Don’t Forget About the ERC…There’s Still FREE Money for Your Church!

by | Aug 11, 2021 | Administration, Building Health, Operations

By Tiffany Henning, originally shared by HR Ministry Solutions

The What:

  • The Employee Retention Credit (ERC) applies to wages paid from March 13, 2020 through Dec. 31, 2021
  • Credit can be claimed retroactively
  • Organizations can receive up to 70 percent of the first $10,000 of qualified wages paid per employee in each qualifying quarter

The Who:

  • A full or partial shutdown of operations as a result of a government order due to COVID-19 during 2020 or 2021
  • A gross receipts decline of more than 50 percent during a 2020 or 2021 calendar quarter, when compared to the same quarter in the prior year
  • A “recovery startup” business that was launched after Feb. 15, 2020, for which the average annual gross receipts do not exceed $1 million

The How:

1. Determine if your church or ministry qualifies

2. Check out the details here: https://www.irs.gov/coronavirus/employee-retention-credit

3. Pull all your payroll data from 2020 and 2021

4. Claim the credit on your quarterly Form 941 tax filings

5. Get extra help from MinistryWorks: https://www.ministryworks.com/resources/articles/covid-19-payroll-resources/about-erc

More details on the church and the ERC: https://www.churchlawandtax.com/web/2021/may-2021/employee-retention-credit-churches.html

Sign Up for Connections, the Worship Facility Newsletter!

NEW THIS WEEK

5 Critical Questions To Ask Before You Start A School

Has your church ever thought of starting a school?  I have worked with dozens of churches that at some point thought they would best serve their local community by starting a school...usually in their existing church facilities. While this can be exciting, there are...

3 Church Fundraising Ideas to Overcome Attention Challenges

Effective church fundraising ideas are required to capture people’s attention and have them willingly open their wallets in generosity. But there are many organizations requesting donations on a regular basis, and all those fundraising requests combine with other...

Introducing the Compact & Mighty HYPE™ 150 Mover

Blizzard Lighting has unveiled its newest luminaire for on-the-go shows, the HYPE™ 150 moving head spot. Compact, feature-packed and powerful, this punchy 150-watt mover is lightweight for easy transport and set-up.  It’s also loaded with features that are...