You must pay income taxes on any converted funds in the year of the conversion, but there are several scenarios in which that might be to your advantage: You believe your tax bracket will be higher in retirement. In this scenario, paying taxes at your current...
Under Section 127 of the Internal Revenue Code (IRC), employers are allowed to provide tax-free payments of up to $5,250 per year to eligible employees for qualified educational expenses. To be considered qualified, payments must be made in accordance with an employer’s written educational assistance...
Yes! The four-day work week is becoming more popular since the pandemic. Employees want more flexibility and work/life balance. A 6 month trial with 70 companies in the UK has had extremely positive results for both employer and employee! Here are the top benefits of a...
When it comes to benevolence, the IRS makes a distinction between providing donations to people who lack the basic necessities of life (food, water, shelter, etc.) and awarding gifts to your employees. Gifts to the Needy Generally speaking, if your organization provides benevolence to someone in...
Question: Can all church employees qualify for housing allowance? Answer: No. Section 107 of the Internal Revenue Code allows only a “minister of the gospel” to have a housing allowance. Thus, only taxpayers who are serving as clergy under IRS rules for tax purposes are eligible for...
If you are making quarterly estimated tax payments to the IRS, the due date for the September 1st – December 31st, 2022 quarter of the year is January 17th, 2023. You may be able to skip the January 18th payment if you file your 2022...
The Internal Revenue Service issued the 2023 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes. Beginning on January 1, 2023, the standard mileage rates for the use of a car (also vans, pickups,...
Question: New Year’s Eve falls on a weekend when we’re closed, but we typically give employees that holiday off. Do we need to offer employees an alternative day off? Answer: No, the way you designate holiday closures is largely up to you. No federal law requires you...
Like other corporate entities, churches encounter business activities that must be completed just before, or soon after, the end of the calendar year. Now is the time to make plans for these various tasks. The questions that follow can be used as a checklist for...
For clergy who are living permanently in a nursing home, they can use some (but not all) of their nursing home expenses for the housing allowance. For example, the rental cost of their room and the utilities are eligible for the housing allowance. The food...