The Steward's Prophet

Finance for Faith Communities

a project of Congregational Finance LLC -- Rev. Karen McArthur, editor

Entire contents
© 2007-2012
Rev. Karen McArthur
Please inquire for permission to reprint any part of this website.

The Steward's Prophet
PO Box 80035
South Dartmouth, MA 02748

Budgeting

The budgeting process is an essential part of the planning process for a congregation.

• The usual operating budget period is for one year.
• The budget should be approved before the year begins.
• The budget should fit onto one page.

In the congregational tradition, the congregation votes to approve the budget. A simpler "summary budget" with fewer line items respects the congregation's authority. That is, if the congregation votes a budget with $20,000 for Christian Education, then it trusts the committee will make the best use of that money and will report back to the congregation regarding how it was spent. If, instead, the congregation votes a detailed budget that includes $16,000 for salary, $2800 for curriculum, $500 for snack and $700 for Sunday School craft supplies -- but then the committee decides to spend $400 for snack and $800 for supplies, then the committee would need to go back to the congregation to ask for approval for a budget amendment. Voting a summary budget takes the congregation's authority seriously.