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3 Ways to Be a Good Steward of Your Church’s Finances

3 Ways to Be a Good Steward of Your Church's Finances Using HR Technology

Here are a few ways church leaders can use HR technology to be better stewards of their organization’s finances.

Ways to Be a Good Steward of Your Church’s Finances Using HR Technology

Originally published by APS on Religious Product News.

Many religious organizations have difficulty understanding the relationship between human resources and finance. Some believe the two are unrelated, but the reality is you must have strong HR processes in place to be a good steward of your finances. Why? Because people are your biggest expense and greatest responsibility.

So how can your organization bridge the gap between finance and HR? The key lies within your HR technology. Here are a few ways church leaders can use HR technology to be better stewards of their organization’s finances:

Some churches are still self-reporting volunteer and employee hours in a spreadsheet. This might work for smaller churches with a few employees, but what about growing religious organizations with several hundred employees or multiple campuses? Manual-entry spreadsheets can’t effectively track and report hours worked by employees and volunteers.

Implementing an HR system with automated time and attendance tracking eliminates the need to scour through time-consuming spreadsheets. HR managers can easily automate processes like tracking volunteer hours and managing employee schedules so they can focus on the more strategic nature of their jobs.

Churches need the ability to correctly track hours worked to ensure accurate pay and compliance. By utilizing time-capture methods like on-site tablets and mobile clock-in with geofencing, religious organizations can record time without investing in expensive time clocks. These simple and effective time-capture solutions can help track both volunteers and paid employees:

Scheduling becomes a much easier process with HR software. Volunteers and employees can view their schedules, opt to take an open shift, or cover a co-worker in the event of an emergency. Automating volunteer scheduling is especially important because:

For example, the board members are requesting a list of payroll debits and credits for all employees. The HR manager can easily generate a general ledger report with just a few clicks and email it to the board for review all in the same HR platform. This way, church leaders can make informed decisions about the organization’s growth using the most accurate data possible.

Religious organizations must be vigilant about overtime so they are not overpaying or underpaying employees each pay period. Managers need to proactively monitor employees who are coming close to overtime to adjust schedules and avoid minor time overages.

Start by checking your employees’ time cards for minor time overages: are they clocking in 10 minutes before their shift or taking shorter lunch breaks to get more hours? Audit your employees’ time cards to see where you can save on paying overtime. Use an online HR solution to calculate overtime correctly and ensure employees are getting paid properly, with or without overtime charges.

Church leaders need precise, real-time HR reports for better transparency into finances and more informed decision-making. However, HR managers typically get into a vicious cycle of manually pulling data from several sources to piece together a spreadsheet comprised of potentially outdated or error-prone information. This is an ineffective use of time and could lead to mistakes or non-compliance.

HR technology can automatically generate a variety of reports, like labor costs, turnover rates, and general ledgers, to help eliminate manual data mining. Additionally, important employee and organizational information can be stored in a centralized source for consistently accurate reports and analytics. HR managers and church leaders can save even more time by using dashboard analytics for real-time data right at their fingertips.

Be a Good Steward of HR and Finance

Religious organizations rely on the donations given by their congregations and communities to help further their missions. In turn, church leaders have a duty to ensure these funds are used in the most beneficial way for the organization and community.

By aligning HR with finance, you, too, can be a good steward of your church’s bottom line. Leveraging HR technology in this collaboration will allow you to optimize your organization’s HR workflows to drive operational performance. It’s through this engagement between HR and finance that your church can grow in a meaningful way and remain focused on its ultimate mission.

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