The accounting cycle of the church has daily, weekly, monthly and yearly components. A good accounting system and procedures are very important as it ensures that sound decision making can be made based on accurate and timely financial reporting.
Inadequate controls in any one area of the accounting cycle will jeopardize the integrity and accuracy of the entire accounting system and its reporting.
ROLES & RESPONSIBILITIES – The Church
The Role of the Church. The Church should be the example to its members of Biblical stewardship and financial accountability. The subject of finances and principles should be discussed and taught on a continual basis.
The Responsibility of the Church. The Church as a Trust is responsible to steward the funds that are entrusted to it for the purpose of advancing the gospel, taking care of the poor, and offering another way for the world to live.
The focus and success of the Church is not based on its ability to make a profit or to stockpile funds. A healthy functioning church will find responsible and fruitful ways to spend the majority of its funds every year.
ROLES & RESPONSIBILITIES – The People
There are three key roles in the administration of the church:
Pastor and Council. The pastor and council are ultimately responsible for the accounting and administration of the church. They are to ensure that detailed books and records are kept by the church and that the collection and disbursement of funds is done with accuracy and integrity.
Council Treasurer. The treasurer is assigned by the pastor and council and provides accurate reporting to the council, Foursquare national office and the CRA. This person should not necessarily be the same person who maintains the books but should be the main oversight of the bookkeeper.
Bookkeeper/Administrator. The bookkeeper is assigned by the pastor and/or treasurer. This person should have a good understanding of accounting principles and processes. They are responsible for the day to day functions and to report to the treasurer.
SPIRITUAL GIFT OF ADMINISTRATION
The area of church administration is part of the spiritual life of the church and God equips people with the spiritual gift of administration.
1 Corinthians 12:4-6 – There are different kinds of gifts, but the same Spirit. There are different kinds of service, but the same Lord. There are different kinds of working, but the same God works all of them in men.
1 Corinthians 12:28 - …those with gifts of administration…
People with this gift think Administration is FUN!
They consider this their service to the Lord and a ministry
They are fulfilled and filled through their work
If released, they can bring huge positive change and blessings to the church