Church Plan Clarification Act of 2015

The Church Plan Clarification Act of 2015 proposes several technical changes to the Internal Revenue Code to simplify how retirement plans for churches and affiliated religious organizations are managed. The bill clarifies that different religious entities are not automatically treated as a single employer for tax purposes unless they share significant funding and management, and it allows for easier transfers or mergers between different church-sponsored retirement plans.

For employees of religious organizations, this bill would protect their ability to participate in automatic enrollment for retirement savings by preventing state laws from blocking such arrangements. Additionally, it expands the investment options available to these plans, allowing them to pool assets in group trusts to potentially lower costs and improve investment management. These updates are intended to provide greater administrative flexibility and long-term stability for the pension and retirement benefits of clergy and lay staff.