A Message from Chris Smith, Executive Director of Operations
Thank you for your interest in the finances of our church. I would like to provide some highlights from our 2018 budget and some important information regarding how we approach finances here at Grace. I have included 2018 and 2017 together in summary form so that it is easy to read and quickly compare.
Key Budget Changes
- Office/Admin - Additional expenses will be incurred due to staff members moving to office space at The Chapel in 2018.
- Communications - Expenses that were previously spread across several departments have been consolidated in 2018.
- Ministry - Additional expenses will be incurred due to the opening of The Chapel (NEXT, First Impressions, etc.).
- Global Impact - God continues to use Grace to reach people across the globe. There is also a new potential Global Partnership in the works for 2018.
- Payroll/Benefits - We were able to hire several key staff members and promote others from part-time to full-time over the course of 2017. We will need to add their pay/benefits for the entire year in 2018.
Margin / Capital Improvements / New Hires
The Margin, Capital Improvements, and New Hire lines all help to inform our approach to finances.
- Margin is equal to 3% of our budget (a reduction from 5% in 2017) and is for the Executive Staff and Elder Board to have the ability to fund projects or initiatives that are not a part of the ongoing ministry at Grace.
- The Capital Improvements line is to fund future capital needs around our facilities.This would include things like replacing air conditioners and furnaces, resurfacing parking lots, and replacing carpet.
- The New Hires line is the projected cost of new staff to be hired in 2018.
The important note about each of these categories is that these lines are not spent if giving is not over and above the number needed to fund all of the other lines. Simply put, we don't hire staff if we don't have the money and we can’t do extra projects and initiatives if the funds aren't in place. In addition, budgets are released quarterly, meaning ministries can only spend 25% of their budget each quarter. We do that so if adjustments need to be made because giving is under projection, we have that ability.
Our goal at Grace is to be great stewards of our resources and to be transparent with our finances. If you have any questions at all, please contact me and I will be happy to answer them.
Executive Director of Operations