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Guidelines for pastors’ and conference ministers’ salaries, benefits and expenses

Updated April 2010

•  Eight Statements about Ministers’ Retirement Fund Investments
• Covenant of Understanding

Enclosed you will find the 2010-2011 guidelines.

1. The base salary and unit values have increased 1.5 percent from last year. At the time of this writing the U.S economy is showing signs of renewal but difficult economic circumstances continue to impact congregations and families. Generally, church leaders affirmed an increase especially in light of the lack of increase last year.
2. A conference minister category has been added to the guidelines with a distinction made between an executive or lead conference minister and an associate or regional conference minister. The overall language of the guidelines applies to pastors in congregations but since they are often applied to conference ministers, it seems appropriate to offer basic guidelines for conference minister compensation.
3. The recommended mileage reimbursement rate for 2010 is 50 cents per mile (IRS rate).
4. Worksheets for salary, benefits and expenses are separated on different pages as a way to encourage church officials to also separate these items when reporting budget and expenditures to the congregation. It is particularly important that financial reporting not leave the impression that expenses are part of a pastor's salary.

These guidelines are presented as a reference point for determining pastors’ and conference ministers’ salaries and benefits. We urge you to take these guidelines seriously, but recognize that there are factors in each setting that may call for special consideration, especially in regard to the “Geographical Units” (Section II.D). Local cost of living factors like housing costs may require special consideration. In some cases, it will be appropriate for a congregation or conference to make choices other than what is represented in these guidelines because of the unique situation.

The recommended compensation should be regarded as a minimum. Congregations and conferences are urged to be more generous if they are able. To aid in this important process, we recommend the following:

1. 1. Provide for open and forthright communication between the pastor/conference minister and those representing the congregation/conference. Create a climate of trust wherein each person can express perspectives, needs and opinions with clarity and freedom. (Please consult “Negotiating the Pastor’s Salary” that is in the Pastor Congregation Relations Packet and available on the Mennonite Church USA web page).
2. Consider inviting a “third party” to participate in the discussions. This might be your conference minister, overseer, or a specially trained mediator.
3. Be satisfied with the results. When negotiations are concluded, congregation and pastor should accept the results rather than harboring resentment.

The goal of these guidelines is to help provide a financial guide that is supportive of ministers and their families and also fair to the congregation and conference. Our commitment to quality ministry is reflected in part in the level of compensation offered to those who serve our congregations as pastors and the process that is used in determining it. With this end in view, these guidelines are offered as a resource for your congregation and conference in the next year. As always, your feedback and questions are welcome. Thank you to everyone who has offered counsel and feedback in the process of developing these guidelines.

Salary calculation software is available at www.manygifts.org/salaryguidelines.