social security taxes

Estimating Tax Payments for 2012 Taxes

If you currently have income that is not subject to tax withholding, you are inevitably dealing with estimated tax payments. A very common example of those dealing with estimated tax payments are church pastors. Pastors taxes often involve estimated payments and it is imperative that these be submitted accurately and in a timely manner to ensure that you’re not underpaying taxes and therefore avoiding penalties for underpayment.

Tips for Estimating Tax Payments for 2012 Taxes 

Determine your expected adjusted gross income by taking last year’s income and adjusting based off of any changes you experienced during the current year.… Continue reading

How to Make Sure Clergy Social Security Exemption is Approved

If they choose, clergymen are allowed social security exemption based on religious objections. However, in order for this to happen, they need to correctly fill out IRS Form 4361 in order to be exempt. It’s important that this form be filled out in an accurate and timely manner. Here are some tips on how to correctly fill out the form and reasons why it may be denied.

Unless they fill out a Form 4361 clergymen normally pay out social security taxes just like anybody else who is employed and earns taxable income. The IRS, however, allows church ministers to file… Continue reading