Budget deficit

Discuss questions around local unit policies for budgeting, reconciling, etc. This forum should not contain specific financial or membership information.
jvoran
New Member
Posts: 7
Joined: Fri Dec 24, 2010 2:52 pm

Budget deficit

Post by jvoran »

With changes to our ward boundaries last year, we had a new budget allocation but it didn't kick in right away. We currently do have a budget deficit which of course carries over to this year. My question is; we've had allot of funds in our Ward missionary account for a long time and was wondering if we could call a few of the brothers/sisters that have donated to the mission fund to see if we could transfer what they donated to our Budget to level things out for this year? Total $2021
russellhltn
Community Administrator
Posts: 35596
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Budget deficit

Post by russellhltn »

Member donations to budget are not allowed.

So, no, that can't be done.
Have you searched the Help Center? Try doing a Google search and adding "site:churchofjesuschrist.org/help" to the search criteria.

So we can better help you, please edit your Profile to include your general location.
jdlessley
Community Moderators
Posts: 10408
Joined: Mon Mar 17, 2008 12:30 am
Location: USA, TX

Re: Budget deficit

Post by jdlessley »

The approved method to cover a ward budget deficit is to seek assistance from your stake. Your bishop will need to speak with your stake president and explain the situation and ask for the assistance.
JD Lessley
Have you tried finding your answer on the ChurchofJesusChrist.org Help Center or Tech Wiki?
BrianEdwards
Senior Member
Posts: 1356
Joined: Sun Oct 30, 2016 10:42 pm
Location: Michigan

Re: Budget deficit

Post by BrianEdwards »

I'm not a church finance guy, but I think that carrying a (relatively small) negative budget balance might not necessarily need to be immediately resolved. If the negative balance were relatively minor and the Bishop feels that throughout the year, as the quarterly allotments come in and the ward incurs expenses, there's a likelihood that the budget becomes balanced, maybe that's a possibility.

Again, others know these details much better than myself, so I might be mostly incorrect, or way out in left field. And of course if the negative balance is substantial, that changes the situation.
russellhltn
Community Administrator
Posts: 35596
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Budget deficit

Post by russellhltn »

"Budget" can mean two things:

There's the ward allocation from which all activities are to be funded, and then there's what I call the "spending plan" that outlines how much can be spent in various organizations and activities.

I assume this is a case where expenses exceeded allocation. This is like overdrawing your personal checking account. If the ward account really did go negative, I'm sure the stake president is aware and is having a conversation with the bishop. Church Headquarters many be involved.

If it was just the "spending plan" that was exceeded, I doubt if anyone outside of the ward cares. But it does mean the bishop (with the help of the clerks) needs to keep an eye on expenses and make sure the ward leaders are aware "No stake or ward expenses may be incurred or paid without the presiding officer’s authorization." (General Handbook 34.5.7)
jvoran wrote: Sun Jan 05, 2025 1:08 pm With changes to our ward boundaries last year, we had a new budget allocation but it didn't kick in right away. 1
With the boundary changes, there probably should have been some kind of allocation transfer between units arranged.
Have you searched the Help Center? Try doing a Google search and adding "site:churchofjesuschrist.org/help" to the search criteria.

So we can better help you, please edit your Profile to include your general location.
User avatar
sbradshaw
Community Moderators
Posts: 6483
Joined: Mon Sep 26, 2011 9:42 pm
Location: Utah

Re: Budget deficit

Post by sbradshaw »

russellhltn wrote: Sun Jan 05, 2025 1:37 pm Member donations to budget are not allowed.

So, no, that can't be done.
The General Handbook source for this is 34.6.2.2. Appropriate Use of Budget:
Members who want to contribute additional funds to the Church may not designate them for the stake or ward budget. Instead, leaders encourage them to contribute the funds to fast offerings, missionary funds, humanitarian aid, or other authorized donation categories.
Samuel Bradshaw • If you desire to serve God, you are called to the work.
russellhltn
Community Administrator
Posts: 35596
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Budget deficit

Post by russellhltn »

Just to add, there is a budget category on the paper slips. It used to be just to return excess funds from an advancement. But with the elimination of the "Other" category in the system, it could also be used for families to pay for a youth event in accordance with General Handbook 20.6.2 and 20.6.3.

Either way, the "donation" will not show in the member's tax statements of donations.

Long ago, members did contribute to the ward budget, but that was eliminated decades ago.
Have you searched the Help Center? Try doing a Google search and adding "site:churchofjesuschrist.org/help" to the search criteria.

So we can better help you, please edit your Profile to include your general location.
garystroble
Senior Member
Posts: 846
Joined: Thu Oct 20, 2016 4:34 pm
Location: near Milwaukee, Wisconsin, United States

Re: Budget deficit

Post by garystroble »

russellhltn wrote: Mon Jan 06, 2025 4:09 pm Just to add, there is a budget category on the paper slips. It used to be just to return excess funds from an advancement. But with the elimination of the "Other" category in the system, it could also be used for families to pay for a youth event in accordance with General Handbook 20.6.2 and 20.6.3.

Either way, the "donation" will not show in the member's tax statements of donations.

Long ago, members did contribute to the ward budget, but that was eliminated decades ago.
The current paper tithing slips do not have a budget category on them. The only categories are tithing, fast offering, general missionary, ward missionary, humanitarian aid, and other (specify).

Return to “Local Unit Finance”