by David Washburn, BGAV Treasurer

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Every pastor I talk with who is navigating a church budget in the red says some version of the same thing: “We didn’t get here overnight.” And they’re right. Financial decline in a church is rarely sudden. It’s usually the slow accumulation of deferred decisions, shrinking attendance, and a budget that still reflects who we used to be rather than who we are today.

The good news? The path forward is clearer than it feels in the middle of the crisis.

Start with Honest Numbers

The first step is the hardest: sit with your finance team and get completely honest about the gap between income and expenses. Don’t put it off until the next quarter—do it now! Many churches delay this conversation,
hoping things will turn around on their own. They rarely do. Identify every line item that serves a program or ministry no longer bearing fruit. Cutting is never fun, but stewardship requires it.

Protect the Mission, Cut the Maintenance

Here’s a principle I share with church leaders: fund your mission, not your memory. When budget cuts are necessary, protect what directly makes disciples and reaches your community. The rest—underused facilities, legacy programs with no participants, administrative redundancies—those are candidates for reduction or elimination. A leaner budget aligned with your actual mission is far healthier than a full budget funding the past.

A practical way to do this is to run every budget line through a simple filter: Does this help us reach people, grow disciples, or strengthen our church’s health? If the honest answer is no, or not anymore, that’s your starting point for cuts. Some of those decisions will be emotional. Ending a program that meant something to a previous generation is hard, even when the pews in that room have been empty for years. Acknowledge the history, honor the people, and make the call anyway. Good stewardship sometimes requires pastoral courage.

It also helps to involve your congregation in the process. When people understand why certain cuts are being made and what is being preserved, they’re far more likely to rally around the mission rather than mourn what was lost. Transparency builds trust, and trust fuels generosity.

Build a Culture of Generosity

Budget cuts alone won’t turn a church around. Generosity has to be taught, modeled, and celebrated. Preach on biblical stewardship—not as a fundraising strategy, but as discipleship. Highlight stories of giving and their impact. Make it easy for your congregation to give consistently. And lead from the front: when your staff and deacons give sacrificially, the congregation notices.

Proverbs 11:24 says, “One person gives freely, yet gains even more.” That’s not just a promise for individuals—it’s a pattern for churches willing to trust God with open hands.

A Question Worth Sitting With

Financial decline is often a symptom of a deeper discipleship question. So before you close your next budget meeting, ask this: Are we making the decisions of a church focused on survival or for a church focused on multiplication?

Your answer will shape everything that follows.

Rev. David Washburn is BGAV’s treasurer.

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