What's clergy housing (cash or in-kind)?
Clergy Housing (Cash) is a payment that you make to a duly ordained minister as a rental allowance for a house, furnishings, utilities, and so on. These payments are exempt from income tax but subject to self-employment tax (calculated and paid by the minister).
Clergy Housing (In-kind) can be used to report the value of a house, furnishings, utilities, and so on that you furnish to a duly ordained minister as part of the minister's pay. These amounts are exempt from income tax but subject to self-employment tax (calculated and paid by the minister).
To set up a Clergy Housing pay type for an employee:
Clergy Housing (In-kind) can be used to report the value of a house, furnishings, utilities, and so on that you furnish to a duly ordained minister as part of the minister's pay. These amounts are exempt from income tax but subject to self-employment tax (calculated and paid by the minister).
To set up a Clergy Housing pay type for an employee:
- Go to the Employees tab.
- Click an employee's name.
- On the employee's overview page, look for the Pay section and click Edit.
- Scroll down to the What additional ways do you pay? section and click to select the appropriate Clergy Housing checkbox.
- Optional: Enter a default amount to be paid each paycheck. You can always change the amount when you create the paycheck.
- Click OK.
Next time you create a paycheck for the employee, the Clergy Housing pay item appears. Simply enter the amount for the pay period and our payroll service includes the amount when calculating the paycheck.
Form W-2 reporting
our payroll service reports these amounts on the employee's pay stub and in Box 14 of the employee's Form W-2. They aren't subject to payroll taxes.
Form W-2 reporting
our payroll service reports these amounts on the employee's pay stub and in Box 14 of the employee's Form W-2. They aren't subject to payroll taxes.
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