Good stewardship is Kingdom Culture.
By Rose Hamrick, CFO
Steele Creek, North Carolina, US
Effective financial stewardship is essential for the spiritual and operational success of churches. A well-planned budget not only promotes financial stability but also allows a church to fully embrace its divinely appointed mission of making disciples. Within Kingdom Culture, adhering to optimal budgeting practices is the cornerstone to good stewardship.
Align Budget with Mission and Vision. It is important that all expenditures reinforce the church’s mission and vision. The process of aligning financial plans with strategic goals should involve pastors, ministry leaders, and the finance committee. A comprehensive budget stems from thorough strategic planning. Regularly revisiting core values and mission statements is necessary, adjusting the budget as required, and addressing the fundamental questions of why we do what we do (core values), what we do (mission), and how we do it (ministry strategy). This is fundamental to budget planning.
Assess Income and Expenses. Examine financial records to identify historical patterns in giving and spending. Identify all sources of income including tithes, offerings, special donations, fundraising events, and facility rentals. Categorize and monitor expenses including ministry outreach, personnel and benefits, utilities, facility maintenance, and administrative costs. Finally, develop realistic financial projections to avoid overextension.
Implement Strong Financial Oversight and Accountability. Clearly define roles and responsibilities concerning financial decision-making and oversight. Reference GCI’s Financial Management Manual for guidance on financial policies. This manual contains essential information regarding the budget approval process, donation management, spending limits, reimbursement protocols, and more. Conduct independent reviews every three years and utilize current financial tools or software for tracking and reporting purposes.
Foster Transparency and Open Communication. Consistently provide clear and comprehensive financial reporting to the congregation. Sharing the financial narrative is an excellent way to accomplish this. Highlight and celebrate the spiritual impact of giving by sharing testimonials and community outreach successes. This practice not only encourages generosity but also aids in shaping future strategic financial planning, directing resources to fruitful ministry endeavors. Welcome inquiries and promote financial literacy among members.
Encourage and Equip Responsible Financial Stewardship. Promote faithful and consistent giving as a form of worship. Provide teachings on biblical stewardship, budgeting, and generosity. In addition to donations, consider various funding sources, including banking options such as short-term high-yield CDs (Certificate of Deposit), legacy gifts, and fundraising initiatives.
Biblical Foundation for Financial Stewardship
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- Prioritize heavenly treasures over earthly possessions.
Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal. But store up for yourselves treasures in heaven, where moths and vermin do not destroy, and where thieves do not break in and steal. For where your treasure is, there your heart will be also. Matthew 6:19-21 NIV
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- Embody faithfulness and integrity. Our ability to manage small responsibilities reflects our character and reliability in handling larger responsibilities.
Whoever can be trusted with very little can also be trusted with much, and whoever is dishonest with very little will also be dishonest with much. Luke 16:10 NIV
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- Wisely utilize the gifts God has an entrusted to us. The parable of the talents (or bags of gold) tells a story of a master who entrusts his property to his servants before going on a journey. He gives five talents to one servant, two to another, and one to the last, each according to their ability. Upon his return, he expects them to have used their talents wisely to generate a return. The parable teaches the importance of using one’s gifts and resources responsibly to grow God’s kingdom.
Again, it will be like a man going on a journey, who called his servants and entrusted his wealth to them. Matthew 25:14-30 NIV
These scriptures affirm that our financial practices should demonstrate purpose, trust, and integrity, consistently directing attention toward eternal values and God’s kingdom. By embracing these best practices, local churches can manage God’s resources with wisdom and integrity, sustain financial health, empower ministries, and foster trust and engagement within their congregations. Stewardship transcends mere accounting. It is an expression of worship.
Note: Pastors and treasurers can find more information in the GCI Financial Management Manual in Chapter 2 under Planning and Budgeting.
