W2 Information Missing

[jkennington]

Running W2's and our pastor's numbers are not coming up for his W2. Anyone had this problem or what I'm overlooking?

[NeilZ]

Running W2's and our pastor's numbers are not coming up for his W2. Anyone had this problem or what I'm overlooking?

Are you saying that all the information is missing ?? Wages, taxes, etc ??

[Jeff]

Most likely the pastors pay items are not setup correctly. What version of PowerChurch are you running? How are his pay items setup?

[jkennington]

Only thing coming up is his name and address. Didn't have this problem last year. Version 11

[Jeff]

You need to check his pay item. What are the tax options set to?

[jkennington]

I had changed them to non-taxable, because I received a letter last year from the IRS about 2010 W3 and the W2 for a former pastor. I had the income showing up in the Social Security wages and Medicare wages, which is the way I have done it since we started using PowerChurch several years ago and the IRS questioned that. So I had to resubmit a corrected W3 and W2 for that reason. I had always put a commit in box 14 that he was an ordained minister. Should I use the more options under tax options and only check federal withholding?

[NeilZ]

I had changed them to non-taxable, because I received a letter last year from the IRS about 2010 W3 and the W2 for a former pastor. I had the income showing up in the Social Security wages and Medicare wages, which is the way I have done it since we started using PowerChurch several years ago and the IRS questioned that. So I had to resubmit a corrected W3 and W2 for that reason. I had always put a commit in box 14 that he was an ordained minister. Should I use the more options under tax options and only check federal withholding?

FWIW ... we have the pastor's salary and SS offset payments as federally taxable, and we take out withholding for the pastor, much easier to do that per paycheck, than having to come up with all that cash at the beginning of the year.

We do NOT have that listed as taxable for social security withholding, as the pastor is subject to SECA (Self-Employment Contributions Act tax which covers Social Security and Medicare.

This article explains it well:

http://www.crown.org/Library/ViewArticl ... icleId=693

[jkennington]

Went back and checked more options and checked federal and state for income and SECA. Checked the box for housing allowance under housing. Then ran W2 report and it reduced box 1 and 16 by the amount for housing. It then made a note in box 14 saying housing allowance and put the amount for housing. Is that the correct way to do it?

[NeilZ]

Went back and checked more options and checked federal and state for income and SECA. Checked the box for housing allowance under housing. Then ran W2 report and it reduced box 1 and 16 by the amount for housing. It then made a note in box 14 saying housing allowance and put the amount for housing. Is that the correct way to do it?

I do believe that if you have the housing allowance pay item setup properly, it will print in the proper location without your intervention. But yes, housing allowance should be listed in box 14.

[Ruby B]

Am I understanding correctly that I can make changes to my pastor's payroll set-up at/after year-end and it won't mess anything else up? Specifically, SS and Medicare Wage boxes which I thought were set correctly but now don't appear to be and also Housing and Utilities allowances?

Thanks, I'm learning so much this year from reading the Forum.

[NeilZ]

Am I understanding correctly that I can make changes to my pastor's payroll set-up at/after year-end and it won't mess anything else up? Specifically, SS and Medicare Wage boxes which I thought were set correctly but now don't appear to be and also Housing and Utilities allowances?

Thanks, I'm learning so much this year from reading the Forum.

I would do a backup, then check the W-2. If it looks OK, then you should be OK.

[ronwaters]

Okay - so I just found out that my W-2s for 2011 and 2012 were incorrect. I'm a pastor, and the W-2s showed Social Security and Medicare wages, which they should not. This has messed up the Social Security record of my earnings. And the W-2 for 2013 will be wrong as well. I am a pastor.

We cannot figure out where/how in PC+ to change it so I am not recorded as having SS and Medicare wages. How do we do that?

Ron

[tborgal]

Ron,

First, what version of Power Church are you using?
Second, was any FICA withheld from you wages?

[ronwaters]

Ron,

First, what version of Power Church are you using?
Second, was any FICA withheld from you wages?

Tom,

PC+ Version 11.1 - no social security was withheld

Ron

[tborgal]

OK. First as Neil has said earlier in the thread you should do a complete backup. Then go to Accounting > Payroll > Setup > Maintain Item Descriptions. Click Locate and find the description for the salary item that pertains to you. Highlight it and click OK. Next to the Tax Options window click the down arrow. At the bottom of the drop down list select More Options. Then deselect the items Medicare and Social Security. This should remove your income form the W2 under those two items. You can then check to see if this resolves your problem.