Social Security for Non-Minister Church Staff: Understanding Form 8274
Your pastor pays self-employment tax, but what about the secretary and custodian? Whether your church withholds Social Security from non-minister staff depends on Form 8274, and treasurers should confirm their status before W-2s go out.
Helping Your Pastor With Health Insurance: The Right Way to Reimburse Premiums
Reimbursing a pastor’s individual health insurance premiums informally can trigger steep IRS penalties. A QSEHRA offers small churches a tax-free, compliant alternative.
Paying Guest Speakers and Pulpit Supply: A Year-End Guide for Church Treasurers
Guest preachers, visiting musicians and pulpit supply are part of church life, but they come with reporting rules. Here is how the new $2,000 Form 1099-NEC threshold works for 2026 payments and what treasurers should gather before January.
Church Treasurers: How Voluntary Withholding Can Spare Your Pastor an April Surprise
Ministers’ pay isn’t subject to mandatory withholding, which often leads to a large tax bill in April. A voluntary withholding agreement lets the church help the pastor cover both income tax and self-employment tax through payroll.
Year-End Payroll Checklist: Preparing Your Pastor’s W-2 the Right Way
Ministers’ W-2s follow special rules, from blank Social Security boxes to optional housing allowance reporting in Box 14. Here is a year-end checklist to help church treasurers get 2026 forms right before the February 1, 2027 deadline.
Dual Tax Status: Why Ministers Are Both Employees and Self-Employed
Ministers are treated as employees for income tax but self-employed for Social Security. Here’s what dual tax status means, how SECA tax works in 2026, and how to avoid an April surprise.
Are Gift Certificates to Church Staff Taxable?
Are Gift Certificates to Church Staff Taxable? When churches want to express appreciation to their pastors or staff—especially around holidays or ministry milestones—gift certificates often seem like a simple, generous solution. However, under U.S. tax law, gift certificates given by a church to its employees are almost always taxable, regardless of intent. Understanding why requires…
When Are W‑2 and 1099 Forms Required to Be Filed.
When Are W‑2 and 1099 Forms Required to Be Filed Churches function as employers, contractors, and ministry organizations—but despite their nonprofit status, they are not exempt from federal payroll reporting laws. The IRS requires churches to properly classify workers and file W‑2 and 1099‑NEC forms each year, just like any other employer. Failing to follow…
Why You Should Update Your W-4
Your Form W-4 determines how much federal income tax is withheld from your paycheck. Keeping this form up to date ensures that your tax withholding matches your current situation—helping you avoid surprises at tax time. Several major life events can significantly impact your tax liability. If any of the following apply to you, it’s a…
Your Guide to FSA Contributions
Reporting Flexible Spending Account (FSA) contributions on a W-2 depends on the type of FSA and who made the contributions. Here’s a breakdown: Where to Report FSA Contributions on Form W-2 Dependent Care FSA Box 10: Report the total amount of dependent care benefits provided to the employee, including: Amounts the employee elected to contribute…