Glossary of Ministry Finance Terms  0063-07    ZZall

      - - - Rejoice in the Lord always ... again I say Rejoice !!! - - -

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                            TO: Interested Ministries                                                                                 FROM: Jim Bramer, Retired Auditor-CPA
                                                                                                                                                           FILE: 0063-07/all

                             RE: Glossary of "Ministry Finance" terms                                                 Originated  March 1998                                 


         Below is a GLOSSARY OF "MINISTRY FINANCE" TERMS  from our perspective; plus various named URL/links ( -see the 0063 07 above, as an example) that appear as Blue Links  below of applicable publications on this www.bcidot.org  website.


A to B  (Actual to Budget) (51)

       Click Here and discover more about this and other Ministry Budget Terms

ADVANCE ACCOUNT

       Monies advanced to various Ministry officials in advance of their specific use thereof. Such Ministry official provides an accounting thereof and return the unused portion, etc.

"AFTER THE FACT" (ATF) Accounting System (50)

        Utilizing the resources of the internet, you weekly go to your Online Bank and Credit Card Bank accounts and extract the latest transaction information from these Internet sources. Then you post this information to your bookkeeping system (preferably to an inexpensive older version of QuickBooks - QBs) so your records then mirror what your Bank and Credit Cards Bank accounts say. Why do this? Because you then do NOT have enter your transactions into the system and then reconcile such Bank and Credit Card postings with what these external statements say, or go through the usual Bank Reconciliation or Credit Card reconciliation process. Plus these important Credit Card transactions are then incorporated within the whole. Uncleared checks and credit card charges are minimal in significance when you do this weekly and control your spending accordingly. This is particularly helpful for Small Ministries and for BLVRs. Please  Click Here   for more information about such a system.

ALICE

      An acronym for: A)ssets; L)iabilities; I)ncome; C)apital and E)xpense. Please Click Here  for details

ALLELSE

      A generic "Bramer-ism" used for 'everything else'; often it supplants the use of the term "MISC"..

APPORTIONMENT  (24)

     This is a term often used to describe the pre-approved distribution of discretionary money to Ministry Spending Areas;   this is usually done on a weekly basis. Sometimes the term "Assignment" applies in these situations -- please Click Here.  Used to describe the pre-approved distribution of discretionary money, or it is applicable when a Ministry pre-determines ownership of each receipt dollar and maintains accounting records accordingly.  This applies in a church setting when money is assigned, or apportioned, each week to applicable fixed expenses and to discretionary Church Ministry Spending Areas.  

ASP - Application Service Provider

    Please Click Here for more information about ASPs and their utilization of the Internet to facilitate a Ministry Finance Team as any appropriate Ministry Finance Associate has permission to access financial information via such products as QBOE, or Quickbooks Online Edition via the Web.  Click here for more web applications info

ASSUROR (4)

    This is a title for primarily a "Ministry Finance Helper;" see information and assignment tasks as set forth when you Click Here.   Please also reference the LOYS  effort as discussed within this Glossary. This can be a formal or informal arrangement depending on whether or not the Ministry needs some type of limited written attestation from the ASSUROR.  Also  Go Here  for more information along these lines.

"ATF - After the Fact  Accounting System (50)

        Utilizing the resources of the internet, you weekly go to your Online Bank and Credit Card accounts and extract the latest transaction information from these Internet sources. Then you post this information to your bookkeeping system (preferably to an inexpensive older version of QuickBooks - QBs) so your records then mirror what your Bank and Credit Cards accounts say. Why do this? Because you then do NOT have to reconcile your Bank and Credit Card postings with what these statements say, or go through the usual Bank Reconciliation or Credit Card reconciliation process. Plus these important Credit Card transactions are then incorporated within the whole. Uncleared checks and credit card charges are minimal in significance when you do this weekly and control your spending accordingly. This is particularly helpful for Small Ministries and for BLVRs. Please  Click Here   for more information about such a system.

AUDITOR - External

    Auditing by an independent outsider.  See Auditor-Internal below.  This may have different meaning to different people .  Please Go Here  for info as to CPA audits; then please Go Here  for some more perspective on some GAAP issues and audits.   

 AUDITOR - Internal 

    Please Go Here   and  Here  as to the use of QBs.  Fundamentally such a person is an insider who functions as a check/balance on financial transactions via the resident Bookkeeper.  The above links also speak to the "go between"  of the ASSUROR  and the Internal and External Auditors as the Ministry maximizes its Financial Internal Controls.

     BEE-TEE (01)   ---   A term frequently used by Brad Pendable for the combined Board Treasurer and Bookkeeper of a Christ-Centered Entity  (defined as a Small Ministry that usually handles $500,000 or less per annum  that has been around for a time,  or one that is just started).  This volunteer person does the bulk of their tasks via their Computers at home or even at work using their laptop during their free time. These folk usually make use of  Internet Tools,  or resources,  in managing their personal money matters.  However, they seldom have any training in how to handle money that has been restricted by donors for Board approved purposes or the money has been assigned for a certain purpose by the Board itself.   This is called  "Ministry Fund Accounting"   

BIG PIX (31)

        An abbreviation for "Big Picture"  where the entire condensed financial recap of a Ministry is found on one page.  Please Go Here  for an example.   Then please Go Here  for a sample that includes a "Bldg/Constrn" endeavor.

BLVR -  BELIEVER IN THE  LORD JESUS CHRIST AS PERSONAL LORD and SAVIOR (99)

   Used when referring to this unique group of Onliners, etc.  Sometimes we will use the term Christ Centered Family Unit, as applicable.  Please also see the folder contents found at   RPFin  (Righteous Personal Finance).

BRAMER-ISMS (5)

    Various "Bramer-Grammar" established by "Retired CPA Jim Bramer" as used over some five decades in an attempt to better describe various unique accounting issues, processes and terms associated with Ministry Finance and Accounting.

BREC

    An abbreviation for Bank Reconciliation.

BUDGET

    Pre-approved financial spending - also - Click Here  for Glossary of mostly Ministry Finance Budget terms.  Also see the term "PlanJect".  Other links are  Here and  Here

BUXBOX (28)

    An alternative method to do the expense line item budget process of the General Purpose Fund (GPF), or you place money into  BuxBoxes  for each of your GPF operating departments (with a Fixed and Variable emphasis).  If there is a balance in the applicable BuxBox then buying can take place.  No balance in BuxBox no can buy.  The system can assist a struggling Church or Ministry as it lives within only the money placed within a  BuxBox   Or a  BuxBox  method can be used as an alternative to the  Envelope  method used successfully by many Christians in their pursuit of Righteous Personal Finance.   Please  Click Here  for QBuxBox, or QBooks or Quicken,  information below.

CCFU

        This is an abbreviation of "Christ Centered Family Unit (CCFU)"  -- sometimes referred to as "Christian Family Unit (CFU)" within context of "Righteous Personal Finance" matters.  A husband and wife with kids family unit or simply one male or female unit.  See "Christ Centered Entity" below.

CHART  OF  ACCOUNTS (23)

        Please Go Here for some Chart of Account  actions and "Truisms";  then Here  for some Church Chart of Accounts samples via QuickBooks (QBs) that should be helpful.

CHRIST-CENTERED ENTITY  (66)

        This includes applicable Christian organizations like:  Churches,  Missionary Organizations, Private Schools, and Camps/Retreats whose primary purpose is to promote, focus and honor the Lord  Jesus Christ as set forth within the Bible.  It includes the following groups:  

            �Mom-Pop� Ministries who handle $99,999 (five digits) or less per annum
            �Smaller�  Ministries who handle $499,999 (six digits) or less per annum
            �Larger� Ministries who handle $500,000 (six digits) or more per annum

      The entity could also be just one person,  but it usually includes a �Family Unit� which ordinarily is a husband-wife plus kids. See CCFU definition above.

COMPERT

    Computer Expert at the local level; a "Bramer-ism" that is someone who is "Windows computer savvy" at the other end of a Onliner relationship.

COST EQUIVALENT

   Term used within context of inventory of Fixed Assets ... it is recommended that initial inventory estimates be the approximate 'costs equivalent' for older items where the original cost records are not available.  See also "Land, Buildings and Equipment."

CROSS FUNDS (26)

    This term is used to show the degree by which the Ministry is doing business with itself -- or internal transfers take place. Example: the Operations will buy equipment and/or retire debt and it affects the Assets and Liabilities shown within the LB&E Fund. Also the General Purpose Fund (GPFund) might SetASide money and it appears as a credit in the Special Purpose Fund (SPFund) area for that particular purpose; Intra-Cross Funds = when money that goes form GPFund department to another GPFund department; Inter-Cross Funds = when money goes to/from from the GPFund to a SPFund.  Extra-Cross Fund = when it goes from one set of QBooks to another.   The consolidated/combo net corporate effect of all cross funds is zero.

DAG - Dollar (Department) Accountability Group (6)

    Maybe you are like me ..... you like the comic strip that includes Dagwood (the Jerk) Bumstead .... or Dag .... and his dear wife, Blondie (the Saint).  Well this have nothing to do with him.  The acronym emphasis is Ministry areas that are subject to a specific Ministry Team Leader who has money responsibilities for a certain Ministry focused area.  Please  Go Here  for an example of DAG use within QBooks. 

DEFRAYMENTS  (13) 

    The dictionary tells us that Defray, or Defrayments, basically means "expenses are incurred and then are reimbursed."  A Ministry "Bramer-ism"  is that many Ministries have programs where they pay the necessary expenses and expect Defrayments reimbursements of most all of these expenses by applicable program users.  These "self funded" endeavors seldom receive more Defrayments than expenses.  A Ministry does NOT classify Defrayments as Ministry income, but as expense offsets within their operating statements.  Click here for samples. Church Defrayment samples are AWANA,  VBS,  Sports Program, and Camping endeavors.  Please  Go Here for further Defrayments information.  Also Go Here for more perspective of this matter. Of course, none of these Defrayment payments are tax deductible.

DEPRECIATION - BLOCK (19)

       Depreciation is now required when year end   GAAP  applies.  But  it really isn't that difficult. We advise against laboriously accumulating the amount of depreciation since date of acquisition on each piece of fixed asset in inventory. We recommend that all items be annually classified within life spans and you use the "block method' of depreciation computation by year and by life span as set forth in detail Here  and referenced when you Go Here  .  Plus, as explained Here  ,  such entries have nothing to do with the Annual Operating Budget ---  it is a once-a-year process that shows up within the External GAAP compliant annual reports.   Please Go Here   about NOT reflecting Depreciation throughout the year.

DEPUTIZING  at a MINISTRY  (52)

       A Tax Exempt Mission or like Organization has Units (Individual or Family, etc.) who "Raise" money to pay for their individual Missionary effort via a Christ-Centered Ministry.  I sometimes reference such people raising such funds as a "DEPUTIZER".   When done correctly, the donor can take a Tax deduction for said payments to the Ministry for the approved benefit of their "DEPUTIZER" Unit. 

DESIGNATIONS

    Money that has certain internal, or Board,  'strings attached'  requirements.  Also see Board Assignments or "SetASides." Also see Link contents found Here and Here

DIBS  - Daily Interest Bearing Savings

    The thrust here is to leave a 'float' in a 'Daily Interest Bearing Savings" account until the last possible day. Click Here   for more information.  Also see POOL-VEST below.

DIRECT  DEPOSIT

    An electronic process whereby money is electronically moved to your Bank .... explained more in depth when you  Click Here   

DISCRETIONARY

     Term used to declare that there are no 'strings attached' to such money, etc.  Almost always pertains to the single General Purpose Fund - GPFund - GPF.

DONAMAIL (37)

    A contraction of the word "DONATION" and the word "MAILING"; the rationale is that names/addresses etc are common to both.    In my experience, it is unwise to maintain a constituent or donor's address etc in more than one place, or you place such info into QuickBooks (QBs), for example, for donation processing and then you use some other database for mailing and related purposes, etc.  The ideal is to have such info in one place so that you can establish and update such vital name/address data once and not twice, or more, etc.  In essence, it is critical for you to have a DonaMail product which responds to your special needs for both Mailing (both Email and Snail Mailings), or contact, with your constituency plus, of course, the Donations Accounting. Non Donation or Constituent/Donor Profile issues include. Such a computer database  (DonaMail)  system accommodates both Pledge and/or Donation processing/record keeping and the necessary people info/contact management as needed by the Ministry. In Churches,  the term C>hurch M>anagement S>ystems (or Software) -- CMS -- is often used.  Please Go Here for more details..

DONATIONS-RESTRICTED

    Contributions/Gifts/Donations that have some  'strings attached'  as requested by the Donor/Giver; or there are some USE "preferences."  We sometimes use the term "preferences" because the Ministry Board still must make be control and make the final USE decisions.  These reside within one of many Special Purpose Funds - SPFunds - SPFs.

DONATIONS-UNRESTRICTED

    Contributions/Gifts/Donations that come into the Ministry with no 'Please use' preferences. The Ministry's Board concludes how to spend, etc. Often referenced as money coming into the General Fund, or the General Purpose Fund-GPFund-GPF..

DRAFTS  (53)

    A draft is a check written but is post dated  (Click Here).  An example is that Parents make SCHAR (School Acct Rec) payments via check written now but handled as a regular check per the date of the Draft-Check.  Also ask about the use of these tools by BLVRs in pursuit of Righteous Personal Finance in their management of Plastic - Credit Card - purchases.

eBOOKS (69)    ---  this really refers to WebBooks (09)

         The real issue about eBOOKs here is "WebBOOKs" whereby beginning in October 2009 both  Jim Bramer and/or Brad Pendable are publishing such free writings via one of our web sites.   Any user  (now referenced as an eReader) does NOT have to pay money as they would when they buy the usual eBook or a normal hard copy book.  There are no "copy right" aspects to our �WebBOOKs�  as anyone can go to the website and not pay money in order to make use of  them.  Please Go Here for a current listing and more details about all of this.    Please Go Here  for more "WebBOOKs"  and "eBOOKs" Info.

eCHECK (71)

         This is the Credit Card/Plastic "Debit" Card process that we discuss Here Here  and our editorial Here.  Or you do NOT add to your accumulated Credit Card debt, but in essence you write an electronic check.   This eCHECK process is the result of you answering "Debit" to the Vender's  question when you give them your Plastic Card,  provide another code,  and then complete the transaction.

ECCU - EVANGELICAL CHRISTIAN CREDIT UNION

    Headquartered in Southern Cal, but can be linked to certain local area Banks for deposit purposes --- Like Bank of America and certain aligned Credit Unions. 

eENVELOPE

        Please Click Here  and  Here  for a list of resources about the eEnvelope Spending Control system designed to make effective use of computer software and assist Christian BLVRs prudently spend their money by placing all receipts in the equivalent of  pre-arranged Envelopes whereby you only spend any balance thereof.

EFT - Electronic Funds Transfer

       EFT stands for E>lectronic F>unds T>ransfers that happens when you make electronic arrangements to have the bank write a check equivalent (see existing debit cards of today) to an approved payee.  Usually this is done automatically each month so you don't have to remember, etc.    

eMINISTRY

     Electronic aspects of Ministry financial transactions. Please Go Here  for more details.

ENDOWMENT (27)

    An arrangement whereby a group of assets are left intact usually with a tax-exempt Ministry. And the net income from the investment of such assets benefits certain named area(s) of a Ministry.  Please   Go Here  for some Endowment and Quasi-Endowment information.

EQUITY

    The difference between the recorded Assets and Liabilities; Equity represented by Net Assets which is assigned to applicable Special or General Purpose Fund Balances.

eREADER (58)

        Primarily this is any one who reads our WebBooks (same as eBooks)  and, since it has no copy write aspects, they do not pay like when you purchase Books and many eBooks.    Please Go Here  for more information about this resource.    

EXCHs  (89)

    These are Email Exchanges.   Usually a written dialog between some one and  Jim  Bramer .  Very much like THRDs mentioned when you  Go Here.

EXAM

    A "Bramer-ism" term used in conjunction with a miniature financial audit .... Fiscal Exam .... which usually results in fiscal area grades.  Please Go Here  for examples

EXCHEQUER (38)

    The  "Chancellor of the Exchequer"  is the title of a British cabinet minister who is responsible for their government's financial affairs.  Or  Exchequer  has to do with with money, finances, treasury, funds, etc.  I understand that this term has something to do with the Checkers game.

EXECUTIVE SUMMARY REPORTS

    Declaration of summarized financial facts intended to give "BIG PICTURE" info to those who should know. Please Go Here  for more info.

EXPENSE REIMBURSEMENT

    A term describing money collected for events by DAGS.  As apposed to use of the term "Income"; often a DAG Focus Group only collects a portion of the actual expenses needed to carry out the chosen Ministry event. This appears in the Financial Statement as an Expense Offset ..... not as an operating income ... but still clearly shows to what extent it covers the applicable expenses for certain events.  See also Defrayments.

EXPENDITURES  (70)

    This term is used in the place of the term Expenses  since Operational (GPFund) paid outs often include something beyond the usual operational Expenses.   Please Go Here for Expenditure  examples like Debt Servicing  (Payments of both Interest and Principal),   Equipment Procurements and  Prepaid Expenditures  plus Board assignments (or SetASides) of GPFund resources to specific SPFunds. 

FINANCE POLICIES

   Our definition of policy is "something that you always do or something that you never do ..... within a specific set of circumstances."  For more detail re Ministry Finance Policies, please Go Here

FINFAX (eFinFax) or FINANCIAL FACTS

    A "Bramer-ism" term that is sometimes used for reporting of  Christian Ministry  "financial facts."  Please go to  eFinFax  for details about this system.  Also Click Here and learn about an electronic eFinFax Accrual Basis equivalent accounting system.

FINCOM - FINANCE COMMITTEE

   A Board Sub-Committee.   Please Go Here for more information on this topic.

FIXED and NON-FIXED EXPENDITURES  (03)

    Such matters relate to the operating costs found within the operating or General Purpose Fund.     Fixed expenditure examples include:  Salaries and Benefit costs;  required Debt Servicing costs (required payments of Principal and Interest, etc.) ;  Church Missionary commitments;  various facility costs like Utilities, etc.   Non-Fixed  expenditure examples are discretionary paid outs that might involve supplies or any other needed operating costs.  Of course, SetASides like voluntary Debt Servicing (Principal only) are also examples of Non-Fixed  expenditures.

FIXED ASSETS

   Another term for Land, Building and Equipment (LB&E); furniture; vehicles.  Please Go Here  for more information on this topic; including depreciation at Ministries and capitalization of acquisitions during the year.

FLAGABLE (14)

   This is another  "Bramerism" that is used to alert a Ministry Finance Onliner reading within  www.bcidot.org  of the waving of  "yellow" or "red flags" or  "watch out !! ", etc.    See Onliner documents   Here,   Here  and  Here  for an examples of Flagable topics or items.  The purpose is to warn of a need that should be remedied.

FREQUENTLY USED TERMS

    An Onliner to  www.bcidot.org  will often find such "Frequently Used Terms" - often "abbreviation" information within a paragraph of many of our Online Documents, or WRIT (Writings).  The purpose is to be a quick reference for Onliners as they read that particular Onliner Document.   

FLOAT

     The time between when a check is released and the time it gets to the Ministry's Checking Account at their bank.   Good management thereof via a Daily Interest Bearing Savings account can often provide a good yield. Please Click Here.

FUNCTIONAL EXPENSES  (17)

    The intent of Functional Expense categories is to inform the reader of the year end report  just how much money was spent for direct Program Expenses of carrying out the exempt purpose of the Ministry plus the two types of essential overhead costs of  Management/General and the needed Fund Raising . In our opinion, this is primarily applicable to mostly publicly supported Ministries as they are expense classifications within the context of fiscal year end only requirements of  GAAP .   Of course, such Functional Expense information is also needed for filing IRS form 990 and applicable state forms.

FUND BALANCE

    That portion of a Financial Statement (see Photo) which shows who belongs to the excess of assets over liabilities -- or net assets.  The QBs accounting system references this area as "Equity".  At Ministries this is divided between such Fund Balance areas as: Special Purpose Fund Balances (many) and General Purpose Fund Balance (one).

FYE - FISCAL YEAR END

    As apposed to the calendar year end, or 1/1/xxxx to 12/31/xxxx.

FMV - FAIR MARKET VALUE

    In a Ministry setting, it is usually the dollar amount booked for non cash gift items. A definition is: "what a willing buyer will pay for an item to a willing seller with both knowing all the relevant facts."  Please  Click Here.

GAAP-Generally Accepted Accounting Principles

    The  'according to hoyle'  way of reflecting accounting transactions and their results in financial reports; especially for such end of fiscal year reports to the public. Basically this is standards formulated by the Accounting Profession.  Please Click Here.

GIK - GIFTS IN KIND (22)

    Donations to a Ministry of tangible non-cash gifts; examples include stocks/bonds, auction items, real estate  plus items like supplies and products.  Sometimes property is sold to a Tax Exempt Ministry at less than its real value -- there is a tax deductible gift involved here.   As set forth when you  Go Here  , this does NOT include people's donation of time, etc.  These 'in kind'  gifts are then converted into cash or used internally in furtherance of the Ministry's exempt purpose. See content when you Click Here

GPFUND - GENERAL PURPOSE FUND  (One)

    Money controlled completely at the discretion of the Ministry Board for the general exempt purpose of the Ministry. Generally controlled by pre-approved spending budgets.  For more info, please  Go Here and  Here

GRANTS

    Money going out to a qualified recipient; often Missionaries or Mission Organization; or any other party receiving money that is an 'offering' in nature.  As apposed to making payments in return for goods or services.

GYM  (07)

    
 You Onliners might encounter this acronym which stands for "Go Ye Ministries" or perhaps even "Go Ye Mankind".   This is a hypothetical "Christ Centered Ministry"  that is referenced by  Brad Pendable  and  Jim Bramer  when they portray "Christian Ministry Finance"  matters in their various writings.    It represents either a small and middle sized endeavor. 

HOMERS (10)

    Homers can be any Ministry Helper who can efficiently serve primarily remotely (across the street or across the country) using the resources of modern day communication and the Internet.  But it is also often Moms who want to stay at home with their kids and yet they need to earn some income;  primarily using the Internet and their Computer systemsHomers can also be retired, or semi-retired, "Keen-Agers"  who want to be productive in like manner as they make themselves available to Christians or Christ-Centered Ministries.  See content when you Click Here  for more details. 

IMPREST

    A flat sum of money on the books (either cash or a separate bank account) that is used for a specified purpose. The expenditures hit the books only when money is disbursed by the Checking Account to reimburse such Imprest Accounts.   Also Click Here.

INTERNAL FINANCIAL CONTROLS (18)

    The definition of "Internal Financial Controls"  includes: "The steps and procedures by which what one non-family member independent person does in carrying out their financial tasks becomes a check and balance on what another independent person does."   An entire financial transaction is NOT done by one person only. Please Go Here  and see other aspects of Internal Financial Controls.

INTERNALS

      A succinct way of saying "Internal Financial Reports/Statements" as needed within a Ministry for good financial stewardship.

 INTERNET FRIENDLY (or Ministry Finance Internet Centric)-- (29)

       When these terms are used ( Ministry Finance Internet Centric or Internet Friendly) we mean those of us (not just our young people) who have a fast Online computer connection and go to the Internet minimally once a day to do such things as search the Internet and, of course, receive and send Email.  As to their personal finances, many have their provider (such as Net Pay or Retirement Income) electronically make deposits of such income to their bank account, They also are comfortable doing their personal finances via Internet resources that includes paying their bill electronically and accessing Online their Bank Statement and Credit Card Statements.  Please Click Here for access to a website started in July 2006 called SPENDING CONTROLS - Jesus Savior Pilot me ---- also see various Ministry Finance Internet Centric (or Ministry Finance Internet Friendly) features when you Go Here and Here.   After June 2010 please Click Here and go to a WebBook entitled "Journey to be Christian Ministry Finance "Internet Friendly"."

JIMS JRNL

        Click Here for an Alpha list of topics within some editions.  Go Here for other search issues

JIM BEE (87)

      
Please  GO HERE  for the use of this same term within   www.rpfin.org  

KITS - KEY ITEM TREND STATEMENT  (9)

      Usually a columnar financial report of chosen Ministry key items as followed on a monthly basis. Very much like Executive Summary issues - when you Click Here.   A similar term is "BIG PIX" as seen when you go:  Here and  Here.

LB&E - Land, Buildings and Equipment

    Financial Reports that pertains to Balance Sheet and Changes in LB&E Fund Balances. Reporting of Non-Cash resources covering these assets plus Loans that apply to the LB&E only.   LB&E acquisitions plus principal payments are often made by Operations (GPFund) and reflected within the LB&E Fund at least annually.  Please Click Here and Here.

LINE OF CREDIT (32)

    Loan provided by a financial institution for short term unexpected borrowing operating purposes.

LINGO - Ministry Finance

      An Onliner to  www.bcidot.org  will often find such "Ministry Finance Lingo or Frequently Used Terms" information within a paragraph of many of our Online Documents, or WRIT (Writings).  The purpose is to be a quick reference for Onliners as they read that particular Onliner Document.  

LOYS - Looking Over Your Shoulder 

    Services provided, usually Online, by a qualified helper to a Ministry that includes reviewing the method and content of a Ministry's set of books.  This is facilitated when the Ministry can either attach a set of books file (such as Quickbooks QBs) to Email, or make like arrangements via various Internet services now available. Also be aware of our LOMS (Looking over my/JRB shoulder) tool as Onliners are invited to look at the content of our desktop.

MEMO ACCOUNT (ING) (15)

        Means by which financial information is placed as an offset within financial reports (usually in the Asset areas) whereby such info does not affect reporting of GPFund operations/fund balance or SPFunds operations/fund balancesFor more perspective please read  Two Sides of the Same Coin.  Please Click Here   for more information in reporting status of the Land, Building and Equipment Fund  in this MEMO fashion within the  Photo report..

MER - Ministry EXPENSE REIMBURSEMENT  (8)

     A term often found in a Mission Agency setting.  Portions of the designated contributions for a particular Deputized Staffer is determined to be an 'Ministry Expense Reimbursement' and not therefore applicable for Staffer Income taxation purposes. More Here.

MFTEAM - MINISTRY FINANCE TEAM (05)

     Functions as an alternative to the Board's Finance Committee. Also may go by the name MinFinTeam or MFT.   Click Here  for more info

MFT-TEAMMATE (25)

     A term used by either Jim Bramer or Brad Pendable when reference is to made to colleagues that usually serve remotely (sometimes with him) on various Ministry Finance Teams (or Board Finance Committees) as an Online Associate member of that committee, etc.  Find out more information about this when you  Click Here 

MIFI - MOST IMPORTANT FINANCE ISSUES (11)

     A generic "Bramer-ism" used to encourage Ministries to exert energy on such prioritized items. Please CLICK HERE  for a web page on these matters and after August 2010 please  GO HERE  for an WebBOOK on this overall topic.

MOM-POP  (M-P)  Ministry (56)

     Small "Not for Profit"  Ministry   (likely a Mission Organization or Small Church)  who usually handles no more than  $99,999 or less per annum

NAT (NATURAL EXPENSES) (20)

     A way to identify kind or "types" of expenses; usual samples are: Salaries/Benefits; Operating supplies (per detail needed); Operating expenses (per detail needed); includes Cross Fund (per detail needed). As apposed to "why"  the expense, or Ministry or Program ID, Department, or grouping.

NET INCOME

     A QBs term appearing in its Balance Sheet (Photo) within the Equity area that represents the difference between this Fiscal Year's GPFund Income and Expenditures.   It is the GPFund year to date balance at a certain point in time.

NET EFFECTS (40)

     Another  "Bramer-ism"  that is used as a type of expense within the GPFund when it covers what the Participants do not pay for all of the expenses with a Self Funding activity or event;  examples are:  AWANA, a missions trip, VBS, etc.  It is often agreed that they do not pay for all of the expenses and the GPFund budgets accordingly.   Plse note that  Cross Fund   issues apply here.

ONLINE BANKING

     Use of the Internet, and allied Computer Finance Systems (like QBs), that allows you to access at any time your Bank and/or Plastic Accounts for transaction details and balances.

ONLINE BILL PAYMENTS

     Use of the Internet and allied Computer Finance Systems (like QBs) to pay certain of your bills. Eliminates the need to produce a paper check and place within the mail. The recipient either gets a paper check produced by your agent or it goes directly to their checking account. Often used for automatic deposit of Staffer's net pay. Please Go Here.

ONLINER

     People who go Online and view our web pages and/or communicates with us --- usually via Email .  Hopefully  these people are members of a Ministry Finance Team as we pursue issues and topics of interest to such a group.

OPERATING EXPENSES

     A generic term used to cover such expenditures as: Salaries/Benefits and a variety of Supplies and Expenses. This activity might flow within either the SPFunds or the GPFund.

OPERATING RESERVES

     Certain money set aside by the Board to cover unanticipated Operating Expenditures.

PETTY CASH

    Please Go Here  and learn about applicable Imprest Petty Cash funds and Checking Accounts

PHOTO FINANCIAL STATEMENT  (2)

     A non accounting term used in place of "Balance Sheet, or "Statement of Financial Position".   It is especially used when a Christian Ministry does its reporting via the Liquid (LIQ) process (or it does not emphasize Land/Bldg/Equipment information) as it reports its day to day expenditure accrual basis operational activities. The purpose is to have the reader understand that this is the named "Point in Time" status of such Assets, Liabilities and Fund Balances.  We use the term "FinPhoto" in the pursuit of  "Righteous Personal Finance"  in this eBook.  Please also reference the VIDEO  Financial Statement which shows the activity of  Income and Expenditures for a "Period of Time".   For more info please also Go Here and Here.

PIX - short for "Pic-ture"

    As used when you Go Here  to report the "One Page Big -Pic-ture" financial information at a Christian Ministry.  

PJECT - PLANJECTING

     An alternative term for the "Budgeting Process"; since the Ministry has applied the principal of converting plans to dollars as final spending budgets are determined and authorized.  Please Click Here for more info

PJECT TO ACTUAL eBook

     An alternative term to "Actual to Budget." See the term PlanJecting, or PJecting.

PLASTIC

     As supplied by Debit or Credit Card arrangements.  For more info please Go Here  Here  and Here.

POLICIES,  FINANCE  (35)

     Our definition of policy is "something that you always do or something that you never do ..... within a specific set of circumstances."  For more detail re Ministry Finance Policies, please Go Here.

POOL of MONEY  (33)

     The total money on hand or what is deposited. The emphasis is to view it as a total and not "marry" any of it to specific Fund Balances so you can efficiently make short term investments. See "Pool" and/or "Daily Interest Bearing Saving".   Such an endeavor also allows you to earn more "Interest Income" as explained when you Click Here.   Please see POOL-VEST below.

POOL-VEST (67)

            This has to do with the above "Pool of Money" at a Christ-Centered Entity (either a Ministry or a Family unit) as they use the appropriate Online methods of "pooling" their money on deposit (sometimes called �liquid funds�) so that it is prudently "invested"  in Savings Accounts and earns as much �Interest Income� as possible.  Please  Click Here for more details.

PROG (PROGRAM EXPENSES)

     A way to categorize expenses by operating unit; or Ministry and/or Program ID -- groupings. This concept closely ties in with DAGs. See DAG Info; as apposed to Natural expense, or kind of expenses ... see NAT info.

QB (or QBs) is an abbreviation for Quickbooks

    Please Click Here  for details of using QBs for Ministry Fund Accounting.  Usually QuickBooks Pro only --- not QBs online.

QBuxBox (39)

    Click Here and go to BuxBox above - The QBuxBox system primarily uses QuickBooks Pro (QBs) or QuickBooks Online Edition ( see QBOE below)  (maybe Quicken)  for spending control or BuxBox purposes.  -- we sometimes also use the term "QBox" .  Pease also go to  Spending Controls  for access to a web site specifically on this topic.

QBOE via the Web - "Quickbooks Online Edition" via the Web

    Access Here for more details about this product and its prospective use by Ministry Finance Teams.

QVE - QUITE VIRTUAL ENVELOPES

     Within context of "Righteous Personal Finance", this is a method for handing finances by placing bank deposits within "virtual envelopes" ... as if you were placing green stuff in actual envelopes.  Since the envelopes serve as spending borders (you can only spend envelope balance or content) you can monitor/control your finances in this budget alternative manner.   The "Q" could also stand for a Computer "Quicken" or "QuickBooks - QBs" systems which might also facilitate the recording of Credit Card charges within the applicable "virtual envelope. For more info please Click Here.

REPLICATION MINISTRY  (1)

     This is generally a Christ-Centered Ministry that receives money and turns around and uses it to benefit another Ministry as per their purpose statement.    Examples are:  Church Capital Investment Organizations,  Credit Unions and Subsidiaries.  Such Ministries provide a yield for anyone's investment, and then they turn around and loan money for Church or Ministry endeavor or facility.  The money is used in a replicating fashion --- aspects of "having your cake and eating it too," or the same dollar is serving you as the investor as well as someone else, or a Christ-Centered Ministry.  Replicating Ministries are excellent vehicles for  Endowment  funds.

RPFin - RIGHTEOUS PERSONAL FINANCE

     This term is used within the context of Christ Center Family Units (CCFUs), or BLVRs,  using their financial resources in a scriptural manner. This person is being a good steward of financial resources. Please Go Here for more info.

SCHAR

         A  Bramer-ism  for Sch>ool A>ccounts R>eceivable ---- Schar.   See more info when you Click Here.

SCRIP (12)

       A method of Fund Raising done primarily at Churches and Schools.  Please Go Here,  Here  and  Here  for more details.  Please Click Here for information about a means of raising funds for Missionary Deputizers and Scrip  for a definition, etc. 

SELF EXAM

        Rather than have an outsider make a fiscal exam of the Ministry, you do it yourself.  Obviously, you need to be as factual and honest about your financial activity as possible --  you know more fiscal truths than some outsider.  Click Here  and access some helps, but the real issue is for you to make the needed betterments.

SETS  OF QBOOKS  (16)

        This is unique to such software as QuickBooks (QBs).  As also explained when you  Click Here,  and elsewhere,  it means that the Ministry uses multiple QBs Companies (separate files), or sets of self balancing accounting books.  Sometimes the term "satellite" also is used to describe this arrangement.

SETASIDE  (30)

     Generally a process by which the Ministry charges the current "General Purpose" operations for an item and placed the money within one of the "Special Purpose" Funds .... usually for an upcoming future purpose. Please Go Here.

SMALLMINS (Small Christ-Centered Ministries) (55)

      Such Churches, Mission Organizations, Schools or Camps/Retreats, or any type of "Not for Profit" endeavor who handles $500,000 or less per annum.

SPENDING CONTROL

   
 This term obviously means that you have some discipline in this aspect of your operations.  Generally this implies that a budget is in place.  After July 2006 , please go to  www.qbuxbox.org  for some designed assistance in this finance area that applies to both  small Ministries who handle $500,000 or less per annum and Christ Centered Family Units - C CFUs.   

SPENDING GROUP

     Another term for a Ministry focus group who spends money.  See DAGs above.

SPFUND - SPECIAL PURPOSE  (Spoken For) FUNDS

      Money or Funds provided by Donors for a particular Board approved special purpose; the expenditure is controlled simply by any residual balance remaining in the specific fund; pre-approved expense budgets are seldom applicable. The Board often sets aside certain discretionary funds for an assigned Special Purpose. See Links found when you  at:   Go Here  Here. Here and Here.

STRINGS ATTACHED

     Money comes in with certain Donor or Board restrictions and/or designations.  See SPFund above.

SWEEP

     Procedures that includes: The deposit goes to your Bank Account;  the bank honors all checks and a "sweep" process takes place whereby the maximum amount possible is placed into a Daily Interest Bearing Savings account.  Per the Bank's records the Bank Account usually has a zero balance or agreed small amount. Please  Click Here and Here.

TEMPORARILY  RESTRICTED  FUNDS (06)

     
Title used when identifying what we call Special Purpose Funds   in Year End GAAP reporting.  Obviously this is separate from "Permanently Restricted Funds" also appearing in the same Year End GAAP  reporting.

TRUISM  (21)

     Statements, or declarations, that show unique finance and accounting principles and/or precepts (Truisms).  These often are a 'rule of thumb'  that primarily applies to managing and reporting of such matters at a Christ-Centered Ministry.  Please  Click Here.

URL - Universal Resource Locator

     A web site address for a specific page or file; for example, we normally use a set of numbers, or 0063-07, as a URL for directing Onliners to this Glossary of Ministry Accounting Terms on our Web Site.  The term "link" is also used for this purpose.

VIDEO FINANCIAL STATEMENT  (3)

     A non accounting term used in place of the usual accounting terms of: "Income Statement, or Profit/Loss Statement". Some have even used the term "FinVideo".  The concept is to have the reader of the financial statement understand that this report covers the flow of the Income and Expenditures (not expenses, per se) for a "Period of Time."  As apposed to the PHOTO Financial Statement (Balance Sheet, etc) that reflects the status of a Ministry's Liquid Assets/Liabilities/and Equity/Fund Balances at a "Point in Time".   See more info when you  Click Here and Here.

VIRTUAL DEBT SERVICING

    A Church increases its "General Purpose" Fund budget to include the amount of anticipated Mortgage payment (Debt Servicing) of money that it knows it will need to borrow in order to complete its Building/Facility Construction project.  This Board Discretionary money is placed in the Church's own Building fund.  We recommend these steps because the weekly giving must ultimately be enough for such a actual "Debt Service" payment. Please  Click Here for more info. 

WebBooks (09)

     
These are the equivalent of Electronic Books (eBooks ) mentioned above that we are publishing beginning in October 2009 via one of our web sites.   Any user  (now known as an eReader) does NOT have to pay money as they would when they buy a normal hard copy book.  There are no "copy right" aspects to our  �WebBooks or eBooks�  as anyone can go to the website and not pay money in order to make use of  them.      Please Go Here for more details.  

WEB BASED APPLICATION (80)

      Software that is available directly via the Internet, or the Web.  See ASP above.  You do not buy software and place in on your computer;  you pay a fee and access Online.

WRIT -

     Types of Online Document communication devices within our websites. Some of our Onliner communiqu�s end with following:

     A WRIT (Writing) may be applicable to all Ministries, or it may be designed for just groups like: Evangelical Church, School, Missionary Agency or Organization, Christian Camp / Conference, or other named group. Our Writings formats include our perspective via IOMs Inter-Office Memo to the Ministry Finance Team (MFTeam); THRDs, a hypothetical Online conversation with members of the MFTeam; GLEANINGS, or Scripture within context of the MFTeam; FWIW; A periodic editorial (For What it is Worth); TRUISM, or believed Ministry Finance principles; FAQ, response to Frequently Asked Questions; ACADEMY, or Ministry Finance course and sample material; RESOURCES; known Helps means for the MFTeam - mostly via Jim@bcidot.org ; and TIDBITS; Odds/Ends that do not fit above .... mostly Ministry Finance discoveries, brief thoughts and comments.

X-Change

    See Email Exchanges, or Exchange above at  #89

YTD - YEAR TO DATE

     Normally means since the first of the Ministry's fiscal operating year.   Either calendar or non-calendar year.


   The bulk of this publication originated in March 1998 and was - UPTD: April 17, 2013  -- Contact: Jim@bcidot.org 

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