How do you handle a budget crunch?

Ken Fong Evergreen Baptist Church of Los Angeles Rosemead, California

Make necessary cuts.

We suffered a serious shortfall in 1999. Our three-year-old church “restart” was creaking under the combination of too much overhead and too few givers. For several months I contemplated my worst fear: firing staff.

As we met to finalize the budget, I was told we still needed to eliminate $100,000. Ministry line items were already cut to the bone. I told the committee, “As hard as this is, we must lay off two associate pastors if we are going to present a balanced budget for approval by the membership.”

This decision caught everyone by surprise. Many members were frustrated that we didn’t allow them the opportunity to increase their giving to prevent the layoffs, but we couldn’t present a seriously unbalanced budget. The two staff members were gracious, but this was very painful. We lost a number of people whom they served.

We have rebounded, but even now, two years later, there is some lingering paranoia about hiring new staff. In the wake of this crucial decision, I believe we did what we had to do.

Daniel Bohlman Yellowstone and Apple Grove Lutheran Churches Argyle, Wisconsin

Teach and pray.

$1.65. That’s what we had in the church’s account. The number shocked the council.

Rural ministry is very practically minded. Our budget fits on one page. We make a list of the bills, and it all comes out of that one pile. When we fall short, the question isn’t which ministry to cut, but which bill demands to be paid first.

I had tried to develop a stewardship program, but whenever I spoke to people about it, their first question was “Is there anything wrong?” If I said “not yet,” they stopped listening.

Now there was something wrong. After nights of worry, I prayed, “Okay, God, what’s your plan here?” Then I knew this was the opportunity. This time my stewardship plans passed unanimously. We began asking questions the church hadn’t addressed in years: Why are we here? Why do we give? What do we give?

The crisis was a blessing in dark disguise. Our balance is up from $1.65. But I do have to remind the congregation of that dark day on occasion. In rural churches, budget shortfalls do not spark discussions of cutbacks, but of survival.

Cheryl Sanders Third Street Church of God Washington, D.C.

Plan openly, give sacrificially.

We openly discuss trends and “blips” in our giving and spending. We give detailed reports and every member is invited to participate in budget hearings. I believe this openness encourages giving. Our members are consistent in their support.

Our philosophy is “live within your means.” We budget without making unreasonable income projections. If we plan to launch something new (and costly), we try to make adjustments ahead of time to fund it. Sometimes we delay implementation of new projects if the money is not here.

There have been occasions when the church has had a pressing need for cash, to purchase a new furnace, for example. I have challenged the people to bring a sacrificial offering. Whenever I issue such a challenge, I make sure my personal giving matches or exceeds what I ask them to give.

When the church was offered the adjacent property for $10,000, we called a business meeting. I pledged $1,000 and set a special offering for the next Sunday. We received more than $20,000.