MUST HAVE REFERENCE GUIDE

Site Map or Site Search

CHURCH ACCOUNTING PACKAGE

Do I include Housing Allowance in Hourly Rate Calculation of Unpaid PTO Hours

Our pastor is leaving. He has unpaid PTO days. The compensation package comprises two elements: a salary amount and a housing allowance amount.

When I calculate the hourly pay rate for unpaid PTO hours, do I use the entire compensation package or only the salary amount?

Thanks. Love your site.

Answer

I contacted a CPA regarding your question...this was his reply:

"I believe you use the established compensation package to allocate between Housing and regular salary. He earned the money under that arrangement, so the allocation is still valid."

Thank you, Greg!

Hope this helps,



Church Accounting Package

www.freechurchaccounting.com

Know the answer? Face the same situation? Please post your answer or comment by using the "comment" link below. Thank you!

Click here to post 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.