Friday, April 22, 2011

The Mistakes You Make Can Cost You!

By Raul Rivera
Category: IRS Compliance
In 2008, pastor Ned and his wife, Regina, started a church in northern California.  They had a goal of reaching into the community using the fine arts and athletic programs.  At first, when their church had only a few members, there did not have qualified individuals to assist them in the bookkeeping and IRS compliance.  However, their hearts were sincere and pure.  They did the best they could with the limited knowledge they had.  Shortly after incorporating and getting a Tax ID number for the church, they opened a checking account and started to write checks and pay bills as necessary.

How most churches do it

This is how most churches get started these days.  Pastor Ned's efforts are heroic.  He started a church right out of his own house with nothing more than just a word from the Lord and a lot of faith.  The problem is that he made mistakes early and they are beginning to hold him hostage because he now feels concerned about the IRS finding out about his mistakes.  Here is a short list of some of the mistakes he has made.
  • He signs on the checking account with no real accountability: From day one, Pastor Ned has had a hard time separating himself from his ministry. Therefore, he and his wife are the only signers of the church checking acct, and they also make the decisions as to when to spend and when not to spend.
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  • He helped a relative with benevolence: The recently helped their grandson with some college tuition and called it benevolence, though the church did not have a benevolence program or policy. Moreover, because their grandson is family to them, he is classified by Section 4958 as disqualified and the penalties for this mistake are very big.
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  • The church paid his cell phone: Most pastors assume that the church can pay his cell phone bill just because he uses it for church purposes. Every month the church paid his cell phone bill without regard to any reimbursement policies, or Section 280. The Small Business Jobs Act of 2010 that was passed on September 27, 2010, makes it much easier to pay the pastor's cell phone if the church owns the account.
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  • The church incorrectly pays his utilities, and mortgage: In the middle of 2009, Pastor Ned's board decided to start paying his light bill and mortgage. The board called it housing allowance. They never required him to keep any records and neither did they ever report it on line 14 of his W-2. He was not aware that he had to report this on his tax return and pay self-employment tax. He is now concerned that he owes back taxes.
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  • Mishandled donated property: In 2010, a member of the church bought Pastor Ned a Mac Book Pro laptop. The donor stated to him that he wanted to donate the laptop to Pastor Ned personally, but the donor also wanted a receipt from the church for his taxes. So, what did Pastor Ned do? He wrote him a tax-deductible contribution receipt for $1,300.00. The laptop sits in his home office and it has served him well, but now he is bothered because he just found out that this transaction could be very costly.

Fight the "As We Grow" Mentality

For many leaders the "as we grow" mentality is a detriment instead of a help.  I hear so many ministers say to me, "We know we do not have it right now, but as we grow, the Lord will provide for us people to fill in the gaps."  The problem with that mentality is that, one believes that growth will cause things to fall into their places.  The exact opposite is true.  Growth will not come unless things are in their places.  Intentional and focused leadership creates a sustainable environment of growth.  Let me explain.

The Two areas of compliance

 Intentional leadership recognizes the two main areas of compliance that foster growth.  Understanding them will give you clarity.
1.     Compliance with God's government:  Compliance in this area means that you spend blocks of time each week knowing the Word and How God governs His Kingdom.  You can't have a kingdom without government and in order to operate in His government, you will have to be compliant with His laws and statutes.  In Jeremiah 31:31 (also referenced in Hebrews 8), the Lord promised to give us His laws and to write them on our hearts.  Many ministers today spend less time reading the Word and as a result lose the deep sense of conviction for truth required to lead a congregation.
2.     Compliance with man's government:  Compliance in this area requires that you become sufficiently knowledgeable of the laws that govern your ministry to be able to make wise decisions as to when to do something in house and when to seek professional help.  While ministers often emphasize compliance with God's word, they tend to disregard compliance with man's laws, simply because they disagree with some of the laws passed by men.  The deception in that is that we think God is OK with it when in fact, the degree that you are compliant with man's laws is the degree that God will entrust you to lead His sheep. It is also the degree to which men believe you to be legitimate.  It is tough following a pastor with financial and tax trouble.

Pastor Ned Taking his chances

Pastor Ned became aware of his non-compliance issues about three months ago.  To date, he has sat on the information and has not acted on it.  He feels paralyzed by the fear that if he suddenly starts to properly report these items, it will draw a red flag and he may end up owing back taxes.  What should he do?  Should he correct the problems of the past three years?  Or should he just go on?  He is currently thinking about what to do.  Time has its way of soothing conviction and assigning it to the rear section of memories, making our present reality easier.  I have one question for you.  Will you be like the Pastor Ned of this story?

Three Things that Burnout Preachers

By Raul Rivera
It had only been a year and a half from the day I started my church and already, I was feeling burned out.  I thought it would be bigger and better established.  I took it for granted that the congregation would be more dedicated and involved in outreach efforts.  All of my energy was quickly dying and I did not know how to get it back.  Ever been there?  Maybe you are there now.  Let me give you three things that will help you avoid burnout.
1.    Unmanaged expectations:  Many leaders that start churches have an unstated idea of what their church should look like in its first year.  When that idea is not achieved, it can lead to the perception of failure.  Let me give you an example.

In most of the conversations I have with church planters, they usually describe a vision that is complicated, multifaceted and elaborate.  In fact, it looks a lot like the one they perceived from their former pastor.  While I always encourage big dreams, they must be well managed and understood.  Not every church is supposed to grow to reach 1,000 people. However, if you expect to be a church of 1,000 people and you only grow to 300, you will always feel like you failed.  But those who never expected to reach 300 will feel like they have conquered the world if they reach 300. 

2.    Preaching without purpose:  When I first started in ministry, the average length of my sermons was about 1 hour.  As I matured, the sermons were more like 30 minutes.  In the early years, I prepared as though the end of the world was here, and that the sermon I was preaching was probably mine and the congregation's last.  I soon learned that there was always another Sunday and that very likely, the congregation could not remember what I talked about the week before. 

As a preacher, I would get bothered when I asked the question, "How many remember what the message was about last week?" and only one out of one hundred would raise their hand.  This was troubling to me because I equated remembering the message with dedication, and seriousness about the things of God.  But I never considered that maybe my sermons weren't as impacting and worth remembering as I thought they were.  Is there a solution?  Be encouraged, I found one.  Let me give you what will make preaching more effective and easier to do week after week and avoid preaching burnout.
a.     Preach in series:  You should take some time and pick topics you can cover over 4 to 6 weeks.  That means that every year you pick between nine and twelve topics and then prepare them to be covered in a series.
b.     Less than 30 minutes:  As a preacher the hardest thing to do is to discipline yourself to cover your entire message in under 30 minutes.  This will force you to stay on topic and keep the congregation's attention.  Avoid the temptation of rabbit trails because, like it or not, the fact is that on Sunday morning, you will probably be able to effectively hold their attention for about 25 minutes.  When you train yourself to boil a message down to a more "concentrated" version, you will find that people track with you better, because they feel that every point says something vital.
c.      Stick to your plan:  If you select your sermon series in advance, you will be able to research, develop and better prepare your messages.  You will also be able to publish the upcoming series four weeks in advance on the church website, bulletins and other printed materials by using mail marketing.  One good way to advertise your church is to get a nonprofit mailing permit and then send postcard advertisements of upcoming sermon series to thousands of households within 30 minutes drive of your church.  I am certain it will draw new people to visit your church.
3.     Not paying attention to the things that keep you awake at night:  For some people, dealing with the hardest issues only happens at night when their heads touch the pillow.   What are the things you think about at night?  If you are typical, you probably think of things that you secretly worry about, but rarely tell anyone.  I often get a chance to hear many of those concerns.  Let me give you a short list
a.     You think about growing but don't know how:  How do you grow a church?  After 2 years, you are beginning to realize that people won't come to your church because you have great services.    There has to be something more yet you do not know what to do and you are running out of ideas.  That is a sign that you are burning out.
b.     You worry about finances: You got into a building and the rent is killing you.  You thought that the building would attract more people, but the opposite has happened, or maybe new people have come but the rent is more than you can really afford and there are times when you pay from your own pocket to meet the shortfall.
c.      You worry about the books of the church:  Not only do you think about the church and how to make it grow, but you also worry about the books and management of its resources.   Is there something I should know that I do not know?  Am I properly reporting love offerings?  What about forms that need to be turned in to the IRS?  Every January you make the pledge to get it right, but my March, you surrender to the busyness of ministry and life and then you suppress the voice that whispers to you at night that reminds you to get them right.

Let's review

We covered three things that may cause burnout.  They are 1) unmanaged expectations, 2) preaching without purpose and, 3) not paying attention to the things that keep you awake at night.
The third one is probably the one that preachers pint to least when it comes to burnout, but I dare say that it is probably the greatest creator of unidentifiable stress.  In each man is a deep desire to quietly enjoy the fruit of their labor.  When certain aspects of that labor keep you up at night, it won't matter too much if you accomplish what you set out to do.
In my previous article, I shared with you three things that cause burnout in preachers.  Today, I would like to continue along those lines by sharing with you three hang-ups that, little by little, will cause you to burn out.
1.    Hanging on to a divisive leader:  This one is tough. As a pastor I had my share of working both with good leaders and with leaders that started well but for one reason or another became offended and turned against me.  Pastor, often times hanging on to divisive leaders too long can secretly increase the chance of burnout.

  • You often times make your decisions trying to make them happy:  The same goes for the opposite, sometimes you make decisions the exact opposite way you might have otherwise done just because of that one leader that is driving you crazy.
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  • Every time you see that person, you feel heaviness come upon you:  There is nothing worse than feeling your energy and zeal being drained right out of you just because you crossed paths with someone.  Everything inside of you may tell you that you must forgive and forget.  Let me step in and say, "It is that, plus removing the person from leadership and letting them go."  Once you do it, you will feel much lighter leading the church.
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  • You find that every three months or so, you have to have a serious private meeting with that person to clear the air:  These types of meetings are useful if they only happen on rare occasions and both parties are equally willing to humbly repent for their part in the problem.  However, if the frequency of those meetings increases, it is time to just let that person go.
If you find yourself in this situation with someone, simply parting ways with this person is the single best thing you can do to avoid burnout.  That person will be OK and you will be better off.
2.     Hanging yourself by your own preaching:  As the messenger, you are called to preach truth, even when you know your own journey of living that truth out still has a lot of room for improvement.  Burnout happens when you deal with yourself inconsistent with how the Scriptures dictate.  For example, if you preach a message on a topic that you yourself need to improve on, but you hide the reality of your own struggle and choose not to deal with it through confession and accountability, then you will be eaten up every week with an overwhelming sense of hypocrisy.  Though James says that teachers will receive a stricter judgment, it does not mean that you are to walk in condemnation.  You must allow the Scriptures and a life of accountability (with well-chosen individuals outside of your congregation) to keep your own heart in a place of truth and growth.
3.     Hanging up things you love:  One thing I have always loved to do is watch college football on Saturdays.  The only thing better than watching a college football game on Saturday afternoon is watching one on Saturday night.  I now have the wonderful pleasure of watching college football with my two boys and I absolutely look forward to spending that informal, high-quality time with them.  However, as a pastor, Saturdays were often spent prepping for the Sunday morning services.  Even more than that, we always had our fall missions' conference that took place every October.  This conference started on a Thursday night and ended late Saturday night.  I remember one year, we planned it and set it on the church calendar, only to find out three weeks before the conference that on that same Saturday night, Florida State was set to play the University of Miami.  The following year when it came to plan for the conference, I looked at the entire season's schedules of great college football games and chose a week that did not feature any really great games.  I proposed it to my staff and leadership team and after minimal discussion, they unanimously concluded that if that is the week I proposed, it was most likely because that is what God had put in my heart.  After it was all said and done I felt awful.  My conscience bothered me.  What was I to do?  I had pledged to give my life to the Lord in ministry and here I was struggling with selfish desires.  I learned two things from that struggle.
  • Taking up your cross does not mean you stop being who you are:  For several years after starting the church, I was becoming aware of how that subconscious battle affected my ability to live life to the fullest.  He came to give us life and that more abundantly, yet every passing year, I felt like I had less of it until I discovered I did not have to stop being Raul-a lover of sports-to be a preacher and lover of God.
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  • God is pleased with your pleasure:  Just like your fingerprint is unique, God created your soul to be unique.  There are things that you enjoy and that you do well because God put that within you.  It is part of what makes you, uniquely YOU.  In the same way that you enjoy seeing your children find pleasure in life, provided that pleasure is not going to harm them, your Father finds pleasure in watching you enjoy and experience all He has created for you.  It is meant to be a connection point whereby you can see His face in every arena of life and be filled with thankfulness as you relate to Him in all of it.

Let's review

Ok!  So we covered three things that we get hung up over to the degree that it causes preachers to burnout.  They are 1) Hanging on to a divisive leader, 2) Hanging yourself by your own preaching, and 3) Hanging up things you love.  I want you to notice that they are all issues of perception.  Many times your own worst enemy is your own perception of reality and God.  No matter where you are today, you must always be willing to challenge your own perceptions of reality and rigorously seek out what God has to say about them.

Pastor and Wife Arrested; No One Had their Blind Side

By Raul Rivera
Several years ago, a sixteen-year-old girl went to her pastors-Pastors Dan and Laura-and confessed that her father had been molesting her.  After the pastoral husband and wife team counseled the young girl to best of their ability, they next confronted the father, who confessed to them that he had indeed molested his daughter.  The repentant father asked his daughter for forgiveness, which she granted, and the family underwent a process of healing and restoration directed by the pastors.  The father never touched his daughter again.  Though it had been a very sad time for the sixteen-year-old girl, Pastor Dan and Pastor Laura felt that they made their best efforts to mend her broken heart and also reach out to the father with help and restoration.
When Pastor Dan started the church on July 11, 1996 only seven people made up the congregation, and Pastor Dan envisioned a ministry alive with unconditional love and grace to the world.  That is indeed what he has seen.  Thousands have come to the Lord.  He and Laura have seen many miracles over the years as the ministry has grown to house a 22,000 square foot facility, with plans to expand.

Who has your blindside?

One thing that the pastors did not know was that they had a blind side in their ministry.  There were some things they did not know that would bring them some fiery trials.  On July 9th, of 2010, the father of the now 19-year-old girl was arrested on several counts of sexual abuse and molestation charges.  What the pastors did not know was that shortly after the father had repented, he fell back into the same sin, only this time with his younger daughter.

Many pastors work IN the ministry but not ON the ministry

Busy working IN the ministry, Pastor Dan and Pastor Laura had been making plans to start construction of the new facilities while also making efforts to plant new churches all throughout Mexico and Central America.  The Spanish church they recently started had also been growing.  But something happened that no one was ready for.  When the police arrested the abusive father, the older sister was interviewed, and she reported that the father had sexually molested her, too, years earlier.   She also told police that Pastors Dan and Laura McCluskey had counseled her through the process, which was all the police needed to hear in order to arrest both pastors for failing to comply with Arizona Statute A.R.S. § 13-3620.
Many pastors are busy pouring out their lives IN the ministry to which they have been called, but very few take the time to work ON the ministry to ensure that they obtain the proper wisdom for how they conduct ministerial matters.  Stop for a moment and ask yourself, "Am I certain that every part of my ministry is right?"  Do I have a blind side?  Do I even know if you have a blind side?  These are real questions for the real world of ministry today!

Take the time to work ON the ministry

How much time do you spend preparing for a message or serving in the ministry?  In Bible colleges in the U.S. there are many students today spending countless hours learning to better communicate the gospel message, give counsel to the broken hearted, and manage numbers of people.  Preachers today spend countless hours teaching classes, discipling new believers, and praying for the sick.  Yet how many are taking the necessary time to work ON the maintenance of their ministry?  It requires that you invest time learning the ever-changing laws that affect churches and ministries.  Whether in IRS compliance, taxes, counseling, risk management or zoning.  Staying up to date with these changes empowers your ministry to keep growing through strategic planning.

Don't suffer unless you have to

Pastor Dan and his wife Laura will go to trial on April 11th, 2011.  They each face 1 charge of failure to report sexual abuse.  In Arizona, their violation is classified as a class six felony.  If their meeting with the girl and her father had happened before 2008, they may not have been charged at all because the law previous to that year did not require ministers to report sexual abuse.
The truth is, we leaders tend to believe that God will never allow such things to happen to us, since we pray and occupy our time winning the lost.  Won't that mean that He will keep us from all of the snares of the enemy?  Do not allow your busy life and schedule to become an excuse for naively believing that the Lord is more interested in providing you with supernatural protection over the mistakes you make and keep on making than He is in you acquiring the necessary knowledge to steward His ministry better.   All you have to do is dedicate the time needed for acquiring knowledge.  The Lord was faithful to protect Paul in and out of prison...but let's not go there unless we have to.

Fined for Seeking Christian Roommate

The effects of using church bulletin boards

By Raul Rivera

A single 31-year-old Michigan woman, named Tricia, needed a roommate to share her home. One day she posted an ad on her church bulletin board stating that she was looking for a "Christian Roommate." Several weeks later, she found herself being investigated by the State of Michigan Department of Civil Rights for violation of civil rights laws.  Tricia now faces several hundred dollars in fines and may be forced into "fair housing" training to learn how to not engage in religious discrimination.  A representative from the Fair Housing Center of West Michigan said that the ad "expresses an illegal preference for a Christian roommate, thus excluding people of other faiths."

Constitutional guarantee of religious freedom and unabridged speech

The state says that several sections of Federal code were violated by using the phrase "Christian Roommate wanted."  They cite Title VII of the US Fair Housing Civil Rights Act of 1968 and the Elliot Larsen Civil Rights Act.  While the law as found in Subsection 3604 sounds good on paper, it has the unintended consequence of doing exactly what it was trying to combat; religious discrimination.  In an effort to combat religious discrimination Congress did two things:
1.     It discriminated against all religiously motivated practice and;
2.     It abridged the freedom of speech.
How so?  Congress failed to realize that people of faith do not practice their faith as a hobby to the degree that they can turn it on and off at will.  Faith is the filter and lens through which 100% of all life is lived (Acts 17:28 For in him we live and move and have our being).  Congress attempted put a stop to religious discrimination in the housing market by discriminating on all religions and making illegal any religious preference in advertising.  In this case, Tricia, is being denied her constitutionally protected right to privately seek another Christian to share a home with her.  It appears that the state is bent on limiting freedom of religion and doing it by regulating how and where people can freely live the precepts of their faith.  Secondly, her free speech is being abridged because she is not allowed to publicly say or express freely her preferences.

The effects of legislation

This law proves the inability of government to legislate civil behavior.  The intended results always produce more negative consequences than they do positive.  We now live with a set of laws that do not allow people of faith to seek each other out and create communities that are aligned with their beliefs, culture and approach to life without facing government harassment.
The key question is whether this law, or any law that places a limit on religiously motivated practice, is constitutional.  While I believe that the law is clearly unconstitutional, unfortunately, there is case law that has established precedence for the "constitutionality" of this law and others like it.  Many courts, including the Supreme Court, have ruled in favor of these types of laws citing that there is a "compelling state interest" at hand to protect certain classes of people.
In a Supreme Court case, United States v. Lee, the court ruled, "The state may justify a limitation on religious liberty by showing that it is essential to accomplish an overriding government interest."  In another court case, Church of Lukumi Babalu Aye v. Hialeah, the court ruled, "When the State enacts legislation that intentionally or unintentionally places a burden upon religiously motivated practice, it must justify that burden by showing that it is the least restrictive means of achieving some compelling state interest."
They justify their rulings using a legal doctrine called "strict scrutiny."  This doctrine is often used by courts to determine necessity of a perceived "government interest" against a personal constitutional right, as found in the constitution.
Many legal scholars argue that strict scrutiny is "strict in theory, yet fatal in fact." Did you know that more than 60% of the time, laws that restrict our religious liberty have been upheld by courts (Adam Winkler, UCLA School of law).  Using this legal doctrine, many of our guaranteed constitutional rights have been infringed, and the court precedent continues to move in that direction.  Where do you think it will end?
It makes me wonder what would happen if Tricia's ad read as follows:  Single female, seeking roommate who is a fan of T.D. Jakes, Beth Moore and Andrew Womack.  Just curious!

Word of encouragement

We live and work with an imperfect government.  Jesus did make his promise that one day, He would return and establish his government here on the earth.  That is a promise.  In the meantime, we must do our best to live a quiet and peaceable life within the context of being wise as serpents and gentle as doves.