How Does The Minister’s Housing Allowance Affect Social Security Retirement Benefits?
Here at Pastor’s Wallet, we talk a lot about the clergy housing allowance because it’s such a unique benefit for pastors. In fact, I even wrote a book on the topic, as you can see from the above graphic. Today, we are going to talk about how the housing allowance affects Social Security benefits. You see, your housing allowance is considered compensation for your ministerial services. However, there are a lot of different programs that use compensation numbers and only about half of them count the housing allowance in their calculations. What about Social Security? Does The Housing Allowance Count As Compensation For Social Security Purposes? The housing allowance affects different aspects of Social Security retirement benefits in different ways. Let’s take a look at our two main concerns regarding compensation and Social Security; benefit accumulation and taxability of benefits. Benefit Accumulation As you’ve read in other posts on this blog, Social Security benefits are ...
Recent Comments