Frequently Asked Questions
Is Payroll for Pastors available in my area?
Yes! Payroll for Pastors serves churches around the country.
What are the benefits to outsourcing payroll?
There are numerous benefits. First, we have years of experience working with church payroll, so you can have complete confidence in your payroll accuracy. We know all of the special regulations and exemptions that apply to churches and pastors, so you’re not filing or paying unnecessary taxes. We handle all of the required IRS and state report payments and filings for you, so you’ll never worry about missing a due date.
Will a small church the size of ours be able to afford your services?
Yes. At Payroll for Pastors, we offer some of the most competitive prices in the industry. For more information about pricing, please click here to be directed to our price page.
What is the implementation process like?
We make every effort to keep your transition as seamless as possible. You will provide us with material about your church and employees so we can set up your payroll. We enter all of the data into our software and make sure that the employees are setup correctly. Once all of the information is verified, you can start with us as a client.
How do we submit payroll to Payroll for Pastors?
Our services are tailored to each individual client, so we offer multiple options for reporting payroll.
Churches with primarily salaried employees can have their payroll processed automatically, based on an agreed upon schedule. If there are one or two hourly employees, you can email us how many hours to pay them.
We offer spreadsheet importing, which is an excel spreadsheet generated by our payroll software. All employees and their rate and/or salary are listed. You make any adjustments and send it to us to process.
We have a web application called Remote Payroll Entry. Add employees, change pay rates and enter hours in this online portal. When payroll is ready, click on Submit. We take it from there.
For larger clients, we offer Client Access. Client Access allows our clients to work in the payroll software, giving them control over all aspects of their payroll.
If you use a time and attendance software, we will work with you to determine which option works best.s are setup correctly. Once all of the information is verified, you can start with us as a client.
How do we ensure payroll is processed accurately?
Our submission processes were designed to eliminate the errors associated with manual data inputs. We’re happy to process your payroll report a day early so that you’re able to review it.
What happens if I submit my payroll electronically with a mistake?
When a mistake is discovered on a payroll that was submitted electronically, our staff will work with you to correct the mistake as efficiently as possible. Each mistake is separately evaluated and the best solution is chosen to satisfy both the church and the employee.
How do I handle holiday payroll?
When you become a client, we generate a payroll processing calendar you based on information you provide about your pay dates. In the case of your pay date landing on a holiday or weekend, you choose if you want your employees to be paid the business day before or after. Your payroll processing calendar automatically adjusts based on your choice.
How are payroll deductions handled?
Simply let us know what kind of deduction it is and how much you want us to withhold from the employees each pay period. In most cases we can collect these amounts from the church with regular payroll and pay them on your behalf.
What kind of software do you use?
Payroll for Pastors uses a state-of-the-art web-based payroll processing software designed to streamline your churches payroll operations. The system processes payroll efficiently and produces comprehensive reports. From simple to complex payroll needs, this dynamic system is capable of handling multiple earning and deduction types. It provides accurate calculating, reporting, and payment of your church taxes.
Is the online payroll system secure?
Yes. Your safety and security are one of our top priorities. Our Net Client CS portal allows you to take advantage of the same technology that banks and other financial institutions use, to give you around the clock online access in the most secure location available.
Who can access our payroll information?
Only the people that you list as authorized users have access to your payroll account.
How do our employees get paid?
Payroll checks can be issued either by direct deposit, paper checks, or a combination of the two. There is a nominal fee for live checks and we will incorporate that into your monthly fee.
How does the money get to our employees?
The day after your payroll is processed, we transfer the total amount needed for payroll from your church’s bank account into our dedicated payroll clearing account. The next day funds are verified and then the following day funds are made available for us. We can then distribute the payroll into your employees’ bank accounts (i.e. initiate payroll on Monday for distribution to employees on Friday or initiate payroll on Tuesday for distribution to employees on Monday).
How do our employees get their paystubs?
If your church chooses the direct deposit option for your employee’s, a copy of the direct deposit voucher is created for each employee and is included in the payroll package that is generated with each payroll. Your payroll administrator can print a copy of each paystub for delivery to the employees. The payroll funds will be automatically deposited into the employee’s bank account.
If your church chooses the paper check option for your employees’ pay checks, you will have the option to pick up the checks, have them delivered, or print them at your church. Your payroll administrator can deliver the checks to the employees on pay day.
If you utilize the additional Employee Self Service (ESS) feature, employees will be able to access their pay stubs and W2’s in a secure online portal at their convenience. ESS works with both direct deposit and paper checks.
How do we receive our payroll reports?
We offer multiple options for payroll report delivery, including email, online, pickup, and delivery. If you use our online file exchange program, reports can be issued and received almost instantly, allowing you access as quickly as possible. Reports can be generated in pdf or excel format based on your preference.
Do you offer special or custom reporting?
If you find yourself in need of a special payroll report for workers compensation, health insurance reporting, retirement plan reporting, etc., just let us know. We will work with you to develop a report that fits your needs, saves you time, and reduces manual reporting errors.
How are our taxes paid?
We withhold federal, state, and local taxes with every payroll processed. These funds are held in our dedicated payroll clearing account. We pay the federal tax amounts to the IRS and any state or local tax amounts to the appropriate state taxing authority in accordance with your churches current filing requirements.
How are tax filings handled?
We prepare the quarterly and annual payroll tax returns and file them with the appropriate federal, state or local tax agencies on your behalf. This includes filing W2’s with the Social Security Administration, as well as with any state or local municipalities. Digital copies of all filings will be provided for the church records. Employee copies of W2’s will be provided on paper as well.
What happens if we have a problem with the IRS?
When your ministry becomes a client of Payroll for Pastors, you will sign a limited power of attorney document. This document allows us to make payroll tax deposits, file and sign payroll tax returns, and receive information related to these payroll tax returns from the IRS or applicable state taxing authority. As the employer, you remain responsible for any tax that is legally owed by your ministry; however, we will work to alleviate any issues that stem from our error in processing. This includes communicating with the IRS regarding the issue and paying any fine or penalty incurred as a result of our error.
In short, just send it to us – we’ll follow up with the state or IRS as necessary.
How do we pay for services?
Your processing fee is pulled via ACH debit on the last business day of the month.