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, 2022:
General Finance Notes
During the past quarter (July-September), the gap between pledges received and pledge budget (Figure 1 first column) continued to grow. At the end of Q1-2022, the budget shortfall stood at $95,000. In Q2-2022, the gap grew to $139,000. At the close of Q3-2002, our shortfall stands at $231,000. If this trend holds for Q4-2022, we may end the year with a $309,000 shortfall in pledged contributions. The gap in non-pledged giving (Figure 1 second column) also expanded in Q2 based on equal distribution of budget across all quarters. The trend in non-pledged giving suggests a possible shortfall of $75,000 by year’s end.
Together, 2022 pledged and non-pledged giving are expected to significantly fall short of expectations.
Expenses during the nine months ending September 30 (Figure 2) remained under budget by approximately $142,000. As the year has progressed, staff has limited discretionary spending as much as possible to account for the budget shortfall in both pledged and non-pledged giving. That said, the largest portion of FUMC’s annual budget are non-discretionary costs associated with staff including, salaries, benefits, etc. If the giving trends seen during the first 9 months of 2022 continues into 2023, it may be necessary to consider reductions that go beyond the current hold placed on a return to pre-pandemic levels of ministry programing across children/family, adult and outreach ministries until funding permits reconsideration.
How we can help each other…
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.
We understand it has been a difficult year for many individuals and families. Unprecedented inflation has challenged nearly all of us and may be at least partially responsible for departures from planned giving. If you have been impacted and feel that you are unable to fulfill your current pledge commitment or wish to revise your pledge, please contact the church office. Your communication will help us plan appropriately for the remainder of 2022 and beyond.
Are you capable of increasing your 2022 pledge to help FUMC close the budget gap? Extra mile gifts, especially at this time, will have an outsized impact on how we end the year and what we can plan for in 2023.
If you’ve made a 2022 or 2023 pledge and have not set up automatic monthly giving, please visit fumcpdx.org/give to establish automatic, recurring transfers. Automatic giving is easy to set up via a checking or savings account (preferred) or via credit card. Doing so helps provide a consistent base of support for our church and smooths out the natural inconsistency of unplanned giving.
Questions?
If you have any questions about the church budget or need assistance with establishing your planned giving, please contact the FUMC church office at 503.228.3195 / office@fumcpdx.org.
Respectfully,
FUMC Finance Committee