Thank you for accessing the 2021 Clergy Compensation Portal. We developed a complete set of documents to help your parish understand the guidelines of clergy compensation as approved by Diocesan Council and to instruct Priests, Church Wardens and Treasurers on how to complete the Clergy Compensation Worksheet and the Payroll Authorization for Lay Employees.
As you know, Diocesan Council advises parishes of the minimums amounts of clergy salary, transportation allowance and benefits in the fall of each year to assist parishes in planning the next year’s budget. The purpose of this message is to remind you of some important points regarding what was decided by the Diocesan Council in regards to Clergy Compensation.
First of all, Diocesan Council retained the clergy compensation rates for 2021 at the current 2020 levels. The pension and group benefits amounts for 2021 can be found here.
Clergy, whether living in their own or rented premises, are entitled to claim the Clergy Housing Deduction from their total reported income for Income Tax purposes (Canada Revenue Agency Form T1223.) The onus is upon the individual clergy to justify the appropriateness of amounts claimed. Clergy are advised to maintain records for the basis of amounts being claimed such as actual rental costs or real estate brokers’ correspondence on ‘fair market value’.
1) Transportation Allowances
This amount is considered taxable income by the Canada Revenue Agency. When clergy report actual transportation expenses to the Canada Revenue Agency on their tax return, they can benefit from a tax deduction on their income tax. On a year-over-year basis, the Consumer Price Index (CPI) for transportation in British Columbia decreased by 1.1% in July 2020.
The annual transportation allowance for 2021 is $8,660.
2) Benefits Cost Sharing
The cost-sharing of contributory benefits shows no change year-over-year and is as follows:
3) Temporary Clergy Supply Rates for 2021
Plus round-trip transportation at $0.59/km, with a minimum of $7.00
4) Rectory Allowance Amount
For those living in a rectory, and where they do not have a Residential Tenancy Agreement and are not paying rent to the parish, it is important that this amount reflects the fair rental value of the rectory. While this amount is not paid out, it is utilized in calculating Long Term Disability and Church Pension eligibility numbers. This number should therefore be reviewed carefully each year when completing the Payroll Authorization Form.
5) Online Payroll Forms
This year, parishes will complete the Clergy Compensation Worksheet and the Payroll Authorization for Lay Employees online through the DocuSign platform. There is no need to print or forward the forms to the Synod Office, as we will receive a copy electronically once it is complete.
The salary/benefit cost calculation sheets will be completed by the Payroll Administrator and copies will be sent to treasurers as soon as the benefit rates are known.
Please note that parishes are expected to complete one different form for each individual (clergy or lay) being paid through the Diocesan Payroll. You will find the instructions on how to complete the Clergy Compensation Worksheet and the Payroll Authorization for Lay Employees by clicking the correspondent option from the menu on the left.
The deadline to submit the forms is December 9, 2020. Late arriving forms may result in the employee receiving a retroactive pay change.
6) Monthly Remittance Forms
Please be sure to include your remittance form each time you are sending a pre-authorized withdrawal to the attention of Michèle van Teunenbroek.
The Payroll Remittance Form is due to the Synod Office on or before the 22nd date of each month. The remittance amount will be withdrawn from your parish bank account on or about the 25th day of the month. If the processing day falls on a weekend or holiday, it will be processed on the preceding working day. If the remittance form is not received by the 22nd day, the same amount deducted from the prior month will be deducted from the parish bank account on the 25th. Any discrepancies will be adjusted on the next remittance.
If you have any questions, please do not hesitate to contact:
Ms. Shailene Caparas, Director of Finance
Telephone: 604-684-6306 | Ext: 214