Social Security Tax Paid by the Church

Social security benefits are financed through two tax systems. Employers and employees each pay the “FICA” tax, which for 2007 amounts to 7.65% of an employee’s taxable wages (a total tax of 15.3%). Self-employed persons pay the “self-employment tax,” which for 2007 is 15.3% of net self-employment earnings. Clergy are always considered to be self-employed…

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