Why The Church And Religious Nonprofit Organizations Develop A Philosophy Of Financial Operation

Why The Church And Religious Nonprofit Organizations Develop A Philosophy Of Financial Operation

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“Budgeting is the process of allocating resources towards goals by expressing the church’s focal dream in dollars” (Bruce Powers Handbook). Ministry budgeting is based on people. The size of a church has little to do with the ministries it performs; however, planning does. This budget or planning can be used by a church of a hundred members just as easily as it can be used by a church of thousands of members or more (Powers. Pg.135).
There are three important reasons for the church or religious nonprofit organization to develop a philosophy of financial operation that are to be conducted professionally and in good order.
1) It is a Christian principal. Jesus speaks often of the faithful steward, and stewardship to ministry is addressed frequently in the New Testament. Jesus made it clear that we are to be responsible in the resources-spiritual and practical-that we have been given. The New Testament teaches that Christian should always conduct themselves in prudent and resourceful ways.
2) The people of the church expect it. More church problems have come about through poor money management techniques than any other administrative difficulty. Not that those individuals were dishonest: they just did not exercise good accountability principles.
3) Poor money management can be a violation of federal, state, or local law. The church and nonprofit organization has certain obligation for personal financial records with regard to federal tax and social security laws as well as an obligation to handle properly charitable contribution to the organization (Welch.pp.149-50)
The necessary steps to develop a budget are:
Training a committee. A stewardship or finance committee, or some similar group, should be selected and trained to give vita...


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...ffected compared to the traditional ways of evangelism. A small group is a face to face gathering of 3-12 people on a regular time schedule where a sense of accountability to each other and Jesus Christ is presented. Members’ homes are available at no cost but are part of the overall church congregation. Space is available for visitors and new members. These groups are known by a variety of names such as, growth groups, care group, life groups, and fellowship groups.
The key elements of this definition are:
• It is task oriented to carry out specific function.
• There is no cost to the church.
• It helps the group members stay focused on evangelism and encourage regular pray for unbeliever.
• Open groups are outreach friendly and a proofing tool for multiplication. (The explosive church to the Third Power) Faithful over a Few Things. By George O. McCalep Jr, PH.D).

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