Year-End Giving Statements: What Churches Must Include for 2026
Starting in 2026, many church members who don’t itemize can deduct their cash gifts. Here’s what treasurers need to include in year-end giving statements, and when they must go out.
2027 Social Security Figures Are Out: What They Mean for Ministers
The Social Security Administration has announced its 2027 figures, including a $192,300 wage base and a 3.6% cost-of-living increase. Here’s how the changes affect ministers’ self-employment tax, retired pastors who keep serving, and planning for the year ahead.
Congress Passes the Clergy Act: A Second Chance at Social Security for Ministers
If you’re a minister, you may have seen the headlines about a bill that could change the retirement picture for clergy. The good news is that there’s no need to panic. Ministers who opted out of Social Security years ago may soon get a one-time chance to opt back in. On September 30, 2026, the…
2026 Tax Law Changes Every Minister Should Know
The One Big Beautiful Bill Act brought new deductions, a higher standard deduction, and changes to charitable giving and 1099 reporting. Here’s what matters for ministers and churches in 2026.
How should a church handle donation of stock?
Handling the donation of stock for a church involves several important steps to ensure compliance, proper valuation, and acknowledgment. Here’s a comprehensive guide: Establish a Brokerage Account Open an Account: The church must establish a brokerage account in its name to receive and manage stock donations. Choose a Broker: Consider using a discount broker (e.g.,…
Should I Be Afraid to File a Tax Extension
If the looming April 15 tax deadline has you stressed, take a deep breath—you have time and options. Every year, many clergy rush to file by the deadline, often missing key deductions, making costly errors, or settling for a hurried filing experience. However, here’s the truth: filing a tax extension can be a strategic advantage,…
What is Social Security Allowance
Crafting compensation packages for church pastors is a process distinctly different from setting salaries and benefits in the for-profit sector. What is Social Security Allowance? A Social Security allowance is an additional payment made by churches to clergy to help cover their Social Security tax burden. This allowance is often referred to as a SECA…
How to file an extension
Filing a tax extension is a straightforward process that gives you until October 15th to submit your tax return. Here are the steps to follow: Choose Your Method You can file an extension in three main ways: Online Payment: Pay any estimated tax due online and select the option to file for an extension. This…
How to define honoraria income
Honoraria income for clergy refers to payments received for services where a set fee is not legally or traditionally required. These services often include weddings, funerals, baptisms, and guest speaking engagements. Here are some key points to understand: Definition and Nature Honorarium: A voluntary payment given for services that custom or propriety forbids a price…
The Windfall Elimination Provision (WEP)
The Windfall Elimination Provision (WEP) The Windfall Elimination Provision (WEP) reduction has been effective since it was first enacted in 1983. However, it’s important to note that recent legislation has repealed the WEP. The Social Security Fairness Act, signed into law on January 5, 2025, ends the WEP effective December 2023. The Windfall Elimination Provision…