Housing Allowance - Church Accounting

Our church, a small Baptist Church in NC, has hired an ordained minister for the position of part-time children's minister with an annual compensation of $ 6000. I feel confident that at least a portion of this compensation can be claimed as housing allowance and therefore exempt from income tax, since the minister is ordained and performing ministry in the Church.

My question, can the entire amount be claimed as a housing allowance (as long as the church designates it as such). The minister's housing costs will certainly exceed the compensation amount. I read something that said, 'there is no limit to the housing allowance as long as the compensation is reasonable'. I am not sure what that means.

Thanks for your help, Chris

Reply to
Chris McEntire (Home)
Loading thread data ...

Is the minister living in church facilities? ...your church facilities.

Reply to
Joe Canuck

compensation of

No, the minister is living is housing that they have purchased.

Reply to
Chris McEntire (Home)

BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.