Right now as we near the end of summer churches are asking, what do you do when you are behind budget? A few years ago I received a newsletter from a church that stated they were $130,000 behind budget going into the fourth quarter! That is a lot of ground to make up. I pray you are not that far behind but chances are after the summer slump you might well be finding yourself behind. So, what do you do? Here some thoughts…
First, when you are behind it pays to know why. Sometimes bad weather puts you behind. However if you are more than two weeks offerings behind budget I doubt the weather is the reason. With consumer confidence at an all time high it isn’t the economy. Finding out what the reason is for your shortfall might not solve today’s problem but it could keep you from the same problem next year.
My guess with the church I have mentioned at the start is that they were overly optimistic in their budget projections. If you are missing badly your current budget you need to come out with a better more realistic budget for the new year. Donors will reward fiscal responsibility. If you regularly over state your budget needs they will not respond well. You have to show them you know how to run the business side of the church. Fiscal responsibility is one of the key reasons people give to churches and charities.
Unless Warren Buffett is a member it is doubtful that you can close a large gap. The church that is over $130 K behind might have had a large donor that gave the bulk of their gift in the fourth quarter. Most churches see a huge December offering. However it would be unrealistic to think you could make up more than a 10% shortfall in your budget. If you are more than 10% behind going into the fourth quarter my advice is to not push hard to close the gap. Pushing hard to close the gap gives the impression that you are desperate. People think twice before pouring money down a hole. Don’t come off as being on the verge of going down the hole.
Have a positive fourth quarter plan to bring in as much as possible. A church that is over $130 K behind in their budget really does not have a stewardship plan in place. In most churches rarely is stewardship mentioned or focused on other than if they do an annual campaign every fall. Seldom is there a sermon on giving. Without a plan of action you are planning on failing. While you might not close the gap that now exists at your church you can still raise significant dollars. Here are some things I would do if you are more than two weeks behind budget…
- Revise the rest of this years budget. You are not going to make it so why keep it as a mark you cannot hit.
- Preach a positive sermon series on stewardship. Positive, not guilt ridden or desperate sounding.
- Use every offering time as a stewardship teaching moment. If you subscribe to my free weekly newsletter, The Stewardship Coach, you get one each week for free.
- Incorporate lay testimonies into your service showing the positive benefits of giving.
- Focus each week on a ministry of the church and tell how members gifts support that cause.
- Prepare a compelling appeal letter focusing upon all the positive things the church does and asking members to give.
It might not be that a church $130 K behind can make up much ground. Sitting around wringing your hands will not close the gap. Nor will desperate appeals work. If you are behind think of a plan of action that will allow you to end the year on the best footing possible. Then start planning for a realistic budget for next year and an aggressive stewardship plan of action.
Mark Brooks- The Stewardship Coach