What are some financial responsibilities you can delegate to you church staff?
What are some financial responsibilities you can delegate to you church staff?
Proper handling of money is important to churches of all sizes. Internal accounting controls are essential in properly managing and caring for God’s resources.
If at all possible, the responsibilities and roles of your financial administration should be in writing, such as position descriptions.
Outlined below are some of the financial responsibilities that you might delegate to the staff at your church:
Counting Committee
Requires at least two unrelated persons to serve as the Counting Committee.
•Prepares a collection report, including a list of all checks received.
•Verifies that the amount written on the offering envelopes matches the contents of the envelopes and all checks are restrictively endorsed.
•Signs and dates collection report verifying everything recorded is correct.
Financial Secretary / Administrative Assistant
•Supervise the Counting Committee.
•Records the contributions to each family’s contribution record.
•Prepares journal entries and post them to the general ledger.
•Deposits the funds in the bank in a timely fashion.
Church Treasurer
These roles and financial responsibilities are a guide only. Some of the following responsibilities are delegated to the Financial Secretary and some are delegated to the Financial Adviser.
Each church is unique and needs to outline which duties each staff member will have. Just remember...the individuals counting the offering should not record the contributions. The person writing checks should not reconcile the bank statement and the person reviewing the bank statement should not have any access to the funds.
•Process all checks, recording them in the appropriate accounting software program.
•Signs checks
•Process all payroll checks, Tax Form 941’s, W-2’s and other government records required in a timely fashion.
•Insure that computer files are backed up weekly, at a minimum monthly, and the back-ups are stored off premises.
•Prepares the monthly and annual finance report.
•Supervise daily cash balances to insure sufficient funds are maintained.
•Maintains filing system and storage system for all financial records and banking records for easy retrieval.
•Prepares records for annual audit
•Maintain historical data, and establish a retention system for old financial records in accordance with government requirements (minimum of 5 years).
•Files all the required federal, state, and local tax forms.
•Assists in the preparation of the annual budget.
Financial Adviser
This position is titled many different ways and there may be different tasks assigned. Your church treasurer may perform several of these duties. Just make sure there is a separation of duties with who writes the checks and the following tasks:
•Perform bank reconciliation each month in a timely fashion.
•Verify that all checks have been properly signed.
•Verify that the bank balance reconciles to the bookkeeping records.
•Verifies that the beginning balance equals the ending balance of the previous month both in the checking account and the general ledger.
•Signs and dates the reconciliation report.
Confidentiality of Information
It is very important that anyone who has access to the contribution records of individual donors keep this information strictly confidential. Try to keep the number of people with access to individuals' contribution records to a minimum.
Proper handling of money is important to churches of all sizes. Internal accounting controls are essential in properly managing and caring for God’s resources.
If at all possible, the responsibilities and roles of your financial administration should be in writing, such as position descriptions.
Outlined below are some of the financial responsibilities that you might delegate to the staff at your church:
Counting Committee
Requires at least two unrelated persons to serve as the Counting Committee.
•Prepares a collection report, including a list of all checks received.
•Verifies that the amount written on the offering envelopes matches the contents of the envelopes and all checks are restrictively endorsed.
•Signs and dates collection report verifying everything recorded is correct.
Financial Secretary / Administrative Assistant
•Supervise the Counting Committee.
•Records the contributions to each family’s contribution record.
•Prepares journal entries and post them to the general ledger.
•Deposits the funds in the bank in a timely fashion.
Church Treasurer
These roles and financial responsibilities are a guide only. Some of the following responsibilities are delegated to the Financial Secretary and some are delegated to the Financial Adviser.
Each church is unique and needs to outline which duties each staff member will have. Just remember...the individuals counting the offering should not record the contributions. The person writing checks should not reconcile the bank statement and the person reviewing the bank statement should not have any access to the funds.
•Process all checks, recording them in the appropriate accounting software program.
•Signs checks
•Process all payroll checks, Tax Form 941’s, W-2’s and other government records required in a timely fashion.
•Insure that computer files are backed up weekly, at a minimum monthly, and the back-ups are stored off premises.
•Prepares the monthly and annual finance report.
•Supervise daily cash balances to insure sufficient funds are maintained.
•Maintains filing system and storage system for all financial records and banking records for easy retrieval.
•Prepares records for annual audit
•Maintain historical data, and establish a retention system for old financial records in accordance with government requirements (minimum of 5 years).
•Files all the required federal, state, and local tax forms.
•Assists in the preparation of the annual budget.
Financial Adviser
This position is titled many different ways and there may be different tasks assigned. Your church treasurer may perform several of these duties. Just make sure there is a separation of duties with who writes the checks and the following tasks:
•Perform bank reconciliation each month in a timely fashion.
•Verify that all checks have been properly signed.
•Verify that the bank balance reconciles to the bookkeeping records.
•Verifies that the beginning balance equals the ending balance of the previous month both in the checking account and the general ledger.
•Signs and dates the reconciliation report.
Confidentiality of Information
It is very important that anyone who has access to the contribution records of individual donors keep this information strictly confidential. Try to keep the number of people with access to individuals' contribution records to a minimum.
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