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We have a minister who we pay $250 for each time he speaks at our church, so he is not an employee.

by Dorene E Soe
(CA)

We have a minister who we pay $250 for each time he speaks at our church, so he is not an employee?

He has asked that instead of making the check out to him, that we pay for his seminary schooling by giving the money to the school as partial payment for his tuition.

Is that legal? I think we can get in trouble for doing that, but I don't know where to find the answer in the IRS documents.

Thanks.

Comments for We have a minister who we pay $250 for each time he speaks at our church, so he is not an employee.

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Apr 11, 2021
 Taxable Income
by: Vickey

Whether you pay the minister directly or his schooling...it is probably taxable income to him.

There are some instances where a church requires certain educational courses as a condition of employment, so PLEASE contact a knowledgable tax professional or CPA.

There are too many variables for me to tell you he should be considered an employee as well. So getting the advice of a professional that can ask the right questions to make the right choice is crucial.

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

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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