Attitudes about budgets vary greatly among churches. Some churches operate without one, a practice I definitely do not recommend. Many others swing to the other extreme expending great amounts of time (and blood, sweat and tears…) creating a budget plan. But that is only the start. After all of the effort is expended, they then […]
Part 2 of our ongoing Fraud Awareness in the Church series will deal with Church Governance. PSK in cooperation with the National Association of Church Business Administration (NACBA) conducted a survey to determine the extent of fraud awareness in the church environment. Where Fraud Prevention Begins Typically, when a CPA is asked about fraud prevention, he/she will launch into a long […]
In order to make good and timely financial decisions a church must have a strong financial REPORTING system. This system will also provide the transparency and accountability in financial activity that all churches should strive for. The end-product of a strong system is a complete set of financial statements that give a clear picture of […]
Last week I conducted two break-out sessions at the NACBA National Conference in Houston. During these sessions I reported the final results of the PSK/NACBA fraud survey conducted earlier this year. In the coming posts I will be sharing some of the information we gleaned from our survey. Goal of the Fraud Survey Before launching […]
When discussing fraud, churches continue to believe in the myth that “it can’t happen here”. In their annual report to the nations, the Association of Certified Fraud Examiners released statistics that debunk this myth. According to the ACFE, more than 14% of reported fraud cases involved nonprofit organizations with churches and religious groups accounting for […]
Many churches issue credit cards (In the name of the church) to ministers and other employees.While credit cards provide the benefit of efficiency, they also present quite a few problems to a church. For example: Credit cards can be used to circumvent the budget. Poor judgment can result in a tarnished reputation for the church […]