Are there other organizations the have troubles telling the difference between employees and independent contractors? I think this is primarily a church problem. Churches often have a lot of very part-time people paid small amounts. Maybe this used to be a volunteer position that is now paid. When does that person turn into an employee?…
How do I prepare my pastor’s W-2?
I’m not trying to dissuade you from having a tax professional prepare your W-2’s, but, if you are up to the challenge, here’s how to do it. This is mainly aimed at clergy in the Dakotas UMC, but I bet you could translate this into Lutheran or Presbyterian or Baptist or even Non-Denominational. Here’s the…
Apportionments
Rebecca Trefz and I did this video some time ago. While a lot of church leaders want to know where apportionments go, this video actually gets at the heart of what apportionment giving is all about. I figure that folks could just watch the budget video or read the budget if they want to know…
Learning to say “Thank you” with the IRS in mind
What’s the worst thing that could happen if I don’t keep the IRS in mind when issuing Giving Statements or something to acknowledge gifts? Well…the IRS could disallow the donors charitable tax deduction which would lead them to have to pay more taxes. This would probably lead to a ticked off donor who will likely…
Housing Allowance vs Housing Exclusion
This is always a difficult thing to explain…and keep straight after it’s been explained. The Designated Housing Exclusion is basically a tax loophole. It allows pastors to reduce their tax bill by having a part of their salary designated for housing. It doesn’t cost the church anything. If it’s not done, it will cost your…
QuickBooks Sub-Accounts are Awesome!
Finishing up my 30-day free trial of QuickBooks Online. This is the last tip I wanted to throw out. If you’re not using Sub-Accounts in QuickBooks, your reporting is lacking. The only way I know how to get robust reporting for a church is to use Sub-Accounts. Sub-Accounts let you better organize your accounts. They…
Preaching on giving IS NOT like Peeing on an Electric Fence
I decided that every tenth post/video would be on Stewardship Education. I realize that the title of this post and the picture probably don’t make you think, “I bet this an educational video.” One thing I run into over and over again is pastors and church leaders being afraid of preaching on money, giving, and…
JCT Accounting Co 