Page History
| Policy Name: | Reimbursement and Expense Recovery Bonus |
|---|---|
| Relevant Standard: | Reimbursement and Expense Recovery Bonus Standard |
| Creation Date: | |
| Last Review Date: |
Purpose
Provide guidance on ministry-related expenses that are either directly Reimbursable through Reliant’s Ministry Expense
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This policy applies to all ordinary and necessary ministry-related expenses incurred by field employees and certain
volunteers (“Missionaries”"field workers") in the course of their work on behalf of Reliant and its ministry partners.
Standards Supporting This Policy
Reimbursement and Expense Recovery Bonus Standard
Policy Statement
This policy provides general guidelines related to Reimbursements and Bonuses for ministry expenses. For more detailed guidance, please refer to the standard(s) linked in the preceding section.
Reliant missionaries employees and associates incur certain expenses in the course of conducting their ministries. In accordance with IRS guidelines, Reliant will generally Reimburse missionaries field workers for expenses that are reasonable, ordinary, necessary, directly related to the missionary’s workers’s job and ministry, sufficiently documented, and timely submitted for Reimbursement. These expense Reimbursements (defined as "Reimbursements" in this policy) are typically tax-deductible, meaning they are not considered to be additional taxable wages for the missionaryworker. Some missionary workers' expenses do not qualify for expense Reimbursement but may be recovered through an "Expense Recovery Bonus" (ERB, explained further below). Such Expense Recovery Bonuses are treated as additional taxable wages for the missionaryworker. Determination of taxable wages and taxes owed to governing authorities is ultimately the responsibility of each individual Reliant missionary field worker in consultation with his or her tax advisor(s).
Reimbursements and Expense Recovery Bonuses related to incurred expenses are subject to the availability of funds in the MTD account for which the missionary field worker is responsible or the project account from which the expense is being Reimbursed, in addition to order-of-pay protocols.
Field staff workers must use discretion and also consider the reputation of the ministry when determining how much to spend on any given expense. Any expense that does not support the ministry of Reliant and does not reflect proper stewardship is considered non- Reimbursable and non-recoverable, regardless of the source of funds.
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The following types of expenses are generally not Reimbursable under IRS guidelines as tax-deductible expenses, but missionaries employees may be allowed to request a taxable ERB to recover these types of expenses, with appropriate approval. The Standard(s) linked above provide details on each of these expense categories.
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Please submit requests for expense Reimbursements or Bonuses on the appropriate form, as directed by the standards Standards linked in the section above, within 2 months of the relevant transaction date. Links to all forms can be found in the standards Standards for both Reimbursements and Bonuses.
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