budgeting your church for 2022
TRANSCRIPT
Budgeting Your Church for 2022Three approaches to a proper budget -- the key to your church’s financial health and long-term stability
MAX H. HERR, MACSBC Ministry Specialist for HR & Church Compliance
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
2
Budgeting is your church’s backbone. . .
A budget is a road map to where the church is headed and what it will take to get there, not the Ten Commandments carved into stone►Should be bold and imaginative►Must be reasonable and realistic►Detours should be expected, if not planned
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
3
A Chart of Accounts is your starting point
All accounting systems are dependent on a numeric “Chart of Accounts” to keep track of revenue and expenses and assets and liabilitiesA Chart of Accounts should be “deep” enough to accurately reflect the most important details, but not so deep as to be cumbersome
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
4
A Chart of Accounts is your starting point
Failure to adequately structure a Chart of Accounts results in►Financial reports that are a mess► Information and detail that is hard to see►Confused reporting that does not instill
confidence in donors
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
5
A Chart of Accounts is your starting point
Without a real structure to their COA, many churches just keep adding line items with whatever number is next in orderA proper COA will usually be structured into four or more basic components:
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
6
Chart of Accounts basics
►Cash Assets (Bank & Investment accounts)►Checking, Savings, Payroll
►Accounts Payable & Designated Funds (also known as Liabilities)
►General Fund & Restricted Funds►Revenue►Expenses
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
7
In a proper COA, revenue will usually be organized into three or more key categories:
Chart of Accounts basics
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
8
Chart of Accounts basics
►Regular Revenue► Tithes & Anonymous giving (“Loose Plate”)
►Designated Revenue►Restricted Revenue►Miscellaneous Revenue►Non-church Revenue (school, daycare, etc.)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
9
In a proper COA, expenses will usually be organized into six or more key categories:
Chart of Accounts basics
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
10
Chart of Accounts basics
►Kingdom work categories►Fellowship, Ministry, Missions, Worship
►General Operating expenses►General Office expenses►Personnel expenses►Non-church expenses (school, daycare, etc.)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
11
Chart of Accounts basics
Organizing a COA into various “funds” is key►“Fund” numbers for each reportable item ►A better structure divides money/assets
into appropriate reporting groups►Assets and liabilities are properly identified►Revenue and expenses are clearly separated
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
12
Chart of Accounts basics
Organizing a COA into various “funds” is key►1000s are Deposit accounts / Invested assets►2000s are AP Liabilities / Designated funds►Designated funds = temporarily restricted
►3000s are General Fund / Restricted funds►Restricted funds = permanently restricted
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
13
Chart of Accounts basics
Organizing a COA into various “funds” is key►4000s are Revenue►5000s are Program and Operating Expenses►6000s are Personnel Expense ►Higher sequential groups as needed are OK
(7000s for a school, 8000s for a food bank)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
14
Annual Budget
Use the Chart of Accounts as the format for the Annual Budget►Revenue placeholders for each type of
revenue and designated or restricted fund ►Expense placeholders for every line item
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
15
Annual Budget
Preparing next year’s budget should be a deliberate process►Start in July, complete by September►Must know where you stand at mid-year►Must know what your ministry focus and
intentions are for the coming year
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
16
Annual Budget
Always begin with allocations for Kingdom work –the most important aspect of any church budget ►Fellowship activities►Ministries and mission activities►Worship and tech
These are the “attractive” elements of the church
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
17
Annual Budget
Then add in the General Operating, General Office, and Personnel expensesThese are the “unavoidable” elements of the church’s spending (unavoidable does not mean uncontrollable)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
18
Annual Budget
Once the expenses have been determined, the budget must be “balanced” with an equal amount of revenue►Regular Revenue►Designated & Restricted Revenue►Miscellaneous Revenue
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
19
Three Methods of Budgeting
Proper budgeting must begin on the expense sideYour spending will be determined using one of three common methods of budgeting► Traditional (incremental) ►Activity-based ►Zero-based
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
20
Traditional Annual Budget
In this method, the church simply looks at its current year budget and estimates increases, decreases, or maintains the same line item needs► Token increases usually based on inflation►Occasionally, new items may be added
and some items might be deleted►Major structural changes are uncommon
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
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Traditional Annual Budget
Increases should be expected and factored in for known and fixed expenses►Utilities, property taxes, insurance, debt►Personnel – pay and benefits, FICA►Any expanding ministries
Then remaining line items are funded as needed
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
22
Traditional Budget Advantages
Budgets are simple to establish and adopt►Few items, if any, are added or deleted►Generally assures continuity of existing
programs and ministries (good or bad)►Large spending deviations from current
or prior budgets are uncommon
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
23
Traditional Budgeting Disadvantages
Budgets are sometimes unimaginative►Often results in perpetuation of ineffective
ministries or programs►Does not envision growth of Kingdom work
or new ministries – discourages “risk taking”►Does not reflect any need for change►Often leads to “deferred maintenance”
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
24
Activity-based Annual Budget
Begin by evaluating and funding all aspects ofKingdom work►What is the “profitability” to the church?►How will this impact our community?►Will the results be definite and measurable?►Will this attract – and retain – new visitors
and members?
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
25
Activity-based Annual Budget
Then analyze and determine actual ministry needs in relation to specific ministry objectives►Paper, printing supplies, promotional expense►Other “consumables” (VBS “kits,” etc.)►Participation expenses (admission fees, meals
and snacks, refreshments, rentals, “swag”)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
26
Activity-based Annual Budget
The final step is to determine overhead expenses –costs that may or may not be easily controlled►Personnel expenses, operating expenses►Preventive maintenance, repairs, new work► Insurance – property, liability, workers’ comp ►Advertising, publicity, social media
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
27
Activity-based Budget Advantages
►Aligns ministry activities with ministry goals –the “profitability factor”
►Does not consider past or current year expenses as a starting point
►Generally intends to eliminate ineffective programs and otherwise wasteful expenses
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
28
Activity-based Budget Disadvantages
►Requires time and effort►Ministry leaders may not be interested in or
capable of researching ministry needs ► Inadequate understanding or anticipation of
ministry needs will result in improper resource allocation (too much or too little)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
29
Zero-based Annual Budget
Every expense line item begins with $0 budgetEach line item must be analyzed and justified► Is it necessary? Why? What is the value?►How will 2022 be different compared to 2021?►Why is an increase being requested or
recommended?
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
30
Zero-based Annual Budget
The value and “vitality” of a project’s expense determines its ranking and level of funding►Ministry leaders research and submit their
needs with justification for their expenses►Avoids “special interests” – Does a funding
request really further the church’s purposes?
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
31
Zero-based Budget Advantages
►Budgets are tightly constructed with minimal “waste” or “excess” allocations
►Allocations are always justified by research or demonstrated by sound reasoning
► Ineffective programs are eliminated, leading to cost-savings
►“Profitability” is of secondary importance
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
32
Zero-based Budget Disadvantages
►Significantly more time consuming and research intensive, can be costly
►Staff and ministry leaders may not have the skills, knowledge, or desire to perform adequate research
►Justifying every line item is often complex
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
33
General Expenses
Regardless of the method of budgeting, save Operating, Office, and Personnel expenses for last►Usually the largest expense categories► Typically 50%-60% of a total combined
budget (ideally, should never exceed 70%)►Place at the end of the expense section
of budget and financial reports
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
34
Wages are not the only element of a Pastor’s compensation
A pastor’s total compensation package often includes two or more of several specific items► Taxable Wages►Nontaxable Housing Allowance►Benefits►Accountable Reimbursements
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
35
Revenue . . . the enabling portion of the budget
Never create a budget with a “bottom line” surplus or shortfall after all the math is done►Expenses must be balanced with additional
“regular revenue”►Revenue surplus must be offset by other
expense line items or must be reduced . . . revenue minus expenses = $0.00
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
36
Revenue streams
Isolating revenue according to types is beneficial for both church leaders and the congregation►“Regular” supports the overall budget►“Designated” funds ministries and missions►“Restricted” funds capital projects►“Miscellaneous” is unexpected or unclassified
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
37
Regular revenue
Isolating revenue according to types is beneficial for both church leaders and the congregation►“Undesignated giving” (tithe/envelopes) from
known donors should be reported separately from “loose plate” (anonymous) giving – but it’s all known as regular revenue
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
38
Designated revenue
Isolating revenue according to types is beneficial for church leaders and the congregation►“Designated giving” reduces General Fund
expense of the church’s “kingdom work”►Denominational offerings should be offsetting► These are “discretionary” revenue streams and
are not used to balance the budget
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
39
Restricted revenue
Isolating revenue according to types is beneficial for church leaders and the congregation►“Restricted giving” is derived from donations
solicited for an approved special purpose, such as a capital projects campaign
► The church should refuse unsolicited funds earmarked for an unexpected purpose
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
40
Restricted revenue
Isolating revenue according to types is beneficial for church leaders and the congregation►Restricted giving must be strictly accounted
for and separated from the General Fund – it cannot be used for General Fund expenses
► Ideally, restricted funds will be held in a separate (savings/money market) account
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
41
Miscellaneous revenue
Isolating revenue according to types is beneficial for church leaders and the congregation►Miscellaneous revenue is unanticipated
General Fund money that is not a regular, designated, or restricted revenue item –grants, insurance claims payments or refunds, bank interest on savings, etc.
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
42
Let’s get to work . . . Creating the Annual Budget
Using your Chart of Accounts, create a form or spreadsheet that lists all of the revenue and expense items in your accounting programTaking your January through June financial reporting into account, begin plugging in fixed expense estimates for the coming year
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
43
Creating the Annual Budget
Fully fund your Kingdom work expenses – obtain budget requests from pastor and staff, ministry leaders, committeesSet goals for denominational offerings, CP giving, Association support, and your church’s own local mission work . . . fixed dollars or percentages of monthly Regular Revenue
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
44
Creating the Annual Budget
Make adjustments for known or anticipated increases in property tax, insurance, and utilities expenses, rent, or other fixed/recurring expensesCalculate increases in personnel expensesPlan for any major repairs or facilities expenses . . . failure to fix things now = deferred maintenance
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
45
Creating the Annual Budget
Once all expenses are plugged in, add them up . . . that’s how much total revenue you need for a balanced budgetSome revenue may be anticipated as designated or restricted giving, the majority needs to come as Regular Revenue . . . tithes and loose plate giving
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
46
Creating the Annual Budget
If you are using percentages to calculate CP and Association support, and/or local missions savings, consider “grossing up” the Regular Revenue needed so that this important giving does not reduce the church’s budgeted resources for Kingdom work
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
47
Let’s look at some examples
Presenting the Annual Budget►Printed large and easy-to-read►No need to compare to prior year’s budget► should indicate whether the total
proposed budget is an increase or decrease from the prior year ($ and/or %)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
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CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
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CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
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ts (M
alay
sia)
12,0
00W
ORS
HIP
25,3
003.
8862
%54
00-0
01-0
0*
Misc
ella
neou
s Exp
ense
s50
0
F
low
ers &
Dec
orat
ions
5400
-002
-00
* G
reet
ers/
Ush
ers/
Firs
t Im
pres
sion
500
Misc
ella
neou
s Exp
ense
s54
00-0
03-0
0*
Per
form
ing
Arts
Min
istry
6,80
0
P
rodu
ctio
n Ex
pens
es
P
erfo
rman
ce G
roup
s
W
orsh
ip S
ervi
ces
Misc
ella
neou
s Exp
ense
s54
00-0
04-0
0*
Pra
ise &
Wor
ship
Min
istry
17,5
00
M
inist
ry L
icen
ses/
Mem
bers
hips
/Sub
scrip
tions
Inst
rum
ents
& E
quip
men
t
S
ound
Tec
hnol
ogy
Sun
day
AM W
orsh
ip E
xpen
ses
Misc
ella
neou
s Wor
ship
Tea
m E
xpen
ses
Offs
et b
y Do
nor F
undi
ng
Offe
ring
Expe
nses
are
dire
ctly
offs
et b
y
Offe
ring
Reve
nues
Incr
ease
s Reg
ular
(Tith
e) R
even
ue
to re
flect
15.
0% to
tal g
ivin
g
FBCW
V 2
018
Budg
etA
dopt
ed (R
evis
ed)
Page
3 o
f 6 p
ages
v4
(rev
11-
5-20
17)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
Acco
unt D
escr
iptio
n (*
Pre
fix if
Titl
e)Re
venu
eEx
pens
es
GEN
ERAL
OPE
RATI
NG
EXPE
NSE
112,
850
17.3
341%
5510
-000
-00
* A
d Ho
c Co
mm
ittee
s55
10-0
01-0
0
Co
mm
ittee
Exp
ense
s25
055
20-0
00-0
0*
Bui
ldin
g &
Gro
unds
Com
mitt
ee55
20-0
01-0
0
C
omm
ittee
Exp
ense
s10
055
20-0
03-1
5
S
peci
al P
roje
cts
12,0
00
5530
-000
-00
* C
hurc
h Re
latio
ns C
omm
ittee
5530
-001
-00
Misc
ella
neou
s Exp
ense
s10
055
40-0
00-0
0*
Exe
cutiv
e Co
unci
l55
40-0
01-0
0
C
omm
ittee
Exp
ense
s1,
000
5550
-000
-00
* T
rust
ees
5550
-001
-00
Misc
ella
neou
s Exp
ense
s20
055
60-0
00-0
0*
Fac
ilitie
s Mai
nten
ance
5560
-001
-00
Lan
dsca
ping
Ser
vice
15,0
0055
60-0
02-0
0
P
est C
ontr
ol S
ervi
ce
1,80
055
60-0
03-0
0
Ja
nito
rial S
ervi
ce14
,500
5560
-004
-00
Tre
e Se
rvic
e3,
000
5560
-005
-00
Phy
sical
Pla
nt M
aint
enan
ce27
,500
(I
nclu
ding
: Doo
r Mai
nten
ance
, Flo
or C
are,
HVA
C Se
rvic
e,
H
ouse
keep
ing
& Ja
nito
rial S
uppl
ies,
Lan
dsca
ping
Sup
plie
s,
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king
Lot
Mai
nten
ance
, Rou
tine
& E
mer
genc
y Re
pairs
)55
70-0
00-0
0*
Util
ities
5570
-001
-00
Ele
ctric
ity13
,000
5570
-002
-00
Gas
500
5570
-003
-00
Pho
ne &
Inte
rnet
3,00
055
70-0
04-0
0
T
rash
2,00
055
70-0
05-0
0
W
ater
6,50
055
80-0
00-0
0*
Pro
pert
y Ta
x55
80-0
01-0
0
P
rope
rty
Tax
4,60
055
90-0
00-0
0*
Ins
uran
ce55
90-0
01-0
0
P
rope
rty
& C
asua
lty In
sura
nce
6,00
055
90-0
02-0
0
W
orke
r's C
ompe
nsat
ion
Insu
ranc
e1,
800
GEN
ERAL
OFF
ICE
EXPE
NSE
12,4
751.
9162
%56
10-0
00-0
0*
Adv
ertis
ing
& P
ublic
ity56
10-0
03-0
0
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ebsit
e Ho
stin
g20
056
20-0
00-0
0*
Gen
eral
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ense
s56
20-0
01-0
0
P
aper
& P
rintin
g Su
pplie
s2,
500
5620
-002
-00
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tage
Exp
ense
2,10
056
20-0
03-0
0
S
oftw
are
& E
quip
men
t1,
500
5620
-005
-00
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ier L
ease
4,00
056
30-0
00-0
0*
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ella
neou
s Ex
pens
es56
30-0
01-0
0
C
redi
t Uni
on C
ash
Man
agem
ent F
ees/
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stm
ents
7556
30-0
02-0
0
C
redi
t Uni
on C
heck
ing
Fees
/Adj
ustm
ents
100
5630
-003
-00
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ella
neou
s Offi
ce E
xpen
ses
1,25
056
30-0
04-0
0
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nlin
e G
ivin
g Tr
ansa
ctio
n Fe
es75
0
Offs
et b
y Fa
cilit
y R
enta
l Rev
enue
FBCW
V 2
018
Budg
etA
dopt
ed (R
evis
ed)
Page
4 o
f 6 p
ages
v4
(rev
11-
5-20
17)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
Acco
unt D
escr
iptio
n (*
Pre
fix if
Titl
e)Re
venu
eEx
pens
es
PERS
ON
NEL
EXP
ENSE
316,
489
48.6
137%
6000
-000
-00
P
ayro
ll Ta
xes (
SS/M
C)
[Chu
rch]
14
,795
6100
-000
-00
M
iscel
lane
ous P
erso
nnel
Exp
ense
7,00
061
10-0
00-0
0
Gui
deSt
one
Retir
emen
t Mat
chin
g Fu
nds
7,50
062
00-0
00-0
0*
Sen
ior P
asto
rM
o/2
6bi
wee
kly
*12
6201
-000
-00
Wag
es (S
ubje
ct to
Rev
ision
)24
,000
2,00
0.00
923.
0769
6202
-000
-00
Hou
sing
Allo
wan
ce (S
ubje
ct to
Rev
ision
)35
,600
2,96
6.67
1369
.230
862
04-0
00-0
0
A
ccou
ntab
le R
eim
burs
emen
ts8,
400
700.
0032
3.07
692,
615.
3868
,000
.00
6250
-000
-00
* A
ssist
ant P
asto
r62
51-0
00-0
0
W
ages
(26,
232)
(7,2
68)
33,5
002,
791.
6712
88.4
615
1,28
8.46
33,5
00.0
062
52-0
00-0
0
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ousin
g Al
low
ance
14,0
0063
00-0
00-0
0*
Min
ister
of D
iscip
lesh
ip &
Adm
inist
ratio
n63
01-0
00-0
0
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ages
67,5
005,
625.
0025
96.1
538
2,59
6.15
67,5
00.0
063
02-0
00-0
0
H
ousin
g Al
low
ance
065
00-0
00-0
0*
Per
form
ing
Arts
Dire
ctor
6501
-000
-00
Wag
es22
,000
1,83
3.33
846.
1538
846.
1522
,000
.00
6600
-000
-00
6601
-000
-00
6,19
451
6.17
238.
2308
238.
236,
194.
0067
00-0
00-0
0*
Chi
ldre
n/Yo
ung
Adul
ts M
inist
ries
6705
-000
-00
Wag
es (M
inist
er to
Chi
ldre
n &
Fam
ilies
)47
,500
3,95
8.33
1826
.923
11,
826.
9247
,500
.00
6706
-000
-00
Wag
es (M
inist
er to
Stu
dent
s/Fi
nanc
ial S
ecre
tary
)27
,500
2,29
1.67
1057
.692
31,
057.
6927
,500
.00
6800
-000
-00
* S
uppl
y Pe
rson
nel
786.
0068
02-0
00-0
0
P
ulpi
t Sup
ply
500
6803
-000
-00
Wor
ship
Lea
der S
uppl
y50
0
Reve
nue
Expe
nses
Reg
ular
Rev
enue
562,
108
10,8
109,
729
8,64
8D
esig
nate
d G
ivin
g
85
,650
1,64
71,
482
1,31
8M
isce
llane
ous
Rev
enue
3,27
063
5750
TOTA
LS
65
1,02
865
1,02
812
,520
11,2
6810
,016
2018
Gro
ss R
even
ue
651,
028
651,
028
585,
925
520,
822
Less
Des
igna
ted
Giv
ing
($8
5,65
0)
565,
378
Less
Den
omin
atio
nal G
ivin
g (
$49,
164)
51
6,21
464
7,53
8
2017
Bud
get
Less
5%
Tra
nsfe
rs fr
om G
ener
al F
und
to L
ocal
Mis
sion
s Fu
nd
($24
,582
) 49
1,63
265
1,02
8
2018
Bud
get
0.54
%
Incr
ease
(Dec
reas
e)
** D
enom
inat
iona
l Sup
port
(15.
00%
) bas
ed o
n ne
t Und
esig
nate
d Re
venu
e
of
$49
1,63
2 (t
he a
mou
nt n
eede
d to
fund
all
prog
ram
s in
addi
tion
to
antic
ipat
ed m
iscel
lane
ous a
nd d
esig
nate
d re
venu
e)
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aaaa
aa
aaaa
aa [
651,
028
– 85
,650
– 7
3,74
6 =
491,
632
]
Wee
kly
Nee
d10
0%
Bu
dget
90%
Budg
et80
%
Budg
et
Dire
ct C
hurc
h lia
bilit
y fo
r Soc
ial S
ecur
ity &
Med
icar
e
*W
orsh
ip D
rum
mer
Wag
es
FBCW
V 2
018
Budg
etA
dopt
ed (R
evis
ed)
Page
5 o
f 6 p
ages
v4
(rev
11-
5-20
17)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
8,50
050
,750
124,
664
25,3
00
112,
850
12,4
75
316,
489
FELL
OW
SHIP
1
.31%
MIN
ISTR
Y
7.7
9%
MIS
SIO
NS
19.
15%
WO
RSH
IP
3.8
9%
GEN
ERA
L O
PERA
TIN
G E
XPEN
SE
17.
33%
GEN
ERA
L O
FFIC
E EX
PEN
SE
1
.92%
PERS
ON
NEL
EXP
ENSE
48.
61%
Firs
t Bap
tist
Chu
rch
of W
alnu
t Val
ley
2018
Ado
pted
Bud
get (
v4 F
inal
Rev
ised
)
Tota
l: 1
00.0
0%
FBCW
V 2
018
Budg
etA
dopt
ed (R
evis
ed)
Page
6 o
f 6 p
ages
v4
(rev
11-
5-20
17)
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
49
Summary
►Establish a good Chart of Accounts►Know where you want to go in 2022►Create a properly organized spreadsheet
or report form ►Obtain budget requests from ministries ►Plug in fixed expenses based on actuals
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
50
Summary
►Set goals for denominational support and annual denominational offerings
►Plug in reasonable designated giving targets►Calculate additional regular revenue
needed to balance the budget►Prepare final budget for presentation
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes
Questions and Answers
51
Feel free to contact the CSBC Human Resources& Church Compliance Ministry for answers to your questions
You can reach us 24/7 by phone at (559) 256-0858 or by email to [email protected]
CSBC HR & Church Compliance Ministry by Max H. Herr July 21, 2021
Budgeting for 2022 Webinar Notes