CENTRAL CALIFORNIA CONFERENCE OF SEVENTH-DAY ADVENTISTS |
CATEGORIES OF INDIVIDUALS PAID TO PROVIDE SERVICES |
| Revised Document |
| VOLUNTEERS |
| Reimburse Expenses (mileage, perdiem, lodging) based on travel logs or actual receipts |
| Should not be long-term arrangements; otherwise, they should be recategorized as employees or independent contractors (contact the conference if more than 3 months). |
| EMPLOYEES |
| Must complete W-4 and I-9. |
| Must complete other required denominational forms. |
| Use Chart provided to properly classify as Hourly (Non-Exempt) or Salaried (Exempt). |
| All payments of honorariums, regardless of the amount, are considered taxable income. |
| CONFERENCE OFFICE WORKERS |
| All payments of honorariums, regardless of the amount, are considered taxable income. |
| All payments of honorariums must be reported to the conference payroll department (payroll@cccsda.org) to be added to the employee's W-2. |
| Travel reimbursements are not taxable income only if proper supporting documentation is provided for mileage, perdiem, and lodging. |
| Mileage and perdiem rates must not exceed denominational rates. |
| Expenses may be reimbursed based on information on the travel form showing actual mileage, days of perdiem, and lodging, or could be paid based on receipts. |
| INDEPENDENT CONTRACTORS |
| Must complete form W-9 before a payment is issued. |
| Must be in business and providing similar services to other individuals or organizations. |
| Payments are made based on a contractual agreement. |
| Must have Liability Insurance and provide a Certificate of Insurance to the Church or School. |
| Church or School must complete California State form DE-542 as soon as the Independent Contractor is paid at least $600 in a year. |
| 1099MISC form will be prepared by the conference Auditing Department at the end of each year, with the information provided by the Treasurer; to report income to the IRS. |
| The charge for parts and equipment that are incidental to the service provided by the Independent Contract will be reported on form 1099MISC as taxable income, as well. |
| FOREIGN SPEAKERS |
| Speakers from other countries may not be paid unless they are U.S. Citizens, Green Card Holders, H-1B Visa Holders. |
| Their expenses may be paid based upon receipts. Per Diem may be paid (no more than the denomination's daily rate). |
| People with R1 Visas may only be paid if they are employed by CCC. |
| Get a copy of green card or visa for files. |
| NOTE: Please contact the Auditing Department at the Conference Office for payments to individuals that do not fall within any of the above-mentioned categories. |
CCC Auditing
of Seventh-day Adventists
