Tax season is here: a time when churches must prepare forms such as W-2s for employees and should provide givers with written acknowledgments of tax-deductible tithes and offerings. In addition, the filing of annual tax returns by ministers and other taxpayers is due by April 15. The Alabama Baptist State Board of Missions (SBOM) provides [...]
There is a great new way to give for people 70-1/2 and older who have an IRA. Actually, it is not new, but now it is permanent and advantageous even for middle class taxpayers for their federal and state income tax. Many people will not be able to itemize deductions on federal income taxes since [...]
The 2018-2019 Layman’s Salary Study is available now at alsbom.org/ccs. Click on the Resources tab. To obtain more data concerning a particular position, click on the national study at the same website. There you can select one state, certain states or all states. Observations about the 2018 Study: Nationally, Full-Time Pastors received a 3.8% raise compared to 4.6% inflation [...]
We, here at your State Board of Missions, seek to provide helpful assistance to each and every pastor/planter in Alabama. Lee Wright, one of your fellow state missionaries, and I were discussing the new tax laws for 2018 recently. We thought you might benefit from knowing about some of the less published nuances of the [...]
The number one financial question among bivocational pastors is "Can all my income be in housing allowance?” Answer: “Yes, if that is appropriate for your situation.” The average bivocational pastor in Alabama makes about $19,000 per year from their church, so for many, it would be reasonable. Ministers should consider their particular situation as they [...]
Many church members believe that the pastor is self-employed. Many churches treat the pastor as self-employed concerning compensation and taxes. But the truth is that the minister serving a church is self-employed concerning Social Security and Medicare but an employee in every other way. Minister tax experts call this a “dual tax status.” This fact [...]
It’s the Lord’s money and church leaders need to use it wisely, said Lee Wright, coordinator of church compensation services for the Alabama Baptist State Board of Missions. Wright speaks on this topic often. In fact, he led 10 “Church Financial Issues” conferences in 2017. He discussed a variety of financial issues in speaking to [...]
There are 2 pieces of information important to church staff and church treasurers as we begin the new year. See IRS.gov, then click on the news tab. IRS mileage rate for 2018 Beginning on Jan. 1, 2018, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 54.5 [...]
You have heard the news reports about the Equifax data breach. You should assume that your personal information is in the hands of criminals. You have also heard the instructions to “freeze your credit,” but many Americans are confused or intimidated by this process. Combining the best advice from consumer advocates Jean Chatzsky, Dave Ramsey [...]
Did you know that one out of four girls and one out of six boys will be sexually abused before age 18? Further, two out of three victims will not tell until adulthood, if ever. The church should be the safest place on earth for a child, but sometimes it is not. Richard Hammar, nationally-known [...]