Is the Pastor Self Employed, or a Staff Minister. This is one of the most confusing areas you will have to understand. The answer to this question – is YES. He is both Self Employed, and a Staff Minister. As there are two sides to this issue, we will try to help you understand how [...]
The church has every theological right to ordain whom they will, and has historically done so. But remember Paul, Barnabus and the multitudes following, did not have to contend with the IRS. Ministry who live and minister in the US, who want to benefit from tax reducing provisions available to them, are subject to US [...]
Regarding Marriage, Employment or Volunteers – If it is the Churches Policy that church membership is a requirement to be involved in ANY church activity, this is the ultimate in having a “Fire wall” of protection from the homosexual activists, and aggressive sexual predators. And it’s legally defensible. Please see our article Safe Church Policy [...]
Can [should] the minister file IRS Form 4361 and exempt from self employment Social Security taxes [SECA] ? Much counsel has been offered on this subject, but we offer an additional perspective on how to view, and make a decision on this important issue. It is possible for a Minister of the Gospel, by filing an IRS [...]
A question I am frequently asked or, when I am doing a Church Administration seminar, I make it a point to bring this issue up is, “Who has authority to spend church funds?” Unless, and until, authority has been granted an individual by action of the Board, no person [the pastor; pastors wife; Board Members; [...]
There is a fear of the IRS, and in may cases, rightfully so. But the IRS cannot just arbitrarily “Come in” and investigate a church, unless they have a very good reason to do so. EG – if the church withholds payroll taxes and then does not report and send those monies in – this [...]
We write this as a rebuttal against those advocating the “Free Church” movement; Yes, I am aware of the “Free Church” concerns: Those who express a fear of incorporating the church, and being “501(c)(3).” Essentially, the proponents of the ‘Free Church’ movement argue that by incorporating, we are allowing “Caesar’’ into our church; Or [...]
The question often arises; can the church give gifts to the pastor, the church employees, or its staff members? How about gifts to faithful teachers, hard working volunteers, or to those attending our church for the first time? What should we keep in mind in giving gifts of “Benevolence to the homeless, or even our [...]
There is no state or federal law requiring you to have By-Laws. But without By-Laws, your church [or fellowship] would not be tax exempt by either the state or the IRS. And in the event of an audit, if it is discovered there are no By-Laws, any and all income would likely be ascribed to [...]
Active Ministers of the Gospel, if they are properly credentialed, are privileged to receive a significant portion of their compensation as a ‘Housing Allowance,’ free of federal [and most states] income tax – IF – and that is what is explained in this article. The unwarranted perspective of the IRS is, that the heads of [...]
Testimonials
“The HOW TO MANUAL is a remarkably prepared guide to church management with unusual insight regarding the needs of the church’s relation to governmental regulations. This manual gives timely information as a new congregation is being established.”
