M-Agency & Big Pix Finance Reporting  8012-02  ZZmis

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                               TO:  Interested Mission Agencies                                                                   FROM: Jim Bramer, Retired CPA-Auditor
                                                                                                                                                                 FILE: 8012-02/mis    

                               RE:  M-Agency & Big Pix Finance Reporting                                               ORIG:  March 2000                                       


    Below is a hypothetical Online Email thread (THRD) between any of the following MFTeam members: PAT (Ministry Chief Executive), LEE: (Ministry Volunteer Treasurer), or FRAN: (Ministry Computer Bookkeeper) and  Jim@bcidot.org  --   Click here and go to List of threads (THRDs) at www.bcidot.org


                        FR LEE:

     Hi Jim ..... appreciate your help in the past.  Am now faced with presentation of relevant financial information at Board meetings and at periodic department meetings . 
      Please provide me with some thoughts along these lines.


FR JIM

        OK, Lee.  As I remember you are using our recommended QB Fund Accounting system via Method One where Special Purpose Funds - SPFund appear as QB Equity accounts. Go to to the "QB Fund Acctg FAQ" publication within the WEB Publication List  below to remind you re the definition of SPFunds and other detail about this QB Fund Accounting method.  Please also read two publications found in the Web Publications List   below: "Board Members and Ministry Finance Info.". Reading these will give you a little of my perspective. 
    
        Fundamentally, I believe the Mission Agency Ministry Finance Team needs to provide complete info, but keep it short and simple -- all on one page. Let me know, at  Jim@bcidot.org  if your Ministry Finance Team would like to use Chart and Graphs to provide such information.

                             FR LEE:

        Appreciate the overview, etc ....... please provide some examples with the above in mind.


FR JIM:

        OK ..... please be aware that I am basically using the numbers appearing within the "QB MinFin Samples" publication below.
        As pointed out below in the "Key Item Trend Statements" publication,  Ministry Board members need to have a "big picture" grasp of relevant Ministry Finances.  So the one-page example below is a suggested way to accomplish this.  You as Church Treasurer, in my opinion, can then make copies of this for the Church Business meeting and then highlight key data.  Sometimes colored highlights appearing on such a report can serve that purpose. 
        I am VERY much aware that the ideal is to enter transactions once and then have ALL of the financial reports flow from the QB System (or similar system), but, unfortunately, this not always possible. The report below was done via Excel ... let us know if you would like a copy of the Template .... but it easily could be originated in a Word document and saved also as a Template.  Then update the Word  Template by typing in applicable whole numbers from subsequent reports already being produced via QB, etc. 
   

Sample Mission Agency - Beginning July 1, xxx1 and Ending May 31, xxx2

              "Big Pix"          PERATIONS      RECAP 

  Special

  General

   Funds

    Fund

Budget to Date

Variance

Revenue:

    Donations

$ 60,400

$ 77,800

    Earned Income

$ 50,600

$ 50,000

    Other

            00

$ 1,500

Total

$ 111,000

$ 129,300

Expenditures

    Salaries/Benefits

$ 57,500

$ 57,667

$ 167

    Operations

$ 110,026

$ 47,926

$ 48,075

$ 149

    Mortgage Payments

$ 15,000

$ 15,042

$ 42

    New Capital Assets

$74,500

$ 5,000

$ 5,000

$ -

     Other

$ 1,000

$ 9,250

$ 9,275

$ 25

Total

$ 185,526

$ 134,676

$ 135,058

$382

Excess Revenue (Expenditures)

$ (74,526)

$ (5,376)

Annual Budget

$150,000

Beginning Represented by:

Divided by 52

    Bank Balances

$ 97,500

    see

(1) Wkly Need:

$ 2,884

    Less Unpaid

General Actual

    Operating Bills

$ 2,500

   below

Income To Date

$129,300

Balance

$ 95,000

Divided by 48 wks

Ending Balance as computed

$ 20,474

(1) Wkly Average

$ 2,694

"Spoken For" as Listed below:

Wkly difference

$ 190

    AA-Donor Restriction

$ 3,500

Ending

    BB-Donor Restriction

$ 1,200

   Ending

Bank Balances

$ 16,879

    Board Discretionary

$ 2,224

  General

Less Unpaid

    Board SetASide

$ 13,550

(1) Fund

Operate Bills

$ 1,689

Total of Special Funds

$ 20,474

$ (5,376)

Result is:

$ 15,098

                                FR LEE:     

       Wow, that is great information, Jim  ...... all on one page. Be interested in your view, after looking at the info,  just what you would 'highlight' as key information.

    FR JIM:

       I would identify at least the following..... 

  • General Fund deficit for the 11 months is $5,376; 
  • Or the Church has used all of the Board Discretionary Fund bal and
  • Borrowed the remainder from other SPFunds; 
  • The weekly Budget need is $2,884 as compared to the actual of $2,694.
  • But the Ministry has lived within it's authorized annual spending budget - see the $382 above.

                                         FR LEE:     

                Right on ...... I could distribute such a report to those at period full Board Meetings.  Then mention highlighted key items like above and then be available to answer questions.
                Seems the Ministry Ministry Finance Team should understand a report like this and then I could take to our Board meetings.  Again distribute, highlight items and discuss more in depth with the Board members.
                Thank you, Jim ..... will let you know if we have any questions..


                                                            - - - - - Web Publication List - - - - 


Annual GAAP Church Financial Info 
Bank Balance, Beyond the 
Board Members & Ministry Finance Info 
Church Membership-Finances to 
Key Item Trend Statements - 
Ministry Accounting Issues 
QB Church Samples List 
QB Fund Accounting FAQ 
QB MinFin Samples List 
Reports, Ministry Finance 
Reports - Photo and Video 


   Please Click Here for a list having to do with  Mission Agencies topics here on www.bcidot.org.  relevant to this topic.    UPTD: March 09, 2012    The bulk of this Publication originated in March 2000   

ABOUT  US   |  OUR PURPOSE   |  TABLE OF CONTENTS   |  SEARCH  MATTERS  |  HELP DETAILS   |  FUND ACCTG VIA COMPUTERS   |  GLOSSARY