What is church embezzlement?
While there are many types of fraud, churches most often experience embezzlement, defined as the fraudulent appropriation of money or property for one’s own use. No organization — including a church — is automatically exempt from this fraudulent behavior.
How should the church handle money?
What the church should do with its money
- It should pay its own elders and workers, especially teaching elders (1 Timothy 5:17,18; Galatians 6:6; Luke 10:7-10).
- It should pay for evangelistic and missionary work, including logistic expenses for meetings and training (Acts 18:5; Philippians 4:15,16; 1 Corinthians 9:4-11).
What is church money used for?
The money that is given is used to construct and maintain its buildings as well as to further the work of the church. None of the funds collected from tithing is paid to local church officials or those who serve in the church.
How can your church prevent its funds from being stolen?
The first thing your church needs to do to prevent its funds from being stolen is to track your giving. As you keep track of your giving, keep an eye trends. Do you notice an unexpected spike in giving?
How did a church employee steal thousands of dollars?
A church usher collected offerings in the sanctuary balcony and then pocketed loose bills on his way down. Over a number of years, he stole several thousand dollars. A church bookkeeper embezzled thousands by issuing checks to a fictitious company.
How can I keep people from stealing offering offers?
#5. Encourage rotation. From the people who collect your offering, count the giving, and deposit the funds in your church’s account, your church should regularly rotate the individuals in these positions. Rotating people in and out will decrease the ability someone has to steal money.
What are the guidelines for handling church funds?
Conduct background checks and run credit reports on those handling church funds. The signers of checks must not be the person authorizing the expense. Require two individuals to sign checks of more than a predetermined amount. The signature documentation (signature card) held by the bank should show this restriction.