Can Deacons qualify for a housing allowance?
Can Deacons qualify for a housing allowance? Deacons can qualify for a housing allowance, but only if they meet the IRS definition of a “minister” for tax purposes. The IRS does not base eligibility on job titles (pastor, priest, bishop, deacon, etc.). Instead, it looks at whether the individual is ordained, licensed, or commissioned and…
Can a nonexempt employee be paid a salary?
Can a nonexempt employee be paid a salary? Yes, a nonexempt employee can be paid on a salary basis rather than by the hour. However, this arrangement can be challenging to manage in practice. Paying a nonexempt staff member a set salary does not make them exempt from overtime. They must still receive overtime pay…
Coordinating the Home Office Deduction and Housing Allowance
Home Office Deduction and the Clergy Housing Allowance: How They Work Together Many ministers ask whether they can claim a home office deduction while also benefiting from a clergy housing allowance. The good news is that it is possible to claim both, provided the rules for each are met and the two benefits are coordinated…