2022 Budget

Last night, we met as a church to discuss the proposed budget for 2022, as well as brainstorm ideas for how to spend some surplus savings we have.

Attached you will find a copy of the Budget Paper that was presented. Please use the coming weeks to read, reflect and pray on the budget. Praying about a set of numbers may seem like a strange thing to do, but like all we do as a church, we want our budget to be glorifying God. We will then vote on the budget at a congregational meeting on the 7th November.

Some really great questions were asked last night and you’ll find them (and the answers) below:

Q: If our giving goes up, do Partnership contributions go up?
A: If our giving is higher than budgeted, we make top up payments to the Partnership account. This amount is reconciled quarterly.

Q: What happened to Steve’s wage?
A: Each year after Steve left, we have included a pastor’s wage in the budget, so that if we were to find a new pastor, the money would be there. Particularly in the first year, we assumed this position wouldn’t be filled, so we approved a deficit budget, knowing that without having to pay a pastor, we would be closer to a break even or surplus position.

Q: Is there a vacant pastor position in the budget as a result of Phil’s resignation?
A: No. Phil graciously told us early in the process that he would resign when we found a new pastor. So the 2021 and 2022 budgets only included one or the other – Phil or a new pastor.

Q: Is the outdoor project still going ahead?
A: This decision is somewhat dependent on what happens with the PCQ Receivership situation. If we still have funds in our Capital Fund, it is assumed that the costs of the project will have risen and so at the very least it would need to be re-scoped. This is something the board will consider once the PCQ situation is resolved.

Q: How do I interpret the ‘Actuals & Projected’ column? Do the actual figures perfectly meet the projected costs?
A: The ‘Actuals & Projected’ column is made up of actual figures from the start of the year until the time the budget was drafted and then budget/forecast figures for the rest of the year. These forecast figures are updated every month so that they best reflect our situation moving forward. We cannot with certainty say that the combined ‘Actuals & Projected’ figures will be correct at the end of the year, but based on previous experience, they usually wind up very close.

Q: Why were gifts suddenly $40,000 higher this year?
A: When City South became independent at the start of the year, Living Church gifted them with the cash equivalent of 3 months of their operating expenses, to help them get established. This money was transferred at the start of 2021, rather than the end of 2020, and was put to a ‘Gifts’ account.

If you have any other questions, please contact our Finance Manager, Janet Sutton, or our Treasurer, John Wallace. Details of how to do so are on the paper.