Budget

Parish Council needs to prepare a realistic budget for a year knowing the pattern of income and expenditure in the previous year.

The budget would normally be drafted by the Treasurer and probably discussed with the rector and the committees of Parish Council before going to the full Parish Council and should reflect the mission priorities of the Parish. The budget should ideally also make an appropriate allocation for long term maintenance of buildings e.g. a certain amount could be put aside each year into a special account to prepare for major repair items such as re-carpeting and repainting of buildings

If the receipts and payments cannot balance without budgeting for a deficit, this must be resolved. Providing there are reserves, which can be called upon, a small deficit in one year is tolerable; but unless there are exceptional reasons, to budget for a deficit is unwise. It means that the church plans to spend money it does not expect to receive. In that case, expenditure must be contained until such time as income improves, and the budget will reflect this.

A budget should be regularly monitored over the course of the year and a supplementary budget may be considered if it becomes obvious that the budget expectations are not being met.