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52%
- The Vanderbloemen Group reports that, on average, churches allocate 52% of their budget to compensation. There might be churches exceeding or falling below these percentages based on their individual circumstances. Typically, salaries and compensation constitute the largest portion of a church's budget.
www.breezechms.com/blog/church-budget-percentages
People also ask
What percentage of church budgets are allocated?
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Should a church budget be based on personnel costs?
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What are appropriate budget percentages for our church? This is a common question that arises every time a church budget is created. Unfortunately, there is no clear-cut answer. What one church spends on personnel costs shouldn’t dictate what another church can spend (or afford) in personnel costs.
Churches allocate an average of 49.1 percent of their overall budget for salaries and/or payroll expenses (+/- 0.59). Depending on the size of the church, the median ranges between 47 and 52 percent (trending higher as budget increases).
Fact 1: The average church uses 52% of the church budget on compensation. This ranges from 46% to 60% on the high end from Leadership Network’s 2018 compensation survey. Fact 2: In faster-growing Churches, the lead pastor’s salary is on average 4% lower and the Church budgets are 25% lower than all other churches surveyed.
The most common question I get as it relates to budgets is, “What percentage of our budget should go to salaries?” Salaries and benefits are almost always the single largest line item in any church’s budget.
Oct 7, 2024 · Lacking financial confidence for your church? Over 20+ years of church leadership, I've learned some hard-won lessons about managing church finances. From budgeting tips to transparency tools, I break 'em down here. Steward church resources responsibly and inspire trust in your congregation. Dig in!
From setting realistic budget goals to tracking expenses and fostering transparent communication, we'll cover the essentials of financial stewardship that can lead to a flourishing church environment. Why Is A Church Budget So Important? Church budgeting is essential for the survival of any church.
