Payroll Information
Payroll Info (updated December 15, 2011)
Maximum earnings subject to Social Security for 2012 is $110,100.
Maximum voluntary contribution to your 403b for 2012 is $17,000, up from $16,500 in 2011 and 2010.
The reduced Employee funding of Social Security will remain at 4.2% for 2012. The Employee portion of Medicare will remain at 1.45%. Employer percentages remain unchanged at 6.2% for Social Security and 1.45% for Medicare.
Imputed Value of Group Term Life Insurance
The IRS has determined that the value of GTL insurance is taxable. In addition to any group life insurance that the church may provide, Church Pension Fund provides additional coverage to all active clergy participating in the pension fund and active lay employees who participate in the lay defined benefit pension plan. Annually, reports reflecting the value of this benefit are mailed to the churches so that these amounts can be included in an employee's W-2. The 2011 reports were mailed 12/15/2011. If you have any questions about this report, please contact the Treasurer's office.
Payroll Service
In 1999 the Diocese of Virginia joined the National Payroll Account Program. This program provides the Episcopal Churches and related institutions with a standardized and Episcopal church-specific payroll service at a very reasonable cost.
What are the advantages to you?
1. Clergy compensation is handled according to IRS regulations and W-2's are printed correctly.
2. The diocese and Church Pension Fund can respond on behalf of the church if any problems develop.
3. Semi-monthly and monthly payrolls are allowed and you need to report ONLY changes and hours for hourly employees.
4. Paychex makes ALL tax deposits (from your account), files all tax reports.
5. Employees’ checks can be deposited directly into their bank accounts. This is on a “per employee” basis so it is not necessary for everyone to choose this option.
6. “New Hire” reporting will be done automatically. This is required by the Commonwealth of Virginia.
7. The Church saves Time and Money.
How much does it cost?
Visit the Church Pension Fund website, www.cpg.org, for more updates.
How do you enroll in the Church Pension Fund Payroll Program?
Contact Joy Buzzard, 800-DIOCESE x1022.
