Social Security, House Allowance, w2 or Misc 1099, salary
I have been the office admin for a couple of years. I started with just taking record of tithes and offering. Pastor had someone doing their 941'S and issued their W2'S. I just continued what that accountant had been doing. Over the years I have tried to learn a little more about clergy benefits. Now I feel we are completely wrong on how the process should be.
1ST The church pays the Social Security and Medicare through the 941 from the salary amount only and it is never reduced from his salary or paycheck he recieves.
2ND The housing allowance has never been included on the w2 OR 941 OR anything. Should it?
Not sure if he files self employment tax and if so housing allowance has not been supplied to him. He has never gotten income tax withheld. Should I supply that amount to him? And should it be reported?
3RD I just started as an employee of the church as a part time employee receiving an hourly pay. Do I send in a W4? or can I get a 1099 MISC at the end of the year and just get FIT taken out?
4th Is there a certain amount of people that should be on the BOARD or is that something that the PASTORS can decide?
5th Should there be just 1 salary for the Pastoral household or can there be 2? ( for him and her)
I wait eagerly for a response...I really love this website. GOD BLESS!!