January 13, 2016
Financial dishonesty can happen anywhere. Churches and ministries are especially susceptible to issues of financial dishonesty involving theft from ministry accounts. Regardless of the size of your ministry, it’s always important to be aware of “red flags” and take steps to promote financial accountability at your church or ministry including the following:
Red Flag One: The one man show. Try to avoid having the same person count, record and deposit the money each week. Instead, split the responsibilities between more than one person approved to handle money on behalf of the ministry as a check and balances system.
Red Flag Two: The lone counter. Leaving one person in a room to count the money creates temptation. Carefully select two qualified people to collect and count the money in a secure room. Conduct a background check on each of the individuals you select. Don’t allow the money counters to bring in bags, purses, or briefcases while they count.
Red Flag Three: The charismatic do-gooder. Don’t assume that the person handling the money is trustworthy just because they enthusiastically do the record keeping and rarely require assistance. Instead reconcile bank statements by having the treasurer or another high-level person compare each month’s bank statement with the church’s records on tithing and deposits.
In addition to keeping an eye out for these red flags, consider these additional tips for minimizing financial fraud in your ministry.
Hold money meetings. Organize monthly meetings with church leaders to analyze financial statements. When everyone is up to speed on the church finances it is easier to spot inconsistencies.
Put a policy on paper. Document your church’s or ministry’s policy in writing to ensure consistency and eliminate the excuse of ignorance from a dishonest member.
Do your homework. Perform annual background checks and run annual credit reports on the people responsible for church funds. It might feel awkward, but individuals in charge of money need to be above reproach.
Require annual external audits. Bringing in someone from the outside to do an audit may help eliminate biased opinions on church finances.
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Cyber security is increasingly crucial in our technologically advanced world. Scammers use many schemes when attempting to steal your data, but you can outsmart them by understanding their methods.
When conflict occurs in the church, it can threaten the unity of a congregation. Experts say the only way to heal conflict is to acknowledge and address it. But how?
Theft isn’t just an issue for banks and large companies. Sometimes the kind and caring nature of your ministry is exactly what makes you a target. Organizational Optional Theft Coverage helps to assure that, if a thief takes advantage of your institution, what’s lost can be restored.
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Thieves are taking advantage of soaring precious metal prices. Take steps to protect your ministry’s vehicles and property.
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Learn about the CARES Act and two loans for which ministries may be eligible, since Congress authorized additional funding April 23.
As concern over the dangers associated with the spread of a new coronavirus, COVID-19, spreads, our agency and Brotherhood Mutual want to keep you informed and provide best practices for managing the spread of this and similar illnesses at your ministry.
The first Sunday in February is a big day for sports fans. In fact, many Americans view Super Bowl Sunday as a national holiday. Friends and families will gather this year to watch the big game, enjoy delicious snacks, and of course, critique the commercials that go along with game day.
Recently, we learned about two major overseas incidents involving pastors on mission trips. The first incident involved a pastor being hit by a motorcycle while running. The second was a bus accident involving two pastors. The runner and one of the two bus passengers sustained extensive injuries.
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July 4th is synonymous with food, fun, and fireworks. If your church is planning an event this Independence Day, remember to keep a focus on safety, so that everyone can have fun.
National Insurance Awareness Day falls on June 28 this year to remind people everywhere that insurance is vital to their companies and ministries.
More than 700 confirmed cases of measles have been reported in the United States so far this year, making this outbreak the worst in decades.