by Jimmy
(Kansas)
We have a bi-vocational pastor. He is an established teacher at a pubic school. All of his bi-vocational church salary, $42,000, is deemed a housing allowance.
This was set up from the beginning, but having come on the finance and personnel committees, I believe this raises questions with everything I have read.
Your thought would be helpful.
Jimmy
1Comments
It depends on the facts
BBill OConnell
I understand your question to be:
CAN the entire comp package be designated as Housing Allowance?
The answer is yes if it is properly justified and properly approved. HOWEVER...
A better question is:
SHOULD the entire Comp package be designated as HA?
This answer is probably not - depending upon the facts.
Clergy comp packages are usually set up in tax inefficient ways, and a package that is all HA is likely inefficient. It is better to start with getting the pastor tax free entitlements.
Please call me at 617-921-9321 to explore the Pastor's Compensation Pyramid.
CAN the entire comp package be designated as Housing Allowance?
The answer is yes if it is properly justified and properly approved. HOWEVER...
A better question is:
SHOULD the entire Comp package be designated as HA?
This answer is probably not - depending upon the facts.
Clergy comp packages are usually set up in tax inefficient ways, and a package that is all HA is likely inefficient. It is better to start with getting the pastor tax free entitlements.
Please call me at 617-921-9321 to explore the Pastor's Compensation Pyramid.