Columbarium – Part 2: Funeral Costs and a Columbarium Niche Sales

Cremation is the safest and cheapest way to bury a person. A casket funeral can cost upwards of $15,000 (for the casket, the funeral home, the lot and concrete vault, etc.). That is money that is literally poured into a hole in the ground. Inurning (in a niche) or interring (in the ground) cremains can cost several thousand but it can also be done literally free.

  • For a few thousand dollars: the body can be cremated, placed in an urn, and then in a plot in the ground.
  • For free: the body can be donated to a med school which will cremate it; when they’re finished, they’ll return the ashes to the family who can then scatter the cremains

The cremains are placed in the columbarium in one of three ways:

  • In an urn which is set into a niche
  • Buried in the ground
    • In an urn (usually biodegradable) which is set into the ground and covered with dirt and grass, or
    • In a hole in the ground which is covered with dirt and grass
  • Scattered on the ground and grass

I built a columbarium at one church where we set aside a section of the wall for plaques of people whose ashes were scattered or interred elsewhere. One teen’s ashes were scattered at the beach while another member’s ashes were placed at Arlington National Cemetery near DC. In each case, the family wanted some remembrance of their loved one at the church and we were able to meet that need.

For each of these, we had different pricing levels. We sold niches for singles and spouses (kiddingly referred to as “double-wides”). We sold plaques to memorialize people whose ashes were elsewhere. We also sold interments (placing the ashes in the ground). In all instances, we standardized the wording format on the niche plates and plaques to ensure uniformity. We also sold the urns to be sure they fit inside the niche. I did encourage people with niches to personalize the urns and/or to place personal effects in the niche such as a picture or word tribute (both laminated). Some families did this as part of their communal grieving process.

The columbarium is a part of the family’s grieving and healing. That garden is a place of solace and remembrance.

Lead On!

Steve

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Columbarium – Part 1: What is It and Why?

A columbarium is a place where the cremated remains of a person are kept. It comes from the Latin word for dove (columba) because doves build their nests in niches in a wall and cremains are frequently placed in niches.

Burning a body has been a human tradition for millennia because of their health hazards of a decomposing body. Cremated remains are completely safe to handle. Early Christians, who were within one generation of Jesus, were cremated. The catacombs of Rome have thousands of niches where urns with cremains (both Christian and non-Christian) were placed.

Churches have always been a favorite place for putting the dead. In America with its large open spaces, graveyards are common. In Europe, bodies are stacked in mausoleums or cremated. In other parts of the world where space is scare, cremation is the standard. Increasingly, people in the US want to be cremated; they don’t want their bodies taking up space forever.

This presents an option for churches in urban and suburban settings. They can convert one of the church’s gardens or patios into a columbarium. The purposes are several:

  • It keeps generations of the family attached to the church and visiting their deceased loved ones at the church
  • It provides a revenue stream if done properly. The revenues can pay for the perpetual maintenance of this part of the church grounds.
  • It tells the current members that the church honors the lives of the saints by giving them an eternal location.

When the subject of a columbarium comes up, do some research and consider having one. I’ve built two columbaria and each church has loved having it.

Lead On!

Steve

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End of Calendar Year Gifts

When it comes to end of year, you need to have careful attention to some details:

  • What is the date on the check?
  • When did it come into the possession of the church?
  • When did it cease to be in the possession of the donor?
  • If it was mailed, what is the postmarked date (and keep the envelope for future reference)?

The IRS says that you can give tax credit for gifts that are not in the possession of the donor as of 1/1 @ 12.01 a.m. So, if someone makes an online donation at 11:59 p.m. or earlier on 12/31, then the gift can go toward that year.

If someone puts a check in the mail on 12/31, then it is no longer in the possession of the donor. The IRS considers it valid for the prior year. It may be postmarked in the new year but it should go toward the prior year, unless the check is dated for the new year. If the postmarked date is January 3, 4, or 5, use your best judgment to decide if it was still in the donor’s possession in 2019 or if it was mailed in 2018. You may even need to call the donor.

For depositing money received in the new year but credited to the prior year: make the deposit to the bank as early in January as possible; in your accounting software put a deposit date of 12/31 so it will show up on the income statement for the prior year. It will show up in the bank reconciliation as a “deposit in transit.”

The date that the money is in the bank is not important; the date that it ceases to be under the control of the donor is. Dealing with stock gifts at this time of year is especially tricky in determining what year to credit it to because you have to factor in when the donor gave instructions to the broker to sell the stock. Talk with the donor and the broker to ensure you have accurate info regarding last minute stock gifts. 

Lead On!

Steve

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www.financeforchurches.org – 400 plus blogs on every church administration topic you can think of

Send Donor Statements More Frequently

Startup Stock Photos
  1. Let your donors know regularly how much they’ve given. Send contribution statements five times: the first week after each quarter ends plus an extra one the first week of December. A statement in early December reminds people of how much they’ve given (or not given) to the church so far that year and provides a reminder to make a contribution. Emailing statements is feasible with most church database systems at no or low cost.
  2. Every time you send out donor contribution statements, include a cover letter which tells 2 or 3 very short stories (tweets size) about the ministries of the church. This keeps people informed about what is going on. Also, the cover letter tells the donors who to contact the church office to correct erroneous data.
  3. For churches that mail offering envelopes to donors, send those out four times year.  Handing out or mailing offering envelopes just once a year means most people are aware of giving just once a year. Also, some people lose their packet of envelopes in a month so getting packets four times a year helps those people.
  4. Five contribution statements plus four mailings of offering envelopes = 9 times a year that members are being reminded to give.

Lead On!

Steve

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www.financeforchurches.org – 400 plus blogs on every church administration topic you can think of

First Time Donors

  1. Coming to a church for the first time means giving up several hours of your day (getting dressed to come, driving, being there, and going home). People have to be willing to attend something where they don’t know what is going to happen and who’s going to speak to them. It can be intimidating. People who visit your church for the first time should be acknowledged. The best way to do that is with a word at the door of the church by one of the ministers or, if you get their contact information, a brief note thanking them for giving their time to attend.
  2. When someone gives to the church for the first time, they not only are giving their time but also their labor. That is a big deal and it, too, should be acknowledged. The church’s finance office can tell the pastor who are first time donors because they’ll have to enter their info in the database. Most of the time the church can capture the donor’s information from a check or the email from digital donation. Send first time donors a note thanking them for their gift – they’ll be pleasantly surprised.
  3. An extra step to thank donors is to give them a book. A couple of good ones are The Treasure Principle by Randy Alcorn and Fields of Gold by Andy Stanley. The cost of the book and mailing will be about $10 but it will send an important message to the donor-the church is investing in you and we thank you for your gift with one of our own.

These are effective methods to recognize and thank first-time donors in a way that doesn’t embarrass them and may actually encourage them to give again.

Lead One!

Steve

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Giving Power

On March 28, 2019 a fire completely destroyed the apartments of 48 college students in Harrisonburg, VA, the home of James Madison University. Shortly after the fire, a student created a GoFundMe site asking for $48,000; within five days, the site received over $86,000. Here are some lessons churches can take away from this:

  • Power of small gifts-more than 3700 people gave an average gift of $23.24. The two biggest gifts were $500 each. While it is important to ask high capacity donors for gifts, do not underestimate the power of LOTS of smaller gifts. That also means that your message is shared among a wider audience and the ripple effect of that is immense. Everyone who gives feels good about being part of the solution.
  • Power of urgency-there was an immediate need and someone acted quickly. When there is a crisis, leaders must be proactive and not wait on a committee’s approval. When there is a need, address it immediately.
  • Power of community-this need was seen and met by tens of thousands of students, alumni, and friends all bound by one thing-their university. Leverage “the tie that binds” so people can unite behind one achievable goal.
  • Power of storytelling-this story has been shared on social media over 20,000 times. Churches need to share their stories of generosity as often as they can in as many ways as they can so that their community will know the ways they are engaged with their neighbors and city. Tell the stories!
  • Power of integrity-a student created this site but quickly released it to university administrator. Donors were able to see that a trusted institution would dole out the gifts in an impartial way.
  • Power of opportunity-people were asked to give and churches don’t do that enough. Every church has opportunities to be generous in their neighborhood and city-look for them and challenge everyone to join in.
  • Power of meeting other needs-money is the easiest way to give but there was also a request for clothing, school supplies, etc. for the students. This provides people a chance to give in other ways if they don’t have money to share. Look for creative ways for everyone to participate.

Lead On!

Steve

www.churchbestpractices.org – all kinds of FREE church manuals and sample documents
www.financeforchurches.org – 400 plus blogs on every church administration topic you can think of

Planned Giving & Endowment

  1. When each of us die, we will give away 100% of everything we own – it is the most generous we will ever be. But estate planning is NOT only for end of life decisions. Remember the joy you see at Christmas or birthdays; imagine being able to see that joy with things in your estate: land, money, possessions.
  2. Churches should have an annual emphasis whereby members are asked to include their family, friends, and the church they love in their will. Some churches even provide attorneys who prepare wills and the church pays part of the cost (if the church is included).
  3. Hospitals, civic organizations, non-profits, universities, and even high schools are asking people to give to them in their will. But none of them will do the funeral or even send a representative. The church will do the most for people at the end of their life – why not ask them to remember the church they love in their will.
  4. Let people know the causes/purposes in the church budget which the endowment can support financially such as missions, worship, fellowship, and programs for children and youth. People will readily give to those.
  5. During the annual endowment emphasis, tell stories in writing and from the pulpit of how the previous generations planned for the future and how we are blessed by their gifts. Storytelling is powerful and people will remember their impact.

Lead On!

Steve

www.churchbestpractices.org – all kinds of FREE church manuals and sample documents
www.financeforchurches.org – 400 plus blogs on every church administration topic you can think of

Make Generosity Part of Your Church’s DNA

  1. People are naturally generous but too many people today are constricted from giving by other financial obligations: mortgage, college debt, cars, credit cards, etc. Having enough money to pay for utilities, food, and clothing stretches some families to the limit.
  2. Modern advertising tells people to spend money as fast as they can. Very few voices are telling people to spend responsibly, save at least 10%, set aside another 10% for retirement, and give away 10% to non-profits. The church can help with that void.
  3. Financial Peace University and Crown Ministries both teach people how to manage their money, get out of debt, and give away money. Churches should encourage people to go through the classes. While these programs have a biblical basis, their principles are good for anyone whether or not they attend church. FPU/CM will help people get their financial house in order so that they have more financial leverage in their lives and thus more disposable income to be generous with.
  4. Another resource is providing books for people to read on their own. A couple of good ones are The Treasure Principle by Randy Alcorn and Fields of Gold by Andy Stanley. Ask classes to read the books together and talk about them AND act on the principles listed in each book. Two good children’s books are Miss Fannie’s Hat by Jan Karon and The Quiltmaker’s Gift by Jeff Brumbeau; each of these beautifully illustrated books teaches lessons about the joy of giving.
  5. Having natural conversations about FPU/CM and these books will, over time, make generosity part of your church’s DNA. Intentionally talk about this in small groups, Sunday morning sermons, Wednesday nights programs, etc. Make that word part of your culture AND your expectations of your members.

Lead On!

Steve

www.churchbestpractices.org – all kinds of FREE church manuals and sample documents
www.financeforchurches.org – 400 plus blogs on every church administration topic you can think of