The purpose of Step One is to make sure you are staying on “mission”.   This is accomplished by reviewing the church’s mission, vision and strategy.

Each church needs to know three things:

–     Who it is. (Values)

–     Where it is going. (Mission)

–     How it is going to get there. (Strategy)   

Without knowing these things and applying them to the budgeting process, the church budget will be nothing more that predicting income and CONTROLLING how it is spent.  This normally plays out in simply making sure the church stays within its means.  Staying within budget parameters is not a bad thing.  But, even though the church does not overspend, if it is not DIRECTING the church’s resources towards activities consistent with values, mission and strategy, the budget may end up being a failed exercise.

KEY: THIS STEP MUST COME FIRST!