Retirement FAQs

There are important changes to the ACC Retirement Plan as a result of the SECURE 2.0 Act of 2022. These changes, which take effect on January 1, 2026, may impact how you make catch-up contributions to your retirement account. Please review the information below to ensure your payroll and contribution forms are updated correctly.

New Catch-up Contribution Provisions Starting January 1, 2026

Beginning January 1, 2026, if you meet all of the following criteria:

• You are fifty (50) years or older,
• You are a FICA employee, and
• You earned $145,000 in FICA wages in the 2025 tax year,

your catch-up contributions must be made as post-tax Roth contributions. This means your catch-up contributions will be deducted from your paycheck after taxes and deposited into the Roth feature of the ACC Retirement Plan, which will be available starting January 1, 2026.

Special Note for Clergy

Generally, clergy pay Medicare and Social Security taxes under SECA (for self-employed individuals), not FICA (for regular employees). To qualify for the clergy housing allowance, the IRS expects clergy to pay taxes under SECA. If you are clergy and are being paid as a FICA employee, please consult your payroll provider and/or executive director, as appropriate to review your payroll status. Please contact me as well. While the ACC cannot provide tax or legal advice and has no authority to correct payroll errors, I will direct you to professionals who can assist in resolving any questions you may have.

Super Catch-Up Contributions (Ages 60-63)

If you qualify for the "super catch-up" provision (for individuals ages 60-63), and you meet the criteria above, your additional catch-up contributions must also be made as post-tax Roth contributions. If you do not meet all the criteria, your super catch-up contributions can continue to be made as pre-tax salary deferrals.

Roth Contribution Option for All Participants

Starting January 1, 2026, all participants in the ACC Retirement Plan may choose to make salary deferrals as Roth contributions (note: employer contributions are not eligible for Roth treatment). If you wish to make Roth contributions, notify your employer immediately so your payroll can be updated. Roth contributions are made with after-tax dollars, which may reduce your tax burden in retirement. You pay taxes on your contributions before they are deposited into your 403(b) account. Earnings on Roth contributions can be withdrawn tax-free once you reach age 59½ and have held the account for at least five years. Additionally, there is no required minimum distribution for Roth contributions during your lifetime.

IRS Contribution Limits

The IRS sets annual limits on how much you and your employer can contribute to your 403(b) account. These limits typically increase each year. The maximum contribution is the lesser of the IRS annual limit or 100% of your taxable salary. For the most current information on annual IRS limits, including the 2026 limits when available, please visit the ACC website.

For more information on Roth contributions in our 403b9 plan, click here to download this Fidelity brochure.

Overall, our plan stacks up well against other plans. The details tell a complete story. Each investment vehicle (Stock Fund, Bond Fund, Blended Fund, and “Lifestyle” funds) in our plan can be compared to a “benchmark” and is ranked by Morningstar. 

Our plan allows for individual choice regarding allocations across the asset classes.
The average return of the Plan does not necessarily reflect each individual participant’s return.
It is important to understand your risk tolerance as balanced by your investing time and investing objective.
The administrative costs of our plan are competetive with other plans.

The Fidelity website provides tools for analysis of Asset allocation, MorningStar reports of Funds (with comparative performance) and daily balances tracking unrealized gains and losses.

Our plan allows you to choose your investments from a platform the Board of Trustees create. 
Our Plan allows changes at any time. 
Our Plan reports daily. 
Administrative fees are charged on account balances of $20,000 or more.
Our Plan allows for loans up to the lesser of $50,000 or half of your balance. 
Our Plan accepts ACC/GTM members serving any congregation, school or qualified employer in the United States. 

A self-employed cantor or rabbi is treated as his/her own employer. The clergyperson's compensation is his/her earned income from self-employment. If the self-employed cantor makes his/her own contributions, they are deductible under Internal Revenue Code Section 404(a)(10).

A cantor who received a W2 tax form from a qualified employer is not considered self-employed.

Therefore, the self-employed cantor or rabbi would be able to make their own contribution to the plan and it would go into the pre-tax source.

In addition to the effects of the economic downturn, other hardships have led participants to apply for "hardship withdrawals."

Hardship withdrawals can serve as a last resort or a safety net, it is important to note, misuse of these funds prematurely, can result in catastrophic results down the road, particularly if these funds stand as the only guarantee for a dignified retirement. If anyone questions their own ability in these matters, please seek out professional financial counseling.

While the Fidelity Retirement funds are designed for your future needs, the ACC understands that situations arise in which you may need access to them. The ACC is offering you additional options should you find yourself in need.  

Qualified birth or adoption distribution (QBOAD) - For the qualified birth/adoption provision, the distribution must be taken within 1 year of the event, up to $5,000, has tax implications and can be paid back within three years. 

Withdrawals for emergency expenses - For the Emergency Expenses withdrawals, the limit is $1,000 and it is self-certified. There are limits based on vesting schedules. 

Withdrawals for qualified federally declared disasters - For Federal Disasters, the limit is $22,000, it must be done within 180 days of a FEMA disaster declaration and treats the withdrawal with better tax implications. It can be paid back within 3 years. 

Eligible distributions for domestic abuse victims - Domestic abuse victims can access up to $10,000 or 50% of their vested balance without the 10% early access penalty if they request the distribution within a year of the situation. They self-certify the situation.

Limited-Service does not preclude one from participation in the Plan, the willingness of the individual/Congregation to make contributions is all that is required.

The more one saves over a longer period, the better the long term chances for help in retirement. The best success to have sufficient funds for parsonage from your congregation in retirement are to negotiate to receive a 15% - 18% contribution annually on your behalf and do everything possible to leave that contribution invested in the plan throughout the years you are working (avoid taking loans against those funds). There are several resources on the member's only Contract Support pages that can help you understand the need to participate in a retirement plan from the start of your career.

It is hard to quantify your loss. The less you put in for a shorter period the less you are likely to have when you need it in retirement. There are several resources on the member's only Contract Support pages that can help you understand the need to participate in a retirement plan and how different contribution levels may impact the balance of your plan when you retire.

Many of our members are being asked to take cuts/freezes in their compensation packages. Many of us have opted to (or had our congregations) lower or eliminate our retirement contributions for one, two or a number of years. Please be advised that the ACC strongly discourages that practice. Your retirement funds are the most expensive monies that you can return. Take the case of a 45-year-old cantor who plans to retire at age 65.  A $5,000 reduction in just one year of her contract would result in a $23,305 loss upon retirement (assuming an 8% return on investment).  If that $5,000 reduction continues each year until retirement, the loss grows to $247,115.

Therefore, the ACC has obtained the assistance of attorney, Michael Gan, who has written a fine position paper for the CCAR, and now for the ACC on presenting the case for NOT cutting any retirement payments, even in this economy.  He explains why it is not only a moral decision but why, in the end, it does not make sense for the congregation. We now have a copy of that article available to ACC members on our website along with “talking points” that you can use in your discussions with your congregation. Michael Gan is an attorney with the law firm, Peer, Gan and Gisler in Washington, DC, and is also the son of a Reform Rabbi. His practice includes the negotiation of clergy contracts. His article is available on the Contract Support page of the website.

Any Investment house has brochures speaking to this issue. Fidelity has one as well.

Retirement plans/accounts are governed by the Laws of the Land. We are not able to accept money from colleagues who are working exclusively outside the country. Any funds already invested in the ACC Retirement Plan are not affected by the current employment status.

Our plan is a 403(b)(9) (Qualified Church Plan). Like an IRA or 401(k) the money invested is tax deferred. The intent of the account is to help offset future costs of living when one retires. Due to the special nature of the plan as a Qualified Church Plan, money withdrawn from the plan may be used as parsonage governed by the same rules that apply while ordained clergy is employed by a congregation.

Retirement in the ACC Retirement Plan can, but is not required to, coincide with a cantor's retirement from employment. According to the plan document, the retirement date is 65 years of age. One is allowed to request an early retirement, as early as 59.5 year of age. 

Your disbursements should be made with the thought that you will need money for housing each year. Know your costs and allocate accordingly. Remember that funds from other sources (i.e. savings, IRA’s, 401k’s, Social Security) do not qualify for parsonage, while funds from the ACC Retirement Plan and Supplemental Plan to qualify for Parsonage.

To initiate or manage distribution from the 403(b)(9) plan, call Fidelity, 1-800-343-0860 Fidelity offers great flexibility in distributions, they can be received, bi-weekly, monthly, quarterly, as needed, and much more. The folks at Fidelity are a great source of information as well.

You should have designated at least one beneficiary. Your assets would then go to that individual after they complete and submit a beneficiary claim form and original death certificate to Fidelity Investments. You can also name a trust, an organization, or an estate, or a combination of any one of the beneficiary types. It is important that these issues are planned. If you are unsure of your current beneficiary, please check with Fidelity by phone or via your NetBenefits account online.

Beneficiary information can be updated via the Profile link in NetBenefits or by faxing a completed Beneficiary Designation form (on Forms Page) to the Retirement Administrator in the ACC main office. You are able to specify up to 4 different Beneficiary Types: a person, an estate, an organization, a trust.

Fidelity Investments is our fund holder or investment vehicle provider. They provide access to a host of fund options from which the ACC Retirement Board of Trustees selects funds that meet a predetermined set of criteria. Fidelity serves as our recordkeeper, tracking the flows of money in and out of accounts and funds within the accounts as well as loans made to individual participants.

Fidelity, as engaged by the ACC Retirement Plan, is not an independent financial advisor. The information they provide you via NetBenefits and during in person meetings at ACC convention or via phone is intended for educational purposes only. For in-depth financial advice and information, it is recommended that you seek the services of an independent financial planner—especially one well versed in clergy retirement. It is important to remember when meeting with a Fidelity Retirement Planner you will need to bring your account login information and most current statements.

You are always 100% vested in any contributions made to your retirement account. Your Fidelity statement will reflect the vesting at 100%.

Yes. You are welcome to rollover eligible pretax contributions from a variety of other accounts such as: a 403(b) qualified church plan, a 403(b) plan account, a 457(b) plan,  account, a 401(k) plan account, an IRA previously rolled over from an employer-sponsored retirement plan, like a 401(k)

Note: Only Salary Deferrals and Temple Contributions rolled over from a 403(b) qualified church plan are eligible for parsonage in retirement for ordained clergy.

The ACC Retirement Board is a body of appointed individuals charged with oversight of the administration of the ACC Retirement Plan, including all printed and electronically generated material and other member services. The ACC Retirement Board oversees and reviews the Fund Platform (funds offered as investment possibilities). From time to time, the ACC Retirement Plan Board reviews requests made by individual plan participants.

The ACC Retirement Plan Board is also responsible minimally for an annual report on the Plan to the ACC Executive Board. Customarily, there is an update from the Retirement Board at every ACC Executive Board meeting and during the annual ACC Convention. As well, the Retirement Plan Board, with the help of legal counsel, makes recommendations to the Executive Board concerning changes to the Plan Documents (changes based on unforeseen circumstances or changes in New York or US laws governing 403b plans or non-profits)

Presently, there are seven regular members of the ACC Retirement Plan Board of Trustees. Each trustee serves by appointment of the ACC Executive Board. The Retirement Plan Board elects a Chair from amongst its membership. The present make-up of the ACC Retirement Plan Board: 5 Regular Members of the ACC and 3 Financial Industry Professionals. Ex-Officio members include: a Plan Administrator, Legal Counsel, ACC Chief Operating Officer, and ACC Executive Board Officer.

Cantors:

    Chair Cantor Vicky Glikin - 224-330-9809; vglikin@tedallas.org

• Cantor Lisa Arbisser
• Cantor Richard Cohn
• Cantor Marcy Kadin
• Cantor Jamie Marx

Lay Members:

• Brian Perkis
• Richard Korengold
• Wendy Rhodes

Ex-Officio and Staff:

• Cantor Josh Breitzer, ACC President
• Cantor Rebecca Moses, VP of Administration
• Rachel Roth, ACC COO
• Sheryl Steines, ACC Retirement Plan and Insurance Administrator

The Chair runs all meetings of the ACC Retirement Plan Board including establishing agendas, coordinating participants’ attendance and ensuring that items requiring action have sufficient time to process and resolve.

The Chair serves as the point person for administration oversight on the Retirement Board. This includes the work of all service providers to the Plan (Fidelity, Legal Counsel and our Plan Administrator).

The Chair periodically helps to facilitate resolution of questions/problems of individual participants, sometimes acting as the first point of contact.

The Chair routinely meets with representatives from Fidelity concerning ongoing analysis of our Fund platform.

The ACC Retirement Plan Board, with the Chair, has the responsibility to ensure that the administrative budget of the Plan is in line with the Retirement Plan Board’s directives.

The Chair meets monthly with the Plan Administrator to review the administrative aspects of the Plan.

The Chair participates in periodic educational sessions including a yearly presentation to the Senior Class at HUC-JIR-DFSSM.

The Chair reports to the ACC Executive Board concerning the operation and needs of the Plan. This generally occurs in the fall, in the spring, and at the annual convention of the ACC.

The Board has one scheduled in-person meeting per year. This meeting is held in a location agreed upon by ACC Retirement Plan Board members. There are also three (3) quarterly Video meetings. Retirement Board Members, Ex-officio members and service providers (presently Fidelity Investments) attend the meeting. We periodically invite other providers as needed to ensure additional levels of oversight and independence (e.g. Evaluation Associates (An independent firm that specializes in evaluating 403b/401k plans). We also meet as needed by phone to address a variety of issues relating to the performance of our funds or special requests by participants of the plan. During the course of the year we address the daily business via e-mail, including required votes on individual requests.

The ACC Executive Board is the sponsor of the Plans. The ACC Executive Board appoints Trustees to the ACC Retirement Board. The ACC Executive Board charges the Retirement Board with the responsibility of operating the plan and reporting the needs of the plan to ensure proper functioning.