# LCMS Convention Proceedings_St. Louis Missouri_1950_S616
# Machine transcription, uncorrected — CHI Digital Archive (demonstration)

618 FINANCIAL MATTERS

Fund if the matter is presented properly. Here again it is inter-__
esting to observe that only 60 per cent of the congregations in other

Protestant groups are participating, with the exception of two large
church bodies in which the congregations are obliged to take part,
The fact that our pastors and teachers are participating in such
a favorable manner is very commendable. However, Synod as such
and we as a Board of Synod are most desirous of winning all
workers and congregations for the Pension Fund.

A number of reasons are given for non-participation: Financia!
inability to make personal contributions because of low salaries,
the assertion that commercial insurance provides better benefits,
contracting for sizable insurance benefits prior to the inauguration
of the Pension Fund, and the failure of our Pension Fund to assure
to the disabled worker under age 65, or to his widow, a definite
and fixed pension. Under our existing regulations a disabled
worker is eligible to receive only his earned annuity and must make
annual formal application for Support to provide his most urgent
needs. At the beginning of the present year we had 60 disabled
workers under age 65 on our roll of beneficiaries, whose earned
disability annuity averages only $36 a year.

When a Pension Fund member under age 65 dies, his widow
also is eligible to receive only the earned annuity. The sum is
relatively small because the accumulations to the credit of the
individual Pension Fund member are small, inasmuch as the Fund
has been in operation only a matter of twelve years. Contrary to
the opinion held by many pastors and teachers, a widow does not
automatically receive $30 a month pension. This applies only to
the widow of a retired Pension Fund member who receives $60 a
month Old Age Benefit or to the widow of a Pension Fund member
who was still active at the time of his death and was more than
65 years old at that time. To receive a larger benefit than the actual
earned annuity, the widow must also make annual formal applica-
tion for Support in addition to the earned annuity.

A study of the benefits paid by other Protestant Pension Funds
reveals the fact that in many cases, especially in the larger denom-
inations, a fixed disability pension is paid which ranges from $400
to $1,500 a year, the average being $600. The Pension and Support
now being paid by this Board to disabled workers averages about
$60 a month. It is our opinion that Synod should resolve to pay
a minimum Disability Pension in the sum of $60, this Disability
Pension to be subsidized from Synod’s treasury in the same
manner in which the Old Age Benefit now is being subsidized.
We expect the cost for this Disability Pension will increase our

_ needs by about $7,500 a year.

We also wish to bring to your attention the fact that the aver-

FINANCIAL MATTERS 619

Fage Pension and Support being paid to widows of Pension Fund
members is about $30 a month. We therefore make the same
kind of recommendation in behalf of the widows of Pension Fund
f members, namely, that Synod go on record instructing the Board
© of Support and Pensions to pay a Widow’s Pension in the sum of
; $30 a month to every widow of a Pension Fund member whose
‘account is paid in full at the time of his death. The additional
:,sum necessary to provide this special benefit will be approximately
$22,500 a year. We therefore offer the following two amendments
to the regulations of the Pension Fund:

Special Disability Benefit or Pension

A worker retiring from active service in the church be-
fore age 65 because of disability shall be granted a free subsidy
from Synod’s treasury during the period of this disability to
increase his earned pension annuity to such an amount as may
from time to time be determined by Synod.

This Disability Pension shall be in the sum of $720 a year.
Deductions in this Disability Annuity, or Pension, shall be
made in the same manner now obtaining with regard to the
Old Age Benefit as set forth in 10.47 b (2). It is taken for
granted that the disabled worker shall make periodical reports
as to his physical condition and also with regard to his earn-
ings from part-time work during such a period of disability.

We recommend that this Disability Annuity be made
effective as of February 1, 1951, in favor of all disabled Pension
Fund members now receiving their earned annuity only, or
Support in addition to this earned annuity.

Special Widow’s Benefit or Pension

A widow whose husband passed away prior to age 65
shall be granted a free subsidy from Synod’s treasury during
the period of her widowhood to increase her earned pension
annuity to such an amount as may from time to time be
determined by Synod. ,

This Widow’s Pension shall be in the sum of $360 a year.
Deductions in this Widow’s Annuity, or Pension, shall be. made
in the same manner now obtaining with regard to the Old
Age Benefit as set forth in 10.47 b (2).

We also recommend that this Widow’s Annuity be made
effective as of February 1, 1951, in favor of all widows of
Pension Fund members who. have passed away since the in-
auguration of the Pension Fund, subject, of course, to such
regulations as already obtain with regard to the Widow’s Old
Age Benefit. To explain, permit us to say that a widow who
has married again is not eligible to receive this proposed
Widow’s Pension.

. We know that there has been much agitation throughout our

country these past few years calling for pensions in behalf of
labor in big industry. The Federal Government also is intent upon