Church Independent Contractor Agreement

Are the musicians who paid your church for divine services and other ecclesiastical events independent collaborators or contractors? Contrary to what some churches may believe, it is a question of fact and not a certain «clear line» of verifying whether a musician paid by a church for services and events is an independent employee or contractor. Incorrect classification can have significant negative financial consequences for both the Church and the musician. In addition, it would be customary for the musician to have a performance contract with each client when a musician is a professional and the church is one of many clients. Indeed, the musician can even manage his musical activity through his own legal person, which would further reinforce the realization that the musician is an independent contractor. Note that the musicians of the Lancaster Symphony Orchestra had an agreement, but this agreement alone did not make them independent contractors. All right. Let`s break this down into simpler language and apply the «categories» to churches and non-profit organizations. While we believe that most maternal assistants, musicians, cooks, etc. are collaborators of the Church by IRS standards, the South Georgia Conference does not commit to providing direct tax advice to clergy or communities. The South Georgia Conference Office of Administrative Services provided the content of this site only for general information purposes. You should not replace this information with personalized advice from a qualified professional on site, and rely only on this information.

In summary, whether a musician is an independent employee or contractor is a factual provision that must be made individually. There are many factors that each have their own weight and are often related to other factors. «Getting it right» is an important objective, as incorrect classification can result in significant financial penalties for both the Church and the musician. Despite all the compensation and payroll requirements, it is not surprising that many small churches choose to classify their workers as self-employed contractors; However, as I said above…