Why Do Religious Need Money?

Questions and answers about the annual collection for the Retirement Fund for Religious

ANA RODRIGUEZ-SOTO | FLORIDA CATHOLIC STAFF

Posted: 12.24.09

MIAMI | Every December, parishes in the Archdiocese of Miami join parishes across the nation in taking up a collection for the Retirement Fund for Religious. Why was this collection started? Where does the money go? Following are answers to those and other frequently asked questions. More information is available at www.retiredreligious.org.

Q. What is the Retirement Fund for Religious?
A. In 1988, Catholic bishops in the United States launched the Retirement Fund for Religious to address the significant lack of retirement funding for Catholic nuns, brothers and priests in religious orders. The National Religious Retirement Office, formerly the Tri-Conference Retirement Office, was established to coordinate the annual collection and to distribute the proceeds of this collection to religious institutes in need.

Q. Why do men and women in religious orders need retirement funds?
A. Traditionally, women and men religious worked for small stipends that furnished only the basics of daily living. There were no retirement plans or pensions, and care for elderly members was provided largely by younger members.

Over the last few decades, however, elderly religious have begun to outnumber younger religious, and the income of those engaged in compensated ministry can no longer keep pace with the growing cost of elder care. Over the next 10 to 15 years, the number of religious aged 25 to 74 is expected to decrease sharply. With this decline, the income of religious institutes will drop precipitously, resulting in significantly less income available to support senior religious.

The problem has been compounded by skyrocketing health care costs. Today, there are more than 35,000 women and men religious over age 70, and more than 5,500 religious require skilled care.

Q. Where does the collection money go?
A. Since 1989, the National Religious Retirement Office has distributed more than $557 million to religious institutes across the nation, including more than $493 million to help underwrite the direct care of elderly religious. Almost $64 million has supported efforts by religious institutes to stabilize retirement savings and to develop comprehensive retirement strategies.

Religious are careful stewards of the funds received through the collection and strive to maintain a low cost of care. For example, the October 2008 Metlife Market Survey of Nursing Home and Assisted Living Costs reported that the national average rate for a semiprivate nursing home room was $69,715. By comparison, the cost of skilled care for a religious in 2008 was just over $55,000.

Q. How much has been raised by this collection?
A. The 2008 collection raised more than $28.2 million. Since 1988, Catholics have donated nearly $589 million to the annual appeal. Approximately 95 percent of these donations are distributed almost immediately to support the care of senior religious.

The 2008 appeal, for example, enabled the National Religious Retirement Office to distribute more than $23 million to 483 religious institutes. The office also distributed close to $3 million in targeted financial assistance to support self-help projects, such as collaborative health care facilities, initiated by religious institutes.

“The collection has been the most successful campaign in the history of the Church in the United States, which is testimony to the gratitude many feel for the services they have received from religious orders,” said Sister Janice Bader, a Sister of the Most Precious Blood of O’Fallon, Mo., who serves as executive director of the National Religious Retirement Office.

“I am continually heartened by the overwhelming generosity of Catholics to this fund each year,” she said. “Even in these difficult financial times, Catholics across the nation find a way to give back to the women and men religious who sacrificed so much for our Church and our world.”

Q. How much have Miami’s Catholics given to this collection?
A. In 2008 alone, Catholics in the Archdiocese of Miami contributed $138,707 to this collection. The Guadalupan Missionaries of the Holy Spirit, who work in the archdiocese, received financial assistance made possible by the retirement fund. In addition, religious who serve or have served in the archdiocese but whose institutes are headquartered elsewhere may also benefit from this fund.

Q. What does the National Religious Retirement Office do, aside from coordinating the collection and distributing the proceeds to religious institutes in need?
A. In addition to sponsoring the annual appeal, the National Religious Retirement Office offers assessment tools, educational programming, services and resources that enable religious institutes to evaluate and prepare for long-term needs. The office also coordinates an extensive network of volunteer consultants, including experts in elder care and financial planning, to help religious institutes plan for the ongoing care of senior members. The office is sponsored by the Conference of Major Superiors of Men, the Council of Major Superiors of Women Religious, the Leadership Conference of Women Religious, and the U.S. Conference of Catholic Bishops.

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