How to report Housing Allowance (only) on a W-3

If you report 100% of the pastoral donations as housing allowance, how would you fill out a w-3 form if the minister is the only employee with no other wages?

Comments for How to report Housing Allowance (only) on a W-3

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Jan 28, 2020
Reporting For Housing allowance
by: Anonymous

Thank you for the above information. Does this mean that our organization is not required to submit the top, red, copy of our minister's W-2 to the IRS?

Mar 31, 2017
Housing Allowance on W3
by: Bill OConnell

I am going to answer the question about the pastor's compensation, since a pastors donations has nothing to do with a W3.

If a pastor's comp is entirely housing allowance the church has no reporting obligation to the Federal government. It's reporting obligation is to the pastor only. It must provide him with a letter telling him how much was paid as HA. he then uses that as the basis to prepare the SE tax on his form 1040.

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

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