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Children’s home pension plan and church exemption
Summary A home for disadvantaged children operated under church auspices asked about its pension plan. DOL said tax exemption alone did not make the plan a church plan and it did not appear exempt on the facts given. It noted that an old multiemployer church arrangement might receive a then transition delay, without finding that one existed here.
Document
Federal opinion letter
Agency
U.S. Department of Labor, Employee Benefits Security Administration (EBSA)
Document number
P/OPINION 75-27
Date issued
July 21, 1975
Status
Unknown
EBSA's index does not mark withdrawn or superseded opinions; still posted on dol.gov as of 2026-10-26.
Status last verified October 26, 2026
Topics
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About this page: The full text below is the official document from U.S. Department of Labor, Employee Benefits Security Administration (EBSA). Ezel adds the plain-English summary and tracks the document's status. The official source linked on this page is authoritative for any reliance.
P/OPINION 75-27
3(33)
July 21, 1975
Dear :
This is in reply to your inquiry regarding coverage of the
Employee Pension Plan under the Employee Retirement
Income Security Act of 1974 (ERISA). You state that the employer
is exempt from taxation under section 501(c)(3) of the Code.
The literature enclosed with the letter describes as
a home for disadvantaged children operated under the auspices
of the Church.
ERISA does not contain exemption provisions similar to
those in section 501(c)(3) of the Code. While church
plans are exempt from the Act, plans of other religious
organizations are not.
Thus it does not appear that the pension plan is
exempt. However, it is possible that coverage of the plan
will be delayed until January 1, 1983, if (as the literature
hints might be the case) the plan is a multiemployer plan
covering not only employees of the home but also employees
of a church or association of churches. In this connection
we call your attention to section 3(33)(c) of ERISA.
Once the plan is covered, all pension provisions of the
Act apply to it whether or not it has applied for a tax
qualification.
Sincerely,
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