Budget Season Checklist

As Fall approaches, many churches begin their budget planning. This process can be stressful and disorganized for some, especially those who lack a clear plan and process. While established churches may have enough staff or lay leaders to guide them through this process, younger churches may rely on their lead pastor. Whether you are an established church seeking to improve your budget process or a church plant starting from scratch, it is helpful to think through and plan for the yearly budgeting process. 

One of the challenges of the budgeting process is that it usually involves multiple groups of people and a significant amount of time to complete. In most ministry environments, the fall season runs at full speed, and before you know it, Advent is upon us. Once the holidays hit, it becomes difficult to pull everything together. If your budget follows the calendar year, you should start thinking through the process and needed meetings in September or August. If your church's fiscal year does not align with the calendar year, we recommend starting the process about three months before the fiscal year-end. Not every timeline or process will work the same, but it's helpful to outline a rough idea of the process and give your teams plenty of time to work through it. Most budgeting oversights happen when things are rushed or poorly planned.

Below is a sample of what your budget process timeline might look like, step by step. Your church will need to adapt this to fit your unique needs, but it gives you a rough idea of the whole process. 

Sample Budget Process Timeline

October 1st-14th (or three months before fiscal year-end) - Finance lead evaluates current year budget reports and gives trends. Schedule a meeting to discuss this with the leadership team.

October 15th (2.5 months to fiscal year-end) - Church leadership and finance team meet to discuss current trends and budget priorities for the following year.

November 15th (1.5 months to fiscal year-end) - Staff team and ministry leaders work through a yearly planning process (on their own or as a team). This helps them align their ministry goals with the overall vision of the church. It also allows them to consider what events or initiatives they must fund in the coming year. 

November 26th (1 month to fiscal year-end) - Budget templates are given to the staff leadership team or anyone overseeing a specific budget area. They have two weeks to fill out their budget categories and get them turned in (to be compiled into one budget proposal).

December 10th (15-20 days to fiscal year-end) - The leadership and finance team meet to finalize the budget.

December 15th (10-15 days to fiscal year-end) - A final budget is shared with the staff team. You might also consider sharing a summarized budget overview with the church members.