FREQUENTLY ASKED QUESTIONS

Straightforward Answers to Your Financial Questions

At Heartwood Financial Planning, we understand pastors and churches face unique financial challenges. Here, you'll find answers to some of the most common questions about pastoral finances, church retirement planning, nonprofit financial management, and more.

General ↗

Pastors and churches qualify for unique tax exemptions and financial benefits that regular financial advisors may overlook. From dual-tax status to housing allowances, having a specialist helps you maximize benefits while staying compliant.
We specialize in serving pastors, churches, and faith-based organizations. Our focus in clergy-specific tax laws, church retirement plans, and nonprofit financial management helps you receive financial strategies tailored to ministry needs.
While we primarily serve churches and clergy, we also work with faith-based nonprofits that need help with budgeting, fundraising, tax strategies, and compliance.

Church & Nonprofit Financial Planning ↗

Churches qualify for unique exemptions, including tax benefits, nonprofit compliance requirements, and specialized retirement options. Without a specialized financial plan, churches often overpay for unnecessary services or miss opportunities to maximize their financial resources.
Yes! We provide budgeting, tax credit strategies, and fundraising planning specifically designed for churches and faith-based organizations.
No. We minimize the burden on church staff by handling financial compliance, strategy implementation, and long-term support.

Church Retirement Plans ↗

Churches qualify for ERISA exemptions, which means they don’t have to comply with the costly regulations of traditional 401(k) plans. Instead, 403(b)(9) church plans are designed specifically for clergy, offering lower cost benefits and administrative ease.
As part of our services, we implement a $950 startup fee. However, through our partnerships, we can often implement church retirement plans at zero ongoing cost to the church, while still maintaining professional administration and compliance support.
Yes, but only through a properly structured church retirement plan. This allows retired clergy to continue receiving tax-preferred housing allowances from their tax-deferred savings, which is not possible with non-church retirement accounts.
No! We partner with third-party administrators who handle all administrative tasks, so your church staff doesn’t have to manage salary deferrals, withdrawals, or compliance paperwork.

Pastoral Financial Planning ↗

We help pastors properly document and justify their housing allowance, including rental value, utilities, and furnishings, to help maximize tax savings. We also assist in structuring retirement plans that extend this benefit into retirement.
While the Social Security decision is irrevocable, we help pastors develop alternative retirement strategies and help ensure proper financial planning for healthcare costs in the absence of Medicare.
While we primarily serve churches and clergy, we also work with faith-based nonprofits that need help with budgeting, fundraising, tax strategies, and compliance.

Educational Workshops ↗

We offer workshops on:
- Housing allowance optimization
- Retirement planning for pastors & churches
- Biblical financial stewardship
- Tax strategies for clergy
- Church board financial governance
We offer flexible formats, including 2-hour sessions, half-day seminars, and full-day workshops depending on your church’s needs.
Our workshops are designed for pastors, church staff, church boards, ministry leaders, and faith-based nonprofit employees.
Yes! Our financial education is rooted in biblical stewardship principles, helping to ensure that financial planning aligns with faith and ministry values.