A general rule is that anyone who performs services for your church is your employee if you can control what will be done and how it will be done. The church should maintain an accurate and current record of employees. If the church pays an individual more than $100.00 during the year, with exception of the Clergy, then that person is an employee and Medicare and Social Security taxes (FICA) must be withheld and a Form W-2 must be issued at the end of the year. Churches must withhold the employee’s share and pay their matching share of FICA for non-clergy employees. Churches cannot classify non-clergy employees as self-employed to avoid paying FICA.