Content

Continuing education for ministry leaders
Weekly Lessons, created and written by Richard R. Hammar, J.D., LL.M., CPA, give you a basic legal overview of essential topics based on staff or volunteer positions within a church.

Previous Lessons

This Week's LessonWeek of May 12

Compensation Planning

Introduction

This lesson focuses on the issue of Compensation Planning. You can review the Executive Summary to obtain the key points or read the Weekly Lesson for a more thorough presentation of this topic. Start by completing the following interactive quiz to test your knowledge.

A church allows its senior pastor to use a church-owned car for both personal and business use. The pastor and church treasurer both assume that this arrangement does not result in any additional taxable income to the pastor. Are they right?

Weekly Quiz

Instructions Click on the correct answer for each of the following questions.

Executive Summary

Compensation planning is an important task for many reasons. Church leaders need to have a basic understanding of what constitutes compensation; which fringe benefits are taxable and which are nontaxable; how to properly report compensation; how to assess the adequacy of compensation; and, the legal significance of paying excessive compensation. This week's lesson addresses issues that church leaders should consider in structuring a compensation package for their pastor.

Log In For Full Access

Interested in becoming a member? Learn more.

View All
from our store
Planning the Pastor’s Retirement Package

Planning the Pastor’s Retirement Package

Use this guide to develop your pastor's retirement plan for all stages of life.
12 Law & Tax Guidelines for New Ministers

12 Law & Tax Guidelines for New Ministers

Essential knowledge to ensure legal and financial clarity and integrity in ministry.
Church Compensation

Church Compensation

Learn the many pieces of employee compensation.
20 Finance Questions Churches Ask

20 Finance Questions Churches Ask

Richard Hammar answers relevant tax and finance questions for church leaders.

ChurchSalary

ChurchSalary

Let ChurchSalary do the work. Get personalized compensation reports for staff and pastors.