The following information is provided for those involved with Church Finances. If you have any questions about the information on this page, please contact the Presbytery office at 610.391.9020 or gro.y1537685818retyb1537685818serph1537685818gihel1537685818@ecif1537685818fo1537685818
Per Capita Information and Rate
The Board of Pensions 2018 traditional benefits package for members is 37% of effective salary (Medical 25%; Pension 11%; Death and Disability 1%); If the effective salary is lower than the Medical participation minimum of $44,000., then the medical portion would be based on the Board of Pensions minimum effective salary.
Churches need to log on to Benefits Connect to enter and make changes to the pastor’s benefits package. Click the logo below to go to Benefits Connect.
- Guidance Regarding Church Members Securing Supplies for a Church-Authorized Program
- Legal Resource Manual for PC(USA) Middle Governing Bodies and Churches
- PC(USA) Financial Review Guide
- PC(USA) Financial Review Checklist
- Treasurer’s Manual
- 501(c)(3) IRS Tax Guide for Churches & Religious Org
- Extra Giving Opportunities
- Presbyterian Foundation – Investments & Endowments
- Scholarships, Grants, Loans, and Awards – Synod of the Trinity
- The Hubbard Press – Source for all giving materials such as: Offering Envelopes, Pledge Record Forms, and Automatic Debit Services for Pledge and Gift Giving. See Appendix for Electronic Funds Transfer Program.
Annual Report to the PA Department of State
Churches should submit an Annual Corporation Report to the PA Department of State to help reserve your corporate name and doing so will exempt you from the Decennial Filing in 2021.
You can verify that your church is correctly registered with the state by going to the PA Department of State site – and doing an entity search – https://www.corporations.pa.gov/Search/corpsearch
By doing this you will know the correct corporate name to use when filing the report. You may view the online fillable form by clicking the link below….
We encourage every church to do this annually. It’s FREE!
Tax News & Payroll Procedure Updates
The Clergy Tax Journal is an email newsletter created exclusively for clergy and churches that features breaking tax news, tax tips and services that affect your ministry. Below is some excerpts for the latest edition that you may find helpful.
Clergy Tax Law Update: The Internal Revenue Service recently announced cost-of-living adjustments for pension plans and other retirement-related items for the tax year 2015. Most clergy will be able to increase the amount of maximum contributions into their church pension. Find out how much you can contribute.
Church Payroll Procedures – New Hire Checklist: Before an employee can begin work, the church must have certain documents on file to prove that the worker is indeed eligible to work in the United States. Find out which documents your church needs on file for every worker.
HR Hot Topic: Our employees often don’t turn their timesheets in on time. If an employee doesn’t submit his sheet on time, can we delay processing his paycheck until the next pay period? Find out the answer.
Clergy Financial Resources
11214 86th Avenue N.
Maple Grove, MN 55369
Recent IRS Tax-Exemption Changes DO NOT Apply to Churches
Church Treasurers: The following directive was received on May 10, 2013 from April Davenport, PC(USA) Associate General Counsel, with regard to IRS Form 990. Please be guided accordingly. Information on IRS Form 990-T is detailed below if you need to refer to it.
Dave Boltz, Treasurer
May 13, 2013
We have received reports that some churches have received a notice from the Internal Revenue Service (“IRS”) stating that they are required to file IRS Form 990, Return of Organization Exempt From Income Tax. The Group Ruling held by the Presbyterian Church (U.S.A.) which provides 501(c)(3), tax-exempt status to the group, also exempts Presbyterian Church (U.S.A.) congregations, presbyteries, synods, and the General Assembly from filing Form 990. If your mid council or a church in your mid council has received a letter from the IRS asserting that Form 990 is due, please contact staff listed below from the Office of Legal and Risk Management Services of the Presbyterian Mission Agency immediately for assistance. Please do not ignore these letters from the IRS. Please also note that exemption from the requirement to file Form 990 does not extend to Form 990-T which relates to unrelated business income.
April L. Davenport, Associate General Counsel
Rebecca L. Rayner, Senior Paralegal
Recent IRS Tax-Exemption Changes DO NOT Apply to Churches
July 2010 – The nation’s media has been highlighting changes in IRS policy regarding tax-exempt organizations. Please not that churches do not have to apply to the IRS to maintain their tax-exempt status. For more information, see the brief synopsis from the IRS below or on the IRS website.
The Pension Protection Act of 2006 , made two important changes affecting tax-exempt organizations, effective the beginning of 2007. First, it mandates that most tax-exempt organizations, other than churches and church-related organizations, must file an annual return or submit an electronic notice, with the IRS. The Form 990-N, was created for small tax-exempt organizations that had not previously had a filing requirement. Second, the law also requires that any tax-exempt organization that fails to file for three consecutive years automatically loses its federal tax-exempt status. The IRS conducted an extensive outreach effort about this new legal requirement but, even so, many organizations have not filed returns on time. This one-time limited relief program helps small organizations preserve their status.