George Bullard's Journey

When is Your Congregation's Fixed Costs Freedom Day?

Download: When is Your Congregation's Fixed Costs Freedom Day?

Now that you have paid taxes, it is time to discover your Fixed Costs Freedom Day. This is the day when you have finished paying taxes, charitable contributions, mortgage plus other housing costs, car payments plus operating costs, other debt payments, insurance and retirement, and food and clothing. Anything left is yours to spend on things you consider fun and fulfilling.

When is Fixed Costs Freedom Day in your congregation? This is the annual date when you finish paying all management and personnel costs. After that date you start investing in programs, ministries, and activities, and global and local mission endeavors.

Ideally it is June 30^th. When is it in your congregation?

To figure your congregation’s Fixed Costs Freedom Day, add up all Management and Personnel costs.

For reference, Management costs are anything directly or indirectly related to your facilities, and the administrative overhead costs of operating the church as a non-profit business. Include maintenance and cleaning staff or contract services.

Your Personnel costs, include all personnel except for the maintenance and cleaning staff or contract services for your church facilities. Also, include all direct and indirect costs for having your personnel. This category includes ministers, program leaders, and support staff.

Abandon Committees, Skip Teams, and Embrace Communities

Download: Embrace Leadership Communities

Does it seem to you that congregations are late adapters to some trends?  It does to me.  It appears at times that congregations are just getting around to adapting to certain trends as the next trend is emerging.  For example, organizing congregations according to teams rather than committees is still in its ascendancy, just as at the grassroots of relationships teams are fading in favor of communities.

It is a positive step that congregations are abandoning committees for teams, but what if congregations were to skip the team phase and embrace communities?  Too radical?  Too cutting edge?  Hardly

Leadership communities, collaborative communities, and learning communities are the next wave of congregational governance and empowerment.  Are you ready?  Consider these seven differences between committees, teams, and communities as you think about making the transition:

When is Your Congregation's Management Freedom Day?

Many U.S. taxpayers are aware of Tax Freedom Day. This is the day each year when we are finished paying our taxes and begin earning money to spend on our personal needs. This year Tax Freedom Day is April 30^th.

When is Management Freedom Day in your congregation? This is the annual date when you have finished your debt payments, all facilities costs including maintenance and cleaning, and administrative overhead. After that date you begin paying for ministry. Ideally it is March 31^st. When is it in your congregation?

To figure your Management Freedom Day you have to do some arithmetic. Start with your congregation’s undesignated budget represented by the regular tithes and offerings given by congregational participants.

Do not include special missions offerings, designated offerings, receipts from a capital fundraising campaign, fees for services, or anything else other than the tithes and offerings that go for the undesignated annual budget of your congregation.

Download: When Is Your Congregation's Management Freedom Day?