Dependent daycare

by Lauren
(AR)

Can my husband who is a minister pretax dependent daycare when he sets up his salary package for the year?

Comments for Dependent daycare

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Parsonage and Self-Employment Tax
by: Vickey

If a minister lives in a church provide parsonage, the minister is not subject to income taxes on the use of the parsonage.

However, the fair rental value of the parsonage is added when figuring his self-employment tax. (The minister is responsible for determining the fair rental value of the parsonage.)

As far as the church owned vehicles, if he is doing church business in them...no it is not taxable to him.
is it taxable to drive the church vehicles and live in the church parsonage?
by: Anonymous

is it taxable to live in the church parsonage or drive the churches vehicle or by gas on the churches crited card
pastor package
by: Anonymous

The pastor does not set up their own package, the board or council would do that and it needs to be done prior to the start date. Daycare benefits need to follow the requirements of the IRS. Have the board look at IRS Pub 15B http://www.irs.gov/publications/p15b/ar02.html#en_US_2012_publink1000193662
and also IRS Pub 503 http://www.irs.gov/pub/irs-pdf/p503.pdf to see if it is a qualified expense and one they want to provide.
most benefits are not required to be given see http://www.sba.gov/community/blogs/community-blogs/small-business-matters/employee-benefit-plans-whats-law-and-whats-op.
Hope this helps

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