“They did not require an accounting from those to whom they gave the money to pay the workers… (2 Kings 12:15) Well, I guess the only thing that can be said is that nobody’s perfect! We have no way of knowing if they lived to regret this lapse in accountability. I do find […]
Churches tend to have only one motivation for staying in compliance with the tax laws. And that is staying out of trouble. Churches practice compliance with the Internal Revenue Code primarily to avoid unnecessary penalties and interest, protect their tax-exempt status and stay out of the news. The prevailing attitude is “We do these things […]
“When they had finished, they brought the rest of the money to the king…” (2 Chronicles 24:14) After implementing their processes, significant funds were raised. The money was paid to the masons and carpenters and the work was begun. Eventually, the temple was restored and services resumed. And they even had a surplus! […]
Another practice of many churches plays right into one of a fraudster’s strengths, the ability to withhold information. Perhaps in an attempt to avoid interminably long finance committee meetings brought on by micro-managing members, or more likely, fearful that the messenger is going be killed, some church administrators tend to hold back on the financial […]
“They did this regularly…” (2 Chronicles 24:11) Joash and Jehoiada established a set process to be followed. A collection chest was placed in a prominent place. As they entered the temple the people deposited their gifts in the chest. When significant funds had been placed in the chest the Levites transported the money to a […]
Until the 1960s, perhaps into the 1970s, churches were rather slow to pick up on new ideas, particularly in regard to technology. (If you have a hard time believing this, think back to the first time someone wanted to bring an electric guitar into your sanctuary!) But that is no longer the case, especially when […]
“When the amount had been determined…” (2 Kings 12:11) First, I need to remind you once again that I am an accountant, not a Bible scholar so what I am about to do here is really crawling out on a limb. I am going to attempt a very simple word study because the […]
Establishing an organizational structure is the first step in combating fraud, however it is not enough. Key: In order to stay within reasonable boundaries, churches must take the time to carefully document their management structure and practices. Churches that fail to do this do so at great risk. A written organizational plan serves several purposes. […]
“The royal secretary and the high priests…counted the money” (2 Kings 12:10) “…the chest was brought in by the Levites… (2 Chronicles 24:11) These two passages are a good illustration of what accountants refer to as “a proper segregation of duties”. What makes accountants breathe easier is for their clients to distribute bookkeeping and […]