Trump Signs Clergy Act, Giving Ministers a Way Back Into Social Security
Pastors who opted out of Social Security early in their ministry, a choice that used to be permanent, will get a two-year window to opt back in starting in 2029.
WASHINGTON —
President Donald Trump signed the Clergy Act into law on Tuesday, Oct. 20. The law gives ministers who once opted out of Social Security a one-time chance to start paying in again and earn future benefits, the Baptist Standard and the House Ways and Means Committee reported.
Under current law, clergy may exempt their ministerial income from Social Security taxes, but the decision usually has to be made within four years of starting ministry and cannot be undone. About 2,000 clergy take the exemption each year, according to the committee. Those who opt out earn no Social Security benefits from that work.
The new law, H.R. 227, opens a two-year election window covering tax years 2029 and 2030. Ministers who opt back in must still meet the normal work requirements. Sen. Katie Britt's office said that typically means about 10 years of covered work. Congress last opened a similar window in 1999.
Rep. Vince Fong of California sponsored the bill in the House, and Britt, an Alabama Republican, backed it in the Senate. The measure cleared the Ways and Means Committee 40-0, passed the House 350-5 and passed the Senate by unanimous consent.
“A single, sometimes ill-advised, decision made decades ago should not stand between them and a secure retirement,” said Rep. Jason Smith of Missouri, who chairs the Ways and Means Committee. Britt said, “Pastors, priests, and ministers are pillars of their communities for a reason.”
The National Association of Evangelicals, the Church Alliance, the Evangelical Council for Financial Accountability, GuideStone Financial Resources and AARP supported the bill. GuideStone President Hance Dilbeck said the law “represents an important opportunity for ministers who previously opted out of Social Security,” but added that his group's role “is not to tell ministers what decision to make.”
Because the window does not open until 2029, no minister can make the change on this year's taxes. Pastors weighing the decision will have time to talk with their families and financial advisers first.
