FINANCIAL POLICIES AND PROCEDURES
The church’s financial policies and procedures encompass the following:
- Income generation procedures
- Custody of funds
- Remittance procedures
- Expenditure procedures
- Auditing and monitoring
- Budgeting
- Reporting
INCOME GENERATION PROCEDURES
The sources of income are the following:
- Tithes: This is collected from all members. It is ten percent (10%) of all income according to Malachi 3:8-10. It is mandatory for all church members.
The prescribed form of tithe collection is by the use of tithe boxes which should be made of steel with three (3) separate locks. Keys to the locks are to be kept by three different people and the three of them must be present before the box can be opened. The people who are authorized to keep and open the tithe boxes are.
- The pastor in charge of the church
- The Treasurer
- The Secretary
- Sunday (Love) Offering: It is collected during Sunday services. It is collected by the ushers using offering bags/baskets. The counting of the offering should not be left to the ushers alone. Reputable members of the parish should be co-opted to form the finance committee to count’s financial records and reports. Collection sheets should be prepared and signed by the counters immediately after the counting and in duplicates. The collection sheets (counting sheets) should be printed and pre-numbered.
- Mid-week Offering: These are offerings collected during midweek regular services, that is, bible study and prayer meeting. The offerings are collected, counted and recorded in the same way as the Sunday love offering.
- Thanksgiving Offerings: They are collected during thanksgiving on the first Sunday of every month and also on the first Sunday of every year (annual thanksgiving).
- Gospel Funds: Collected during Sunday workers services, part of which are remitted to support the mission gospel outreaches such as the television program.
- Special Program Offerings: Collected during special programs organized by the church. These offerings should be collected, counted and recorded in the normal procedures as other offerings. It belongs to the church NOT to the pastor organizing the program.
- Project Offerings: Collected for special projects. It should be similarly treated as offering and MUST be used for the purpose for which it was collected.
- Grants, Gifts and Donations: Collected from individuals, other churches, provinces and headquarters. It should be properly recorded and used for the purpose for which it was collected.
- Investment Income: Ventures like bookshop, snacks shop etc., run by churches are expected to be profitably managed to yield income which can be used to support the work of God in the church. Proceeds realized should be judiciously used.
- Vows and Pledges
- Seed Offering
- Others
(2) CUSTODY OF FUNDS
Church funds are to be kept (in the bank) by the church treasurer, who should be a person of integrity prayerfully chosen by the pastor in charge. Such person should be literate and capable of keeping financial records and preparing regular reports. It is advisable that male Pastors should appoint male treasurers.
The church treasurer is co-signatory to the church account and keeps the cheque books. The Pastor must not be a sole signatory to the church account or be able to make withdrawal from the church account alone.
Recent Comment