In an excellent article from Alban Institute, Dan Hotchkiss points out that in an economic downturn, congregations need to face up to the fundamental financial principle that you have to cut consumption in order to match revenue. Hotchkiss suggests a form of zero-based budgeting in which the congregational leadership first sets priorities, and subsequent to that builds a budget from scratch.
Hotchkiss is not a warm, cuddly writer, and some people will find this article annoying. Others of us — those who prefer direct talk about finances, those who are fiscal conservatives, and the like — may appreciate an article that doesn’t sugar-coat what is a pressing issue for many of our congregations. Link to the article.