Week 13 Minister's Taxes - Anton Folz

Week 13 – Anton Folz
April 12th, 09

The Six Most Important Things I need to Remember about Ministers & Taxes

1. The money that a minister spends on housing is income tax free. This includes all the money that one spends on loan principal, interest, utilities, furniture, and other appurtenances
2. The first limitation is that this money must be allocated in advance. A minister must get the spending designated in advance for this to work.
3. The second limitation to the ministerial housing allowance is that one is only able to designate the fair rental market value of the home plus utilities. This is typically means one tenth the total value of the home plus utilities.
4. It is easy for ministers to cheat on their taxes by under reporting their parsonage, or by hiding any honorariums that they accumulate, but it does not pay in the end. As a person in the ministry, one must be able to stand about cheating and do what is right.
5. Ministers can opt out of paying any social security by filing the 4361, but it is the mother of all cheating. This can save a minister thousands, but one must confess to their commissioning board, and hold to this view by oath.
6. Money that is gained by honorarium must have taxes paid on it. This is income, and one needs to pay both income tax and social security tax on it.
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