1. Determining the Assessment
Using the most recent year’s data (2016), the congregation’s Adjusted Operating Revenue is multiplied by the ASA bracket.
Operating Revenue
- Diocesan Assessment paid
Adjusted Operating Revenue
x ASA bracket
2018 Assessment
Line A – 2016 Parochial Report
Line 12 – 2016 Parochial Report
(%)

2. Assessment Brackets 12% Family-size ASA 0-74
Bracket determined by Average Sunday Attendance (ASA)
12% Family-size ASA 0-74
13% Pastoral-size ASA
Transitional-size ASA
Program-size ASA
14% Small Resource-size ASA
Large Resource-size ASA 800-above

3. Proposed Assessment Example
Assessment Formula
St. Swithen’s Episcopal Church
$ 250,000
- $ 30,000
$ 220,000
x %
$ 28,600
2016 Operating Revenue
Diocesan Assessment paid
Adjusted Operating Revenue
ASA Bracket
2018 Assessment

4. Financial Statements Balance Sheet-including land and buildings
Income and Expense statements-required to work with a balanced budget each year
Calendar year
Income flows for churches are usually slow in summer months and December is catch up month
Encourage pledging for better budgeting
Separate Foundations need to be reported to vestry on a regular schedule

5. Size of Congregation Determines Responsibility of Treasurer
Treasurers in smaller congregations often are tasked with doing more of the day to day accounting duties
Larger congregations often have full time staff to handle day to day duties
In either instance the treasurer needs to be knowledgeable of the financial strengths and weaknesses of the church and present the vestry monthly with complete financials

6. Clergy Housing Resolutions
All clergy need to declare their housing amount each year in November or early December
Vestries need to have formal resolution stating clergy stipend and housing approved before start of new year
This amount can be changed during the year but it can’t be retroactive to earlier in the calendar year
IRS.gov has several resources concerning housing allowances

7. Title to Property
All property in the diocese is titled in the name of the Corporation of the Episcopal Diocese of Dallas unless it is held for investment or income producing purposes and no ad valorem tax exemption is claimed on it (Canon 37)
Held by the Corporation solely for the use and benefit of such Parish, Mission or Diocesan Institution
No property can be encumbered without permission of the Corporation, Executive Council and Standing Committee

8. Ministry Funds All ministry funds are assets of the church
Need to be included in yearly audit
Responsibility of the Vestry to establish specific procedures for administration and accounting
To be used for “missionary and charitable purposes of the congregation”
Guidelines are on EDOD website
Separate checking accounts are discouraged

9. Self-employed vs Employee
All clergy are considered self- employed for Social Security and Medicare only. They are still employees of the church and should receive a W2 with housing listed in box 14 at year end
Refer to IRS guidelines to determine other individuals classification-most are employees

10. Resources
EDOD.org
IRS.gov
Diocesan office
TEC tax hotline
2017 Church & Clergy Tax Guide-Richard Hammar