Accounting, Payroll, & Bookkeeping For Churches

QuickBooks Payroll is the leading platform among churches that keep track of their bookkeeping. best payroll service for churches The combination of these 2 programs makes it easy to integrate payroll information across platforms. Much like QuickBooks and Gusto, this software supports unlimited and automatic pay runs. It can help with salary calculation and deduction for employees and support church allowance payments. Church payroll isn’t just a back-office function—it’s a reflection of how well your church understands its legal responsibilities and how seriously it takes care of its people. From tax treatment to housing allowance to employment classifications, the details matter more than most churches realize.

Do Churches Pay Payroll Taxes?

We put together a list of 9 of the best church accounting software vendors. Their workforce is a mix of full-time, part-time, and volunteer staff with highly variable schedules. Because of the sensitivity of their clients, retaining familiar staff is essential, making accurate, timely compensation a critical part of employee satisfaction and retention. Obviously, payroll software is essential for keeping track of employee compensation, but the benefits go above and beyond sending paychecks. For example, when integrated with other HR systems, church payroll software can help to streamline the application, interview, and hiring process and cover additional Human Resources department needs. Quicken offers plans ranging from $5.99 per month to $10.99 per month (up to 25 percent off during the current promotion), billed annually.

• Even if a client has a knowledgeable staff member in these areas, aligning this knowledge with software that can handle ministerial compensation well is important.
• Our experts provide live, ongoing training for all customers so you have real people who will provide knowledgeable advice and tips for best practices.
• We offer imports, exports, and integrations with popular accounting, general ledger, and 403(b) systems so you can get the most out of your investments.
• Founded in 1979, Community Living, Inc. (CLI) is a nonprofit organization based in Frederick, Maryland, dedicated to helping adults with intellectual and developmental disabilities live their lives to the fullest.
• Thankfully, we have the knowledge and technology to make it easier than ever to switch.

Parable Church Accounting and Bookkeeping’s Financial Toolkit

• The minister is considered personally responsible for paying their own taxes.
• Easily handle deductions, adjustments, and housing allowances with built-in tools that account for clergy-specific tax rules.
• Count on our payroll services to process your payroll efficiently and keep your employees paid on time.
• Church payroll isn’t just a variation of small-business payroll—it’s a category of its own.
• Our payroll professionals work remotely to serve clients throughout the United States, offering superb customer service no matter where you’re located.
• For example, churches needing to track finances, manage donations and restricted funds and process payroll can buy accounting and human resource modules.

ChurchTrac is simple yet scalable, and it allows you to make deposits simple and easy to track, generate income statements, balance sheets, fund statements while streamlining the ideal budget for any occasion. bookkeeping Choosing a plan that does what you want, offers you the opportunity to grow. Sage Accounting is a cloud-based financial management system with a special heart for nonprofits.

Get Your Monthly Reports

FreshBooks is best for churches that need extra support as a result of little experience in church accounting or accounting software. It is also a great option for churches pulling in and needing to manage extra funds earned via paid events such as weddings or funerals. For clergy, legal compliance includes correct handling of dual-status employment. Ministers often function as employees for income tax purposes but are self-employed for Social Security. The software must be able to accommodate this duality, especially Bookkeeping for Startups when calculating housing allowances and SECA (Self-Employment Contributions Act) taxes. Non-clergy staff must be properly classified as exempt or non-exempt under the Fair Labor Standards Act.

Save Time & Money

It’s always available, and it’s backed up for extra peace of mind. Transactions will appear in your bookkeeping automatically, and you’ll say goodbye to manual receipt entry. By using Blackbaud Financial Edge NXT, tax-exempt organizations can reduce dependency on manual processes, improving data entry accuracy and efficiency. Blackbaud Financial Edge NXT is backed by a company with four decades of experience in the social good space, serving nonprofits, foundations, corporations, and healthcare and education institutions.