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RENDEZVOUS

Accountability of Shared Resources

by Leota Fred, RMBM Business Manager

Financial Resources

Wow, what a year it's been! The level of activity in our ministries is ever increasing and so is the administrative activity. In terms of financial resources we saw the fulfillment of the Murdock Trust grant, special gifts to complete the dorms, buy bedding, provide scholarships for campers, begin a landscaping project at Utmost, and begin plans for a director house at Utmost. Both camps saw increased use which translated into additional fee income and store sales. BTCP has record enrollment at its Lolo site, an increase at the Elohim site, and a new class at Lincoln brings around a dozen new students. Sometimes it's mind boggling trying to keep it all straight.

So where are we financially? As you can see by the pie charts, we had quite the income over expenditures. Please note the pie charts represent all income and expenditure, both restricted and unrestricted.

General and administrative income is made up of contributions to the general fund, the seven percent administrative fee, interest revenue, and miscellaneous refunds. This income covers the salaries of the executive director, business manager, and office assistant, and all expenses of doing business (supplies, printing, utilities, postage, etc.). This year the G&A expenses amounted to seven percent of all expenditures. That is an all-time low. It is usually around nine percent, and the goal is not to be over ten percent. Not having a full-time executive director kept that percentage low. We fully expect to be around the ten percent level this next year.

The Lord continues to provide the financial resources for the many ministry needs of the Rocky Mountain Bible Mission. What an awesome God we have!

Some legal-ese

It's been some time since we reviewed what is considered a legitimate tax deduction in regard to missionaries. Direct contributions to missionaries are not tax-deductible, even if they are used for religious or charitable purposes. Charitable contributions must be made "for the use of" a qualified organization. In fact, contributions designating an individual missionary are allowed only if the mission agency exercises full administrative and accounting control over the contributions and the missionaries are under the control and supervision of the missionary organization.

It is important for you to understand that donations made to Rocky Mountain Bible Mission (and other missionary organizations) designating specific missionaries must follow the organization's established policies on missionary support and that ultimate controls rests with the executive board.

What does all this mean? Simple terms: your contribution toward the support of a missionary is under the full administrative and accounting control of RMBM. All contributions are subjected to a seven percent administrative fee and are distributed based on set policies. If you are sending support directly to a missionary, that support cannot be used as a tax deduction.

Administrative Fee

Just what is an administrative fee? It is that fee that is assessed on all contributions and camp fees and sales. It provides for the cost of our doing business. RMBM's fee is seven percent. On a contribution of $100, $93 goes to the ministry and $7 to the general fund. Rocky Mountain Bible Mission has the lowest administrative fee out of several missionary organizations. The average of the seven I polled (I promised not to reveal the details) was 15 percent. The lowest secular charity I found was 20 percent.

The amount received from the administrative fee, coupled with direct contributions to the general fund, covers all of the general and administrative expenses as well as the expenses related to church ministry (except for direct missionary support) and the extra expenses of the Shepherds' Conference. We are so grateful for your faithful support!

Last year we underwent a full-fledged audit. If you are interested in the report, you can request a copy. This undertaking was a reminder of the overwhelming reminder of the blessings God has provided through you—prayers, dollars, labor, and materials. Thank you!