Many of the same labor laws and employment rules apply to churches as to non-profit organizations. This includes guidelines on classifying your workers either as employees, or independent contractors.
A church might require a bookkeeper to also act as both an accountant and treasurer. They are responsible therefore for all financial matters of the church. Their responsibilities include, but are not limited too:
Our specialty is bookkeeping for churches. Our passion is keeping the books of small and large non-profits as well as churches'. A lot of bookkeeping mistakes are avoidable if the bookkeeper knew how to do the job correctly.
Avoiding this error in church bookkeeping is by taking the time to look at every person you pay for a service. You can then use the IRS guidelines (link below) to determine if they should classify themselves as employees with payroll tax withholding, matching or independent contractors.
A key area that churches are at greatest risk is internal controls. It is important that someone outside your financial system reconciles your bank accounts, tracks and verifies your deposits and checks, which increases your congregation�s security.
It will make it easier to assure your congregation that their tithes, donations, and taxes are being used correctly. Congregants who know their donations will be used wisely are more likely than not to donate again.
Security Procedures As the Bookkeeper,I do enter the accounting data, write the checks, and reconcile the monthly bank statements for a church thrift store that is a start-up. �
Here is a quick breakdown of some of the most common tasks you will need to accomplish when doing your church bookkeeping.
Enter Income And Expenses. ...
Track Contributions And Prepare Bank Deposits. ...
Pay Bills. ...
Journal Entries. ...
Complete A Bank Reconciliation.
Bookkeepers maintain the financial records of the church that includes income and expense records. They are supposed to keep records of the dates and amount of every transaction of the church.
All organizations should follow generally accepted accounting principles (GAAP), using an accrual basis to record income and expenses when they are earned and incurred. However, many churches use a cash basis—recording income and expenses when they are received and paid—or a combination of both approaches.