ALL ABOUT PLEDGING

Commonly Asked Stewardship Questions

1. What is a pledge? A pledge is a faith commitment of financial support to the church for a particular time period. At., St. James', the church has an annual fund drive in October of each year to plan a budget for the coming fiscal year (January 1- December 31). A pledge is not legally binding and no one ever receives a bill at the end of the year if the pledge is not paid in full. Parishioners do get quarterly statements for their financial records, including a year end statement required by the IRS for tax deductions.   PROPORTIONAL GIVING GUIDE

2. Is the church dependent on pledges? Yes, it is. The majority of church income is parishioner pledges. St. James' is blessed with beautiful facilities and a large campus and we are happy to rent our facilities to members of the community and some small businesses. We also raise money through several on-going fund raising activities, the largest of which is our semi-annual rummage sale. While fund raising benefits the budget, it is becoming increasingly clear that some parishioners may not have the personal time to devote to these activities - the time requirement may become too great a burden. This makes our annual fund even more important. Our budget grows as our church grows. Our financial responsibilities are great because our programs are great.   Also, see Christian education programs, missions and outreach. 3. Why should I sign a financial commitment? The practical answer to this question is that the church needs the financial support of its parishioners to meet its financial obligations. Having the most accurate estimate of income enables the vestry to make informed decisions about its budget. In a manner of speaking, the church is a business and it pays salaries, building and ground maintenance, utilities, supplies and program expenses from its income. Above all, churches are houses of worship and exist to love and serve God and to do His work in the world. An important part of every church budget is the money designated to mission and outreach and St. James' can only give the money it has to give.

 4. Can I pay monthly?
Yes, you can. You can pay your pledge in any way that is best for your particular situation. Some people pay monthly, weekly, bi-weekly, quarterly or haphazardly. This is why it is reque4stged on the pledge form that you indicate the schedule on which you intend to pay - it enables the treasurer to plan the church finances. Obviously, if all pledges were paid during the last week in December, the staff would be hungry and we would worship in the dark in a building hidden by tall grass. But, if the treasurer knows in advance how pledges will be paid, more accurate plans can be made.

5. Can I pay electronically?
Yes, you can. This is becoming an increasingly important option in all of our busy lives and works as well for church commitments as it does for mortgages, utilities - all the money spent on a recurring basis. Most banks and financial institutions have e-pay available that can be set up in a matter of minutes on a home computer. It is a particularly great thing to do for a church pledge. It is easy to forget to mail a check when it is not possible to attend services for a week or two. Electronic payment ensures that the pledge is there even when you are not. You never have to worry about falling behind or having to keep track of how much you have given.

6. Can I use securities to pay my pledge and how do I do that?
Yes, securities can be used to pay a pledge. Call the church office and ask to speak with the treasurer or e-mail the treasurer at treasurer@stjamespotomac.org

Special Opportunity: RECEIVE THE BENEFITS - BEFORE TIME RUNS OUT

7. What does prepaid pledge mean?
A prepaid pledge is a pledge made for the coming calendar year but paid during the current year. For example, a parishioner may make a pledge of $6,000 for 2008 and choose to pay $3000 of this pledge (usually done for income tax reasons) before the end of 2007. The payment should be marked as a prepaid pledge. The treasurer will budget the money as 2008 income and proportionately use it throughout the coming year.

8. What if I can't make the pledge I signed?
Financial situations can change drastically and quickly. The church understands this and would never want to add more stress to an already stressful event. A simple notification to the treasurer that one's situation has changed and the pledge needs to be adjusted accordingly is helpful and appreciated.
Note: Sometimes incomes increases and pledges can be increased in the same way - no need to wait until the next fall when pledges are requested.

PROPORTIONAL GIVING GUIDE

The Practice of Proportional Giving

Tithing Reasons

Reflect

Rejoice

Respond: Accomplishing the Goals

Introduction

Return to St. James' Home Page

Special Opportunity: RECEIVE THE BENEFITS - BEFORE TIME RUNS OUT
This opportunity will end on December 31

Until the end of this year there is a way to give to St James' that may provide a real advantage to those who are age 70-1/2 or older. You can make outright gifts to qualified charities like St. James' Church with a direct transfer from your individual retirement account (IRA) - and pay no income tax on the amount distributed. You may wish to make a gift to:
" Fulfill an existing or new pledge for the Annual Fund for 2007 or 2008;
" Make a special memorial, thanksgiving or tribute gift;
" Support General Endowment, the Facilities Improvement Fund, the Connecting Building Fund, or a new special fund established with a gift of at least $50,000.

The Benefits of the IRA Charitable Rollover:
" In most cases the charitable distribution counts toward your minimum required distributions.
" The transfer generates neither taxable income nor tax deduction, so you receive the benefit even if you do not itemize your tax deductions, or wish to make contributions larger than the maximum usually permitted.
" You may transfer up to $100,000 directly from your IRA.

This "IRA Charitable Rollover" is easy to complete; we can provide a letter of instructions to your IRA administrator. Maximize the effectiveness of your IRA dollars and watch your gift go to work at St. James'. Please contact the church office for more information on how you can take advantage of this philanthropic opportunity.