2. Opening Prayer (Pastor Joel) 2014 Highlights (Pastor Joel) Ministry Plans for 2015 (Pastor Joel) Budget for 2015 (Linda Ellison) Board of Servant Leaders Candidates (Amy Wieneke) Q&A (Board members) Closing Prayer (Pastor Joel) Cast ballots in the Commons on your way out.

4. What’s UP? Giving (up 6.4%) Worship Attendance Visitors Fam Jam People in the Word Confirmation/I56 programs Vintage Royals

5. What’s NEW? DivorceCare for Kids Marriage event Concerts Connection Point Start Smart Basketball Upward Basketball The Story

6. What’s NEW? Fellowship One/Infellowship Ben Burge – Ministry Asst. Jim & Leslie Schiller – Property Missy Reardon – IGNITE56 Jackie Schauer – Care Becky Turner – Fam Jam Café furnishings/decor

7. Average Weekly Worship Attendance: 2013: 299 2014: 312 Giving beyond RR: 2013: $42,000 (10%) 2014: $51,255 (8.5%)

8. Goal: 3 strategies for impacting our community over next 3 years

9. Strategy 1: Time, Financial and Relational Pressures FPU Christmas Miracle Gift

10. Strategy 2: Life Transitions (2013-14 Marriage & Divorce) Winning Marriage DivorceCare & DC4K Surviving the Holidays event

11. Strategy 3: Prepare children & teens for the pressures of suburban life College-age mentors for HS group I56, Confirmation hot topics Boy scouts/girl scouts

12. Having the Talk MIT Quality of Life seminar Financial Peace Legacy On site counseling Grief support group Seniors Connect Wonder Women

13. Building Enhancement Team Staff Call Associate Pastor Pastor Joel sabbatical (June) Structure Develop policies & systems Equip volunteers/teams Utilize Fellowship One Develop online calendar/space booking

15. Page 15 Review of 2014 Church Budget Budget vs. Actual - Income ActualBudgetDifference GOI1 · Member Giving437,005.76431,000.006,005.76 GOI2 · Reimbursed Expenses3,082.985,000.00(1,917.02) GOI3 · Special Services Income4,630.002,500.002,130.00 GOI4 · Loose Plate Giving9,470.3710,000.00(529.63) GOI5 · Interest Income3,527.101,200.002,327.10 GOI6 · Preschool Rent Income11,115.00 0.00 GOI7 · Other Giving/Income4,155.110.004,155.11 Total GOI · General Operating Income472,986.32460,815.0012,171.32 RFI · Reserve Fund Income RFI1 · Youth group budget income2,900.00 0.00 RFI2 · Moved into GOI to pay RF bills70,297.38 RFI3 · Reserve Fund Giving Donations108,935.05 Total RFI · Reserve Fund Income182,132.432,900.00179,232.43 Total Income655,118.75463,715.00191,403.75

16. Page 16 Review of 2014 Church Budget Budget vs. Actual - Expenses Expense AE · Administrative Expenses16,240.5216,025.00215.52 BG · Building and Grounds139,936.46133,771.006,165.46 CE · Christian Education15,492.2820,000.00(4,507.72) FE · Fellowship6,893.975,750.001,143.97 ME · Missions18,739.2218,700.0039.22 MME · Music Ministry2,069.062,600.00(530.94) RFE · Reserve Fund expenses179,232.43 SE · Payroll/Staffing Expenses296,022.32314,196.00(18,173.68) Total Expense674,626.26511,042.00163,584.26 Total Deficit for 2014(19,507.51)(47,327.00)27,819.49

17. Page 17 Review of 2014 Church Budget Income 2014 Summary INCOME  2014 Member Giving was $437,005  1.4% more than budget  6.4% more than 2013 Member Giving.  “Other Income” was $35,981 - 2.1% over budget  Loose plate offerings, Reimbursed expenses, PreSchool, Interest, etc.  Total Income was $472,986.32 vs. Budget of $460,815.

18. Page 18 Review of 2014 Church Budget Expenses EXPENSES  Total Expenses were $19,507.51 more than budget.  Worship supplies were $215.51 more than Budget due to Computer and Internet expenses not being figured into the 2014 budget.  Building and Grounds was $4,381.32 over budget due to higher than expected snow removal, janitorial supplies, and utilities.  Christian Education was $3,567.85 less than Budget due to reduced camp fees (less campers) and more participant funding.  Fellowship was $1,193.47 more than budget due to café supplies and multiple celebrations (staff /volunteer departures).  Missions was $39.22 over due to advertising not being figured into the budget.  Music ministry was $530.94 under budget due to not needing added equipment.  Payroll was $18,173.68 less mostly due to Anders departure

19. Page 19 Royal Redeemer Lutheran Church & Pre-School Asset Summary December 31, 2014 ASSETS Checking  Fifth Third Bank………………………………………............. 68,808.35 Savings  LCEF (SBM Account)………………………………..……….. 352,683.85 TOTAL ASSETS……………………………………………………………………………….. $ 421,492.70 ___________________________________________________________________________________ FUND BALANCES  General Operating Fund…………………………………….... 143,982.80  Building Fund…………………………………………………… 189,599.24  Memorials………………………………………….…………… 2,391.08  Missions………………………………………………………… 35,518.30  Special purpose funds……………………………………….. 11,482.36  PreSchool PrePaid Tuition…………………………………… 10,240.00  Other Funds……………………………………………………. 25,539.45  Preschool current (deficit/income)……..……………………. 2,739.47 TOTAL EQUITY/LIABILITY FUNDS………………..…………...................................$421492.70 Outstanding Loans (mortgage)……………………............................… $1,361,325.33

20. Page 20 2014 Church Budget Member Giving Growth (2004-2014)

21. Page 21 2014 Church Budget Growth in Member Giving (2001 – 2014) Year Amount Increase vs. Previous Year 2014 $437,006 $26,490 6.5% 2013$410,516$29,3767.7% 2012$381,140$7,0371.9% 2011$374,103$52,020 16.2% 2010$322,083$14,663 4.8% 2009$307,420($14,041)-4.4% 2008$321,461$14,537 4.7% 2007$306,924$16,048 5.5% 2006$290,876 $40,106 16.0% 2005$250,770 $29,36913.3% 2004 $221,401 $9,503 4.0%

22. Page 22 2015 Church Budget Recommendation GOI1 · Member Giving436,776.00 GOI2 · Reimbursed Expenses2,646.00 GOI3 · Special Services Income4,248.00 GOI4 · Loose Plate Giving8,208.00 GOI5 · Interest Income3,528.00 GOI6 · Preschool Rent Income11,115.00 GOI7 · Other Giving/Income3,624.00 RFI1 · Youth group budget income8,505.00 (Confirmation will use donated funding for 2015 expenses) Total Income478,650.00 AE · Administrative Expenses14,669.00 BG · Building and Grounds140,876.00 CE · Christian Education18,316.00 FE · Fellowship5,800.00 ME · Missions20,428.00 MME · Music Ministry2,600.00 RFE · Reserve Fund expenses0.00 SE · Payroll/Staffing Expenses326,457.28 Total Expense529,146.28 TOTAL DEFICIT(50,496.28)

23. Page 23 2015 Church Budget Recommendation EXPENSES 2015 2014 BudgetActualDifference Administrative$ 14,669$ 16,241$-1,572 Building & Grounds$140,876$139,936$ 940  Admin. difference due to budget reductions in postage and office supplies

24. Page 24 2015 Church Budget Recommendation EXPENSES 2015 2014 BudgetActualDifference Christian Education$18,316$15,492$2,824 less income 8,505 2,900 Net Budget Amount$ 9,811 12,592-2,791  Participant fees added to church income to cover some of the youth budgeted amount; active fundraising in place to assist in absorbing costs; and Confirmation group will fund 2015 with directed donations received in previous years to assist with church deficit.  Children’s Ministry & Adult Education budgets similar to 2014.

25. Page 25 2015 Church Budget Recommendation EXPENSES 20152014 Budget Actual Difference Fellowship$ 5,800$ 6,894 $1,094 (reduction in small group & connecting ministry budget items) Missions$20,428$18,739 $1,689 (Advertising and promotions now in budget) Music Ministry$ 2,600$ 2,069 $ 531

26. Page 26 2015 Church Budget Recommendation EXPENSES 2015 2014 Budget Actual Difference Staffing$ 326,457$296,022 $ 30,435  Budgeted for full staff.  2.0% salary increase for Office Mgr, Organist, & Facility Mgr.  Increase in Connections Director contract  Addition of Choir Director Salary

27. Page 27 2015 Church Budget Recommendation SUMMARY  Proposed 2015 Budget shows a deficit of $50,496; primarily due to new building expenses (mortgage, utilities) and operating with a full staff.  2015 continues to be a “transition year” as the size of the congregation continues to grow.  Reserve funds can be used to support 2015 deficit if needed  $ 353,089 (Building Fund & General Operating Fund).  Other expenses continue to be stable and managed carefully.  Board fully supports and recommends Budget.

28. Page 28 2014/2015 Pre-School & Kindergarten Budget Budget Income PSI1 · Preschool Registration Fees5,630.00 PSI2 · Tuition99,133.00 PSI3 · Preschool Supplies Fee1,910.00 PSI4 · Activites & other misc. income3,042.17 PSI5 · Fundraising500.00 Total Income110,215.17 Expense PSE1 · Operating Expenses16,605.00 PSE2 · Salaries81,917.87 PSE3 · Benefits15,473.68 Total Expense113,996.55 2014/2015 anticipated deficit(3,781.38)

29. Page 29 2014/2015 Pre-School & Kindergarten Budget SUMMARY The preschool ended 2013/2014 with an income of $1,310, which has been rolled into the deficit of 2104/2015. The projected budget shortfall of $3,781.38 is expected to be made up with reduced staffing, increased enrollment, and fundraising efforts.

32. Seven Board members From a 3-3-1 Board rotation to a 3-2-2 rotation. Roger Wright would serve 3 years total.

33. Greg Card Kim McMillan Tim Kelker

34. Seven Board members From a 3-3-1 Board rotation to a 3-2-2 rotation. Roger Wright would serve 3 years total.

35. Thanks for your participation! Remember to cast your ballot on the way out!