Giving
Tithe on gross or net income: choose a base and keep it clear
In short
A tithe on gross income is 10% of pay before deductions; a tithe on net income is 10% of take-home pay. Households and churches approach this choice differently. Choose a base that fits your convictions and circumstances, then record it so each paycheck follows the same rule.
The arithmetic is simple once you choose the base. The choice itself involves your convictions, your church's teaching, and the money your household needs for its commitments.
A budgeting app can calculate a percentage and help you see its effect. It cannot settle that decision for you. This guide explains the two calculations and the practical questions to answer before setting a recurring gift.
Gross and net, with one paycheck
Gross pay is the amount before payroll deductions. Take-home pay is what remains after deductions such as tax withholding, insurance, and retirement contributions. Read the pay statement rather than estimating the difference.
For a paycheck showing $3,000 gross and a $2,300 deposit, 10% of gross is $300. Ten percent of take-home pay is $230. The difference is $70 for that paycheck. These are hypothetical figures, not a recommendation to use either base.
Why a household might choose gross
Using gross starts from pay before deductions. It gives you a consistent base when you change payroll elections, such as an insurance plan or retirement contribution.
The practical constraint is cash flow. In the example, a $300 gift comes out of the $2,300 deposit, leaving $2,000 for other uses. Calculate giving from gross if that is your choice, but do not count withheld money as available to spend.
Why a household might choose take-home pay
Using take-home pay starts from the amount that reaches checking. It is easy to match the calculation to a bank deposit, and it may fit a household's current giving plan.
Take-home pay can change when deductions change, even without a salary change. Decide whether your rule follows the deposit as it stands or uses a specific definition of income. Write that definition down.
Irregular income needs a written rule
If you are self-employed, separate business revenue from money available to your household. Business costs and tax obligations need their own plan. Ask an accountant to clarify the figures if your records mix business and personal money.
Bonuses, gifts, reimbursements, and refunds can also need separate decisions. A reimbursement for an expense you paid is different from new pay. Keep a note of amounts you have already included so the same money is not counted twice by mistake.
Review the plan together
For a shared household, agree on the base, percentage, recipient, and timing. Check the plan against essential bills and debt payments. If a change in income makes the amount unworkable, discuss the adjustment openly.
You can revisit the rule when your circumstances change. A written decision is a useful reference, not a promise that your finances will stay the same.
Key takeaways
- Gross is before deductions; net is take-home pay. A tenth of each can be different.
- The giving calculation and the spending plan use different figures if you choose gross.
- Define how you handle irregular income and avoid counting the same money twice.
- Agree on the rule together and review it when income or household needs change.
Questions people ask
Is the tithe on gross or net income?
A tithe is a tenth; gross and net are two possible income bases. Gross uses pay before deductions, and net uses take-home pay. Households and churches differ on which to use, so choose deliberately and keep the definition clear.
How much is a 10% tithe on a $3,000 paycheck?
Ten percent of $3,000 is $300. If $3,000 is gross pay and you choose a take-home basis, use the amount deposited after deductions instead.
How do I calculate giving if I am self-employed?
First separate business revenue, business costs, tax obligations, and household income. Choose a giving base from clearly defined figures. An accountant can help you distinguish the business and personal amounts.
Should I tithe on a tax refund?
That depends on your chosen giving rule and whether you already included the money when you earned it. Check your records before treating a refund as new income for giving purposes.
Can I use a percentage other than 10% in UniFi?
Yes. UniFi's giving plan is adjustable. Choose an amount that reflects your household's decision and review it when circumstances change.
Keep your giving plan and records alongside the rest of your household budget.
See giving in UniFi