1. Budgeting for New Congregations The Five Laws of Financial Sanity
Wolfgang D. Herz-Lane
Mission Director
Delaware-Maryland &
Metro Washington DC Synods
Mission Developer Training Conference, Chicago IL
February 14, 2008

2. 1. Have One!!
Budgets are guides for developer, treasurer and finance team
Budgets are management tools
Budgets build leadership and ownership of ministry
Caution: People give to
mission, not to the budget!

3. 2. Show ALL Income & Expense
Always include an income budget
Show income from all sources (synod grant, EOCM grant, EOCM salary payments)
Anticipate Mission Partners gifts
Include Mission Support to Synod (15%+)
Budget for local benevolences
Include salary reimbursements to EOCM
Show reserves and savings to capital fund

4. 3. Keep It Simple!
Show major budget categories, not every single expense
Use an annualized budget or a program year budget that makes sense
Caution: If you use computer software, beware of the TMI Syndrome!
Run a separate capital budget

5. 4. Change Is Good!
Don’t be afraid to change the budget to incorporate new realities. After all, it’s just a piece of paper.
Budget is a tool … sharpen it when needed!
Always keep your leadership in the loop

6. 5. Budgeting 2.0: A Programmatic Budget
Showing expenses by cost centers
Allocating staffing and overhead costs to cost centers
Read pp. 73 – 80 in Mission Developer Training Manual, Volume III