Navigating Church Finances: Keeping it Simple & IRS Compliant l Church Bookkeeping, Church Payroll, Minister Taxes
Hey there, I’m Michelle and I love all things Jesus, business and church finances! I help church finance individuals just like you go from feeling confused and frustrated with what you don’t know about church finances, to being more confident in your role while increasing your proficiency and expertise in the church finance realm. Are you tired of Google searches that result in endless pages of answers to your questions about church finances, housing allowances and clergy taxes? Do you need help with getting the right processes and procedures in place for your church office or business? Are you looking for a group of like-minded believers who understand your desire to do business and serve the local church God’s way? In this podcast, you will find practical AND biblically based business solutions for your church office or bookkeeping business that serves churches . We will give you tried and true bookkeeping tips and lessons that are specific to the church ministry and other foundational practices that you need in place to make sure that the church(es) that you serve are in compliance with current industry standards and IRS tax code. My mission is simple: to help church bookkeepers/treasurers/finance individuals become more confident in their role and increase their expertise in church finances so the church can continue her mission of spreading the Gospel of Jesus Christ If you are ready to walk out the calling the Lord has on your life while serving Him with excellence - then you are definitely in the right place! If you are ready to serve your church with confidence while keeping God at the center of everything you do - this podcast is for you! So grab a notebook and pen to take some great notes. It’s time to serve Him with Excellence! Learn: www.churchfinances.org Community: https://www.facebook.com/groups/churchbookkeepingandclergytax
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Episodes
Monday May 01, 2023
Monday May 01, 2023
Although the chances of your church being audited by the IRS are slim, they do happen. One way to help squelch the odds of that happening is to have your church perform an ANNUAL Internal church audit. Most churches are not large enough to warrant the cost of a full-blown external CPA audit, so an internal audit is just the ticket to help ensure ongoing accountability, transparency and compliance.
In today’s episode we are going to cover 4 reasons to perform an internal audit AND some areas that I highly recommend that you include in such an audit.
Reasons to perform an internal audit:
1. Ensuring Financial Accountability
2. Strengthening Internal Controls
3. Demonstrating Transparency
4. Compliance with Legal and Regulatory Requirements
Areas to include in your audit:
1. Financial statement reporting (monthly reports)
2. Cash receipts (including counting offerings)
3. Donation recording
4. Cash disbursements (petty cash fund?)
5. Bank statement reconciliation
6. Assets (bldg./land/equipment) & Insurance policies
7. Accounts Payable (incl. any outstanding mortgages/notes payable)
8. Personnel (EE records/files/proper classification) & Payroll filing requirements
And then end the audit with goals you have for the upcoming year.
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:www.churchfinances.org
Email Me:michelle@churchfinances.org
Want to work with me:www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax (EVERYBODY)
Wednesday Apr 26, 2023
Wednesday Apr 26, 2023
In today's episode I share the essential equipment every bookkeeping office needs to help keep it running smoothly such as:
computer
printer
scanner
software
ergonomic equipment
I share the equipment/software I use and why. I hope you enjoy!
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
michelle@churchfinances.org
Want to work with me:
www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax (EVERYBODY)
Monday Apr 24, 2023
Monday Apr 24, 2023
In today’s episode, I am going to touch on why I believe it’s vital that accountability in the church NOT be optional and I will give you practical and tactical steps to help ensure accountability in 5 areas of your church.
Some ways that we can foster/create accountability within the church include:
Leadership Accountability
Congregational Accountability
Transparency and disclosure
Training and Education
Policies and Procedures
EVERY church office should have a Finance Policy & Procedure Guide. Here are just three areas that need to be addressed in a formal P & P guide:
Contributions
Check writing/bill payment
Reimbursement
As we all well know – Money Matters. And how we handle our finances ( and ESPECIALLY the Lord’s finances) says a LOT about the condition of our hearts.
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
michelle@churchfinances.org
Want to work with me:
www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax
Wednesday Apr 19, 2023
Wednesday Apr 19, 2023
Welcome to another episode of the Bookkeeping with a Purpose podcast. Today I will be discussing 3 Tips I believe every business owner needs to do to ensure success. These tips include:
Tip 1: Make your estimated tax payments
One important aspect of running a successful business is paying your taxes and paying them on time. You wouldn’t think that you would have to tell bookkeeping professionals this, but everyone is at a different experience level and I want to make sure that any newbies here get off on the right start. Many business owners tend to overlook this aspect of their business, which can lead to serious financial and legal consequences. To avoid this, it's crucial to make your estimated tax payments and make them on time. By doing this, you'll be able to avoid penalties and interest charges that can quickly add up. Because we NEVER want to give the gov’t more than they are legally due.
Here are fours ways you can calculate your estimated tax payments
Use IRS Form 1040-ES
Calculate based on prior's year tax liability
Use an online tax calculator
Work with a tax professional
Tip 2: Ignore the Naysayers
As a business owner, you're bound to encounter naysayers (or who I call negative nellies) who will try to discourage you from pursuing your dreams. These may be well-meaning friends, family members, or even other business owners who don't believe in your vision. However, it's essential to ignore these negative nellies and stay focused on the dream and goals you believe God has given you.
Here are 6 ways you can ignore the naysayers
Believe in yourself
Focus on your goals
Don't take it personally
Surround yourself with positive people
Use criticism constructively
Stay motivated
Tip 3: Obey God and Leave all the Consequences to Him
One of the most crucial aspects of achieving business success God's way is to obey God and leave all the consequences to Him. As a business owner, it's easy to get caught up in the pursuit of success and lose sight of what's truly important. However, by putting your faith in God and trusting Him to guide your steps, you can achieve true success and fulfillment.
So….how do we know what God’s will is for us and our business? We spend time in prayer and reading the Word of God (the Bible) to hear Him speak to us and then watch for Him at work throughout the day and then join Him in His work. Because if He’s already working in a particular way, and He reveals it to you, that is His invitation for you to join Him. And that’s when business becomes fun!
Remember that success is not just about financial gain, but it's also about making a positive impact on the world and living a life that honors God. By following His commands and leaving the outcomes to Him, you can find peace and purpose in your business, regardless of the challenges you may face.
I hope that you are blessed from listening today.
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
Info@churchfinances.org
Want to work with me:
www.hallmarktax.com
,
Tuesday Apr 18, 2023
Tuesday Apr 18, 2023
The man who had the greatest impact on my life passed away today and in this extra episode I share how he did that. I hope that you are blessed.
xo
Michelle
Monday Apr 17, 2023
Monday Apr 17, 2023
Payroll taxes can be confusing to many. Especially if you're not familiar with all the filing requirements. In this episode, I walk you through the Federal payroll forms required for each employee along with the payroll tax filing requirements for the church.
We will cover Employee forms W-4 and I-9 as well as the Employer filing requirements for Form 941.
The forms we will discuss can be found below:
https://www.irs.gov/pub/irs-pdf/fw4.pdf
https://www.uscis.gov/sites/default/files/document/forms/i-9-paper-version.pdf
https://www.irs.gov/pub/irs-pdf/f941.pdf
I hope this helps!
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
info@churchfinances.org
Want to work with me:
www.hallmarktax.com
Wednesday Apr 12, 2023
Wednesday Apr 12, 2023
I am excited about today's podcast episode because it’s something that I am VERY passionate about. I started my bookkeeping business in my mid-late 40’s. And the closer I got to opening, the more I felt unqualified and too old. I felt that I had missed my opportunity and that I should give up the idea because it was too late.
Thankfully, Holy Spirit knew that I was stuck in some stinking thinking and He helped me to reframe my thinking to be in line with the Father’s will for my life.
In podcast episode 11, I hope to encourage you to take that step of faith and know in your knower, that if the Lord has called you to open a business, then now IS the perfect for you to do that. Regardless of your age.
In the podcast, we are going to look at the following:
1. I cover the stats that show being over 50 years old makes us the ideal Entrepreneurs
2. I touch on 3 areas that I believe make the difference as to why we make such great Entrepreneurs
3. I share the some of the top industries and famous entrepreneurs that started after age 50 and became wildly successful.
4. I debunk your objections as to why you can’t start now and encourage you to answer the question “why not !?!”
As always, thanks for giving some of your time to spend with me.
Be blessed my friend!
xo,
Michelle
Next Steps...
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
info@churchfinances.org
Want to work with me:
www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax
Monday Apr 10, 2023
Monday Apr 10, 2023
This is one of the most argued subjects that I get with church personnel. Yet the IRS is VERY clear on this subject. Let's take a look at what they have to say. The IRS looks at 3 areas to determine how to properly classify your workers. We will look at each area briefly in this post. • Behavior Control • Financial Control • Relationship of the Parties If you would like a printed copy of the above information in more detail IRS Publication 1779 is what you want to research. You cannot take just one of the above and use it for your determination. No single factor from these three groups is conclusive, BUT of the three areas of consideration evaluated by the IRS, behavioral control is given the greatest weight, followed by financial control. I will tell you, according to the IRS, very few ministers qualify as Independent contractors. “Generally, you're an employee if the church or organization you perform services for has the legal right to control both what you do and how you do it, even if you have considerable discretion and freedom of action." For more information about the common-law rules, see Publication 15-A. Employer's Supplemental Tax Guide xo, Michelle
Next Steps:
Grab Your Freebies: https://churchfinances.ck.page/guide
Learn More: www.churchfinances.org
Email Me:info@churchfinances.org
Want to work with me: www.hallmarktax.com
Join the FB Community: www.facebook.com/groups/churchbookkeepingandclergytax
Wednesday Apr 05, 2023
Wednesday Apr 05, 2023
Everyone wants to be known and understood. And your clients are no different. If you want to run a successful bookkeeping business that you truly love and that brings you joy, you need to work with the clients that are a right fit for you. In today's episode, I am going to walk you through 4 tips to finding your ideal client. xo, Michelle Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More: www.churchfinances.org
Email Me: info@churchfinances.org
Want to work with me: www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax
Monday Apr 03, 2023
Monday Apr 03, 2023
In episode 06 we started this discussion by covering who qualifies for the minister housing allowance, why they want a housing allowance, how to properly designate the housing and how to claim housing on the ministers’ tax return. In this episode, we will conclude the 2-part series with information on when the minister lives in the church parsonage, what expenses are allowed to be included in the housing allowance calculations, and other helpful tips for reducing the ministers tax liability.
xo,
Michelle
Next Steps:
Grab Your Freebies:
https://churchfinances.ck.page/guide
Learn More:
www.churchfinances.org
Email Me:
info@churchfinances.org
Want to work with me:
www.hallmarktax.com
Join the FB Community:
www.facebook.com/groups/churchbookkeepingandclergytax