Love offerings for Individuals

Our church took up 3 love offerings during the year. One for our pastor who was retiring, one for a member who was moving away and a Christmas love offering for our current pastor

Some of these were checks earmarked for the individual.
I believe the offering for the retired minister is deductible for the donor even if it was earmarked.

What about the other two-are they deductible contributions for the donors? Should we include the love offering for the retired minister in his taxable earnings.

Comments for Love offerings for Individuals

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Education scholarship
by: Anonymous

The money given is from the church not from a donor. The church sent money to a university on behalf of a pastor. Is it tax deductible?
Love offerings for Individuals
by: Anonymous - Rochester, MN

I believe your best advice will come from Vickie and Bill as they deal with many varieties of this question.

I am not an expert but I believe if you send a gift to the university for your speaker, they become responsible for reporting the amount they pass on to your speaker.

You handled the donation to an individual in need correctly. I believe you might also have put the donation in a Benevolence Fund line item and then with the concurrence of your board sent that amount on to the individual in need.
deduction for church member
by: Anonymous

The checks were not made out to the individual but to the church. They were earmarked in the memo section what is was for(john doe love offering).

While they have stated who they want the money to go to is that not the same as telling the church what to do with the money.

I recently gave a check back to a member who issued a check to the church but told me they wanted it to go to a member who was in need. At that time we did not have a benevolence fund set up. I advised them to give the check to the member personally. I don't want to upset any member but at the same time do not want to jeopardize the church exempt status.

Thanks for your input
Pastor Education
by: Anonymous

If the church sends money directly to the university on behalf of the pastor, is that considered salary?
Church Control
by: Vickey

It all depends on "Church Control".

For example, a church could take up a love offering for the Pastor and all the donations would be included on their donor's giving statement ...because the "church" is controlling where the funds would go.

And ... as Anonymous stated the same would go for visiting preachers and a love offering for a member ....as long as the "church" has control and it passes thru their accounting records.

But if a donor gave the church a check with an individual's name on it and instructed they wanted it gave to that individual...then the church loses the control and that gift is not tax deductible and you would not issue a contribution receipt for it.

Regarding whether or not is would be considered taxable income ...

The love offerings for the ministers would probably be considered taxable income to the recipient by the IRS as it is a show of appreciation for their "service" to the church; however, the love offering taken for the member that is moving...would not be for a service and may NOT be considered taxable income. Please consult a knowledgable tax professional.
love offerings
by: Anonymous

I read somewhere if a donor earmarks a check for an individual for a love offering it was not tax deductible for the donor. This gets so confusing.
love offerings
by: Anonymous

Regardless of who gave the love offerings or to whom they were given, they must always be included as donations from the donor on their end-of-year statement.

The same goes for the love offering given to the retiring pastor and the one that is now in place. All monies given to anyone must be reported as earnings to each of those individuals.

If you have a visiting pastor from another church or a missionary that has come to speak at a service, those donations need to also be reported as a donation given to them. They should always give you a receipt for the donations that you give them.

Hope this helps.

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