- - And the Lord direct your heart in the love of God as you continue to faithfully serve Him - -

Links on the www.bcidot.org Web Site include:      HOME  |  ABOUT  US   |    OUR PURPOSE   |   SITEMAP   |  COMPUTER FUND ACCTG  |  HELPS   |  GLOSSARY 

         TO:  Interested Onliners                                                                                                            FROM: Jim Bramer, Retired Auditor-CPA
                                                                                                                                                                        
   
         RE: J I Ms  J R N L for the month of May 2006                                                                           FILE:  0205-06/jrnl        
                (Click Here for "Blogger like" perspective/rationale)      

01-Contemporaneous Donation Receipts at a Church - (01)

        Please go to  2042  and read the content of the following "Edited Onliner Dialog-EOD" on the topic of having to issue a Donation Receipt as you process the donation at your Church.  As you read this, plus the publication that is linked to a CPA who specializes in such matters, you will discover that there is an issue of whether or not a Church has to render individual receipts for each donation as made to the Church during the year in order for the donor to take it as a tax deduction.  You might find of value the recent thread on this subject within the following Church Business Administrator's Yahoo Forum:  http://groups.yahoo.com/group/churchadmin/ 
        My expressed view in the last paragraph of this EOD is that an annual list of such donations made during the year is sufficient.  Of course, the Church would also have to make it clear that the donor's payment (the donation) did not pay for any goods or services from the Church, etc.

02-Ten Commandments and your Ministry Finance Team  - (02)  

     The following can be viewed as your   Ministry Finance Team's   TEN COMMANDMENTS.  Per the independent opinion of each member of  your MFTeam member, please grade yourself as to the following THOU SHALTS (of course, you will want to remedy poor grades) or the extent to which the Ministry ......

						GRADE
1>		Is fiscally accountable with integrity
		and righteousness - no deceptive secrets from those who should know.				_______
2>		Is a good steward of financial and
		physical resources.				_______
3>		Lives within income and/or
		budget constraints.				______
4>		Uses debt prudently; pays bills
		on time; manages money well.				_______
5>		Has good internal communication
		of fiscal status and operations;
		represented by timely and understood-
		financial reports.				_______
6>		Establishes and maintains financial
		policies;  monitors adherence thereto.				_______
7>		Is financially credible				_______
8>		Properly handles restricted monies.				_______
9>		Has a good finance system that includes
		needed financial internal controls.				_______
10>		Is auditable by applicable entities.				_______

03-Complete and Timely reporting of Ministry Operating Expenses - (03)

Perspective:

    One of the purposes of buying via the Credit Card system (as addressed within  0114 ) is to record an expense in the month that it actually occurred and not when a check is written, etc.  Is your  Ministry at the point where you need to be showing more completely what is actually happening in a respective month ?

Objective:

    If so,  then reflect any Non Credit Card purchase/expense of a material amount (like $200.00 or more)  within the month that the expense actually occured - or place the Ministry on the complete "Accrual Basis" of accounting/reporting. This will provide reports of actual expenses to management for complete and accurate "Actual to Budget" reporting purposes. Go to  0706  for a sample report.

How :

    If you are a QuickBooks (QBs) user then you likely have been getting an approved bill; pay it via the QB "Write Check"  process and posting it directly to an expense per the date of the check.  But, to reach this "Complete Reporting" objective, you make use of QBs  "Account Payable" system in what I call a "Two-Legged" process. When you are to pay a bill of $200.00 or more (for example) that pertains to a previous month, then you make two entries.

1st Leg  -- Book it as an expense of the previous month per the "expenditure incurred date" using the QBs "Account Payable" system.
2nd Leg -- Then write a check as of today (the next month) via the "Accounts Payable" system and clear it out of that system.

    Some of you prefer to simply go back and date the check the last day of the previous month.
    Periodically you run a QBs "Aged Account Payable Proof" report and clean out any inappropriate residual.

04 - Hits on our Web Site of  www.bcidot.org  - (04)

OK OK - I'm a numbers freak !!!!    But this month there have been 22,222  recorded "hits" on  www.bcidot.org since 1999.

05- Crown Coaching of Christian Believers (BLVRs) - (05)

        This month I interacted with a special friend who is a volunteer coach in/around  Crown Financial Ministries .  Hopefully you already know of the tremendous service these special people provide BLVRs who are struggling to live within their income -- plus they are often trying to get out of Credit Card debt.  This coach's sad experience is that only about two family units out of ten are really successful in this effort.  The primary deficiency is that the BLVRs simply will NOT control their spending/buying, etc.  They are fiscally undisciplined -- they will NOT live up to their initial pledge or promise, etc.  Or they thought the Coach would do everything and be a cure-all  -- they do NOT take responsibility for their actions, etc.  Of course, such matters are unresolved spiritual issues with their Lord.  Our hope is for more spiritual victories and such Coaches would have "winning" teams/players. Please also be aware after July 2006  of this  SPENDING CONTROL  resource.
        My prayer is that people needing the applicable "Coaching" would make appropriate use of the tools found within the following folders:  RPFin  ,  ENV ,  QVE  and   QBuxBox.   I am also convinced that BLVRs   can greatly benefit by a regular self examination that leads to making the necessary corrections of any "No" answers to the questions below.

		YES	NO
1	We pray daily for applicable "Spending Controls" toward  "Righteous Personal Finance	____	____
2	We decide in advance exactly how we are going to spend all of our money upon its receipt?	____	____
3	We are making/keeping our finance commitments with regard to our Home Church?	____	____
4	We keep the needed records plus have a Weekly Report  that provides buying limits?	____	____
5	As spouses we are working together in this "Righteous Personal Finance- RPFin effort?	____	____
6	We are getting the necessary coaching or Outside Help  with regard to this overall effort?	____	____
7	We are using our single  Credit Card  buying resource as a tool and not a tyrant ?	____	____
8	We are timely paying off the one Credit Card balance and we incur NO Interest Expense ?	____	____
9	We are making appropriate use of record keeping resources like that available via the use of computer and the  Internet ?	____	____
10	Overall, we are NOT reaching our  "Spending Control" goals and we know why?	____	____

 06-Topics that Jim B would address if he were the Board Treasurer at a Church - (06)

    For more info, please "Click On" the topics below that Jim B would address if he had the privilege of serving as the Board Treasurer at a Church:

 1.  Reporting and Understanding Church Finances
 2.  Current Finance Activity Accounting emphasis
 3.  Make full use of Internet and Computer Tools
 4.  Church Finance Policies
 5.  Meetings re Church Finance
 6.  Budget and/or Spending Control Management
 7.  Maximize Internal Financial Controls
 8.  Manage Bank Balances and Investments
 9 . Righteous Personal Finance
10.  Management of amounts due to the Church/School
11.  21st Century Church Revenue Issues
12.  Pay maximum number of bills electronically
13.  Payroll - Retain someone else to do it
14.  Auditor Matters
15.  Church Weekly Counting Matters

Link contents that are "NOT"  via Jim B     

> IRS Publication re Charitable Contributions http://www.irs.gov/pub/irs-pdf/p526.pdf  
> Alternative to a Private Foundations     http://www.servantchristian.com/web/pa/advantages.asp?s=1273&p=15
> Al Smith's "Most Important Church  Business Admin Issues" http://www.bcidot.org/als/6901-15.html
> Church Check Signing, etc.                http://www.bcidot.org/brad/beth/02-Gen-Church/CheckSigningEtc.html
> FAQ via IRS re Form 990 Returns        http://www.irs.gov/charities/article/0,,id=156648,00.html
> Deductibility of Church Mission Trips http://www.thechurchreport.com/content/view/992/32/
> IRS and Designated Contributions http://www.ecfa.org/ContentEngine.aspx?Page=2NewsIRS-DesignatedContributions
> BuxBox-Envelope Acctg per Crown Ministry Services http://www.crown.mvelopes.com/?aid=SCCCN&MemberID=429177
> Controlled purchases via Credit Cards at a Ministry http://www.thechurchreport.com/content/view/1357/32/
> How to control your personal spending http://www.crown.org/Library/ViewArticle.aspx?ArticleId=329
> An accounting system at your Ministry http://www.allianceonline.org/FAQ/financial_management/what_are_elements_of.faq   

Link contents that are via Jim B

    As some of you know,  I have, since 1999, been placing  xxxx-xx  web pages within  www.bcidot.org . Below are some links for this month that I believe warrant sharing with you. I appreciate your continued prayers for the relevancy to readers of these  xxxx-xx  web pages.

> Self Insurance Exams                          http://www.bcidot.org/all/0073-02.html
> Check Signing at a Ministry                  http://www.bcidot.org/all/0066-02.html
 

This Month's "For What It is Worth" Editorial  -  written in April 2002."

 Do it Yourself --- Improve your Ministry's Fiscal Administration  ------   http://www.bcidot.org/fwi/0916-03.html  

Current "Ministry Finance" Truism

    Below are some of my Ministry Finance precepts/beliefs/principles, or  "rules of thumb". Please go to  0069  for a complete TRUISMS list. 

  DESIGNATED DONATIONS  - Such donations must further the purpose of the Ministry who therefore must be in control of how it is spent - not the Donor.  Please read this Ministry Finance Policy when you   Click Here   then also go to  5021  for some information about pass-throughs to needy individuals, etc. 
  MORE THAN THE BANK BALANCE  -  Expenses should be booked when incurred and income should be shown when earned; otherwise the Ministry reports do NOT reflect all of the financial facts.  See  0058  for more specifics.