Ministry is wonderfully complex, but worker classification shouldn't add unnecessary confusion. Unfortunately, it typically causes more questions than answers. Such as, is your part-time worship leader an employee or an independent contractor? What about the youth...
1099
Should I issue Form W-2 or Form 1099-NEC for our minister?
Most churches will issue a Form W-2 to a minister for their compensation if the minister is considered an employee of the church. The determination of whether a minister is an employee or an independent contractor is crucial in deciding whether to issue Form W-2 or...
FLSA Law Update – 1099 Contractors
An updated 1099 Contractors rule issued by the U.S. Department of Labor went into effect March 11, 2024. The rule considers six overarching factors in a “totality of the circumstances” analysis to determine whether workers are either dependent on the employer for work...