Ep157: Tithing Debunked: We've Been Paying It Wrong All Along

Summary

Accountant and faithful Latter-day Saint Aaron Brewster argues that uncertainty about how to calculate tithing has led some members to apply a stricter “gross income” rule than the Church’s stated guidance requires. His central point about business and household finances is that contribution decisions should account for actual income, essential expenses, and family circumstances—not rely on a blanket formula that may leave households short of basic needs.

Frameworks and processes

• Distinguish three calculation approaches:
  • Gross: 10% of a broadly defined amount before expenses or deductions.
  • Net: 10% of take-home income.
  • Surplus: 10% of what remains after meeting basic needs.

Brewster says the Church’s guidance does not prescribe a specific calculation method. He presents the surplus approach as one way to account for varying household needs, while emphasizing personal judgment rather than prescribing a single answer.

• Assess income and expenses in context. Consider costs required to earn a living—such as education and student loans, transportation, licensing, clothing, equipment, and internet—as well as household needs. Brewster notes that benefits and non-cash compensation can make “gross income” difficult to define consistently.

• Prioritize competing financial responsibilities. Brewster places tithing alongside other potential uses of limited resources, including housing and food, savings, child-rearing, food storage, fast offerings, humanitarian aid, and mission expenses. He suggests distinguishing genuine needs from discretionary wants and considering how funds can support both families and others in need.

• Use a realistic assistance plan. Citing Church guidance that assistance should build self-reliance and avoid dependence, Brewster argues that leaders should assess whether a household’s budget is sustainable and whether there is a credible path out of assistance. Simply transferring money to cover a shortfall created by another payment may not address the underlying problem.

• Improve leadership practice and consistency. Brewster says bishops and ward leaders often receive little training on tithing calculations, which can lead to inconsistent advice. He recommends clearer official guidance and avoiding pressure that leads members to take on debt or compromise essential expenses.

Key figures and examples

• Church guidance discussed: Tithing is described as one-tenth of annual income. Brewster cites a 1970 First Presidency letter stating that members should decide what they owe and pay accordingly, and a 2008 New Era article saying that the definition of income is a matter between the individual and the Lord.
• Illustrative income example: For someone earning $50,000 with $45,000 in basic needs, a $5,000 gross-based contribution would use all $5,000 of their surplus. If income fell to $49,000 while needs remained the same, a $4,900 contribution would exceed the $4,000 remaining after those needs by $900.
• Illustrative inflation example: Monthly income of $4,200 rises by about 5% to roughly $4,400, while monthly rent rises by 20%. Although gross-based tithing would increase from $420 to about $440, the household may have less purchasing power than before.
• Debt risk: Brewster and the hosts describe families carrying credit-card balances to meet a perceived gross-income obligation. They argue that this can deepen financial strain and delay routine maintenance, medical care, or other important expenses.
• Church assistance and participation: Brewster argues that clearer guidance could help more members remain financially stable and participate in church activities. He presents this as a potential benefit, not a quantified outcome.
• General Authority compensation: Brewster cites a 2014 compensation figure of $120,000 and estimates a later equivalent of roughly $145,000–$160,000, using assumed annual increases of 2–3%. He notes that benefits are not fully known and uses the example mainly to discuss institutional modeling and the distinction between a living allowance and members’ fixed household incomes.

Concrete examples and recommendations

Brewster recounts a missionary couple who welcomed the message but rejected it after being told about tithing, explaining that they were retired and could not make the numbers work. He argues that a more open explanation of individual discretion might have kept the conversation from ending there.

He also shares examples of members facing emergencies and notes that local assistance varies. Leaders should not assume Church aid will reliably cover a household’s shortfall.

His practical recommendation for individuals and leaders is to work from an honest household budget, identify essential needs, understand the applicable Church guidance, and make contribution decisions without relying on debt or guilt. He stresses that the discussion is not a directive about whether to pay or whom to pay, but an argument for informed individual discernment.

Presenters and sources

Presenters: Rebecca and Landon, hosts of Mormonish Podcast; guest Aaron Brewster, an accountant and faithful Latter-day Saint.

Sources cited in the episode: Doctrine and Covenants 119; the 1970 First Presidency letter on tithing; a 2008 New Era article; the Church’s General Handbook guidance on assistance; talks by Elder Lynn G. Robbins, Wendy Nelson, President Russell M. Nelson, and Elder David A. Bednar; and compensation documents discussed by Brewster.