by connie brown
(burbank, california)
A clergy working in pharmacy, are their wages tax exempt?
Vickey's Reply
No clergy's wages are tax exempt.
Only wages earned from performing ministerial duties would be exempt from income tax withholding and FICA withholding.
Note: Clergy still have to pay income taxes on their wages and pay social security taxes on that income through the SECA system. It is just the church is not required to withhold taxes on a qualifying minister.
If you want to DIY your payroll, I highly recommend you look at using Gusto! It is very user friendly and their support is awesome! Plus they know how to set up and maintain payrolls for churches and nonprofit organizations.
Note: I am a "partner" of Gusto, but as I have told you before ... I never recommend anything that we or our clients have not tried and love =)