New Overtime Pay Regulations - Temporary Injunction
A U.S. District Court in Texas has granted a temporary, nationwide injunction that postpones the implementation and enforcement of wage and overtime pay regulations that were set to go into effect on December 1, 2016. Based on the injunction order, it is the opinion of the Conference Treasurer’s office that churches should make no further changes to their organizational structures or payroll practices until court rulings are finalized. Recognize that further changes may occur as this evolves and we will communicate these changes on a timely basis.
Please reference the Finance Forms and Information section of the Conference website for the court order, the General Council on Finance and Administration’s (GCFA) summary of the injunction and other FLSA-related materials. If you have specific questions after reviewing these materials, please contact the Conference Treasurer’s office.
- The 2016 Workers Compensation rate will remain at 1.3% (.013)
- 2016 Payments are due at the Conference Center by March 31st.
- 2016 Workers Compensation Worksheet is available here. This is a fillable form and will automatically calculate your payment. You must print the form to include with your payment as it will not be saved on the website.
2016 Mileage Rates
Starting January 1, 2016, the rates will be
- 54 cents per mile for business miles
- 19 cents per mile for medical or moving purposes
- 14 cents per mile for services to charitable organizations.
2016 Social Security Rates
The IRS has established 2016 withholding rates as follows:
- Employee tax rate for Social Security - 6.2%
- Employer tax rate for Social Security - 6.2%
- The wage base limit for 2014 is $118,500
- Employee tax rate for Medicare is - 1.45%
- Employer tax rate for Medicare is - 1.45%
- There is no wage base limit for Medicare
As of January 2013, individuals with earned income of more than $200,000 ($250,000 for married couples filing jointly) pay an additional 0.9 percent in Medicare taxes. The tax rates shown above do not include the 0.9 percent.
Self-employed persons (clergy) are responsible for paying both the employee and employer portions of Social Security and Medicare taxes.