For the pastor who thinks he’s probably fine
The two-minute checkup.
Most of us have been handling the housing allowance the way it was handed to us. Six numbers will tell you three things: which of your three numbers is actually your ceiling, what self-employment tax is likely coming in April, and whether your W-2 deserves a second look.
No account. Nothing you type is saved, sent, or counted. Estimates for the 2026 tax year, not tax advice.
Where you stand
Your exclusion is the lowest of the three numbers above. The Fair Rental Value line is your own guess here; ClergyTrak estimates it from real rentals near you, lines up all three, and writes the resolution your board can adopt. Free, with an account that takes one emailed code.
What this checkup assumes
Fair Rental Value is taken as furnished rent plus utilities, times twelve. Self-employment tax uses 92.35% of salary plus the designated allowance and the combined 15.3% rate for 2026, below the Social Security wage base, with no honoraria, other wages, or deductible ministry expenses. An approved Form 4361 removes it. None of this is a determination of tax owed; your preparer finalises the figures with your full return. IRS Publication 517.
Why three numbers, and why the third one matters most.
The housing allowance exclusion is capped at the lowest of what the board designated in advance, what you actually spent on the home, and what the home would rent for furnished with utilities. Most pastors know the first, some track the second, and almost nobody measures the third. It is often the one that decides it, in either direction.
Where each number is enteredClergyTrak provides estimates and organizational tools, not tax advice or tax filing. Built by a pastor of forty years.