Deduct the rental value of a home?

by John C
(Peoria, IL)

I qualify for a pastoral housing allowance. If my house is paid for, is there anyway to still deduct the rental value of the home or am I limited to the actual expenses to care for my home?

Comments for Deduct the rental value of a home?

Click here to add your own comments

Dec 13, 2016
Housing Allowance
by: Anonymous

Even if your house if paid off, you can still deduct a 'rental value'; however, you must save all your receipts for expenses incurred for ALL that has to do with your house.

Having said that, it still comes down to the actual costs incurred at the end of the year. If the actual costs are less than the 'estimated costs' then you will most likely end up having a balance/tax to pay when filing.

Dec 13, 2016
limitation on clergy housing allowance
by: Lewis in NC

Clergy are limited to the lower of the following three amounts when figuring the clergy housing allowance exclusion from actual taxable income.

1: the amount of the housing allowance designation by the church, (not designated by the church then no housing allowance can be excluded), or

2: the fair rental value of the minister's furnished house, plus utilities, or

3: the amount actually spent (that year) to buy, rent, furnish, improve and maintain the primary residence.

Click here to add your own comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Housing Allowance.

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 =)

Share this page:
Enjoy this page? Please pay it forward. Here's how...

Would you prefer to share this page with others by linking to it?

  1. Click on the HTML link code below.
  2. Copy and paste it, adding a note of your own, into your blog, a Web page, forums, a blog comment, your Facebook account, or anywhere that someone would find this page valuable.