Can a pastor receive a medical allowance?

If a pastor was on a church policy being paid 100% by the church and then married and was added to his wife's policy, can or should the church pay him the premium being saved as a medical allowance?

Comments for Can a pastor receive a medical allowance?

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Jun 25, 2014

medical allowance?
by: Lewis in NC

It would be very nice for the church not to lower the pastor's benefits if it can continue to afford this expense in the budget.

Jun 25, 2014

Taxable Income
by: Vickey

There is a firestorm of controversy going on presently regarding this very issue.

Before Obamacare became law you could have done this under a qualified HRA, but now it is taxable income.

That is not saying you cannot give him a "medical allowance" just be aware that the amount you give him will have to be included in box 1 of his W-2.

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