How to Record Church Finances?

Start with a simple record of every payment in and out, with its date, amount and what it was for. Keep receipts and invoices for everything, and match your records to the bank statement each month.

Track money given for a particular purpose, such as a building appeal, separately. Restricted money can only be spent on that purpose. Record Gift Aid gifts against each giver so you can claim.

At the year end, your records become the annual accounts. Most churches can prepare these on a simpler receipts and payments basis. Charity law requires accounting records to be kept for at least 6 years.