2009 Congregational Economic Impact Study December 21, 2009
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Key Findings
- The majority of congregations have not seen a decline in giving. Nearly 37% reported an increase in fundraising receipts for the first half of 2009; 34% stayed the same and almost 30% saw a decrease.
- Just over one-third of the responding congregations reported making budget cuts in 2009. Almost 16% did not increase salaries, 14.5% reduced their utility costs and 13.6% cut some programs. Mission and benevolence giving as well as local outreach programs were the last to be cut, if at all.
- The recession provided congregations with a teachable moment to talk about money and the faithful use of possessions. Almost 40% reported that they talked more openly and frequently about money and giving. About 28% said that since 2008 they have offered special courses and seminars on personal finance. 36% initiated new activities to increase their fundraising success.
Inside the Numbers
- Type of congregation matters. Based on information about congregations’ financial growth during the past five years and the change in weekly attendance rates during the past fives years, the study categorized congregations into four groups: Survival (declining attendance and just barely enough finances), Maintenance (attendance and finances have stayed relatively the same), Growth (increases in attendance and a growth in finances) and Other. As is evident in the chart below, congregations in a survival or maintenance mode for the past five years were more likely to see a decrease in pledge amounts for 2009.
- Age of congregants matters. Congregations where the average age of congregants was under 50 were more likely to report an increase in fundraising receipts for the first half of 2009, while those with an average age over 61 were least likely to report an increase.
- Household income matters. Congregations with an average household income over $80,000 were less likely to report a decline in receipts in 2008 than congregations with lower average incomes – $40,000 or less.
- Size of budget matters. Congregations with total revenue less than $150,000 were more likely to report a decrease in fundraising receipts from 2007 to 2008. Congregations with budgets over $600,000 were more likely to report an increase in giving.
- Dependence on endowments matters . Almost 57% of the responding congregations reported having an endowment. These congregations were less likely to report an increase in their 2009 budget.
- Geography matters. Congregations on the West Coast and the South Atlantic region were less likely to report an increase in fundraising receipts from 2007 to 2008.
Tips for Planning your 2010 Budget
- Communicate, communicate, communicate! Keep your congregation informed as to the financial realities of your budget and state of giving. Honesty breeds trust.
- Tell stories that touch the heart and inform your members as to what your church has been doing to address the needs of the hurting amidst the recession.
- Be wary of budgeting your optimism. The economic outlook is too uncertain to risk bullishness in budget planning.
- Recessions are not sprints; they are endurance events . Be prepared for a slower economic recovery. The current economic scene has been described as an inverted letter “L”: __/, which suggests we will be flat for some time before we experience a full recovery.
- Protect your core mission. You may not be able to pursue all your usual activities. Prioritize your core activities by reducing funding for less critical ones.
- Be a good steward of your endowment . Don’t shortchange tomorrow in order to meet the challenges of today. Endowment income will be less in 2010 than in 2009, as most endowments follow the policy of a set annual percentage payout based on a three year rolling average. This means that your 2010 payout will be based on the value of the endowment in 2007, 2008, and 2009.
- Revisit your “gift pyramid.” There is a general consensus that donors in the middle of the pyramid were most affected by the economic downturn.
- Remember to say “thank you!” Donors need to feel appreciated. People stop giving when they no longer feel connected to an organization.
Copyright © The Lake Institute on Faith & Giving
Which Way to Clergy Health? October 2, 2009
Posted by mgilm in Health, Interesting Articles, Worth Reading.2 comments
Prompted by rising health care costs and looming clergy shortages, the church is recognizing health as an important issue.
Reprinted from the Fall 2002 issue of Divinity, the alumni magazine of Duke Divinity School
By Bob Wells
Dr. Gwen Halaas, a family physician in Kenosha, Wis., is concerned about a patient, a middle-aged professional whose case has drawn all her time and attention. She describes the case in the same concise format she learned years ago at Harvard medical school:
A 51-year-old male with symptoms of depression, the patient has high blood pressure and is overweight, presenting a heightened risk of heart disease and other illnesses. He works 60-70 hours a week in a sedentary job, does not currently engage in any physical exercise, and reports considerable work-related stress. Patient is married, with three children, one of whom expresses interest in following patient’s career path. Patient expresses little enthusiasm for encouraging child to do so.
While the case history may sound routine, Dr. Halaas and her patient are, in fact, remarkable – perhaps even historic. That’s because the patient is not a specific individual, but a statistically based overview of the typical Lutheran pastor. And Halaas is the project director of the Ministerial Health and Wellness Program, a major new initiative by the Evangelical Lutheran Church in America to improve the health of Lutheran pastors and other church leaders.
What makes her work especially significant, however, is that her patient’s condition does not differ substantially from that of clergy in just about every Christian denomination today. Doctrinal and theological differences aside, North American churches have in common not only the Cross and a love of Christ, but also a pastorate whose health is fast becoming cause for concern.
Prompted by rising health care costs and looming clergy shortages, some denominations are recognizing health as an important issue. A few – most notably the ELCA, the American Baptists, and the General Synod of the Anglican Church of Canada – have launched efforts within the past year to improve clergy health. Others, including the United Methodist Church, are following the issue with great interest. Click here to read the rest of this article at Pulpit & Pew.
Leadership Bibliography September 4, 2009
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Check out these titles for some great reading on leadership.
- Arbinger Institute. (2002). Leadership and Self-Deception. ISBN: 978-1-57675-174-9.
- Kouzes and Posner (2006). A Leader’s Legacy. ISBN: 978-0-78798-296-6.
- Malphurs, A. (1996). Values-Driven Leadership: Discovering and Developing Your Core Values for Ministry. ISBN: 0-8010-9015-6.
- Steinke (2006). Congregational Leadership in Anxious Times: Being Calm and Courageous No Matter What. ISBN: 1566993288.
- Heifetz, Linsky and Grashow (2009). The Practice of Adaptive Leadership: Tools and Tactics for Changing Your Organization and the World. ISBN: 1422105768.
- Ford (2008). Transforming Church. ISBN: 1434767043.
- Sanders (1998). Strategic Thinking and the New Science: Planning in the Midst of Chaos Complexity and Change. ISBN: 0684842688.
Click over to the “Pastoral Arts” tab for more reading on all the core pastoral arts: preaching, teaching, leading, and caring.
Look at What People Are Doing June 25, 2009
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Click over to the “Grant Recipients and Experiences” tab for updated lists of the activities Covenant pastors, missionaries, and chaplains have been able to participate in through the benefit of Sustaining Pastoral Excellence grants. SPE continues to award individual grants along with coordinating re-visioning retreats and new study cohorts around the pastoral arts of leadership, teaching, and preaching.
More information about SPE grants can be found at www.covchurch.org/spe.
Reclaiming the Town Center June 18, 2009
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Reclaiming the Town Center
Drive through the old town center in Anywhere, USA, and you will find two buildings encircled by the main road: the courthouse and the church. Historically, the church has been the locus, or central focus, of the community. For better or worse, it was where people congregated to share life’s stories.
Once the center of connection, the church has become an ancillary part of the greater community. It has lost its status as a “third place.”
Sociologist Ray Oldenburg coined the term “third place.” The concept of a third place involves a gathering place for people separate from home (the first place) and work (the second place). These informal meeting places have existed throughout history, but they have increased in importance in the last decade. As the lines between home and work blur, and as people travel farther distances from home to work, the third place has become an important gathering point for people wanting a break between the first and second place. That’s why high-end coffee shops are on every street corner. They charge $1 for a cup of coffee combined with a $3 experience of communal gathering.
Spring 2009 Re-visioning Retreat May 19, 2009
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The Spring Re-visioning Retreat, held in Texas, just concluded. The week was one of rest, reconnecting with Jesus, and some beach adventures. The Mustang Island Conference Center proved to be a great site for our group of Covenant pastors, missionaries, and chaplains. At the conclusion of the week, one pastor commented that they had been in ministry for over 20 years and this retreat was like no other. “It went deep. It was personal. It was much needed,” they said.
Here are some pictures from the week:
To learn more about the SPE Re-visioning Retreats, visit www.covchurch.org/spe/constancy.
Articles Worth Reading April 8, 2009
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Leadership Education at Duke Divinity maintains an archive of interesting articles that are relevant to many aspects of ministry. Current offerings include:
- Maturing missions
- Followers: The Five Types
- Discerning Decisions
- Rendering Unto God
Visit the online Faith & Leadership site, or click here to read these, and other, articles.
Tending the Embers March 31, 2009
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This week, The Alban Institute’s Howard Friend tells the story of a pastor who, slowly but surely, tends his new and colorful congregation through painful but necessary change, helping them to remember their own stories of faith and involvement in church. Read the article here.
Faith & Leadership February 24, 2009
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The current issue of Duke Divinity School’s Faith & Leadership Newsletter highlights several interesting articles, including a look at churches’ and Christian organizations’ efforts at living through the current economic crisis. Crisis and faith, by David Gibson
Also featured are articles about Christian Leadership, functioning in the tension between tradition and innovation, and a new study that shows recent immigrants being welcomed by predominantly white churches.
For more from Faith & Leadership, visit their web site: http://faithandleadership.com/.
Faith & Leadership is a publication of Duke’s Leadership Education initiative, which is funded in part by the Lilly Endowment, Inc.
Retreats February 16, 2009
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Faithfulness, longevity, and fidelity are nurtured through a personal state of wellness – issuing out of a vital relationship with Jesus Christ. The SPE initiative encourages ministers to consider nurturing this relationship through a retreat experience designed to encourage healthy patterns and habits of renewal.
Visit the “Retreats” tab of this resource page for suggestions of places to retreat, or consider applying for a space on the spring Re-visioning Retreat this May. Visit www.covchurch.org/spe/constancy for more information about grant funding for retreats, or to download an application for the re-visioning retreat.
