How To Know If Our Staff Is Being Paid Correctly

Does my Church need to be concerned about how it compensates hourly and salary staff? What about independent contractors? Why can’t we just compensate everyone the same way?

The Fair Labor Standards Act (FLSA) can have different requirements for each of the staff members that make your Church function. Some of these team members perform religious duties, while others perform secular tasks that are necessary for the success of your ministry.

For example, interpreting the FLSA, the Department of Labor (DOL) recently unveiled new regulations that are designed to ensure fair overtime compensation for salaried employees earning less than $59,000 annually. While regulations of this sort can be a blessing to salaried employees who are faced with the necessity of sacrificing family time for no extra pay, they present an ever-changing landscape for your ministry to navigate.

The DOL currently administers and enforces over 180 Federal regulations and laws. There are hundreds of state labor and wage laws that work hand in hand with these Federal laws. Do these regulations apply to all workers? Are members of clergy exempt from certain regulations? Are some support staff exempt? How much time should a Church dedicate to sorting out these regulations when its primary concern is sole winning and guiding its flock?

Adhering to labor guidelines is often dependent on the specifics of the task performed, the qualifications of the person performing the task, the role that they play in your organization, and how much time they need to dedicate to any particular task. Our attorney staff has years of experience sorting out these details. We often hear from Churches and nonprofits that need to solve newly emergent DOL issues. We also work with new and existing Churches and nonprofits to ensure that they are fairly compensating their staff, complying with Federal and state laws, and supporting the ministry by avoiding wage related overpayments.

But seek first the kingdom of God and his righteousness,
and all these things will be added to you.

                                               Matthew 6:33, ESV