Purpose: To provide an opportunity for ordained ministers and others involved in ministry to raise support and be paid for work they do in ministry or in approved charitable projects as an independent contractor.
Program: The program is designed to provide a valuable opportunity for people involved in ministry who would like to be involved in doing independent ministry or working for an approved charitable project. It can also give these individuals the opportunity to begin developing a fundraising base for an independent full-time ministry that they might want to pursue in the future.
The Associate Ministers Project is structured as a Field of Interest Fund of The Joy To The World Foundation and will provide paid work experiences for approved charitable activities or charitable projects to individuals who meet the requirements of the program. AMP is based on the Biblical principle of 1 Corinthians 9:14, “the Lord has directed that those who preach the gospel should receive their living from the gospel.” AMP provides a means whereby ordained ministers and others doing ministry may receive financial support for their work in recognized ministry. The AMP committee must approve the proposal of the ministry for which the independent contractor will be involved.
The Joy To The World Foundation, which is a tax-exempt public charity, will operate the project. AMP enables friends, other individuals and organizations to support an individual involved in ministry through tax-deductible contributions. This program provides individuals who have been selected by the AMP committee of Joy To The World Foundation, to raise personal support to compensate them for their work in the ministry and receive a Minister’s Housing Allowance if applicable. The Joy To The World Foundation functions as a mission agency enabling the minister to structure his or her own ministry without having to work directly for a church or religious organization. The ministry contractors, like other missionaries, serve as fundraisers to develop support for the AMP project.
The Associate Ministry Program of The Joy To The World Foundation receives donations, keeps records of them and issues tax-deductible receipts for donors and monitors their approved housing allowance. The Associate Ministry Program pays monthly compensation checks to the ministers who are self-employed contractors for their housing allowance and then payments can be made to their non-profit corporation if they have one or through the Charitable Associates Network for which they will receive an IRS 1099 form to report the income received.
Acceptance in the Program: In order to be approved as an Associate Minister, the AMP program requires the applicant to:
- Submit a formal Application to The Joy To The World Foundation (click here to download)
- Complete Ministers Housing Allowance worksheet if appropriate (click here to download)
- Complete a budget and compensation worksheet (click here to download)
- Provide a description of the duties and responsibilities the Associate Minister will have with the ministry
- Provide a Letter of Ordination, or License and a Letter of Assignment from a Church (click here to download a sample) Because it is not required for a church to file with the IRS for tax exempt status, the IRS is very concerned today about individuals claiming to have churches that are not really churches just to get the benefit. In order to provide the proper documentation for our files we need to have at least one of the following items on your sending church for our files: 1)IRS Determination Letter. 2)Website for the church showing activities. 3)State registration showing status as a church.
- Provide Quarterly Updates of activities performed, this can be a donor newsletter or similar report of activities.
All prospective contractors should complete an application form with a ministry description, budget and compensation worksheet, Minister’s Housing Allowance worksheet and send the information into the Foundation along with a copy of their letter of ordination if applicable. Applications will be reviewed and approved by the AMP advisory committee of The Joy To The World Foundation Board of Directors. Upon approval, the applicant will be notified of his or her acceptance, given a Handbook and other materials, will be set up with an account number and can begin fundraising for his or her project.
Finances: The Associate Ministry Program of The Joy To The World Foundation operates as a mission organization and as such, ministry contractors are required to raise support needed to fund the ministry project with the Foundation for which they are contracted to perform services.
The Joy To The World Foundation deducts an administrative fee of 5% from each contribution to the projects for its operating expenses. While this fee does not cover our total operating expenses, it does help to defray the costs.
Communication with Donors: Tax-deductible receipts and remittance envelopes for contributions are sent directly to the donors by the Foundation. Each AMP contractor is responsible to recruit donors and to correspond regularly with them by means of notes or newsletters.
Compensation Rates: The AMP compensation rate is based on the work to be performed and is not based on need. The compensation rate for the ministry performance of each contractor is determined by the following criteria:
- The type of ministry performed
- Previous ministry and work experience
- The geographical location of the ministry
- Related education or other experience
Because the contractors are independent contractors and not employees of The Joy To The World Foundation, they are responsible for reporting and paying any social security tax or income tax that may be due on the compensation.
How It Works For Ordained Ministers: After approval by the foundation, a non-profit corporation, may be established for the associate minister’s ministry. Funds in the project account can be paid directly to the associate minister until he or she has received his/her full housing allowance as it is allocated monthly. Any funds above the Ministers Housing Allowance up to the allocated salary amount are paid as 1099 income to the minister as part of the Charitable Associates Network or the funds can be paid to a non-profit corporation for benefits, additional salary up to the approved amount and other ministry expenses. The non-profit corporation can also have a medical reimbursement program that can reimburse the associate minister for any medical expenses he or she incurs and can pay for automobile expenses that are incurred in ministry activities. Contributions from the foundation project can also be made to a tax sheltered annuity program for the associate minister if one is established.
If you are interested in finding out more about this program, please contact our sponsoring organization Joy to the World Foundation. You can reach their offices toll-free at 844-670-2875 to see how a plan might be customized to meet your needs.
The Joy To The World Foundation has exclusive legal control over all assets contributed to the Foundation.