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PASTOR GENERAL'S
REPORT
TO THE MINISTRY OF THE
WORLDWIDE CHURCH OF GOD
VOL.5, N0.45
PASADENA, CALIFORNIA
REPORT FROM THE TREASURER'S OFFICE
DECEMBER 9, 1983
In the month of November there was a 2.3% increase in income over last
November.
As a result of this small increase, the year-to-date figure
dropped from 13.1% to 12.5% at the end of last month. Even though the trend
for November was down, December has started off very well.
The big news in the financial area for November pertained to budget. Those
of us on the budget team were able to work out a formula that should give us
a balanced budget in the U.S. for 1984. This was presented to Mr. Armstrong
and received his approval. To give you sort of an overview of this budget,
I would like to give some excerpts from my memo to the department managers
concerning the 1984 budget.
It always is a puzzle to those of us on the budget team to know
how to best handle this necessary chore. We want to meet the real
needs of all departments as much as that is possible. For the
past two years we asked all departments to submit a budget. The
first year the combined total for all departments came to about
$21 million more than we expected in income. The second year it
was down to $18 million more than our expected income. All of the
work of the individual departments to prepare these voluminous
budgets was in vain! Everyone still had to go back and start all
over again.
This year we have decided to approach the problem from a new per
spective that should require much less work from the departments
and still produce the desired result. The budget team, after
considerable deliberation, balancing and figuring, met with Mr.
Armstrong to present a proposal, which he approved. But before I
explain more, let me mention some of the special considerations
this year.
This next year, for the first time, we are required, both employ
er and employee, to pay a social security tax. An exception,
according to the law, is ordained ministers, including such
ministers who are faculty of the college or department managers.
This tax starts with payroll checks issued after January 1, 1984.
It requires the employer to pay 7% and the employee 6.7%. In 1985
the employee amount will be increased slightly.
In order to help in this new personal expense, we will auto
matically increase by 7.2% the salaries or wages of those employ
ees subject to this tax starting January 1. In addition, all em
ployees will receive a cost-of-living raise of 3%, with� few
exceptions, such as contract employees and certain executives,
who will not.
This increase is not enough to cover the additional tithes on the
income tax. We wanted to increase salaries enough to cover this,