Pope and retirement are two terms rarely invoked together. Pope Benedict XVI became the first pontiff to resign in more than 600 years back in 2013, and there was no real precedent for the type of pension plan he should receive. According to Time, “the Catholic Church came up with a retirement package for the then-85-year-old that would have most people thanking heaven.”
“The pope emeritus, as he is now known, receives a monthly pension of 2,500 euros,” according to the magazine. “That’s currently equivalent to around $2,800, though at the time of his retirement CNBC reported it was closer to $3,300 per month.”
Time adds that at the time of his retirement, that was essentially the same as the $3,350 maximum monthly amount Social Security could pay to retirees in 2013. This year the maximum benefit is $3,515, for those who wait until they’re 70 to claim, though very few people qualify for that.
“Not that he’ll need to use his pension for many expenses. Benedict lives rent-free in the Mater Ecclesiae, a renovated former nunnery inside Vatican City that overlooks the Sistine Chapel, with his private secretary and ‘four consecrated lay virgins’ who attend to household tasks. The residence features a garden, private chapel, and expanded library, and the Roman Catholic Church covers all of Benedict’s living expenses.”
The publication concludes that former pope is also still covered by the Vatican’s private health care policy.
“Good thing, considering health care is one of the most daunting (and expensive) things retirees in the U.S. typically need to plan for. In fact, a 2009 retirement report from Georgetown University found that “many priests identify health and medical issues as the most important issue” facing their retirement.”
With more than 20 years serving financial markets, John Sullivan is the former editor-in-chief of Investment Advisor magazine and retirement editor of ThinkAdvisor.com. Sullivan is also the former editor of Boomer Market Advisor and Bank Advisor magazines, and has a background in the insurance and investment industries in addition to his journalism roots.
Why the italics around “four consecrated lay virgins” – is Mr. Sullivan trying to make a point? If so, what?
No point. The quote marks were included in the original Time article.