ECCU Blog

Would you like to learn about important ministry financial issues like the impact of ethics on accounting and how to stay informed on legislative changes affecting ministries? What about fundraising best practices or the challenging task of aligning your ministry’s money and mission?

You can learn about these topics and network with other ministry leaders at the 2012 Financial Forum for Ministries in Colorado Springs on December 4, 2012. For the fifth consecutive year, ECCU is teaming up with CapinCrouse LLP to offer this event.

This year’s presenters include John Thornton, professor and Leung Chair of Accounting Ethics at Azusa Pacific University. John will talk about the impact of ethics on accounting.

There’s no cost to attend this event, which includes lunch and allows you to earn up to 5 CPE credits¹ and 0.4 NACBA CEUs².

Two presenters at the Colorado Springs forum—John Thornton and ECCU Ministry Development Officer David Lee—are also presenting at the three financial forums in California this week. I introduced them in past blog posts. Joining them in Colorado will be Brian Kluth and Dave Moja, who I’ll introduce to you in the next couple of weeks.

¹ _{CapinCrouse LLP is registered with the National Association of State Boards of Accountancy (NASBA), as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be addressed to the National Registry of CPE Sponsors through its website: www.learningmarket.org.}

² _{CapinCrouse LLP is a National Registered Continuing Education Provider (NRCEP) with the National Association of Church Business Administration (NACBA). This program is a premier comprehensive continuing education program related to administration in the local church. It is designed to enhance the ongoing professional development of NACBA members and other ministry professionals, through the offering of quality learning experiences. 0.1 Continuing Education Units (CEUs) will be granted to persons who properly register and attend one contact hour of a minimum of 50 minutes of lecture, presentation, or discussion on approved topics.}

An area often overlooked at ministries is the review and approval of senior leaders’ expenses. While we tend to trust our leaders’ integrity, small mistakes or outright abuse can lead to questions and mistrust by donors and diminish the reputation of your ministry.

 While it is more common for staff within the organization to have their supervisor review and approve expenses, this is not often true of the most senior leader. Who should review his or her expenses? The business administrator, CFO, or accountant? Or should it be the chair of the board or corporate treasurer?

 Here are some steps you can take to be sure your organization has sound practices to protect both your senior leader and your ministry.

1. Make sure your organization has a clear set of guidelines that specify appropriate expenses for your most senior leader. These guidelines should clearly distinguish between organizational and personal expenses, even addressing expenses that are appropriate for spouses. This is an important document for your board chair and senior leader to discuss, then present to your entire board for approval. These guidelines help avoid misunderstandings and prevent reimbursement of questionable expenses.
2. As a part of the annual budgeting process, be sure the board is aware of and approves the expense budget for your senior leader. This should be in addition to the overall annual budget of the organization.
3. Create a process for the board chair or corporate treasurer to review and approve all expenses incurred by the senior leader each month. This process should be easy and consistent, and it should enable the board chair or corporate treasurer to immediately address any questions.

Taking these steps will help to ensure that your board has taken adequate responsibility and oversight to protect the organization and senior leader from scandal.