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A crunch in collections: Churches feel financial pinch as hard times hit congregations

By Jessica Foster
jfoster@thesunnews.com
Not even churches are immune to today's financial crunch.

Strapped residents - who have already cut eating out and skipping trips because of the slumping economy - are reluctantly dropping fewer dollars in church collection plates as the rising cost of necessities and swings in the stock market pinch their wallets.

Diana Bradshaw of Murrells Inlet said her donations to Timberlake Baptist Church fluctuate, depending on what she feels she can afford that week. She's also foregoing meals at restaurants and trips to visit family in Boston.

"We just live a little bit more simply," said Bradshaw, who's a shift manager at a restaurant in the Crown Reef Resort. "If something happened to the restaurant I work in and the hotel that I work in, what would I do next?"

With fewer dollars coming in, some churches won't be getting the new sound system they've been wanting or fresh paint on the walls any time soon. Fundraisers and special collections could get more frequent, and church staff might see their pay frozen or falling.

Christ Community Church in Conway, for example, is coming to terms with a 15 to 20 percent drop in tithing this year, said the Rev. Phillip Miles. To help its members get by, it has started a special collection that goes to one family in the church each week.

"Honestly, it's by far the biggest reduction we've ever had," he said. "We're probably going to, for the first time, look at the possibility of cutting salaries, things of that nature. Everyone else is suffering; I don't think it's realistic for the church just to go on, business as usual."

It's unclear, however, just how widely and deeply churches are feeling the budget crunch: Some say funds are way down from last year's levels, while others say they've had few if any financial troubles.

At Risen Christ Lutheran Church in Myrtle Beach, people's financial worries have had a mixed effect. Pastor John Kassouf said more people than usual are showing up on Sundays, but the church budget is down about 2 percent.

"I believe that in times of crisis, people return back to their faith," he said. "Since the first of the year, the worship attendance has been rising, and by the start of summer, offerings began to plateau or decline slightly."

Simeon May, CEO of the National Association of Church Business Administration, said it's too soon to tell how hard churches will be hit by the economic crisis, which started coming to a head in the past few months. The association is a Texas-based group that trains and provides resources to church staff nationally.

A survey the association conducted between Aug. 14 and Sept. 2 showed that, of 539 churches that responded, 14 percent were having an unusually tough time raising money because of the economy, while 20 percent reported growth in contributions.

"When earnings are down and people either start losing their jobs or start cutting back on spending, charitable spending is one area that they cut back in," May said. "Others who believe very strongly on the issue of tithing, they're not going to make a change in their lifestyle."

Tony and Sue DeGaetano of Surfside Beach said their weekly donation to St. Michael Catholic Church is still intact, although they've cut back on other things like shopping.

"Without donations, it's not going to be able to function," Sue DeGaetano said.

Others, trying to be frugal because of the rising cost of living and economic uncertainty, have reduced how much they give.

Despite the monetary declines, churches say they are keeping the same amount of service or even stepping up their efforts to help people.

However, as the recent market volatility, job losses and rising prices ripple through the economy in coming months, churches will likely have to make some tough budget decisions, May said.

"The news is just too grim to not have churches be affected at this point," he said.

 

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Last modified: 10/27/08

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