Pastor Payroll Help

by RC

I have just started doing the bookeeping for our small church. I am unfamiliar with pastoral payroll.

I have three main questions outstanding following my research.
1.) We have an insurance "allowance" but we're not paying it to an insurance company/policy. Should that actually be counted as insurance or just counted as an addition to salary?
2.) How do the HSA or HRA payments get accounted for that we do pay to a company?
3.)We have a retirement allowance budgeted that he recieves. I found out that isn't actually being paid to a retirement fund. Does that need to just be an addition to salary or is it ok to break that out as retirement funds? Thank you.

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

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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