Social Security tax

Can a church give their pastor who is receiving Social Security and is being paid a housing allowance a personal retirement amount and he doesn't have to pay social Security on it?

Comments for Social Security tax

Click here to add your own comments

Payments to a Minister's Individual Retirement Accounts is Taxable Income
by: Vickey

Amounts contributed by a church for a minister employee’s Individual Retirement Account (IRA) are included in the employee’s compensation on the Form W-2 and are subject to self-employment (Social Security) tax. (excerpt from ECFA.org's "Ministers Taxes Made Easy 2020": ebook.)

Click here to add your own comments

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