Church Plan Election of ERISA Status under Section 410(d)

Summary

This template provides the terms of the optional election that a plan administrator of a church plan may make to irrevocably elect ERISA status for the plan pursuant to I.R.C. § 410(d). This template includes practical guidance, drafting notes, and an optional clause. Treasury Regulation Section 1.410(d)-1(c)(3) provides that the plan administrator of a church plan may elect under I.R.C. Section 410(d) not to be treated as a church plan and therefore to be treated as if the plan were subject to Title I of ERISA. To make the election, the plan administrator must attach an affirmative statement to either (1) the plan's annual return required under I.R.C. § 6058(a) (i.e., Form 5500) with respect to the plan which is filed for the first plan year for which the election is effective or (2) submit a written request for a determination letter relating to the qualification of the plan (e.g., Form 5300). Section 1.410(d)-1 does not provide for an alternative form of election. As a practical matter, church plans typically make this election by attachment to Form 5500. Once made, the election is irrevocable. I.R.C. § 410(d)(2). For related content, see Church Plans under ERISA and the Internal Revenue Code and Considerations for Health and Welfare Church Plans in Electing ERISA Status. Also see Employee Benefits Guide § 36.08 (2023) "Special Rules for Church Plans," 2021 NYU Review of Employee Benefits § 12.02, "Definition of a Church Plan," II Mo. Family Law § 16.33 (MoBar 7th ed. 2012) "Plans of Tax-Exempt Organizations and Church Plans," and RESOLVING ERISA'S "CHURCH PLAN" PROBLEM, 31 ABA Journal Lab. & Emp. Law 231.