Notes on 2022 Proposed Budgets
Historically, the church council has always presented a single balanced budget for the congregation’s consideration. Multiple voices have been heard expressing a desire to restore Pastor Kristen to full time ministry. This year, the church council is presenting three potential budgets for consideration reflecting, respectively, a restoration of her status to full time, 90% and 75%.
- Budget proposals A & B (full time and 90%) are not balanced and would entail utilizing the general checking account cash reserves to make up the gap between income and expenses.
- Proposal C would be balanced but would rely on a reallocation of some previously dedicated funds.
Over the past year we have maintained a month end cash reserve of 2.5 – 3 months’ worth of budgeted expenses.
General Checking Account Balances 2021
| Monthly Low Balance | Monthly Ending Balance | |||
| Jan | $ | 24,732 | $ | 31,549 |
| Feb | $ | 26,986 | $ | 26,986 |
| Mar | $ | 27,487 | $ | 30,014 |
| Apr | $ | 25,883 | $ | 30,233 |
| May | $ | 27,371 | $ | 27,376 |
| Jun | $ | 25,506 | $ | 30,083 |
| Jul | $ | 24,476 | $ | 28,108 |
| Aug | $ | 24,154 | $ | 31,600 |
| Sep | $ | 27,515 | $ | 32,523 |
| Oct | $ | 28,072 | $ | 31,075 |
Projected Income
Calculated pledge amounts were assumed for members who did not return a pledge but have a consistent record of recent giving.
| Count | Sum of 2022 pledge | ||
| Actual | 30 | $ | 134,332 |
| Calculated | 8 | $ | 10,485 |
| No Pledge | 11 | $ | – |
| Total Member Offerings | 49 | $ | 144,817 |
| Projected Other Offerings | $ | 1,000 | |
| Total Projected Income | $ | 145,817 |
Projected Expenses
Administrative
- Copier – savings of $500 by 18-month extension of lease on current copier.
- Living Lutheran Magazine – will be moved under Faith Formation (see below).
- Phone & Internet – projected savings by switching to a cell phone for church office.
- Staff Salary (Net and Withholding) – Consolidating labor costs here for clearer reporting. Frozen at current level.
Care and Evangelism
- Aggregating historical categories under a single line item. Expenses for 2022 to be made from existing dedicated funds account. The committee historically has very nominal expenses.
ELCA Central States Synod
- Maintain contribution at 1.5% of member offerings.
Faith Formation (formally Education)
- Aggregating historical categories under a new single line item to reflect changing focus of Christian education.
Facilities
- Insurance and Workman’s Comp – $558 increase over 2021 rates. Billing changing to 10 monthly installments instead of 12.
- Lawn Service – Substantial increase to reflect a more realistic cost given the size of our property. The current provider was not equipped to do the job properly. Calculating 12 cuts per year at a rate of $300/cut including trimming and edging.
- Building Supplies & Maintenance – Not funded this year. Expenses to be paid from dedicated funds account (approximately 10K after carpet installation).
- Mortgage Contribution – Increasing monthly contribution by $290/month to avoid a shortfall in the building fund by the end of 2022.
2022 Building Fund Projection
| Month | Payments | Projected Deposits from 2022 Pledges | Funding Required from Budget | Projected Ending Balance |
| Dec-21 | $3,194.34 | $7,300.00 | ||
| Jan-22 | $3,194.34 | $310.00 | $2,290.00 | $6,705.66 |
| Feb-22 | $3,194.34 | $310.00 | $2,290.00 | $6,111.32 |
| Mar-22 | $3,194.34 | $310.00 | $2,290.00 | $5,516.98 |
| Apr-22 | $3,194.34 | $310.00 | $2,290.00 | $4,922.64 |
| May-22 | $3,194.34 | $310.00 | $2,290.00 | $4,328.30 |
| Jun-22 | $3,194.34 | $310.00 | $2,290.00 | $3,733.96 |
| Jul-22 | $3,194.34 | $310.00 | $2,290.00 | $3,139.62 |
| Aug-22 | $3,194.34 | $310.00 | $2,290.00 | $2,545.28 |
| Sep-22 | $3,194.34 | $310.00 | $2,290.00 | $1,950.94 |
| Oct-22 | $3,194.34 | $310.00 | $2,290.00 | $1,356.60 |
| Nov-22 | $3,194.34 | $310.00 | $2,290.00 | $ 762.26 |
| Dec-22 | $3,194.34 | $310.00 | $2,290.00 | $ 167.92 |
Pastoral Compensation
- Proposal A reflects a return to full time status with a Defined Compensation rate of $63,000.
- Reduction in Auto Allowance
- Switch from Gold to Silver+ Health Care Plan with $1500 Employer Healthcare Savings Account contribution. Nominal cost differential from Gold Plan.
Worship
Accompanist salary assumes return to full support (return of choir) for 2022.
- 3 hours/week Jan-May and Sept-Dec
- 1 hour week Jun-Aug
- 1 week off per quarter (unpaid)
Voting Procedure
In-person
- Paper ballet vote for one of the three budget proposals. (100%, 90% or 75%).
- Sam and Daryl will tally the votes. In the event none of the proposals receive a majority a second round of voting will occur between the two proposals that received the most votes.
Zoom attendees
- If you know you will not be able to attend the budget meeting in person but will attend via Zoom, you may communicate your top two preferences in confidence to Sam or Daryl in advance of the budget meeting.
- Your secondary preference will only be counted in the event a second round of voting is needed and your top preference did not make the cut from round one.
- You must attend the Zoom meeting for your vote to be counted.
Income
| INCOME | 2021 Annual Budget | 2021 Jan-Oct | 2022 Proposed Budget A (Pastoral Comp at full time) | 2022 Proposed Budget B (Pastoral Comp at 90% of A) | 2022 Proposed Budget C (Pastoral Comp at 75% of A) |
| Offerings and Other Income | 136,450.00 | 111,515.63 | 145,817.00 | 145,817.00 | 148,141.56 |
| Member Offerings | 135,500.00 | 109,696.76 | 144,817.00 | 144,817.00 | 144,817.00 |
| Loose Offerings | 500.00 | 160.00 | |||
| Non-Member/Other Offerings | 450.00 | 1,658.87 | 1,000.00 | 1,000.00 | 1,000.00 |
| Reallocation of Dedicated Funds | 2,324.56 | ||||
| Income Total | 136,450.00 | 111,515.63 | 145,817.00 | 145,817.00 | 148,141.56 |
Expenses
| EXPENSE | 2021 Annual Budget | 2021 Jan-Oct | 2022 Proposed Budget A (Pastoral Comp at full time) | 2022 Proposed Budget B(Pastoral Comp at 90% of A) | 2022 Proposed Budget C(Pastoral Comp at 75% of A) |
| Administrative | 24,702.92 | 20,592.78 | 23,339.00 | 23,339.10 | 23,339.00 |
| Background Checks (not funded) | – | – | – | – | – |
| Computer Hardware/Software | 155.00 | – | – | – | – |
| Copier | 2,200.00 | 1,804.53 | 1,704.00 | 1,704.00 | 1,704.00 |
| Council Retreat (not funded) | – | – | – | – | – |
| Employer Payroll Tax (SSN Match) | 1,422.92 | 1,067.19 | 1,425.00 | 1,425.00 | 1,425.00 |
| Fees & Licenses | 50.00 | 738.75 | 160.00 | 160.00 | 160.00 |
| Living Lutheran Magazine | 100.00 | – | – | – | – |
| Miscellaneous (not funded) | – | 165.00 | – | – | – |
| Office Equipment Maintenance (not funded) | – | – | – | – | – |
| Office Supplies | 175.00 | 48.74 | 150.00 | 150.00 | 150.00 |
| Phone and Internet | 1,900.00 | 1,659.70 | 1,200.00 | 1,200.00 | 1,200.00 |
| Postage | 100.00 | 110.00 | 100.00 | 100.00 | 100.00 |
| Staff Salary – Net | 14,027.24 | 11,689.30 | 14,027.24 | 14,027.34 | 14,027.24 |
| Staff Salary – Withholding | 4,572.76 | 3,309.57 | 4,572.76 | 4,572.76 | 4,572.76 |
| Care & Evangelism | 25.00 | 152.38 | FROM | DEDICATED | ACCOUNTS |
| Cancer Companions (not funded) | – | – | – | – | – |
| Cards and Postage | 25.00 | – | – | – | – |
| New Member Outreach (not funded) | – | – | – | – | – |
| Special Gifts and Assistance (not funded) | – | 152.38 | – | – | – |
| ELCA Central States Synod | 2,040.00 | 1,510.00 | 2,170.00 | 2,170.00 | 2,170.00 |
| Faith Formation (formerly Education) | 300.00 | 212.78 | 300.00 | 300.00 | 300.00 |
| Bible Study (not funded) | – | 148.78 | – | – | – |
| Confirmation | 50.00 | – | – | – | – |
| Gift Bibles (not funded) | – | – | – | – | – |
| Special Events (not funded) | – | – | – | – | – |
| Sunday School | 250.00 | 64.00 | – | – | – |
| Vacation Bible School (not funded) | – | – | – | – | – |
| EXPENSE | 2021 Annual Budget | 2021 Jan-Oct | 2022 Proposed Budget A (Pastoral Comp at full time) | 2022 Proposed Budget B(Pastoral Comp at 90% of A) | 2022 Proposed Budget C(Pastoral Comp at 75% of A) |
| Facilities | 39,325.00 | 32,035.57 | 43,463.00 | 43,463.00 | 43,463.00 |
| Building Supplies | 500.00 | 166.02 | FROM | DEDICATED | ACCOUNTS |
| Insurance | 4,750.00 | 4,078.96 | 5,014.00 | 5,014.00 | 5,014.00 |
| Lawn Service | 1,000.00 | 1,115.00 | 3,600.00 | 3,600.00 | 3,600.00 |
| Maintenance | 500.00 | 1,904.87 | FROM | DEDICATED | ACCOUNTS |
| Mortgage Contribution | 24,000.00 | 20,000.00 | 27,480.00 | 27,480.00 | 27,480.00 |
| Security Monitoring | 960.00 | 540.00 | 960.00 | 960.00 | 960.00 |
| Technical Equipment (not funded) | – | – | FROM | DEDICATED | ACCOUNTS |
| Utilities (Electric, Gas, Sewer, Trash, Water) | 7,000.00 | 3,709.37 | 5,500.00 | 5,500.00 | 5,500.00 |
| Workmans Compensation | 615.00 | 521.35 | 909.00 | 909.00 | 909.00 |
| Pastoral Compensation | 63,335.00 | 50,984.00 | 86,189.00 | 77,532.58 | 69,069.56 |
| Auto Allowance | 500.00 | – | 250.00 | 250.00 | 250.00 |
| Continuing Education | 1,000.00 | 55.00 | 1,000.00 | 1,000.00 | 1,000.00 |
| Housing Allowance | 30,000.00 | 25,000.00 | 30,000.00 | 30,000.00 | 30,000.00 |
| Portico Benefits | 14,500.00 | 12,579.90 | 20,589.00 | 18,680.28 | 16,069.56 |
| Professional Expenses | 350.00 | – | 350.00 | 350.00 | 350.00 |
| Salary | 12,625.00 | 10,526.80 | 28,522.99 | 22,670.69 | 16,818.39 |
| Social Security Offset | 3,260.00 | 2,711.30 | 4,477.01 | 3,581.61 | 3,581.61 |
| Synod Required Events | 1,100.00 | 111.00 | 1,000.00 | 1,000.00 | 1,000.00 |
| Worship | 6,720.00 | 4,072.17 | 9,200.00 | 9,200.00 | 9,800.00 |
| Accompanist Salary | 3,120.00 | 2,280.00 | 7,200.00 | 7,200.00 | 7,200.00 |
| Guest Musicians (not funded) | – | – | – | – | – |
| Licensing and Subscription fees | 750.00 | 548.95 | 750.00 | 750.00 | 750.00 |
| Physical Worship Supplies | 500.00 | 393.22 | 500.00 | 500.00 | 500.00 |
| Piano Tuning | 100.00 | – | 150.00 | 150.00 | 150.00 |
| Pulpit Supply | 2,250.00 | 850.00 | 600.00 | 600.00 | 1,200.00 |
| Technology Updates (not funded) | – | – | FROM | DEDICATED | ACCOUNTS |
| Expense Total | 136,447.92 | 109,559.68 | 164,661.00 | 156,004.68 | 148,141.56 |
Summary
| 2021 Annual Budget | 2021 Jan-Oct | 2022 Proposed Budget A (Pastoral Comp at full time) | 2022 Proposed Budget B(Pastoral Comp at 90% of A) | 2022 Proposed Budget C(Pastoral Comp at 75% of A) | |
| Income Total-All Sources | 136,450.00 | 111,515.63 | 145,817.00 | 145,817.00 | 148,141.56 |
| Expense Total | 136,447.92 | 109,559.68 | 164,661.00 | 156,004.68 | 148,141.56 |
| Shortfall | – | – | (18,844.00) | (10,187.68) | – |