Another important reason to keep records is to make sound financial decisions. A report should be available that shows you how much you spend on expenses compared to previous years.
Outsourcing is a good option. A bookkeeper outsourced can be a great option for smaller churches to medium-sized ones. It will increase the expertise and accuracy of your bookkeeper, as well as lower costs. Let's take a closer look at each of these:
Churches could face serious penalties if they pay workers with 1099s that the IRS determines should be classified as employees.
You can set up a church bookkeeping system to track expenses, income, and assets.
An area of high risk for churches is the lack of internal controls. External auditors can reconcile bank accounts and track deposits and check them. This increases the safety of your congregation's finances.
Atlanta Church Bookkeeping LLC assists clients with complex tax, payroll, and human resource issues. Our tax experts will keep clients up-to-date on the latest developments and trends in tax.
We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.
Working in church accounting, you share the same responsibilities as an accountant in any other organization. You record expenses, track contributions made by the congregation, and monitor spending on various programs. Your duties center around bookkeeping, documenting and controlling finances for a church.
81% of church revenue came from individual donations. 34% of congregations have endowments, which constituted on average 4% of their revenue. Only 2% of churches received revenue from government grants; 12% received finance from non-government grants.
Common Church Budget Categories
Personnel (salaries, benefits, etc.)
Administration (operating expenses)
Facilities and Equipment (utilities, insurance on property, maintenance)
Outreach (missions, evangelism, social events, etc.)