Housing allowance policy for your employee handbook
Housing allowance policy for your employee handbook Below is a Housing Allowance Policy suitable for inclusion in a church or ministry Employee Handbook. It is written in neutral language and reflects IRS requirements found in Section 107 of the Internal Revenue Code (no external citations needed for policy documents). Housing Allowance Policy (For Ministers and…
Rolling over my denomination’s plan to an IRA?
Can I roll my denomination’s investment plan to an IRA? Under IRS rules, you cannot receive a housing allowance designation from an IRA, even if the funds originally came from ministerial compensation. Housing allowance treatment is only permitted when the retirement plan itself is a “church plan,” typically a 403(b)(9), and the designating body is…
Were you age 73 or older during 2025?
Were you age 73 or older during 2025? Required Minimum Distributions (RMDs) apply to traditional IRAs and most employer‑sponsored retirement plans once a participant reaches age 73. In the first year RMDs are required, the distribution does not need to be taken by December 31. Instead, the initial RMD must be withdrawn no later than…
2026 Housing Allowance Guide
2026 Housing Allowance Guide Now Available The Housing Allowance Exclusion permits clergy to set aside a portion of their compensation specifically for housing expenses, shielding that amount from federal income tax. By reducing taxable income, clergy can significantly lower their overall tax burden. Although this exclusion is one of the most valuable tax advantages available to ministers,…
New Auto Loan Interest Deduction
The New Auto Loan Interest Deduction for 2025 Beginning with the 2025 tax year, millions of Americans will encounter one of the most notable tax changes in decades: the new federal Auto Loan Interest Deduction, created under the OBBBA. This new provision offers a potentially valuable deduction for qualifying taxpayers—yet it comes with strict rules,…
