with or without a premium, and often through specified providers Medicare Part D provides prescription drug coverage through private entities and must be paid for Unless a CHP employer has received a Small Employer Exception (SEE), through CPS, to Medicare’s secondary payer rules, all CHP coverage on members/spouses enrolled in Medicare will be primary coverage—the CHP pays first, Medicare pays second. If the CHP employer can attest that they have fewer than 20 total full- and part-time workers, they should apply for the SEE and offer the CHP’s Premium Plus option to members/spouses age 65 and older.

The CHP’s Premium Plus Option (For Members and/or Spouses enrolled in Medicare) The Premium Plus option is available to employers who receive a Small Employer Exception (SEE) to Medicare’s Secondary Payer rules (those who can attest that they have fewer than 20 total full- or part-time employees) The SEE application is available from and must be processed through CPS The Member and/or Spouse must be enrolled in Medicare Parts A and B The Premium Plus Option provides Rich overall coverage for hospital and physician expenses (the patient is responsible only for the Part B deductible, $183 in 2017) The CHP’s best coverage for Prescription Drugs Dental and Vision Benefits Monthly reimbursement of Part B premiums to the Member (up to the standard monthly rate, $134.00 in 2017) Members Enrolled in Premium Plus can enroll eligible Dependents under age 65 in the Employer’s regular CHP Option

So if you are enrolled in Medicare . . .

If you’re Enrolled in the CHP when your IIM Service Ends . . . Enrollees under 65 will be offered an extension opportunity, and Enrollees 65 and older will be offered Medicare supplemental options.

. Contact Information: Mark Borchert Mark.Borchert@ConcordiaPlans.org 314-885-6736