Third Quarter Finance REport

Dear FUMC Member or Constituent,

Your First Church Finance Committee is pleased to provide you with this brief update on church finances.

Summary of FUMC finances as of September 30, 2023: 

General Finance Notes

During the first nine months of 2023, pledges received (Figure 1 first column) totaled $508,728 or just 63% of pledge budget for the year.  At this point in the year we should expect to be around 75% pledged contributions received – a gap of over $96,000.  This is a stark reversal in the “on budget” observed during the first half of 2023.  Non-pledged giving (Figure 1 second column) fell behind even more significantly, coming in at $146,822 or 53% of our 2023 budget, nearly $60,000 behind forecast for the year.  Additionally, facility rentals, an important augmentation to our annual budget also fell behind forecast for the first time this year during Q3 by approximately $40,000 – a downturn driven by seasonally lower rentals during the summer and the impact of HVAC outages rendering certain spaces unusable during several unseasonably warm spells.   

In summary, heading into the last quarter of the year, church revenues lag forecast by $196,249 – the largest gap to plan seen in several years.

In brighter news, expenses for the nine months of 2023 (Figure 2) remained true to forecast at precisely 75% YTD.   

Finance Commentary

2023 began on a very optimistic note as one of the strongest starts for FUMC finances in several years. However, during the past quarter that trend completely reversed. Q3-2023 giving now ranks as the lowest third quarter for church giving in the past four years. Notably, these years include two years where church was primarily operating virtually. Additionally, this is the most significant deficit the church has faced heading into Q4 in recent history. Traditionally, fourth-quarter giving is always the highest of any quarter for the church.  However, deficits of smaller size have proven difficult to close in prior years, despite increased Q4 pledged and unpledged (cash) contributions.

Unless we can reverse this trend, we will undoubtedly face difficult choices pertaining to our pending 2024 budget for programs and staffing.

We still have time and we can all do our part to improve the outlook!  Here’s how:

  1. If you have submitted a 2023 pledge, please check your Q3 statement that you recently received via email.  Are you current or have you perhaps fallen behind?  If you did not receive a Q3 statement, please contact the church office.
  2. If you have not automated your giving, please consider doing it now.  A consistent source of giving is incredibly vital to the work of this congregation. Visit fumcpdx.org/give/ for more details.  
  3. If you have not pledged (either for 2023 or 2024), it’s not too late to support the work of this community. Pledged giving, even in small amounts given consistently, greatly enhances our ability to plan further into the future and make commitments to supporting the vital spiritual and physical needs of our community. 
  4. If you have submitted a 2024 pledge, thank you!  Please consider automating your giving if you have not already done so.
  5. Lastly, if you can make an extra-mile gift to our 2023 campaign to help close this unprecedented deficit, please contact Rev. Karyn Richards-Kuan or call the church office.  Your generosity will be greatly appreciated as we work to end the year strong! 

Questions?

If you have any questions about the church budget, or need assistance with establishing your planned giving, please contact the FUMC church office.

Respectfully, 

FUMC Finance Committee

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