Ministers Housing & Tax
A nice benefit for your pastoral team is a Housing Allowance … but sometimes the process can be confusing. Tax issues for pastors is confusing, SECA or FICA? Below are some helpful articles to help untangle that confusion.
Ten Biggest Tax Mistakes, Part 2
In Part 1, we had so many questions from the live audiences, that we only got half way through the "10 Biggest Mistakes." Now for the second half! With decades of experience in publishing [...]
10 Biggest Tax Mistakes Made By Pastors and Churches
With decades of experience in publishing annual tax guides for ministers and churches, ECFA (Evangelical Council for Financial Accountability) is uniquely qualified to identify and explain the top tax mistakes made by pastors and [...]
Pastor Tax 101—Federal Tax Benefits and Rules Applicable to Ministers
Pastors and federal tax issues is always a hot topic. We all want to use the most benefits that are available ... but are we? This broadcast with Fletch and Michele will discuss the [...]
How Can We Do a ‘Love Offering’
Hey Fletch … We occasionally receive love offerings for our senior pastor and other staff members. How should we handle these gifts? DRF—There are so many questions floating out there about restricted gifts to churches. [...]
Can a Church Pay FICA for a Pastor?
Hey Fletch … It’s been one month after I got your answer to my question. I still don’t have my head wrapped around this issue of FICA vs. SECA and how it relates to Housing [...]
New Year Help on Taxes
Monday, January 7, 2019 Hey Fletch … I heard you say at the Smart Money workshop, "If a pastor has low housing costs, it can actually hurt them financially." My question is how? Isn't it [...]
Did I Break the Law in Opting Out of Social Security?
Friday, November 30, 2018 Hey Fletch … When I first became a pastor, people advised me to opt out of Social Security. I had been in business for over 20 years and they said, “you [...]
Are Discounts to Church Events Taxable Income?
Saturday, November 24, 2018 Hey Fletch … We are thinking of offering all staff who work 32 hours a week or more discounts to church retreats and functions for which there is a charge. My [...]
Donations for Funeral Expenses
Friday, November 23, 2018 Hey Fletch … I have a question related to a special donation. A family in our church had a very unexpected death in their family. Another family in the church would [...]
Attorney Needed for Pastor Who Opted Out of Social Security
Monday, November 19, 2018 Hey Fletch … A few months ago we discussed our pastor’s lack of retirement planning. You mentioned you could recommend a non-profit attorney for a consultation. One of my “strategies” is [...]
Automatic Rollover of Housing Allowances
Hey Fletch … At the Smart Money for Church Salaries workshop, you referenced some language you used on the housing allowance form. This allows the amounts to roll over year after year without a [...]
New Tax Court Case Says “Gifts” to Pastor Are Taxable
In a recently issued Tax Court case, Judge Mark Holmes rendered a decision that may be the most thorough judicial analysis of the law surrounding “love gifts” for pastors that has ever been published. [...]
Can an Auto Allowance Be Tax-Free?
Wednesday, September 12, 2018 Hey Fletch … I believe I'm clear on the minister's housing allowance designation. What about a car allowance? We have a new employee who says ministers can claim a car allowance [...]
Ministerial Housing Allowance
Friday, August 31, 2018 Hey Fletch … I am a full time associate pastor and am applying for an apartment that is part of the SMART Housing program, a kind of government assisted, affordable housing [...]
Church Musicians: Employees or Independent Contractors?
Are the musicians your church pays to perform for worship services and other church events employees or independent contractors? Contrary to what some churches may believe, whether a musician paid by a church to [...]
Ministerial Housing Allowance
Our friends at GuideStone have collected vital questions about Ministerial Housing Allowances. They have let XPastor share this information. "What is the minister’s housing allowance?" The minister’s housing allowance is the most important tax [...]
Before You Pay the Pastor
What should church leaders note before structuring compensation plans? Compensation planning for clergy and other church staff presents several unique tax issues that are not well understood by many church leaders and their advisers. Here are [...]
Caesar Takes a Pastor’s Salary
Few issues are as misunderstood, abused and confused as the tax implications of a pastor’s salary. The issue is so different from compensation in the business world that some CPA’s have given errant advice to [...]
Employees that Qualify for Minister’s Taxation
Determining who qualifies as a minister for tax purposes can be challenging---and misclassification can be costly. This article will help you properly classify your ministerial staff and avoid the risk of back taxes, penalties, and more. In the [...]