FAQs
Long service leave | Car loans
When Can I Take LSL?
You can access your LSL after ten years continuous service in the Presbyterian Church.
Rates of LSL
Two months LSL is available after ten years continuous service. (LSL accrues at the rate of 0.8667 weeks per year.)
Purpose of LSL
LSL is for your refreshment and welfare, so you have zeal for ministry. LSL is a practical expression of care provided to reinvigorate you for ministry and to minimize the potential for ministers to become jaded or ‘burnt-out’. LSL is only available in extended blocks to maximize its beneficial effect for you. LSL is to be taken as soon as practicable after it is due. So, in keeping with the spirit of LSL:
- LSL is not to be regarded as a cash accumulation for a retirement ‘nest egg’
- LSL is not to be accumulated and used as a prequel to retirement
- LSL is to keep you fresh and sharp for ongoing gospel work!
Taking LSL
The minimum period of LSL normally approved is four consecutive weeks. However, the Committee will allow the use of two weeks of LSL iff it is added directly to two consecutive weeks of annual leave so that the four-week minimum break is still maintained.
A Request Form can be downloaded here: LSL Request Form
What approvals do I need to access my LSL?
To access your LSL, you require the approval of your session, then your Presbytery, and finally the Ministry & Mission (see The Code III F4.06, 4.07). Presbytery in approving an application for LSL, shall be satisfied with the adequacy of ministry to the congregation during LSL. Each Presbytery is informed periodically of the accrued LSL for each of its members. Presbytery may demonstrate pastoral concern towards ministers who habitually choose not to access LSL.
How is LSL financed?
LSL is paid for by the congregation/agency you serve by means of an annual assessment (currently 1.6%) based on basic stipend/salary. When you take LSL, you are paid your normal remuneration (stipend/salary and allowances) by the congregation/agency in the usual fashion. The LSL fund then reimburses to the congregation/agency the equivalent of your stipend/salary (to a maximum of the basic stipend) for the LSL period. Where an entitlement to LSL exists, you cannot take a cash payment in lieu of that entitlement except upon retirement or termination of service (see LSL & Termination).
LSL & Termination
If you terminate your service with the Presbyterian Church:
- after 10 years unbroken service, you are entitled to your accrued LSL;
- after 5 years unbroken service, but before 10 years, the Ministry & Mission Committee may consider a request under special circumstances;
- before 5 years, all accrued LSL is forfeited.
What if I am called interstate?
Reciprocal arrangements apply to interstate transfers. Because other states provide LSL at different rates, we will transfer to the receiving state, the cash equivalent of your entitlement. That will then be recalculated into an entitlement in that state. If you later return to NSW (in continuous service with the Church), the calculations are performed in reverse. (The LSL Fund within the PCNSW is operated in accordance with the NSW Long Service Leave Act, 1955)
What is the Maximum Car Loan available?
$20,000 (as at January 2008).
What is the maximum period of the loan?
5 years.
What is the interest rate?
6% (as at Jan 2008) variable in accordance with changes in the Trustee rates.
What is the minimum monthly repayment?
Approximately $386 per month. (All borrowers make similar monthly repayments. The less you borrow, the shorter your repayment period.)
How do I make monthly repayments?
Repayments are by automatic direct debit from your nominated bank account.
Who is eligible for a Car Loan from the Ministry & Mission Committee?
Ministers, home missionaries, deaconesses, graduating students on receipt of their graduate appointment, or full-time church workers.
Is there a waiting period?
Loan availability is determined by the number of loans currently in place and the number of other applications. When there is a waiting list, emergencies and first time applicants receive priority.
Why is the interest rate lower than other loans?
The Ministry and Mission Committee subsidises Car Loans to help resource gospel ministry.
Is there an establishment fee, or other charges?
No.
Can I repay the loan more quickly?
Yes – without penalty. And you have the privilege of making low-interest money available to other people in minisry.
How much deposit do I need?
No deposit is mandated, however a minimum deposit of 20% of the car’s value may be prudent.
Can the loan be used for anything else?
No - the sole purpose of the loan is to enable the purchase of a reliable vehicle primarily for use in ministry. (Secondary use of the vehicle for domestic purposes is permitted.)
Are there any ‘special’ conditions?
Yes:
a) the car must be registered solely in the name of the borrower.
b) the car must be comprehensively insured and The Presbyterian Church (NSW) Property Trust must be named in the insurance policy as an interested party.
c) if the borrower ceases to be employed in ministry within the PCNSW, the outstanding loan balance is payable immediately (or the terms renegotiated at the Committee’s discretion.
d) the borrower must have life insurance at least equal to the loan (this can be as part of superannuation coverage).
How can I find out the balance of the loan?
A summary of the loan is issued annually by the Accounts personnel. For a balance at other times, contact the Church Office Accountant directly.
Can the loan be renegotiated for hardship?
Yes. Please contact Ministry and Mission to explore available options.
Can the loan be pre-approved before I shop?
Yes – submit the application without vehicle details and ‘pre-approval’ will be considered. If granted, you may then seek a vehicle, confident that funds have been reserved for you. Pre-approvals expire if a car is not purchased within three months.
Can I buy a car by auction or privately?
You can purchase a vehicle through a car dealer, by auction or by private sale.
For a dealership purchase, funds will be transferred directly to the dealer’s account.
For an intended purchase at an auction, funds will be transferred to your account in time for the auction, on condition that if your bid is unsuccessful the funds will be immediately returned to Ministry & Mission.
For a private purchase, Ministry & Mission will negotiate an appropriate arrangement for transfer of funds.
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