Payroll for Religious Organizations

Focus on serving your congregation, not administering payroll

Many payroll companies do not meet the IRS requirements for clergy compensation because they tax clergy housing allowances like fringe benefits and treat housing allowances as “in kind” earnings.

Does your current payroll provider understand clergy payroll? SurePayroll does.

SurePayroll’s online technology and payroll experts make clergy payroll easy. Let us:

Manage the details of clergy payroll and tax reporting related to taxable and non-taxable clergy earnings.
Ensure your organization meets the special IRS rules that apply to clergy compensation and taxes.
Give you peace of mind, knowing your clergy payroll meets taxation regulations, including W2 reporting rules for clergy housing allowances.

SurePayroll Advantage

The SurePayroll Advantage

We apply powerful 1-Click™ Payroll Technology and payroll expertise to help religious organizations meet specific payroll tax and deduction needs. You'll enjoy:

The choice of direct deposit or the ability to self-print checks.
Full-service tax management, including filing and paying federal, state and most local payroll taxes.
24/7 access to payroll and reports.
Convenient online enrollment or assisted enrollment by phone.
Friendly clergy payroll experts available by phone, email or through online help.
Access to services like 401k, health insurance, workers' compensation and more.

Frequently Asked Questions

What is a Parsonage?
Parsonage refers to clergy housing, which is either owned by the clergy person (or held in his or her name), or is owned by the religious organization.

What is a Housing Allowance?
Housing Allowance applies when the clergy person owns the residence (or it’s in his or her name) and the religious organization pays the clergy person a monetary amount toward retaining and maintaining the residence. This amount is in addition to the salary, and it must not exceed the fair rental value of the residence, including furnishings, garage and utilities.

What is Housing Parsonage Allowance?
A Housing Parsonage Allowance applies when the clergy person lives in a residence owned by the religious organization. The value of the residence provided to the clergy needs to be reported, as explained in the Clergy Housing Allowance Clarification Act of 2002, Section 107 of the Internal Revenue Code or IRS Publication 517.