## **Zion United Church** 

## **End of Year Financial Statements** 

## **Year ending 31 December 2021** 

_Page 1_ 



##  **Introduction** 

The following statements represent the account and summary financial position of Zion United Church as at 31[st] December 2021. They are derived from data held on the _Data Developments Finance_ Management Tool. Full records have been provided to support Independent Examination of these accounts. 

## **Statement of Financial Activities** 

||**Unrestricted**<br>**Restricted**<br>**Endowment**<br>**Total**<br>**Prior year**<br>**funds**<br>**funds**<br>**funds**<br>**funds**<br>**total funds**|
|---|---|
|**Income and endowments from:**<br>Donations and legacies<br>Income from charitable activities<br>Other trading activities<br>Investments<br>Other income<br>**Total income**<br>**Expenditure on:**<br>Expenditure on charitable activities<br>Other expenditure<br>**Total expenditure**<br>**Net income / (expenditure) resources before**<br>**transfer**<br>**Transfers**<br>Gross transfers between funds - in<br>Gross transfers between funds - out<br>**Other recognised gains / losses**<br>Gains / losses on investment assets<br>Gains on revaluation, fixed assets, charity's own use<br>**Net movement in funds**<br>**Total funds brought forward**<br>**Total funds carried forward**<br>**Represented by**<br>**Unrestricted**<br>General fund<br>**Designated**<br>Premises<br>**Restricted**<br>Agency collection<br>Children & Youth<br>Community Pioneer<br>Together for Fromeside<br>Weekend away 'Hill House'<br>Zion Beacon Project|114,152<br>28,390<br>—<br>142,542<br>128,179<br>7,260<br>—<br>—<br>7,260<br>6,349<br>178<br>—<br>—<br>178<br>39<br>—<br>—<br>—<br>—<br>125<br>2,429<br>—<br>—<br>2,429<br>2,275|
||**124,021**<br>**28,390**<br>**—**<br>**152,412**<br>**136,969**<br>116,690<br>29,970<br>—<br>146,661<br>114,820<br>—<br>—<br>—<br>—<br>—|
||**116,690**<br>**29,970**<br>**—**<br>**146,661**<br>**114,820**|
||**7,330**<br>**(1,580)**<br>**—**<br>**5,750**<br>**22,149**<br>7,220<br>25,000<br>—<br>32,220<br>—<br>(32,220)<br>—<br>—<br>(32,220)<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—|
||**(17,669)**<br>**23,419**<br>**—**<br>**5,750**<br>**22,149**|
||**76,808**<br>**8,712**<br>**—**<br>**85,521**<br>**63,371**|
||**59,138**<br>**32,132**<br>**—**<br>**91,271**<br>**85,521**<br>49,978<br>—<br>—<br>49,978<br>65,095<br>9,160<br>—<br>—<br>9,160<br>11,713<br>—<br>—<br>—<br>—<br>—<br>—<br>2,102<br>—<br>2,102<br>1,749<br>—<br>27,946<br>—<br>27,946<br>6,148<br>—<br>1,568<br>—<br>1,568<br>—<br>—<br>514<br>—<br>514<br>814<br>—<br>—<br>—<br>—<br>—|



_Page 2_ 



## **Balance sheet** 

|**Class and code**<br>**Description**|**This year**<br>**Last year**|
|---|---|
|**Current assets**<br>6501<br>NatWest current account<br>6502<br>Cash in hand<br>6503<br>CFB deposit account<br>Z05<br>Accounts Receivable Debtors & Prepaymens<br>**Total Current assets**<br>**Liabilities**<br>6699<br>Agency collections<br>Z04<br>Accounts Payable<br>**Total Liabilities**<br>**Net Asset surplus(deficit)**<br>**Reserves**<br>Excess / (deficit) to date<br>Z01<br>Starting balances<br>**Total Reserves**<br>**Represented by funds**<br>Unrestricted<br>Designated<br>Restricted<br>Endowment<br>**Total**|72,182<br>64,727<br>—<br>—<br>19,178<br>19,178<br>—<br>1,704|
||**91,360**<br>**85,610**<br>89<br>89<br>—<br>—|
||**89**<br>**89**|
||**91,271**<br>**85,521**|
||5,750<br>22,149<br>85,521<br>63,371|
||**91,271**<br>**85,521**<br>49,978<br>65,095<br>9,160<br>11,713<br>32,132<br>8,712<br>—<br>—|
||**91,271**<br>**85,521**|



_Page 3_ 



## **Statement of assets and liabilities** 

||**General Designated**<br>**Restricted Endowment**<br>**This year**<br>**Last year**|
|---|---|
|**Current assets - Cash at bank and in hand**<br>NatWest current account -<br>CFB deposit account -<br>**Totals**<br>**Current assets - Debtors**<br>Accounts Receivable Debtors & Prepaymens -<br>**Totals**<br>**Liabilities - Agency accounts**<br>Agency collections -<br>**Totals**<br>**Grand total**|38,020<br>1,940<br>32,222<br>—<br>72,182<br>64,727<br>11,958<br>7,220<br>—<br>—<br>19,178<br>19,178|
||**49,978**<br>**9,160**<br>**32,222**<br>**—**<br>**91,360**<br>**83,905**<br>—<br>—<br>—<br>—<br>—<br>1,704|
||**—**<br>**—**<br>**—**<br>**—**<br>**—**<br>**1,704**<br>—<br>—<br>89<br>—<br>89<br>89|
||**—**<br>**—**<br>**89**<br>**—**<br>**89**<br>**89**|
||**49,978**<br>**9,160**<br>**32,132**<br>**—**<br>**91,271**<br>**85,521**|



## **Fund movement by type** 

||**Opening**<br>**Incoming**<br>**Outgoing**<br>**Transfers Gains/losses**<br>**Closing**|
|---|---|
|**ComP - Community Pioneer**<br>Restricted<br>**Sub-total for ComP**<br>**T4F - Together for Fromesi**<br>Restricted<br>**Sub-total for T4F**<br>**General - General fund**<br>Unrestricted<br>**Sub-total for General**<br>**Premises - Premises**<br>Designated<br>**Sub-total for Premises**<br>**HillHouse - Weekend away 'Hill H**<br>Restricted<br>**Sub-total for HillHouse**<br>**ChildYouth - Children & Youth**<br>Restricted<br>**Sub-total for ChildYouth**<br>**Beacon - Zion Beacon Project**<br>Restricted<br>**Sub-total for Beacon**<br>**Grand total**|6,148<br>19,198<br>22,399<br>25,000<br>—<br>27,946|
||**6,148**<br>**19,198**<br>**22,399**<br>**25,000**<br>**—**<br>**27,946**<br>—<br>8,507<br>6,938<br>—<br>—<br>1,568|
||**—**<br>**8,507**<br>**6,938**<br>**—**<br>**—**<br>**1,568**<br>65,095<br>124,021<br>106,918<br>(32,220)<br>—<br>49,978|
||**65,095**<br>**124,021**<br>**106,918**<br>**(32,220)**<br>**—**<br>**49,978**<br>11,713<br>—<br>9,772<br>7,220<br>—<br>9,160|
||**11,713**<br>**—**<br>**9,772**<br>**7,220**<br>**—**<br>**9,160**<br>814<br>—<br>300<br>—<br>—<br>514|
||**814**<br>**—**<br>**300**<br>**—**<br>**—**<br>**514**<br>1,749<br>685<br>332<br>—<br>—<br>2,102|
||**1,749**<br>**685**<br>**332**<br>**—**<br>**—**<br>**2,102**<br>—<br>—<br>—<br>—<br>—<br>—|
||**—**<br>**—**<br>**—**<br>**—**<br>**—**<br>**—**|
||**85,521**<br>**152,412**<br>**146,661**<br>**—**<br>**—**<br>**91,271**|



_Page 4_ 



## **Analysis of income and expenditure** 

|**Total**<br>**Unrestricted Designated**<br>**Restricted**<br>**Endowment**<br>**This year**<br>**Last year**<br>**INCOME AND ENDOWMENTS**<br>**Donations and legacies**<br>0110 - Offertory (via Bank)<br>87,081<br>—<br>—<br>—<br>87,081<br>89,364<br>0112 - Offertory<br>4,819<br>—<br>—<br>—<br>4,819<br>3,834<br>1101 - Gift Aid on Offertories<br>15,552<br>—<br>—<br>—<br>15,552<br>19,847<br>1102 - Sundry Donations<br>4,698<br>—<br>—<br>—<br>4,698<br>2,808<br>1104 - Bequests<br>2,000<br>—<br>—<br>—<br>2,000<br>—<br>1105 - Together for Fromeside (T4F)<br>—<br>—<br>8,507<br>—<br>8,507<br>—<br>1106 - Charitable Donations<br>—<br>—<br>—<br>—<br>—<br>—<br>1400 - Donations - Youth & Children<br>—<br>—<br>685<br>—<br>685<br>1,059<br>1402 - Gift Aid on Youth & Children<br>—<br>—<br>—<br>—<br>—<br>—<br>1800 - ComP - Grants<br>—<br>—<br>16,298<br>—<br>16,298<br>10,166<br>1801 - ComP - Donations<br>—<br>—<br>2,900<br>—<br>2,900<br>1,100<br>1802 - ComP - Gift Aid on Donations<br>—<br>—<br>—<br>—<br>—<br>—<br>Total<br>114,152<br>—<br>28,390<br>—<br>142,542<br>128,179<br>**Income from charitable activities**<br>1201 - Hall regular lettings<br>7,051<br>—<br>—<br>—<br>7,051<br>6,159<br>1204 - Sanctuary and Chapel Hire<br>151<br>—<br>—<br>—<br>151<br>151<br>1205 - Beacon Hire<br>57<br>—<br>—<br>—<br>57<br>28<br>1601 - 'Hill House'<br>—<br>—<br>—<br>—<br>—<br>10<br>Total<br>7,260<br>—<br>—<br>—<br>7,260<br>6,349<br>**Other trading activities**<br>1202 - Hall one off lettings<br>178<br>—<br>—<br>—<br>178<br>39<br>Total<br>178<br>—<br>—<br>—<br>178<br>39<br>**Investments**<br>1103 - Bank Interest CFB<br>—<br>—<br>—<br>—<br>—<br>125<br>Total<br>—<br>—<br>—<br>—<br>—<br>125<br>**Other income**<br>1302 - Steven Newell - Leaving<br>Collection<br>—<br>—<br>—<br>—<br>—<br>—<br>1503 - Solar Panel Income<br>2,429<br>—<br>—<br>—<br>2,429<br>2,275<br>Total<br>2,429<br>—<br>—<br>—<br>2,429<br>2,275|**Total**<br>**Unrestricted Designated**<br>**Restricted**<br>**Endowment**<br>**This year**<br>**Last year**<br>**INCOME AND ENDOWMENTS**<br>**Donations and legacies**<br>0110 - Offertory (via Bank)<br>87,081<br>—<br>—<br>—<br>87,081<br>89,364<br>0112 - Offertory<br>4,819<br>—<br>—<br>—<br>4,819<br>3,834<br>1101 - Gift Aid on Offertories<br>15,552<br>—<br>—<br>—<br>15,552<br>19,847<br>1102 - Sundry Donations<br>4,698<br>—<br>—<br>—<br>4,698<br>2,808<br>1104 - Bequests<br>2,000<br>—<br>—<br>—<br>2,000<br>—<br>1105 - Together for Fromeside (T4F)<br>—<br>—<br>8,507<br>—<br>8,507<br>—<br>1106 - Charitable Donations<br>—<br>—<br>—<br>—<br>—<br>—<br>1400 - Donations - Youth & Children<br>—<br>—<br>685<br>—<br>685<br>1,059<br>1402 - Gift Aid on Youth & Children<br>—<br>—<br>—<br>—<br>—<br>—<br>1800 - ComP - Grants<br>—<br>—<br>16,298<br>—<br>16,298<br>10,166<br>1801 - ComP - Donations<br>—<br>—<br>2,900<br>—<br>2,900<br>1,100<br>1802 - ComP - Gift Aid on Donations<br>—<br>—<br>—<br>—<br>—<br>—<br>Total<br>114,152<br>—<br>28,390<br>—<br>142,542<br>128,179<br>**Income from charitable activities**<br>1201 - Hall regular lettings<br>7,051<br>—<br>—<br>—<br>7,051<br>6,159<br>1204 - Sanctuary and Chapel Hire<br>151<br>—<br>—<br>—<br>151<br>151<br>1205 - Beacon Hire<br>57<br>—<br>—<br>—<br>57<br>28<br>1601 - 'Hill House'<br>—<br>—<br>—<br>—<br>—<br>10<br>Total<br>7,260<br>—<br>—<br>—<br>7,260<br>6,349<br>**Other trading activities**<br>1202 - Hall one off lettings<br>178<br>—<br>—<br>—<br>178<br>39<br>Total<br>178<br>—<br>—<br>—<br>178<br>39<br>**Investments**<br>1103 - Bank Interest CFB<br>—<br>—<br>—<br>—<br>—<br>125<br>Total<br>—<br>—<br>—<br>—<br>—<br>125<br>**Other income**<br>1302 - Steven Newell - Leaving<br>Collection<br>—<br>—<br>—<br>—<br>—<br>—<br>1503 - Solar Panel Income<br>2,429<br>—<br>—<br>—<br>2,429<br>2,275<br>Total<br>2,429<br>—<br>—<br>—<br>2,429<br>2,275|
|---|---|
||7,260<br>—<br>—<br>—<br>7,260<br>6,349<br>178<br>—<br>—<br>—<br>178<br>39|
||178<br>—<br>—<br>—<br>178<br>39<br>—<br>—<br>—<br>—<br>—<br>125|
||—<br>—<br>—<br>—<br>—<br>125<br>—<br>—<br>—<br>—<br>—<br>—<br>2,429<br>—<br>—<br>—<br>2,429<br>2,275|
||2,429<br>—<br>—<br>—<br>2,429<br>2,275|
|**INCOME TOTAL**|124,021<br>—<br>28,390<br>—<br>152,412<br>136,969|



|**EXPENDITURE**|||||||
|---|---|---|---|---|---|---|
|**Expenditure on charitable activities**|||||||
|2201 - Annual Assessment Methodist|22,932|—|—|—|22,932|22,644|
|2202 - Annual Assessment URC|44,106|—|—|—|44,106|45,742|
|2302 - Church Insurance|5,984|—|—|—|5,984|3,159|



_Page 5_ 



|2401 - Church running expenses<br>2402 - Church Gas<br>2403 - Church Electricity<br>2404 - Telephone & broadband costs<br>2405 - Office Administrator<br>2406 - Church Water<br>2407 - Church Cleaning Services<br>2408 - Visiting Speakers<br>2411 - Minister's Expenses<br>2501 - Hall expenses<br>2502 - Hall Gas<br>2503 - Hall Electricity<br>2504 - Hall Cleaning Services<br>2505 - Hall Water<br>2506 - Hall Insurance<br>2601 - Junior Church<br>2602 - Youth & Children<br>2701 - Evangelism & Outreach<br>2702 - ConnectZ<br>2801 - Lay Worker<br>2802 - Training<br>2803 - World Mission Group<br>2804 - Minister's Discretionary<br>expenses<br>2810 - Gifts<br>2811 - Charitable Donations<br>2901 - Bank charges<br>3001 - Church Property<br>3002 - Hall Property<br>3010 - Audio / Visual<br>4001 - 'Hill House'<br>4200 - Social Events<br>4401 - Children & Youth Worker<br>4500 - Commmunity Pioneers -<br>Salary<br>4501 - ComP - Expenditure<br>4502 - ComP - Expenses<br>5000 - Together for Fromeside<br>Total<br>**Other expenditure**<br>2812 - Stephen Newell - Leaving Gift<br>Total|4,922<br>—<br>—<br>—<br>4,922<br>3,916<br>952<br>—<br>—<br>—<br>952<br>1,150<br>595<br>—<br>—<br>—<br>595<br>414<br>412<br>—<br>—<br>—<br>412<br>610<br>4,435<br>—<br>—<br>—<br>4,435<br>5,804<br>313<br>—<br>—<br>—<br>313<br>340<br>651<br>—<br>—<br>—<br>651<br>192<br>122<br>—<br>—<br>—<br>122<br>—<br>1,411<br>—<br>—<br>—<br>1,411<br>1,437<br>147<br>—<br>—<br>—<br>147<br>1,135<br>1,809<br>—<br>—<br>—<br>1,809<br>816<br>1,133<br>—<br>—<br>—<br>1,133<br>808<br>—<br>—<br>—<br>—<br>—<br>467<br>170<br>—<br>—<br>—<br>170<br>188<br>413<br>—<br>—<br>—<br>413<br>1,565<br>737<br>—<br>—<br>—<br>737<br>214<br>—<br>—<br>332<br>—<br>332<br>145<br>557<br>—<br>—<br>—<br>557<br>587<br>—<br>—<br>—<br>—<br>—<br>65<br>—<br>—<br>—<br>—<br>—<br>—<br>87<br>—<br>—<br>—<br>87<br>261<br>11,400<br>—<br>—<br>—<br>11,400<br>13,300<br>—<br>—<br>—<br>—<br>—<br>—<br>3,193<br>—<br>—<br>—<br>3,193<br>1,990<br>—<br>—<br>—<br>—<br>—<br>—<br>427<br>—<br>—<br>—<br>427<br>475<br>—<br>7,824<br>—<br>—<br>7,824<br>286<br>—<br>1,948<br>—<br>—<br>1,948<br>—<br>—<br>—<br>—<br>—<br>—<br>1,982<br>—<br>—<br>300<br>—<br>300<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>—<br>20,722<br>—<br>20,722<br>4,514<br>—<br>—<br>1,154<br>—<br>1,154<br>562<br>—<br>—<br>522<br>—<br>522<br>40<br>—<br>—<br>6,938<br>—<br>6,938<br>—|
|---|---|
||106,918<br>9,772<br>29,970<br>—<br>146,661<br>114,820<br>—<br>—<br>—<br>—<br>—<br>—|
||—<br>—<br>—<br>—<br>—<br>—|
|**EXPENDITURE TOTAL**|106,918<br>9,772<br>29,970<br>—<br>146,661<br>114,820|
|||
|**GRAND TOTAL**|17,103<br>(9,772)<br>(1,580)<br>—<br>5,750<br>22,149|



_Page 6_ 



##  **Conclusion** 

The COVID-19 pandemic continued to have an impact on church finances throughout 2021. From the lockdown in the early part of the year when all church activity was restricted to ‘On-Line’ activity only but also more positively in the latter half as well as restrictions eased, church attendance in person iwas restarted and Hall activity recommenced. 

The main source of church income remains personal giving and despite the pandemic this has held up well and is only £1298 down on 2020. The reduction in Gift Aid income is as a result of a drop off in giving from previous years as well as reduced benefit from the cash offertory. 

The Income/Expenditure account also includes and entry for Together For Fromeside. Zion has acted as ‘host’ account for T4F to enable them to raise funds for a number of local appeals throughout the year (eg Comfort and Joy). Although the income is showing higher than expenditure, the balancing amount has been paid out in 2022 and will show in next year’s accounts. 

Finally, is worth noting that income from hall rental is beginning to recover post pandemic and it is anticipated that this will continue into 2022. 

On the expenditure side, the church faced a number of cost pressures throughout the year. Insurance costs increased significantly and the church, like the rest of society is facing increasing cost pressure on energy costs. I expect this to become an increasing issue throughout 2022 as increasing church activity as well as increasing unit costs are likely to drive this aspect of church expenditure going forward. I will continue to monitor this and work with the church leadership to ensure that these increases are minimized wherever practical. 

2021 also saw a change in the employment circumstances of the church’s minister. Steven Newell moved to part-time employment in Nov 21 ahead of his departure from Zion in Feb 2022. As a result URC Annual Assessment Costs were reduced by £1636. This reduction will be sustained throughout 2022 until such time as a new minister is appointed. 

During the course of the year, the church was requested to make a contribution from ‘free reserves’ (ie money not ring fenced for specific activity) to the Methodist Pension fund. This amounted to £1309. 

Last year was also the first full year of community pioneer employment so there has been natural cost growth in their costs. While these are covered to some extent by grants from both the URC and Methodist churches as well as a number of other benefactors, provision has also been made through the transfer of £25000 from general funds to support their costs until Sep 2023. 

Some extraordinary property maintenance was required to replace the cottage windows. These were in danger of becoming a significant health and hazard. The church has recently commissioned it quinquennial property survey. This may highlight some additional maintenance activity required in the coming years. This will be reviewed and budgeted for on a prioritized basis. 

This report dated: 28 February 2022 

I confirm that I have completed my independent examination of these accounts and confirm that this is a true and accurate record of the Zion United Church finances at the 31[st] December 2021. 

Original accounts signed by 

R.H. West on 11 March 2022 

_Page 7_ 



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