Blog
Do All Churches Have to File a 990?
If you're a church pastor, administrator, or finance committee member, you've probably wondered whether your church needs to file a Form 990 with the IRS. Many nonprofit leaders assume all tax-exempt organizations file a 990 — but that's not true for churches....
How Do Churches Pay Their Employees?
Church payroll is unlike any other employer's. Between minister dual-tax status, housing allowances, SECA obligations, and contractor classification risks, the rules are more complex than standard business payroll — and the mistakes are common, costly, and auditable....
Is Church Tithing Tax Deductible?
Many church members wonder whether their tithes are fully tax deductible — and the short answer is: yes, but with important nuances. Church tithing is tax deductible when your church qualifies as a 501(c)(3) organization and you itemize your deductions. However, the...
What Are the IRS Rules for Churches?
Churches operate under a unique set of IRS rules that differ significantly from businesses and even other nonprofit organizations. While churches benefit from special exemptions and tax advantages, they also face heightened scrutiny in areas like compensation,...
Do Churches Pay Payroll Taxes?
Tax exemption for churches may seem simple enough to some, but certain intricacies must be acknowledged. Yes, churches are tax-exempt for federal and state income tax purposes but there are tax considerations in other areas for churches. Churches are not required to...
What Is Fund Accounting for Churches?
While the fundamentals of accounting are similar across industries, the desired outcome of the accounting function does vary depending on the nature of the organization. Unlike the corporate accounting methods used by for-profit businesses, fund accounting focuses on...
Church Accounting 101: Best Practices and Expert Insights
Church accounting is a specialized form of nonprofit accounting that records and tracks the revenue collected, expenditures incurred, assets purchased, and liabilities incurred for churches and their related entities. For over two decades, our team has focused...
What Is Bookkeeping for Churches and Is It the Right Choice for Your Organization?
Similar to other nonprofit organizations, churches must fund their mission while complying with a variety of record keeping requirements and laws. This means that they must keep accurate records of revenue collected, expenditures incurred, assets purchased and...
Can my church legally show the Super B*wl?
In short, yes, but there are stipulations. First off, it’s probably best to avoid the use of the term “Super Bowl” as it is protected trademark of the NFL. Secondly, a church should only use equipment that it uses on an ongoing basis for ministry purposes(i.e. don’t...
Do your volunteers’ hours constitute non-cash revenue?
The recognition of volunteer labor as non-cash revenue is dictated by FASB ASC 958-605-25-16, Contributed Services. This standard dictates that if the services (a) create or enhance non-financial assets or (b) require specialized skills, are performed by people with...