Approved 4361, Does the church have to pay the Social Security
If a pastor has an approved 4361 does the church have to pay the Social Security Match?
With or without an approved 4361, a church does NOT withhold or match FICA from a minister's compensation.
If an individual is classified as a minister for tax purposes, they have a special tax status with the IRS. Ministers are considered an employee for federal income tax purposes and self-employed for Social Security and Medicare purposes.
So they pay SS and Medicare (unless they have IRS approval to opt out)) like a self employee individual.
Let me emphasis again....a church does NOT withhold or MATCH Social Security and Medicare.
See more on this page:
Click here to post comments
Join in and write your own page! It's easy to do. How? Simply click here to return to IRS Form 4361.
Need training on how to use QBO or Aplos effectively for a church or better yet ...need an expert in either of those accounting software to do your monthly bookkeeping and/or payroll? See more on our accounting services!