5 Ways to Struggle as an XP - Finance Edition

Navigating church finances can be a challenge, especially when you’re juggling faith-based decisions with data and numbers. In this blog post, we’ll dive into five surefire ways to struggle as an XP in the financial realm.

From avoiding budget adjustments to ignoring financial data, these pitfalls will keep you stressed and unsure about your church’s financial health. Let’s explore how to steer clear of these common mistakes. 

And buckle up, because this blog post is laced with my dry sense of humor and sarcasm as I take you on a wild ride of “budgeting brilliance." Here's to having a little fun with finance.

5 Ways to Struggle as an XP - The Finance Edition

1. Throw logic, data, and wisdom to the wind when you’re building your “faith” based budget. I’ll never forget sitting in a budget meeting with my former Sr. Pastor, showing him the income trends over the past few years to explain where my budget forecast came from. That’s when he told me, “Your budget has no faith in it.” He was certain we'd hit $XM for the upcoming fiscal year—unfortunately, we didn’t even come close. So, if you’re looking for stress and a lot of guessing when building your budget, definitely leave out the wisdom, logic, and historical data that God’s given you.

2. Carry the weight of meeting/exceeding the income budget on your shoulders. We all know most XPs don’t get to set the budget all on their own, and honestly, that’s probably for the best. A great budget needs a lot of voices, prayer, and careful thought. But once the year kicks off, if you enjoy losing sleep and stressing over things you can’t control, go ahead and make it your personal mission to hit that income target. Just don’t ask the folks who helped set it for any help—you’ve got this, right? :)

3. Be unwilling to make changes in budgets, spending, or even staffing when your church’s financial position has made a clear shift in a different direction. If you've noticed a decline in attendance, giving, or other key metrics over the past eight months, that little voice telling you things might need to change is probably onto something. But hey, a drop in attendance or giving isn't always a bad thing—it could be a chance to stretch those stewardship muscles that might not have gotten much exercise lately. But, if you’d rather ignore the reality of your church’s current resources and keep things at an unsustainable level, well, buckle up. That’s your ticket to the struggle bus.
4. Lack the confidence to be direct when you need to be. We all enjoy having a “Yes” person around—until we don’t. Let’s face it, as an XP, you're often overseeing mission-critical areas of the church, and sometimes that means being the voice of reason. You’ll have to bring up tough topics and have those honest, sometimes uncomfortable, conversations when budgets, ideas, or staff go a little off-course. So, if you’re looking forward to some awkward chats about why the budget isn’t sticking or why expenses are out of hand, just keep saying “Yes” and avoid being direct. That'll make those conversations even more interesting.
5. Only look at your Budget vs Actual to determine how your church finances are going. If your church has restricted accounts, monthly bills, or a mortgage, there’s probably spending happening that doesn’t show up on your Budget vs Actual report (or P&L, or Income Statement). This means you could be missing thousands of dollars flowing out each month without even realizing it. Even if your budget looks healthy, your cash reserves might be shrinking fast. So, if you’re up for a little financial adventure, skip adding a Statement of Cash Flow to your reports. Who needs those extra 60 seconds to track where your cash is going, right?

Don't Go It Alone

Navigating church finances can be a tricky balancing act, but you don’t have to go it alone. If you’re feeling overwhelmed or stuck, Church Central Office is here to support you with guidance and resources to help you make data-driven and faith-based decisions. Don’t hesitate to reach out—we’re happy to partner with you to keep your church’s finances healthy and on track.