How to Make a Church Budget

Creating a church budget takes time to set up. You have to compile information from several departments and take a look at overall donations. You need to know a basic budget structure so you can fill in pertinent information.

Open a word-processing program to begin creating a budget. Make sure all departments are aware they need to submit expenses to you. Ask each department to let you know if it has money left over from year to year or if it is in need of more money.

Start off with obvious expenses such as gas, electric, phone, water, sewer and Internet access. These expenses are the ones for which you must have allocated money.

Continue with expenses for the building and what you think you need for any repairs during the year. Include money for anticipated renovations or unexpected repairs that may occur.

Add in your clergy's salary and any associate clergy you may have on staff. Include their health plans, housing allotments, pension and traveling expenses. List all other salaries of paid workers of the church such as the maintenance person and the secretary. Most churches also pay organists, choir directors and even some nursery workers.

Create a category for supplies such as paper, bulletins, postage, Bibles, Bible-study materials and Sunday-school materials. Categorize this as office expenses.

Add the totals from various committees such as the evangelism committee, missions committee, children's ministry, benevolence ministry and youth group. Each group should tell you how much money it feels it needs for the next year.

Add miscellaneous expenses for unforeseen items the church may need.

Gather together the records of past giving for a year. Compare that to the totals you have from all of your listed expenses.

Warnings

  • Once you create your budget, hire an accountant to keep up with the deposits and withdrawals. The accountant can keep track of every department and make sure your taxes are filed correctly. This keeps you from ending up with any fees from the Internal Revenue Service.

About the Author

Alicia Bodine is a New Jersey-based writer specializing in finance. With more than 13 years of experience, her work has appeared in LendingTree, GoBankingRates, Sapling, Zacks and budgeting.thenest.com.