The U.S. Senate has unanimously passed the bipartisan Clergy Act, sending the measure to President Donald Trump's desk.
Under federal tax law, ministers have long been treated as self-employed when it comes to Social Security. Many were advised to opt out as young adults, only to face severe financial shortfalls as they approached retirement.
Dr. Paul Chappell, Pastor of Lancaster Baptist Church in Lancaster, California, and a key champion behind the initiative, explained to the "Washington Watch" program how those choices were often made.
"It seems that many of them were ill-advised at a young age to opt out ... and so then they began to realize, ‘boy, this has effects on me, even into the Medicare system and my elder age,’ and began to ask, ‘is there any way that this could be changed?"
While larger churches often provide retirement programs, Chappell notes that smaller congregations — the reality for most American pastors — frequently lack those safety nets.
The Clergy Act creates a limited, one-time window for eligible ministers to re-enroll and build toward retirement benefits.
Congress previously opened similar opportunities for clergy to rejoin the system, including in 1977, 1986 and 1999.
The House passed the legislation earlier this year by a vote of 350-5.
House Republicans Lauren Boebert, Tim Burchett, Chip Roy and Keith Self, and Democrat Lizzie Fletcher, voted against the bill.
Seventy-four House members did not vote.
The bill is sponsored by Sen. Katie Britt (R-Alabama), Sen. Maggie Hassan (D-New Hampshire) and Rep. Vince Fong (R-California.)
It has received support from the Church Alliance, the Evangelical Council for Financial Accountability and the National Association of Evangelicals. Supporters argue that clergy should have an opportunity to correct an early-career decision that could undermine their retirement security.
The main concern of critics are long-term costs while the national debt has surpassed $40 trillion.
Chappell says thousands of eligible pastors are expected to take advantage of the relief.
"I think once the news starts spreading, there will be thousands who will take advantage of this opportunity ... it's going to be more payers into the system, but also more provision for people in a time of need later in life."
The president is expected to sign the bill into law in the coming weeks.
