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Q&A

Q&A: Can Church Employees Receive Tax-Free Assistance for COVID-Related Hardships? 
Section 139 of the Internal Revenue Code allows you to offer nontaxable financial help for expenses directly related to the coronavirus.

Q&A: What’s the Best Way to Cut Our Budget as We Weather the Effects of the Pandemic? 
Real financial change takes place when you conduct a mission-based impact assessment.

Q&A: In Light of the Pandemic, What Should We Include in Our Cash Balances for Forecasting Purposes? 
It’s important to remember that liquidity refers to cash available for operations.

Q&A: How Do We Budget During This Time of Rapid Change and Uncertainty? 
First step: stop focusing on your annual budget.

Q&A: Should We Start Digging into Our Reserves? 
Churches that deplete their reserves should replenish them over time.
Q&A: How Should Churches Handle the Bookkeeping for Paycheck Protection Loans?
Also, do you recommend a separate bank account for these loans?

Q&A: Handling Donation Funds for Mission Trips Postponed by Pandemic
The church could be liable to the donors for not fulfilling the purpose of the gift.

Q&A: How Do We Deal with Sex Offenders Who Attend Church 
How do we protect our members from known sex offenders?

Hey, Fletch: Can a For-Profit Food Truck Make Money on Church Property?
Receiving more than $1,000 from a vendor could be considered unrelated business income.

Q&A: Can an Insurance Carrier Exclude a Disabled Pastor’s Housing Allowance from Benefit Calculations? 
A pastor’s housing allowance should always be considered part of a pastor’s total salary.

Q&A: How Should We Handle a Retirement Account Donation? 
Why an acknowledgment letter rather than a tax-deductible receipt is the way to go.
Q&A: Should Policies and Procedures Be Separate Documents? 
A church business manager shares best practices learned through the process.

Q&A: What Might Be the Consequences of Leaving Our Denomination? 
Seven practical considerations before moving forward with any plan to separate.

Q&A: The Ins and Outs of Form 941 
Is a church with only one employee who is a minister required to file this form?

Q&A: Can We Give Additional Income to a Church Employee Who Opts Out of Our Medical Plan?
Increasing an employee’s paycheck in lieu of participation may jeopardize your medical insurance plan for all participants.

Q&A: What If a Prayer Request Card Implies Child Abuse? 
Start with knowing your state's mandatory reporting laws.

Hey, Fletch: Are Discounts to Church Events Taxable Income?
Understanding what IRS Publication 15-B and IRC Section 132(a)(2) does and doesn’t say.

Q&A: Does a Gift to Support a Camp Counselor Have Tax Implications?
If a payment of $600 or more is intended to help cover the student’s expenses, then it is reported on the student’s Form 1099-MISC.

Q&A: If an Outside Group Uses Our Building, Will that Jeopardize Our Property Tax Exemption? 
Seven questions to help understand the potential implications of these arrangements.

Q&A: How Do We Handle Payroll and Benefits for an Employee with Dual Roles? 
When nonexempt employees split their time between the two parts, overtime can occur.