Did you know that your ministry may be losing money and time just because of mismanaged financial records? Just like businesses, churches also have employees and taxes to pay. If your church’s financial records are not in order, you’re putting your ministry in big trouble. The rule of a thumb is whether your ministry is large or small, you need to delegate someone to manage the records and other important documents of your ministry.
However, the problem sometimes is that most churches only depend on volunteers and paid staff to manage their records for them. Keep in mind that managing of financial records, particularly of payroll can be daunting. This is especially true for individuals who don’t have strong background in accounting. The thing is the rules and regulations, particularly about taxes, are always changing. And for someone who doesn’t have enough knowledge and experience in the field, keeping up with them can be difficult.
In addition, there are so many things to be taken care in running a ministry. This is especially true for a growing church. For a ministry leader, it can be hard to focus on the real purpose of the ministry if he or she’s always assisting and worrying about the financial aspect of his or her church. So if you haven’t yet considered getting help from experts, start now! Keep in mind that it always pays to get help from the experts.
Depending on your needs, you can get help from professional accountants in these two common ways: hire an accountant as in-house staff or acquire a service from payroll services firms. Using a professional accountant for your church can provide your ministry with so many benefits, including the following:
- Save time
- Save money
- Avoid IRS penalties
- Avoid technology headaches
- Secure church’s financial data
Professional accountants have been trained in different accounting procedures, including the current accounting practices, making them truly valuable in the financial industry. Depending on your needs and where you acquire the service, here are some of the things that your accountant will do for your ministry:
- Track your donors and contributions
- Track your program budget and finances
- Prepare your IRS forms and minimize taxes
- Identify unexpected expenses
- Prepare worker’s compensation
- Create other non-profit reports
- Protect your church against fraud
- Help you qualify for a church loan
- Provide unlimited consultation
Indeed, getting help from professional accountants is important. Although you may feel that you may not need their services on a regular basis now because your ministry is just starting out and is too small, you will realize that hiring one can be a great help as your church grows.
However, you must ensure that you hire the right person or company for the job. In this tough economy, there are now so many services that emerged claiming to be the best. To make the selection process easier, consider those who are already in the industry for so many years. Also check out customer’s reviews and your budget.