Retirement offering for a non-employee

by BJ
(Millersburg, OH)

We are going to be taking a retirement offering for a ministry leader who is volunteer, not an employee. Letters are going out to congregants ahead of time about this special offering. If donations are given through the church, are they deductible contributions?

Comments for Retirement offering for a non-employee

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Nov 02, 2013
so called non employee
by: Anonymous

if services are received and money is given they might be considered an employee. see IRS Pub 15 A

Nov 03, 2013
Contributions to Individuals are Not Tax Deductible
by: Vickey

If an offering was taken up for a specific individual, the contributions would NOT be tax deductible for the donors.

If the retirement gift was given from funds the church had complete control of (example: regular offering taken up and church paid operating costs from and approved a gift to be given to a specific individual)...then contributions would be tax deductible.

Make sense?

Keep in mind that if this retirement gift is $600 or more...a 1099 will need to be issued the the non-employee.

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