Pastor Compensation : Fundamental
This Content Is Written For Winters And King.
As a pastor it is important to have a compensation package to take care of all your needs. There are so many areas that need to be taken in account. For example, you have to include your cash compensation, your benefits package and a reimburse the of job related expenses. All your pastor compensations can be taken care of at Winter and King, Inc. they have extensive knowledge and experience with nonprofit organizations such as yours. They partner with you to meet all your needs. Under cash compensation your salary figures in. You will want to determine your cash salary based on the national averages combined with your experience and qualifications. Winters and King wants to hear from you at 918-494-6868.
You will also want to in life your housing allowance into this. You should have part of your salary designated as your housing allowance and this then is excluded from taxable income. If you designate a larger portion of your salary for this then you will pay less in taxes to the federal government. You also have your social security and Medicare tax offset to consider. If you live in a parsonage you will not be able to build equity in your home. Your church can offset this by including an equity allowance that is not taxed by the federal government with Pastor Compensation.
You will want a benefits package included in your pastor compensation package. This can include your retirement package, insurance, disability insurance, and your health care insurance. Your retirement package should last you for 18-30 years and be 70-80% of your preretirement income. You can set up a 401K and an IRA for part of your package. A retirement saving can give you peace of mind for your future and allow you to minister effectively without caring about the future.
Insurance is another area that needs to be addressed as it is essential for everyone. You will want life insurance. A group term life insurance is a great way to go. It usually offers a lower cost than private insurance policy. No one want to think about a disability, but disability insurance is also a much needed insurance. This will provide replacement funds and allows your church to continue in ministry without worrying about supporting the disabled pastor. Health insurance is also something that has to be included in your compensation package.
Winters and King, Inc. know the necessary salary requirements for a pastor. They recognize that you will need paid leave. Included in this is sick leave which will give you a certain number of sick days per year to be paid out to you. You must also include holiday pay and paid vacations. Usually you can start out with 3 weeks of paid vacation. Something else to consider is a paid sabbatical. Though not typical, it is something to consider. Compensation is a huge determining factor when coming on board to serve a church in a ministering capacity. Though no one wants to think this will be your main focus, it will ease your mind and free you up to actually minister in your specific calling. Winters And King is who you should get in contact with at 918-494-6868.