By Kyle Tetschlag (Friedens’ Treasurer) and Brandon Lemons
Friedens’ fiscal year runs from August 1 - July 31, so April marked the end of the fiscal year’s third quarter. The church’s finances continue to be healthy.
Operating Budget Update
For the quarter, congregational giving was within $500 (0.5%) of the budgeted target. Year-to-date fiscal year giving is down $3,400 (1%) compared to the budget. However, other sources of income (especially investment income) are higher than budgeted by $18,000 for the fiscal year.
In terms of expenses, we are currently $12,200 below budget for the fiscal year. This is mainly due to below-budgeted expenditures among student & adult ministries ($3,700) and staff expenses ($6,400). Within staff expenses, the difference is mainly due to Pastor Matt starting later in the fiscal year than budgeted, and health insurance expenses are lower than budgeted.
Thanks to lower-than-expected expenses and higher-than-expected income, Friedens has a net operating income of $27,000 through the first three quarters of the fiscal year.
Building Loan Update
As of April 30, Friedens held a renovation loan of $812,894. This loan is the result of the major construction project in 2019-2020 that transformed most areas of the building. Each month, mortgage payments of $6,821 are made from the operating budget. In the coming months, the Finance Committee plans to explore the future state of this loan.
To fund the construction project, Friedens utilized the loan, a portion of the church’s investments, and a capital campaign. For the 2018 - 2021 capital campaign, we received 100.7% of total pledge dollars; the total amount pledged was $1,167,601. Although not everyone who pledged fulfilled their pledge, we have received over $55,000 of non-pledge giving towards the construction project, which helped us exceed the total amount that was pledged.
Friedens continues to receive contributions for the construction project that are used to pay down the principle of the loan (beyond the monthly mortgage payments). We typically receive $400-900 per week toward paying down the principle, which makes a difference!
Thank You!
As always, we are grateful for the faithful and generous financial contributions of the Friedens Family. Although it takes much more than money to run a church, money is still a necessary part of supporting what God is doing in and through Friedens. Thank you for your generosity to God through Friedens Church!