PRESBYTERIAN CHURCH OF GHANA
DEPARTMENT OF FINANCE
GUIDELINES FOR ENSURING EFFECTIVE USE OF FINANCIAL RESOURCES IN THE CHURCH

Background

These guidelines indicate the structures that have to be put in place at the Congregational level for the effective use of financial resources.

Organizational Structure

Congregational Level

There shall be established a committee by name “Committee of Finance” (COF).

Objectives

a. Develop creative and efficient ways of managing the congregation’s finances.

b. Ensure that the congregation has sufficient financial resources to achieve its mission and fulfill financial obligations as and when they fall due.

c. Ensure that the congregation’s investments are properly safeguarded for value preservation and profitability.

Membership

 Two persons with Finance and/or Accounting background

 One Banker

 One Auditor

 One Business Executive/Entrepreneur

 One Insurance Professional

 The Congregational Treasurer

 One person appointed by Session

NOTES:

i) Where a congregation is unable the get people with the exact requisite skills and competences to make up the membership as indicated above, it can settle for those with closely related skills and/or contact the District for possible assistance.

ii) The Chairperson of the Committee of Finance shall be appointed by Session.

iii) The Welfare and Harvest Planning Committees shall operate as sub-committees under the direct supervision of the Committee of Finance.

iv) The functions of the sub-committees under (iii) above shall be developed by the Congregational Session in consultation with the Committee of Finance. Members of the sub-committees shall be selected by Session.

v) The current Local Director of Finance shall be called Congregational Treasurer.

Functions

1. Administer the general funds of the congregation in accordance with the principles and policies of the church.

2. Ensure the timely recording and reporting of all financial transactions.

3. Implement the internal controls regarding the receipt and disbursement of church funds.

4. Review periodically the general economic climate of the country and recommend healthy ways of generating funds for the church.

5. Prepare and submit to Session, annual budgets covering all needs of the congregation and making provision for contingencies.

6. Submit quarterly financial reports comparing actuals with budgeted amounts as well as cash flow statements to Session.

7. Prepare and submit quarterly and annual reports on investments to Session.

8. Submit the annual audited financial statements together with the external auditor’s report to Session.

9. Advise Session on the mobilization and investment of funds.

10. Explore new areas of investment.

11. Supervise the work of the Welfare and Harvest Planning Committees as well as any adhoc fundraising committee which may be formed by Session from time to time.