Steady Finances in Rocky Times: Three Strategies for Church Finances During Coronavirus

​With churches not gathering in person for worship and many parishioners being unable to get to work, churches are very likely to see a decrease in financial revenues during the Coronavirus outbreak. How can you get your church ready? And what financial strategies can you begin to employ. Here are three strategies that can help:
 
1. Don’t go it alone.

• Get a team. If you don’t already have one in place, put together a weekly conversation about the church’s finances. This conversation should include your major financial leaders, treasurer, financial secretary, pastor, administrative board chair, and lay leader. The agenda should be focused on a careful watch of the church’s income, expenditures, and cash flow.

 

• Reach out for help. Read up on what’s going on. Talk to trusted financial advisors in your congregation and community. And reach out to our denominational help. We offer guidance through our District Superintendents, our Conference Treasurer’s Office, and the excellent team at our United Methodist Foundation.

 
2. Adjust your financial planning.

• Increase cash flow reserves. We expect that most churches will see their weekly income decrease during this outbreak. This will mean that having a great enough cash flow will become a larger priority. Figure out how much you need to support ongoing operations for the next few months. Take a close look at current account balances and move money from reserve accounts into general accounts to be able to manage short-term expenditures for the couple of months.

 

• Reduce or renegotiate expenses. If you can put off expenses, especially longer-term capital expenditures or purchases, you probably should. Local church donors will likely want to “catch up” their annual giving, but it could be several months before that happens. Take a look at your regular bills. Can you contact your utility provider, bank, or regular vendors to renegotiate your short-term expenses? Can you move large bills into a payment plan?

 

• Rethink debt. If you have long-term loans for capital expenses, you may want to consider requesting a temporary adjustment to the payment amount or period. This might allow for greater cash flow relief through the next several months. On the other hand, some churches without reserve accounts may even want to cautiously consider a short-term loan if cash flow becomes too tight.

 
3. Encourage generosity.

• Encourage multiple giving methods. People still want to support their church, but their usual habits are disrupted. They will likely need new options to make their gifts. This is the time to set up online giving, accept credit card transactions, and remind people that checks can be sent in by mail. Reach out to your regular donors and thank them for their generosity while asking about how your church can help them continue to give. It’s amazing how far a conversation can go.

 

• Offer meaning and purpose. People are feeling isolated and helpless in the face of this outbreak. Many churches are working at emergency speed to offer hope, encouragement, and healing. Your people want to know that there is something they can do to make a difference. Help them by telling stories of your church’s ministries that connect up their financial giving with the good news of God’s compassionate love through Jesus Christ. Let them know of all the good work that your church is doing during this emergency.

 

• Invite greater giving. The emergency practices of social isolation are revealing to many people the importance of their church community. Invite those who can to increase their financial giving to help offset the decreased giving from those who are temporarily out of work or without income. Invite new people who are joining you in online worship and study experiences to help support the cost of these new ministries. Share the stories of how your church is continuing to serve those in need in our communities and give everyone the chance to financially support those ministries.

 
We serve a God of abundant grace, compassion, and love. As followers of Jesus Christ, we can continue to proclaim that message even through hard times. But it will likely take some adjustment to our habits and plans. You are not alone! And, as John Wesley proclaimed, “Best of all, God is with us!”

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