The District Audit Review Committee has established guidelines for the local church to follow in its annual evaluation of the church financial records as required by paragraph 129.23 of the 2013-2017 Manual. Please review the attached format and send a copy of your year-end audit report to the district office prior to district assembly. Please note that if the timing is a problem to perform your audit through March 31, your review period could be February to February, or on a calendar year basis, etc. Please indicate your review period.
A review of local church financial accountability need not be an overwhelming burden. Two or three laymen with a basic understanding of record keeping can review the books of an organization to determine if the finances are being accounted for adequately. The Manual directs the local church to do this annually.
Below are financial review procedures which could be used by the local financial review committee to guide them through the annual review.
If, after completing the audit, the committee is satisfied that the finances of the congregation are being managed properly, the congregation should be so advised. This provides the people with assurance that the finances are being properly managed, and also is a form of protection for the treasurer. The congregation should be assured each year that someone other than the person(s) normally handling the finances has determined that funds dedicated to the Lord are being administered carefully and accurately.
If it is not possible to reconcile the bank statement and accounting books, a professional accountant or another qualified person should be engaged to correct the differences and establish a system of keeping proper records. If the District Audit Review Committee can be of any assistance to you, please feel free to contact us.