It can be easy during the rush of our day-to-day lives to stop and make sure that the financial administration of your local church is being done correctly. The finance experts at GCFA have put together a few tips to make sure your church is committed to financial best practices to avoid errors and prevent fraud. Take a moment to peruse this list and see if your church is compliant.
1) Vacations or breaks should be required for all employees, and their duties reassigned to others in their absence. Duties, especially deposits, payments, and reconciliations, should not wait until they return.
2) Petty cash should be minimized or eliminated. If used, establish procedures and a maximum amount that may be used at one time. All uses should be supported by invoices with proper approval. An unscheduled count or reconciliation of petty cash should be conducted periodically.
3) Your church should perform routine criminal or financial background checks on all persons handling money or recording financial transactions.
4) Lastly, if something looks strange….question it! As a steward of the church’s money, be vigilant and curious. A church’s finances should be able to withstand transparency and scrutiny from anyone -- including its own members.
And serve each other according to the gift each person has received, as good managers of God’s diverse gifts.– 1 Peter 4:10 CEB