Description of Administration Services
Topics Covered Shepherd’s Staff Missionary Tax Status Overview of Administration Process Donations: Received, Recorded & Receipted Communications with Home (sending) Church Group Health Plan Administration Fee
Shepherd’s Staff Missionaries are W-2 Employees Eliminates requirement for missionary to pay in quarterly taxes Applicable taxes are automatically withheld by Shepherd’s Staff At the end of the tax year missionaries are issued W-2s “Employee” status reduces likelihood of an IRS audit
Administration Process Overview Upon joining Shepherd’s Staff, the missionary will be assigned an account number – Account number will be indicated on all donations to Shepherd’s Staff to ensure funds are correctly allocated to the missionary’s account Missionary will be paid a salary amount once per month from the available funds in their account – The missionary will specify the salary amount based on his/her on-field budget – Salary will be directly deposited into missionary’s U.S. bank account – Applicable taxes will be withheld from missionary’s salary – usually only FICA tax – Ministry expenses will be advanced or reimbursed from available funds in the account Shepherd’s Staff will an account status report and donor list to the missionary monthly
Donations Donations may be made by any of the following methods: – Checks (mailed) – Electronic Funds Transfer (EFT) from checking, Visa, MasterCard, Discover, or American Express (scheduled) – Online (instant) Donations are recorded according to the designated missionary account number. Tax deductible receipts are provided within 7-10 days of receiving the donation. – Includes a self addressed envelope and coupon for the next donation – Includes year to date giving total
Communication with Home Church A Regional Missions Pastor will contact the sending church during the interview process. A Regional Missions Pastor will be available to assist the sending church in providing care for their missionaries once they have been accepted as a Shepherd’s Staff missionary. Missionary’s account status will be ed monthly to sending church – Ensures church is aware of missionary’s support status
Group Health Plan A group health plan is available for Shepherd’s Staff missionaries to join. The plan includes: – Low deductible ($200) – Wellness coverage – Emergency Evacuation Monthly premium is deducted from the missionary’s account – Current monthly premiums: Family - $430; Couple - $278; Single - $140 A 403b retirement plan is also available through GuideStone Financial Services
Administration Fee A 10% administration fee is deducted from funds received to cover administrative costs – Maximum administrative fee is $450 per month per missionary Examples: – Missionary A receives $1,000 for the month: admin fee is $100 – Missionary B receives $3,000 for the month: admin fee is $300 – Missionary C receives $7,000 for the month: admin fee is $450