PREPARING A PASTOR’S W-2 FORM

Slides:

Advertisements

Similar presentations

Preparing a W-2 for Pastors Enter Pastors Social Security #

Advertisements

USPS Calendar Year End Closing Procedures Please that you are starting your USPS Calendar Year End procedures

Chapter 14 – Payroll Accounting, Taxes, & Reports

© Kristina Shroyer 2011 VITA: Winter 2011 Lesson 11: Retirement Income Winter 2011 Kristina Shroyer.

Federal Income Tax CONT 110. Terms Adjusted Gross Income Adjustments to Income Earned Income Tax Credit Estimated Tax Payments Exemptions Health Savings.

Ministerial Support Form SERVINGGIVINGYOULIVING. What Is The Ministerial Support Form? It is the form to document clergy compensation It states the amount.

Improved Health Savings Account Tracking in QuickBooks.

Objectives Federal income tax withheld from Forms W-2, Wage and Tax Statement Federal income tax withheld from Forms 1099 Estimated tax payments and amounts.

Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Chapter 10 Employer Payroll Tax Reporting.

Preparing Payroll Records

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning LESSON 12-1 Preparing Payroll Time Cards.

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning LESSON 12-1 Preparing Payroll Time Cards.

Chapter 12 Preparing Payroll Time Cards. 2 L 12-1 Paying Employees page 341 Money paid for employee services is called a salary. The period covered by.

Preparing Payroll Records Preparing Payroll Time Cards Salary – money paid for employee services Pay period – period covered by a salary payment.

Accounting 1 Friday, August 28, 2015 Tony, who works at a furniture store, is paid a salary of $300 a week plus 4% commission of his sales. Tony’s sales.

Objective of this presentation To encourage you to consider practical future planning questions and begin (or continue) developing a plan for your future.

 Log into Moodle and complete today’s Bell Ringer REMINDER: Today is the last day to turn in anything from this Marking Period › Be checking your grades!

Section 2Payroll Deductions What You’ll Learn  Why deductions are calculated and reported.  How to calculate deductions required by the federal government.

PREPARING A PASTOR’S W-2 FORM Please follow instructions at the top of each screen. To begin the presentation, just press your “down arrow”

Lesson 14-1 PAYROLL REGISTER Lesson 14-1, page 332.

Forms checklist Helping to prevent Not In Good Order issues.

GOALS BUSINESS MATH© Thomson/South-WesternLesson 2.1Slide 1 2.1Deductions from Gross Pay Find federal withholding tax deductions Calculate social security.

LESSON 12-1 Preparing Payroll Time Cards

Section 3Tax Liability Payments and Tax Reports What You’ll Learn  How to pay payroll tax liabilities.  Which tax reports are prepared and filed. What.

The Taxes You Pay. 1. Payroll Taxes -taxes based on the payroll of a business upon employee total earnings Paid to the govt. by you and your employer.

Chapter 14 Payroll Accounting, Taxes, and Reports.

QBC. Quick Benefits Calculator What does the QBC aim to do – Calculate Benefit – Calculate Means-tested benefits and tax credits.

This lesson covers the W-2 IRS tax form.. The W-2 is an important tax form that everyone needs to understand. The W-2 is a wage and tax statement, since.

© 2014 Cengage Learning. All Rights Reserved. Learning Objectives © 2014 Cengage Learning. All Rights Reserved. LO6 Prepare a payroll register. LO7 Prepare.

BIG pension plan change coming Effective January 1, 2014.

Chapter 12 Payroll Accounting

Business Income Schedule C Pub 4012, Tab D (Federal 1040-Line 12) (NJ 1040-Line 17) NJ TAX TY2014 v11.

Employee Compensation Pub 4012, Tab D Pub 17 (Federal 1040-Line 7) (NJ 1040-Line 14) NJ TAX TY2014 v11.

Lesson 13: Net Pay Consumer Math: p When employees receive their paychecks, they should know that the check does not include their full earnings,

Payroll Liabilities and Tax Records Making Accounting Relevant Federal, state, and local governments pass tax laws in order to generate revenue for government.

Lesson EZ Instructions. Round all values To the nearest dollar.

FORMS OF INCOME Wage Minimum Wage Piecework Income Salary Commission Tips Bonus.

 Expense we must pay to allow your local, state, and federal governments to provide services  Services include Medicare, Medicaid, the military, the.

Conference Pension Billing Orientation Clergy Retirement Security Program.

 Income tax: › Tax paid on the amount of money you make › Only pay on taxable amount › Tax is withheld from your paycheck › Paid to state and federal.

Understanding your Paycheck

Fringe Benefits AASBO CONFERENCE BREAKOUT SESSION

Social Security Scheme and Taxation

$ $ $ $ Section 3 Tax Liability Payments and Tax Reports

Employee Compensation

LESSON 12-1 Preparing Payroll Time Cards

Form 1040EZ Personal Finance.

© 2014 Cengage Learning. All Rights Reserved.

Taxes for Teens for Mrs Miller’s Seniors

Irs form 1099 reporting: 1099-r reporting

RETIREMENT INCOME PUB 4012 Pages D-17 – d-28.

Employee Compensation

Calculations Employees Working Abroad and Aliens in the U.S.; Federal Wage Hours Laws; Taxable and Nontaxable Compensation; Health, Accident, and Retirement.

Payroll Management 12-3.

EMPLOYER ANNUAL REPORT TO EMPLOYEES OF TAXES WITHHELD

LESSON 12-3 Preparing Payroll Records

LESSON 12-4 Preparing Payroll Checks

Compensation and benefits tax: benefits tax

Pension and Health Insurance

© 2014 Cengage Learning. All Rights Reserved.

W-2 & Year-End Reporting for Local Churches

Payroll Accounting, Taxes and Reports

Preparing Taxes.

LESSON 12-1 Preparing Payroll Time Cards

Income Tax and Deductions

LESSON 12-3 Preparing Payroll Records

Payroll Accounting $ $ $ $ Making Accounting Relevant Chapter 12

Federal Income Tax Check the one that applies. Likely “Single.”

LESSON 12-3 Preparing Payroll Records

Calculations Employees Working Abroad and Aliens in the U.S.; Federal Wage Hours Laws; Taxable and Nontaxable Compensation; Health, Accident, and Retirement.

Presentation transcript:

PREPARING A PASTOR’S W-2 FORM Please follow instructions at the top of each screen. To begin the presentation, just press your “down arrow”

Use “Down Arrow” or “Page Down” buttons for Next Screen Preparing a W-2 for Pastors Use “Down Arrow” or “Page Down” buttons for Next Screen

Enter Pastor’s Social Security # Press Down Arrow 123-45-6789

Enter Employer’s E.I.N.# Press Down Arrow 123-45-6789 51-9876543

Enter Employer’s Name and Address Press Down Arrow 123-45-6789 51-9876543 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999

Control Number is Optional Press Down Arrow 123-45-6789 51-9876543 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional)

Enter Pastor’s Name and Address Press Down Arrow 123-45-6789 51-9876543 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

How to Calculate Box 1 Press Down Arrow 123-45-6789 51-9876543 ??????????? Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

(How to calculate taxable income) SAMPLE ONLY (How to calculate taxable income) Press Down Arrow Begin with Total Comp= $40,000 (Do not include Housing Allowance) Subtract “Before-Tax” Pension= ($1,200) Subtract “Furn Allow”= ($2,000) Subtract “Pastor Contribution to Health Insurance= ($1,212) (see health/dental coupon) Subtract Pastor’s HSA ($2,500) Contribution or FSA Contributions (Health and Dependent) and FSA Adm (see health/dental coupon) Add Excess Life Premium + $72 Total Taxable= $33,570

Enter Pastor’s Taxable Compensation Press Down Arrow 123-45-6789 51-9876543 33570 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

Enter any Federal Tax Withheld per Pastor’s W-4 (Leave #2 Blank if no tax withheld) Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

For Pastors, Boxes 3, 4, 5, and 6 are Blank Boxes 7-9 and 11 normally not applicable Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

Complete Box 10 only if Pastor chose FSA Dependent Care (for parents with children under 13 – see health and dental coupon if applicable) Press Down Arrow 123-45-6789 51-98765431 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

(Other codes, if applicable, are located on the back of the W-2) Box 12 – Codes C, E, W, DD (Other codes, if applicable, are located on the back of the W-2) Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) Mark L. Matthew 13 Wesley Road Asbury, DE 19900

Begin with Total Comp= $40,000 (Do not include Housing Allowance) SAMPLE ONLY (Code “C”) Press Down Arrow Begin with Total Comp= $40,000 (Do not include Housing Allowance) Subtract “Before-Tax” Pension= ($1,200) Subtract “Furn Allow”= ($2,000) Subtract “Pastor Contribution to Health Insurance= ($1,212) (see health/dental coupon) Subtract Pastor’s HSA ($2,500) Contribution or FSA Contributions (Health and Dependent) and FSA Adm (see health/dental coupon) Add Excess Life Premium + $72 TOTAL Taxable= $33,570 CODE “C”

Box 12 – Code C 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 Mark L. Matthew 13 Wesley Road Asbury, DE 19900

SAMPLE ONLY (Code “E”) Begin with Total Comp= $40,000 (Do not include Housing Allowance) Subtract “Before-Tax” Pension= ($1,200) Subtract “Furn Allow”= ($2,000) Subtract “Pastor Contribution to Health Insurance= ($1,212) (see health/dental coupon) Subtract Pastor’s HSA ($2,500) Contribution or FSA Contributions (Health and Dependent) and FSA Adm (see health/dental coupon) Add Excess Life Premium + $72 Total Taxable= $33,570 CODE “E”

Box 12 – Code E Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900

Box 12 W is for persons in HSA only. SAMPLE ONLY (CODE W) Press Down Arrow IMPORTANT NOTE Box 12 W is for persons in HSA only. Box 12W includes both pastor’s contribution (i.e. $2,500) plus the employer’s contribution In December, a letter is mailed to the pastor providing the amount of the Employer’s Contribution. Treasurers: Please get this letter from your pastor. Begin with Total Comp= $40,000 (Do not include Housing Allowance) Subtract “Before-Tax” Pension= ($1,200) Subtract “Furn Allow”= ($2,000) Subtract “Pastor Contribution to Health Insurance= ($1,212) (see health/dental coupon) Subtract Pastor’s HSA ($2,500) Contribution or FSA Contributions (Health and Dependent) and FSA Adm (see health/dental coupon) Add Excess Life Premium + $72 Total Taxable= $33,570 CODE “W”

Box 12 – Code E Press Down Arrow 123-45-6789 4232 51-9876543 33570 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900

(Include the Health Cost – see December letter for amount) Box 12 – Code DD (Include the Health Cost – see December letter for amount) Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908

Box 13 – mark if participating in CRSP (Clergy Retirement Security Program) Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908

Box 14 is optional – Information Box Only 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908

Box 15 – State and ID# where salary was earned (ID# is located on State Transmittal Form) 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908 DE 1-519876543-001

Box 16 – Normally the same as Box 1 Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908 DE 1-519876543-001 33570

Box 17 – State Tax withheld if Pastor requested Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908 DE 1-519876543-001 33570 250

Box 18 – Local Taxes withheld if Pastor requested Press Down Arrow 123-45-6789 51-9876543 33570 4232 Romans United Methodist Church 1500 Damascus Road Corinth, Delaware 19999 (Optional) C 72 x E 1200 Mark L. Matthew 13 Wesley Road Asbury, DE 19900 W 4900 DD 17908 DE 1-519876543-001 33570 250 33570 100

If you have questions, please contact me at tcleary@pen-del.org call 877-736-3351, extension 216.