Patriot Software Advisor

Accountable reimbursement plan vs. church credit card

by Jeff
(Fayetteville, NC)

If each pastor has a credit card in the church's name that is paid for by the church, to be used for church/ministry expenses, is there any reason to also have a separate accountable reimbursement plan?

Other than reimbursing mileage, what expenses would go against this plan instead of going on the credit card?

We originally had an accountable reimbursement plan, and now have a church credit cards, and the two plans/processes seem redundant.

Furthermore, there seems to be no clear cut delineation as to which expenses should go to which process. Any clarification would be appreciated

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Sep 09, 2020
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Accountable Reimbursement Policies NOT just for employees
by: Vickey

Accountable Reimbursement policies(ARP) do not just protect your employees...it protects your "volunteers" as well.

You need an ARP to protect your church, employees, and even church members that volunteer to pick up something to be reimbursed for later ... from adverse tax consequences.

Using the church credit card (make sure you have a credit card policy in place) will work for most things, but as you mentioned....reimbursing your employees and volunteers for such things as mileage and "travel" meals (per diem meals) should be done through an ARP.

Side Note: NEVER fill up a person's "personal" gas tank with a church credit card. Use the mileage method.

Also, you would need an ARP if you "reimburse" the Pastors for use of their personal cell phones for church business.

Maybe some other church administrators can add some more instances where an ARP would be useful.

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