Budgeting is considered a necessary and sometimes frustrating process. Here is a seven-step plan to be more effective in creating the guardrails for your ministry.
Deborah Ike · January 16, 2018
The budgeting process probably isn’t your favorite ministry activity. In fact, you may question my use of the word “ministry” in association with developing a budget. However, the act of planning for your church’s financial future supports the ministry and vision of your church.
As the chief operations manager at First Baptist Tulsa, Bobby Hart guides the staff and key volunteer leaders through their budgeting process. He puts it this way, “
Budgets create accountability between ministry leaders and the church at large, and therefore increase trust.”
We can all agree that budgeting is a necessary and helpful process, however, it can be frustrating without a plan.
Here are seven steps to make your budgeting process more effective and less stressful:
Step #1: Gather the facts
- Consider what you’ve done in the past and research what other churches have had success in doing.
- Review your church’s financials for the last 3-5 years and study the trends.
- What did you spend money on and when for each department or ministry program?
- How much money came in and from what sources?
- Obtain a church staff compensation study to see if what you’re paying staff members aligns reasonably with what other churches are doing.