Author Archives: Jay Butchko
Going Deeper: Does FLSA Apply to My Church or Nonprofit?
Generally, all employers are subject to the minimum wage requirements and overtime pay requirements of the Fair Labor Standards Act (FLSA) if they meet interstate commerce requirements either corporately or individually. Thankfully, non-profits and churches enjoy some special exemptions under FLSA, some of which may help exempt many churches and religious nonprofits. There is… Read More »
To Merge or Not to Merge: That is the Question
Increasingly, churches and nonprofits are thinking about mergers and “acquisitions” due to the challenging financial times, increased tax exempt regulations and aging membership/decreased donations. While there appear to be some resources which discuss whether a church or nonprofit should merge or not, there is little guidance about practical applications and/or how to legally effectuate… Read More »
Financial Support for Individual Missionaries From Your Congregation
Here’s the scenario: Your church is sending a congregation member abroad on mission. The missionary will not be traveling with a mission agency, and so your church must directly support the missionary. How do you ensure that donations for the missionary’s benefit will be tax deductible? How can your church make sure that funds… Read More »
It’s A Wonderful Life and The Value of A Church
It is Christmas season, and many of us will follow the old ritual of watching It’s a Wonderful Life. There George Bailey, after pouring himself out for his community in the grips of the Depression, thinks he has made no difference and despairs of life. That is, until Clarence the angel sets him straight… Read More »
How Should A Pastor Approach Divorce?
Marriage is at the center of God’s plan for creation. From the very beginning, God emphasized the sacredness of marriage and the family. In the Gospel of Matthew, Jesus teaches about the importance of marriage and lifelong commitment: “So then, they are no longer two but one flesh. Therefore, what God has joined together,… Read More »
Violence In The Church
Though they have historically been considered places of refuge, churches are more frequently becoming the target of violent crimes. For example, in 2014, 176 deadly force incidents were documented at churches and faith-based organizations in the U.S., representing more than a 20% increase over similar numbers from 2012.[1] This trend only seems to have… Read More »
What You Don’t Know Will Hurt You: Myths and Misconceptions About Church/Nonprofit Employment Liability
Lawsuits alleging wrongful employment practices are the fastest-growing area of civil litigation today. In fact, according to church and non-profit insurers, well over half of the claims annually stem from employment problems such as wrongful termination, discrimination, sexual harassment, disability, or other employment related claims. Unfortunately, many churches and nonprofits are unaware or treat… Read More »
A House on Solid Rock or A House of Cards?
Why proper incorporation in Virginia is more than simply filing articles of incorporation with the state. When the United States District Court of the Western District of Virginia struck down the portion of the Virginia Constitution denying churches the ability to incorporate as unconstitutional in 2002[1], Virginia became the 49th state to permit church… Read More »
How to Avoid a Lawsuit When Exercising Church Discipline
“I’ll see you in court” is a common phrase heard in movies and T.V. shows, but when uttered to a pastor or in a church it is the cause of great anxiety and dread. Unfortunately, church discipline and the departure of a pastor provide fertile grounds for lawsuits. Claims of defamation, tortious invasion of… Read More »
New Fair Labor Standards Act Changes to Take Effect December 1, 2016
The Department of Labor recently issued significant and sweeping salary threshold changes to the Fair Labor Standards Act (FLSA) through its Final Rule, published on May 18, 2016. The Rule is set to go into effect on December 1, 2016. These changes are the result of a Presidential Memorandum issued by President Obama in… Read More »