It’s almost mid-December. Has your church set its 2020 housing allowances for all qualifying ministers?

If you answered no, this should be among your top priorities between now and December 31. Why? It helps ensure the single-most valuable tax benefit for your ministers is fully available throughout 2020.

If you answered yes, then good work—but it’s still wise to make certain the allowances were correctly set. Why? Because a mistake can reduce—or even wipe out—the benefit.

Whether you answered no or yes to my opening question, there are several important details you need to consider. Attorney and CPA Richard Hammar walks through the entire housing allowance process in this updated article for 2020. He also updated this sample housing allowance resolution for the upcoming year to give your church the language needed to set the benefit and document what it adopts.

Take the time now to get this important task right. And while you’re at it, don’t forget to pre-order the 2020 Church & Clergy Tax Guide, which will give you the most complete information available on tax law changes and developments throughout the upcoming filing season and beyond.

Also this week:

• Q&A: Speaking of housing allowances, attorney and editorial advisor Lisa Runquist addresses a question involving an insurance carrier’s refusal to include a disabled pastor’s housing allowance from income for benefit calculations.
• FREE: A veteran church business manager explains the differences between church policies and procedures—and why those differences matter.
• In case you missed it: New rules may help many churches assist employees with their health care costs.

The Lord bless you and keep you,