Our Fraud Awareness in the Church series continues as we look at Payroll Fraud and Phantom Employees. We asked churches to respond to these statements: “Someone not involved in the payroll preparation process distributes paychecks or direct deposit stubs.” “We review direct deposit account information for duplicate accounts.” Survey Results – Very few churches do any kind of employee […]
Part 10 of our ongoing Fraud in the Church series. PSK in cooperation with the National Association of Church Business Administration (NACBA) conducted a survey to determine the extent to which churches are attempting to address the problem of church fraud. We asked them to respond to this statement: Our church has established a “Positive Pay” arrangement with our bank. Increasingly, […]
Except in the rarest of cases, personnel costs are the single largest expenditure of a church. Because churches are in the “service industry”, it should come as no surprise that forty-five to fifty percent of the typical church budget will be dedicated to employee related costs. This highlights a basic principle in the behavior of […]