Monthly Apportionment Form Details
- Submit Your Church’s Banking Authorization Information
- Complete the form each month by the 15th, reporting on income and deductions for the prior month. The month selected on the form should always be for the month in which those donations were collected, not the month the form is submitted.
- 32% of what is collected is forwarded to the national office for EPP. The Equal Participation Plan (EPP) is a financial partnership among all the churches that comprise the Free Methodist Church USA. The conference system of the Free Methodist Church relies upon the continual contribution of its members to accomplish its worldwide ministry.
- 68% of what is collected is retained for the operations of The River Conference, supporting church planting and multiplication, pastoral leadership and church development, ministerial credentialing, administration, legal and insurance oversight, and leadership conferences.
What is a Church?
For the purposes of the World Ministries Center processes, an FMCUSA church is one that is registered with the denomination as one of four statuses: Society, Fellowship, Church Planting Project or Affiliate. Any church of these statuses has a Church ID number. Affiliation is a temporary status that should be supported by an affiliation agreement.
Data Collection
Each year, every church in the FMCUSA is asked to submit an Annual Report. Much of the information in the finance section of the Annual Report is included to allow those reports to be used in calculating EPP.
The River Conference reports estimated numbers to the denomination each month based on information submitted in the monthly apportionment form. The accuracy of the monthly report is important in helping the monthly estimated payments closely align with the annual report calcuation.
Calculations
The current formula for calculating Monthly Apportionment is as follows:
Church Societies = 10% * Total Revenue – FMWM Giving – Revenue Exclusions – Passthough Revenue
Church Plants = 5% * Total Revenue – FMWM Giving – Revenue Exclusions – Passthough Revenue
Church Societies revenue over $1mil = 7.5% * Total Revenue – FMWM Giving – Revenue Exclusions – Passthough Revenue
Affiliate Churches = depends on written agreement. Usually a temporary arrangement as a church is working towards potential affiliation.
FMWM Giving is determined by the funds given to Free Methodist World Missions.
Revenue Exclusions are income received by the local church during the reporting period that is designated for specific purposes at the time they are received. These include:
• ancillary revenue
• bequest revenue
• capital funds revenue
• church planting revenue
• rental revenue from other FM churches
Passthrough Revenue is income in one of four categories that is not received for the benefit of the local church and is instead collected and paid on others’ behalf.
• annual conference passthrough revenue
• concert passthrough revenue
• mission trip passthrough revenue
• training, conference, or event passthrough revenue
The formula is set by the General Conference Board of Administration and River Conference Board of Directors. They would need to authorize any changes or deviations.
Descriptions of Data Needed
Revenue
Total Church Revenue – any amount of money that was received by a church throughout the year. Any funds entered for any other revenue category must also be included in this total. This “Total Church Revenue” is the sum of all tithes, offerings, donations, bequests, capital funds revenue, and all passthrough funds. Loans or sale of property would not be included in “Total Church Revenue”.
Deductions
Gifts Given to Free Methodist World Missions – include those funds forwarded to FMCUSA for the Missionary Support, Country Support, Extra Mile Projects, Impact Middle East, Bishops’ Crisis Response Fund, or International Child Care Ministries.
Revenue Exclusions
Capital Funds Revenue – money received that is for the purchase of land, new church construction, major renovations, or insurance settlements. On this form, mortgage payments would not be included as Capital Funds Revenue. Any funds listed here should be included in Total Church Revenue at the beginning of this section.
Church Planting Funds Revenue – is not the same as funds given to church plants. It is the portion of money claimed as Total Church Revenue received this past year that is restricted for use in supporting other FM Church Plants. Any funds listed here should be included in Total Church Revenue at the beginning of this section.
Ancillary Revenue – is operational income from a school, day care center, and/or other business that is run by the church. Any funds listed here should be included in Total Church Revenue at the beginning of this section.
Bequest Revenue – is a gift from an estate after someone has passed away that was received during the previous year. Any funds listed here should be included in Total Church Revenue at the beginning of this section.
Rental Revenue from other Free Methodist Churches is rental income from another FM church for use of your facility in this past year. It includes rent from other FM churches only. Do not include rent received from day cares, parachurch ministries, etc. Any funds listed here should be included in Total Church Revenue at the beginning of this section.
Passthrough Revenue
Passthrough Revenue used for training, conferences, and events – includes any funds collected as revenue and included in Total Church Revenue that were used for training, conferences, or events attended by individuals in the church and that meet the below criteria. Revenue listed as passthrough funds should be funds where no charitable giving receipt was issued, and the church received funds for the purpose of consolidating a payment on behalf of others.
Passthrough Revenue used for concerts outside the local church facility – includes any funds collected as revenue and included in Total Church Revenue that were then paid on behalf of individuals who attended a concert that was not hosted at the local church facility. Revenue listed as passthrough funds should be funds where no charitable giving receipt was issued, and the church received funds for the purpose of consolidating a payment on behalf of others.
Passthrough Revenue used for annual conference events – includes any funds collected as revenue and included in Total Church Revenue that were then paid on behalf of non-clergy individuals who attended an annual conference event. Revenue listed as passthrough funds should be funds where no charitable giving receipt was issued, and the church received funds for the purpose of consolidating a payment on behalf of others.
Passthrough Revenue for mission trips taken by church attendees – includes any funds collected as revenue and included in Total Church Revenue that were then paid on behalf of individuals who participated in a mission trip. Revenue listed here should be funds the church received for the purpose of consolidating a payment on behalf of others.