Annual Church Expenses - how much goes into actual programs?

[Norayr Hajian]

I am a little dismayed. Our new fiscal year is just around the corner and I'm wondering how our financial picture compares with others (in terms of percentages).

It seems that Salaries (of which, most is mine), Building Expenses, Operational Expenses (office supplies, telephone, church van insurance, that sort of thing) and all our District Budgets combined will account for 96% of our expenses. That leaves 4% for children's, youth, and adult ministries (meaning things like Caravans, Children's programs, Sunday Schools, any outreach we would do, Bible Studies, VBS, Youth Group support, etc, etc).

This bothers me. I know all the "other" expenses are valid and necessary (and some of them are very much ministry orientated), but still, it bothers me.

What kind of percentages do other churches have? What percentage of expenses go to actual ministry type programs?

[Mike Schutz]

If I accepted your premise, and did not count the salaries of our children's pastor, youth pastor, and compassionate ministry director (all of whom are part-time) into the calculations, then we would be a little less than your percentage - as we have cut expenditures in every program this year. However, I do not accept the premise.

[Norayr Hajian]

Thanks, Mike. I don't accept the premise either (if that's possible - since I made it). I know that all these people are part of our ministry. But someone who is not so understanding could look at the books and wonder why we spend so little in actual program costs compared to how much we spend in keeping everything going.

Again, I realize that a pastor or youth pastor, etc, is doing more than "keeping everything going" - they ARE involved in ministry (or better be). But still, I wonder.

Let's see what others come up with!

[Dave McClung]

I am a little dismayed. Our new fiscal year is just around the corner and I'm wondering how our financial picture compares with others (in terms of percentages).

It seems that Salaries (of which, most is mine), Building Expenses, Operational Expenses (office supplies, telephone, church van insurance, that sort of thing) and all our District Budgets combined will account for 96% of our expenses. That leaves 4% for children's, youth, and adult ministries (meaning things like Caravans, Children's programs, Sunday Schools, any outreach we would do, Bible Studies, VBS, Youth Group support, etc, etc).

This bothers me. I know all the "other" expenses are valid and necessary (and some of them are very much ministry orientated), but still, it bothers me.

What kind of percentages do other churches have? What percentage of expenses go to actual ministry type programs?I am not sure how you define what is in the 96%. We would define "operational expenses" to include the things that you say are left out.

These are "rough numbers":

We spend about 20% on salaries (Senior Pastor and part-time music director, children's director and youth director.

We spend about 20% on building and facilities.

We spend about 20% on "others". Typically we have given abotu 13% to WEF, 3% to disrict, 2.5% to Education, 2% to P&B, and 1% to "Helping Hand." The "Helping Hand" fund provides help to folks in times of crisis and fund a food bank.

Another 20% is spent on "ministry" activities.

We have been investing about 20% in a reserve fund for future building plans.

[Norayr Hajian]

We spend about 20% on salaries (Senior Pastor and part-time music director, children's director and youth director.

We're spending closer to 74% for salaries.

I am really impressed by your church putting 20% in a reserve fund for future building plans. We've done some major upgrades in the last couple years, only because of funds that we had in the building fund from the past.