An individual can legally carry or mail any amount of money into or out of the U.S., but you must report it to U.S. Customs and Border Protection using this form. If this reporting isn’t done, the traveler is at risk having the funds confiscated and potentially not getting them back. In addition, criminal and civil penalties may apply. 

People who travel with money will be asked if they are transporting more than $10,000 in cash or monetary instruments. If they answer yes, then they must complete this form. After this document is completed, the inspector may choose to verify the funds. If the form was completed accurately and truthfully, the form is accepted and the traveler is free to depart. However, if the inspector finds additional funds, then all the money will be seized and the traveler will have to petition U.S. Customs for its return. 

It is important to note that these laws apply to cash or monetary instruments that are mailed or shipped. They also apply if your ministry receives cash or monetary instruments that have been mailed or shipped internationally. (Note: The term “monetary instruments” includes foreign currencies, traveler’s checks, and checks or money orders which are in bearer form or from which the name of the payee has been omitted.)

 A transfer of funds through normal banking channels, such as international wire transfer or international ACH, which does not involve the physical transportation of currency or monetary instruments, does not need to be reported. 

If your staff or volunteers travel with, mail or ship cash or monetary instruments, provide them with this Currency Reporting Flyer from U.S. Customs, which includes good summary information and requirements to ensure that you’re in compliance.

According to a recent alert issued by the Federal Bureau of Investigation (FBI), the email is likely part of a sophisticated phishing attack designed to capture online banking log-in credentials and transfer funds from your ministry’s accounts. NACHA never sends emails directly to businesses or consumers.

The FBI urges caution whenever you receive communications from senders that would not normally send you email or are not from the sender’s normal email address. You should not open such emails.

To learn more about how to protect your ministry from phishing attacks, visit ECCU’s Member Security page.

I recently did some research on fraud while preparing a presentation for ministry leaders about protecting their ministry assets. I expected to find some news articles but was surprised to find so many reports of fraud recently discovered in churches and nonprofits.

Like me, many in the ministry world probably think that embezzlement rarely happens. Unfortunately, we are wrong.

So why is fraud on the rise—and what can we do to prevent it?

We know that three things must exist for fraud to occur: pressure, opportunity, and rationalization. Certainly, the current economic environment has created financial pressure for some workers and volunteers who, given the opportunity, might rationalize this immoral behavior. While we can’t control the pressure workers or volunteers may experience, or even how they may rationalize stealing, we can control the opportunities for fraud or embezzlement within our ministries.

The first step is to conduct a risk assessment. This simply means sitting down with your team and talking about where losses might occur. As you begin to identify those risk areas, you can determine which ones pose the greatest risk for your organization, workers, and volunteers. Typical high-risk areas include inadequate separation of duties between related tasks and a lack of dual custody when handling valuable assets such as contributions.

Addressing these areas doesn’t mean you are creating an environment of distrust. On the contrary; you are building accountability and transparency—protecting both your ministry and the people who work or volunteer for it.

Guarding your ministry against fraud begins with an honest assessment of your vulnerability. Then, apply a sound system of internal controls such as separation of duties, dual custody, and transparency in financial reporting. (You may also want to revisit who has authority over your accounts.)

To learn more about preventing fraud, you might want to read our white paper Handling Cash: A Common Sense Approach to Securing Your Ministry’s Most Liquid Asset.

Has your ministry taken any other steps to reduce opportunities for fraud?

But God is as rich in mercy as He is in glory, and He did not leave His people forever. When Jesus was born, the glory of the Lord returned to earth! When we celebrate the birth of Christ, we are also celebrating the return of God’s glory.

Yet the birth of Christ was only the beginning of the restoration of God’s glory on earth. Jesus’ sinless life and sacrifice on the cross displayed God’s glory as no other event in history. And Christ’s ultimate return and heavenly kingdom will display the fullness of the glory of God.

Every time we enter the presence of God in our worship, we reflect His glory. It is only by receiving His glory that we may, in turn, bring Him all glory and honor and praise (2 Corinthians 3:18).

This Christmas season, may our hearts be filled with praise for the God who became flesh…for the glory of the Lord has returned!

“And every created thing which is in heaven and on the earth and under the earth and on the sea, and all things in them, I heard saying, “To Him who sits on the throne, and to the Lamb, be blessing and honor and glory and dominion forever and ever.” (Revelation 5:13)

According to Becky Kopplin, vice president at The CashLINQ Group, “As one part of the Housing Assistance Tax Act of 2008, merchant processors are now required to report gross payments by credit or debit card to the IRS. This requirement applies to all merchants, including non-profits.”

Kopplin adds, “In order to report this information, the merchant processors must match the ministry’s legal name and tax identification number (TIN) to the IRS record. If the information provided does not match, the merchant processor may be penalized and/or credit and debit card payments made to the ministry may be subject to a 28 percent backup withholding.”

Reporting this information to the IRS does not change your other annual IRS reporting requirements. For example, if you are a church, you will not also be required to complete IRS Form 990 just because you accept debit or credit cards, unless of course you have unrelated business income tax (UBIT) due.

These regulations have been put in place to help ensure businesses adequately report taxable income to the IRS. In most cases, ministries do not utilize debit and credit cards for taxable business but are still required to report.

Kopplin explains, “The best way to verify that your merchant processor has the correct information is to provide them with any notice from the IRS that contains your legal name and TIN, like a 501(c)3 letter, a tax determination letter, or a Request for Tax Payer Identification letter (IRS Form W-9).” 

The 28 percent backup withholding will go into effect in 2013. For more information on this new requirement, see irs.gov.

ECFA presents a full account of members’ giving in its second Annual State of Giving report. To learn more about the benefits of ECFA membership, follow this link.

How does your ministry’s giving compare to the ECFA averages?

Answer: Create too many church bank accounts.

According to a recent Managing Your Church blog by Matt Branaugh, this is one of five reasons church treasurers should keep accounts to a minimum. In Q&A: Limit the Number of Church Bank Accounts, Branaugh writes that “conventional wisdom in the church finance world is for churches to limit the number of bank accounts the church uses. Ideally, a church should use only one or two.”

The five reasons underscore the importance of accountability and internal controls.

Does your church limit the number of bank accounts? Why or why not?

• Establish a benevolence policy that empowers or delegates authority, ensures accountability and confidentiality, and sets boundaries rather than rules.
• Use a separate budget to track benevolent donations and disbursements.
• Take a team approach to benevolence ministry without creating a burdensome process.
• Report success stories to your donors but maintain confidentiality.
• Identify resources in advance, such as local businesses or individuals who have agreed to assist with specific needs.
• Keep records of assistance provided and follow up with those you help.
• Learn from your mistakes.
• Allow room for God to guide.
• Identify real needs, not just temporary issues or symptoms, then look for ways to help recipients “learn to fish.”
• Help recipients be accountable with agreed-upon next steps.
• Integrate your existing ministry outreach programs as well as other local churches into your benevolence efforts.
• Set aside funds to be used in case of local community disasters.

Providing a helping hand to those in need is a critical part of what we are called to do as followers of Christ. However, as you have probably learned, providing money by itself rarely meets people’s real needs.

What have you found to be critical success factors for your benevolence ministry?

PS: You are only required to do any tax reporting when benevolence gifts are provided to a staff member. Those gifts should be reported on IRS Form W-2.

I’ve spent a lifetime reading anything I can get my hands on, and this year was no different. There is so much good stuff to read out there, and plenty that’s not, so I always love a good recommendation from a trusted source.

I compiled a list of my read-happy coworkers’ favorite books of the year and will gladly share a few recommendations if you’ll share yours. For your reading pleasure (okay, some of this stuff is pretty challenging as well), we recommend:  

Radical by David Platt

Want to be challenged to think beyond our consumer-driven society and pursuing the “American dream”? Get a hold of this book and buckle up for a thought-provoking and convicting look at what Jesus means when he calls us to follow Him and make disciples of all the nations. What does it really mean to deny myself, take up my cross, and follow him? Warning: If you’d rather stay comfortable, don’t read this one.

Forgotten God by Francis Chan

An inspiring, challenging, and paradigm-shifting book. Focuses on our relationship with the Holy Spirit and how we should look to live Spirit-filled lives in a deep and personal relationship with the triune God head. 

Emotional Intelligence 2.0 by Travis Bradberry

By now, you’re probably familiar with the concept of emotional intelligence (and its importance in just about every aspect of life). This book is the how-to for practicing and increasing your emotional intelligence.

Poke the Box by Seth Godin

Godin speaks of one of the scarcest resources in most organizations—the spark of initiative. This book just may be the kick in the pants you need to get off the starting line.  

Fascinate: Your 7 Triggers to Persuasion and Captivation by Sally Hogshead 

A fascinating book on the study of, well, fascination. Hogshead argues that fascination influences our behaviors and decision-making more than marketing, advertising, or any other form of communication. Anyone who sells anything, or influences others (so basically everyone), should read this.                                                                                                                             

There you have it, a few of our favorites. Now, what are your best book recommendations from 2011? Can’t wait to get my hands on the next good read.

It comes down to this: We are included in God’s unshakable kingdom. If we can act on this truth, we can find thanksgiving in any circumstance. And Jesus gives us some specific commands to help us set our minds on the kingdom.

1. Ask for the kingdom. When Jesus gave his disciples the model for prayer, the first thing he instructed them to ask for was God’s will to be done, God’s kingdom to come, on earth as it is in heaven. That’s an amazing request. Before any other request—before food, forgiveness, or protection from evil and temptation—we are to ask for God’s kingdom to be firmly established on earth, exactly like it is in heaven now.

There is a present sense to that prayer—that God would work through his church to proclaim the gospel and serve others in the name of Christ. There is also a future sense of God’s kingdom. Someday Jesus will return to restore and recreate the earth and make it perfect. He will completely reverse the effects of sin. Believers are to long for the kingdom now…to make it so important in our lives that it’s the first thing we ask for. Because we know, according to Romans 8, that the sufferings of this present time are not even comparable to the glory that is to be revealed to us.

2.  Be thankful for God’s kingdom. There are infinitely good reasons to long for God’s kingdom, but perhaps the greatest is that it can’t be shaken. These are difficult times. Many are out of work; many are concerned about their jobs. God knows we have needs on this earth and can’t wait for heaven. That’s why Jesus’ model prayer starts with a call for God’s kingdom but moves immediately to our immediate need, daily bread.  That’s also why Jesus was so careful to emphasize that God knows our every need. He knows the needs of the sparrows and counts the very hairs of our heads. But our cry for daily care must be grounded in our hope and anticipation of the kingdom to come. And in our commitment to live out God’s kingdom now on this earth, as the church, lives in the likeness of Christ in all that we do as we await his coming. So choose to live there—now. Hebrews 12 tells us that someday God will remove the “things that have been made.” Everything material will be removed, the earth will burn, but God’s kingdom is eternal and perfect and indestructible. Nothing can even shake it: “Therefore let us be grateful for receiving a kingdom that cannot be shaken” (Hebrews 12:28).

3.  Worship God for including us in his kingdom.  God bought us and brought us into his kingdom through the sacrifice of his Son. Thankfully, living in God’s kingdom results in deep, often spontaneous, worship. “Therefore let us be grateful for receiving a kingdom that cannot be shaken, thus let us offer to God acceptable worship, with reverence and awe, for our God is a consuming fire.” (Hebrews 12: 28 -29)  

Acceptable worship is thankful worship. 

Jesus reminds us that while the world around us may be shaken, he has brought us into his unshakable kingdom. Because of this profound truth, we have every reason to rejoice and be glad even in the midst of our deepest valleys—and Thanksgiving-day flu bugs.