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Hey there, I’m Michelle and I love all things Jesus, business and church finances! I help church finance individuals just like you go from feeling confused and frustrated with what you don’t know about church finances, to being more confident in your role while increasing your proficiency and expertise in the church finance realm. Are you tired of Google searches that result in endless pages of answers to your questions about church finances, housing allowances and clergy taxes? Do you need ...
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The determination of whether an individual is an employee or an independent contractor is based on the common law rules, which consider various factors indicating the degree of control and direction the employer has over the worker. According to the IRS regulations and rulings, the following seven factors are significant in establishing an employer…
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Do you think all ministers are automatically self-employed for payroll? We are going to answer that question today as we walk through the ins and outs of ministerial employment status with a story to show why it’s so crucial for churches to get this right. New FREEBIE! https://churchpayrollcompliancekit.com xo,MichelleNext Steps: Click below to lea…
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The three most common mistakes churches make with 1099 forms are: Misclassifying Employees as Independent Contractors: Churches often incorrectly classify workers (e.g., ministers, musicians, or administrative staff) as independent contractors when they should be treated as employees. This can result in tax penalties for the church and confusion fo…
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Today we’re going to tackle a crucial topic for small churches—how to create an effective budget, even when resources are tight. Budgeting can feel overwhelming, especially when you’re dealing with limited income, but with the right approach, it’s not only manageable, it can help your church grow and thrive. xo,MichelleNext Steps: Click below to le…
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What does the IRS have to say about voluntary withholding on housing allowances? Check out todays episode to find out!xo,MichelleNext Steps: Click below to learn more about me and my current offers https://my.linkpod.site/MBrownEA Disclaimer: The information provided in the Church Finance and Minister Tax podcast is for general informational purpos…
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A recent graduate of the Intro to Church Finances course shares her experience with us today.Sign up for the Intro to Church Finances Course today! Cart closes on Monday, September 30th. https://www.churchfinances.org/icfcourse Hope to see you there!xo,MichelleNext Steps: Click below to learn more about me and my current offers https://my.linkpod.s…
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Webinar sign up page! Year end Wrap up I was recently asked what services a professional bookkeeper could offer to churches. I share in today's episode the services I offer through my firm that I recommend other bookkeepers offer as well. xo,MichelleNext Steps: Click below to learn more about me and my current offers https://my.linkpod.site/MBrownE…
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New Harassment Law from the EEOC is discussed to make you aware of who it affects in your church and how you should respond. https://www.eeoc.gov/laws/guidance/enforcement-guidance-harassment-workplace xo,MichelleNext Steps: Click below to learn more about me and my current offers https://my.linkpod.site/MBrownEA Disclaimer: The information provide…
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With the newest updates in the FLSA and salary requirements, there have been questions about how the State labor laws come into play. In today's episode, we discuss a couple of the sections of labor law and how each is affected. I am only providing you with a summary of research that I have done and am NOT providing legal advice. Take a listen. xo,…
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Here is my disclaimer… I am NOT providing legal advice here, I am simply telling you what I have learned so far about the new rules going into effect. xo,MichelleNext Steps: Click below to learn more about me and my current offers https://my.linkpod.site/MBrownEAAutor: Michelle R Brown, EA, Christian Business Mentor, Enrolled Agent
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Hello everyone, and welcome to today's episode of the Church Finance & Minister Tax Podcast. I'm your host, Michelle Brown, and today we're diving into a fascinating court case that highlights the importance of understanding tax codes and meeting filing deadlines when it comes to churches and Social Security taxes. In this episode, we'll explore th…
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As a tax professional, I am required by the Federal Trade Commission to take regular ongoing cybersecurity awareness training and I also have to have specific software in place to protect client data per FTC AND IRS requirements. Today, I will share some practical tips I have learned from my cybersecurity training to help protect your church from f…
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It's here!!!! My new course is launching TODAY! You only have until July 31st to get in on the initial launch of this exciting and informative course! See below for all the links!!xo,MichelleNext Steps: Click below to learn more about me and my current offers https://www.my.linkpod.site/MBrownEA Intro to Church Finances course…
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Information the IRS requests on Schedule A of Form 1023: A recognized creed and form of worship, A definite and distinct ecclesiastical government, A formal code of doctrine and discipline, A distinct religious history, A membership not associated with any other church or denomination, Ordained ministers ministering to the congregation, Ordained mi…
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ISSUES: Whether petitioners are entitled to deduct job expenses and certain miscellaneous expenses totaling $37,535 for the 2014 tax year. FACTS: Petitioners, MInister and his wife, resided in Oklahoma and filed a joint federal income tax return. Minister was a staff pastor, and his wife was a salesperson and later a teacher. They moved from Oklaho…
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"In today's episode, we're exploring 'Ways to Reduce Taxable Income for Ministers.' Ministers often face unique tax challenges, balancing their roles as both employees and self-employed individuals. We'll uncover effective strategies to legally minimize taxable income, with a special focus on salary reduction agreements and the option to refuse par…
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Episode Date: June 18, 2024 Episode Summary: It is June and it is HOT! That means the year is halfway over, so now is the perfect time to conduct your mid-year review. In today's episode, we discuss the importance of performing a mid-year review for your church and the three key areas that require your attention: Budget, Contributions, and Minister…
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The current scam going around for QuickBooks is discussed in today's episode. I share the "red flags" to look for along with other helpful information. QBES Care Support 888-702-5228 QB Support 800-446-4484 to report a scam security@intuit.com xo,MichelleNext Steps:Grab Your Freebies: Six Steps to Doing Business God's Way biz owners A QuickStart Gu…
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Welcome to The Church Finance & Minister Tax Podcast! Are you ready to safeguard your church's financial health? Join us as we uncover common pitfalls and share tips for financial compliance. From avoiding the commingling of funds to reporting taxable income, get ready to empower your church with the knowledge it needs. Stay tuned for valuable insi…
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In today's episode I share about a recent consultation session I had and what I shared about not allowing others to walk over you even when you work at a church! Listen in and hear the passion :-) xo,MichelleNext Steps:Grab Your Freebies: Six Steps to Doing Business God's Way biz owners A QuickStart Guide to Church Finances everybody Looking for a …
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Are you a church leader feeling overwhelmed by financial compliance? Stay tuned for part 2 of our series on Navigating the IRS maze: Tips for Church Financial Compliance. From maintaining accurate records to staying up-to-date with IRS filings, we've got you covered. Get ready to streamline your financial processes and gain peace of mind. I’m so ha…
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Feeling lost in a maze of IRS regulations? Don't worry, you're not alone. Many church leaders and finance managers find themselves overwhelmed by the intricate web of rules and requirements. But fear not, because today, we're here to shed some light on the path to financial compliance. Today’s episode will kick off our 3 part series on Navigating t…
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I'm thrilled to share that the Bookkeeping with a Purpose podcast is evolving to better support our church office crew and is rebranding to a new name “The Church & Minister Tax Podcast”. Same location, all the back episodes, just a new name and expanded focus. Alongside finance and tax tips, we're diving into admin tricks and organization hacks to…
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NOTE: The Department of Labor (DOL) and the Internal Revenue Service (IRS) use different criteria for determining whether a worker is an employee or independent contractor, and the criteria serve different purposes. The DOLs criteria are primarily used for determining eligibility for wage and hourly protections under the Fair Labor Standards Act (F…
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Segment 1: Tax Realities Ministers Pay Taxes: Dispelling myths. Legal Truth: Courts reject tax exemption claims. Cautionary Note: Risks of tax evasion. Segment 2: Ministerial Taxes 101 Tax Status: Ministers are self-employed. Who's Qualified: Active licensed, ordained, or commissioned ministers. Tax Responsibilities: Pay taxes through withholding o…
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Tax season is upon us, and with it comes the need for proper documentation. Improper donation receipts can cause headaches for both donors and organizations. In this episode, we'll dive into the essential elements of a donation acknowledgment letter to ensure compliance with IRS standards. Main Content: Understanding IRS Requirements: Explaining IR…
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Introduction: Welcome to episode 57 of the Bookkeeping with a Purpose podcast! Exploring the complexities of federal regulations, particularly regarding church employees and overtime rules. I stumbled upon something fascinating recently, and you know me, I can’t keep cool discoveries to myself. So, buckle up for a journey into the world of church f…
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In Episode 42 I talked to you about 3 steps to help you create a sound budget. In today's episode I want to help you take the next step in the budgeting process - ensuring that every program you created a budget line item for is carried out with excellence so that you can actually stay within that budget! Listen in to see how you can continue to ho…
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Direct from the IRS website: A minister's housing allowance (sometimes called a parsonage allowance or a rental allowance) is excludable from gross income for income tax purposes but not for self-employment tax purposes. If you receive as part of your salary (for services as a minister) an amount officially designated (in advance of payment) as a h…
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1099-NEC or 1099-Misc? Knowing which form to use can be confusing. In today's episode I go over 1. who should receive a Form 1099 2. which Form 1099 do you send 3. special circumstances that determine which form to use 4. e-filing requirements 5. filing deadlines I hope this helps! xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck…
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In today's episode we go over how to properly fill out your Ministers W-2, the new mileage rate for 2024 and 1099 filing requirements and deadlines.xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck.page/6steps biz owners https://churchfinances.ck.page/guide everybody Looking for a group of like-minded people that want to keep Jesu…
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The IRS has announced the tax opening date for 2024. In today's episode I share a list of documents you need to start gathering together to help make the tax prep process smoother for you and your tax preparer. This week's Courageous Obedience Moment is to look for God and how His character is revealed in Scripture instead of reading the Bible with…
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IRS blurb for your annual contribution statements " Pursuant to Internal Revenue Code requirements for substantiation of charitable deductions, no goods or services were provided in return for the Tax Deductible contributions" For QuickBooks Desktop: " Unless otherwise noted, the only good or services provided are intangible religious benefits" Rec…
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With the end of year upon us, let's take the time to review what worked well this year, and what didn't. Then take steps to make next year even better! Here are some links to resources that can help increase your knowledge in church finances. www.thechurchnetwork.com www.churchlawandtax.com www.bookkeepersinnercircle.com xo,MichelleNext Steps:Grab …
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Communication. You hear it mentioned when you're in a relationship. But communication is also vital to your business success. Today I talk about 3 areas of communication that you need to pay attention to in order to experience the success you desire in your service to the local church. I open with a story about a remarkable lady who works in her ch…
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Intuit is always changing things, and not always for the best. Many small and medium size churches still use QB Desktop and it has been my software of choice for the last 27 years. Intuit made the announcement this week that they will no longer make the Desktop version available to new customers effective July 31, 2024. As QB Pro Advisors and bookk…
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Dual tax status = EE for income tax purposes, but considered SE for FICA tax purposes Minister should make ETP throughout the year to help pay for the SE taxes that will be due on their income to avoid underpayment penalties if they owe over $1,000 tax liability EE vs IC IRS link Publication 1779 download HA is exempt from Federal Income Tax, but I…
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Regardless of what's going on in your life or your business, there is ALWAYS something to be thankful for. In today's episode, I go over some items that we should all be thankful for this year. Thanks for taking a listen and I hope you have a very Happy Thanksgiving! xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck.page/6steps bi…
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Check your W-4 information - make sure have all required information on all current and past 2023 EE’s and update if needed This is also a good time to update your EE files with any new information or missing info incl. I-9’s Beginning January 2024, the IRS has issued final regulations for filing paper return and you now have to file electronically…
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Today we will be talking about things we want to accomplish in this last quarter. We will talk about 4 tasks I want you to do: 1. Tell your members about donation deadlines 2. Understand the $250 rule 3. Locate your 501c3 letter 4. Review your insurance policy I hope this gets you off to a good start on checking off those year-end tasks. As always,…
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In todays episode I walk you through three reasons why generally all love offerings to staff members are considered taxable income by the IRS. It can be frustrating, but the IRS is clear that "income from whatever source derived" is taxable. Take a listen to see what else the IRS has to say on the topic. As always, thanks for taking time to listen.…
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Wahoo! We are back in podcast land and I am SO happy! Thanks for your patience while I worked through a few obstacles. Today we are talking about steps to help you in the budgeting process. They are: 1. Identify & Evaluate the programs and activities most important to your church 2. Define your Church Compensation Philosophy 3. Give your best estim…
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Knowing who qualifies for salary and who doesn't is an important process you need to know for your church. Listen to todays episode to find out who can be on salary and who can't.xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck.page/6steps biz owners https://churchfinances.ck.page/guide everybodySchedule a Consultation: https://c…
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Understanding the Ministerial Exception can help clarify how to properly pay your church employees. Take a listen!xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck.page/6steps biz owners https://churchfinances.ck.page/guide everybodySchedule a Consultation: https://churchfinances.org/consult Join the FB Community: www.facebook.com…
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Today we touch on Housing Allowance, Reasonable Compensation and Benefits. xo,MichelleNext Steps:Grab Your Freebies: https://churchfinances.ck.page/6steps biz owners https://churchfinances.ck.page/guide everybodySchedule a Consultation: https://churchfinances.org/consult Join the FB Community: www.facebook.com/groups/churchbookkeepingandclergytax…
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I am SO excited to be back teaching church finances this week! In addition to discussing the foundation of church finances and managing contributions and donations, we will also hear about a recent Supreme Court case that is relevant in the church world and to Christians in general.Grab your notebook and pen and let's get ready to learn!xo,Michelle…
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Thank you for joining me as I interviewed my podcast coach! In this episode Ms. Stefanie Gass shares her 7 step Spiritual Battle plan with us and even provides a workbook to help you! Check out the link below. 7-STEP SPIRITUAL BATTLE PLAN www.stefaniegass.com/battleplan To join my Private coaching Community The Bookkeepers Inner Circle visit www.bo…
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Thank you for listening to today's episode! I LOVE books and the Lord has used them mightily in my life to take me from a very lonely and insecure girl, to the strong and mostly confident woman and entrepreneur that I am now. Today I discuss the Top 5 books that have helped me on my journey and I hope they will be helpful to you as well. Also..... …
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