{"id":37962,"date":"2024-08-20T11:46:29","date_gmt":"2024-08-20T15:46:29","guid":{"rendered":"https:\/\/www.cccc.org\/news_blogs\/?p=37962"},"modified":"2024-08-20T11:46:32","modified_gmt":"2024-08-20T15:46:32","slug":"the-importance-of-good-recordkeeping-for-christian-charities-a-pillar-of-stewardship","status":"publish","type":"post","link":"https:\/\/www.cccc.org\/news_blogs\/cccc\/2024\/08\/20\/the-importance-of-good-recordkeeping-for-christian-charities-a-pillar-of-stewardship\/","title":{"rendered":"The Importance of Good Recordkeeping for Christian Charities: A Pillar of Stewardship"},"content":{"rendered":"\n<p>Good recordkeeping is essential for Christian charities committed to the sustainability of their mission. It is not only a practical necessity but also a reflection of good stewardship, a principle deeply rooted in our faith. We see it present throughout Scripture as important details are recorded that showcase strong administration, such as the account of Joseph&#8217;s management of Egypt after God had raised him to second in command. Proper administration, including diligent recordkeeping, is a gift that helps ensure the longevity and integrity of a charity&#8217;s mission.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Reasons to Keep Books and Records<\/h2>\n\n\n\n<p><strong>1.  Increased Operational Efficiency<\/strong><br>Imagine the frustration of searching for car keys in your home. Now, think about the consequences when important organizational decisions are made based on blurry memories rather than accurate records. Keeping good records can help a charitable organization operate more efficiently and make fewer errors, improving the timeliness and quality of their decision-making.<\/p>\n\n\n\n<p><strong>2.  Easier External Audits &amp; Stakeholder Inquiries<\/strong><br>Promptly accessing the right files can make the job of external auditors much easier, including an audit conducted by the CRA. Organized records can also make it easier to follow up on inquiries from external stakeholders like donors and volunteers.<\/p>\n\n\n\n<p><strong>3.  Evidence of Due Diligence for Legal Claims<\/strong><br>From a legal perspective, keeping governing documents and minutes of board meetings in good order is necessary. These minutes record all important decisions and the rationale behind them. Good minutes help demonstrate that directors have upheld their fiduciary duty. Some charities have faced claims for damages relating to wrongful or criminal acts by their employees. Claims may be made for incidents that occurred twenty or more years ago, making record retention more important than ever for insurance policies and appropriate records on training and volunteers.<\/p>\n\n\n\n<p><strong>4.  Satisfying Legal and Regulatory Requirements<\/strong><br>The Income Tax Act (ITA) has specific rules relating to the length of time charities are to retain documents. Charities carrying on a related business or charities required to withhold tax from amounts paid to employees or non-residents are also subject to the general requirements regarding record retention under the Excise Tax Act, Section 286(1). In addition, Sections 286(3) and 286(3.1) require charities to retain records for a minimum amount of time, as do other statutes, such as those that regulate the Canada Pension Plan and Employment Insurance.<\/p>\n\n\n\n<p><strong>5.  Reflection of Stewardship<\/strong><br>The four previous reasons lead us to the most important one: good recordkeeping is not just a bureaucratic requirement; it reflects the biblical principle of stewardship. It helps leaders ensure that they are properly stewarding the resources they&#8217;ve been entrusted with. Good records help us know where we&#8217;ve been to better envision where to go.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Conclusion<\/h2>\n\n\n\n<p>By maintaining accurate and organized records, Christian charities can operate more efficiently, respond swiftly to audits and inquiries, demonstrate due diligence, comply with legal requirements, and steward resources effectively. Embracing good recordkeeping contributes to the charity&#8217;s mission and helps ensure it can continue to thrive and make a positive impact.<\/p>\n\n\n\n<p><strong>Interested in learning more? <\/strong><a href=\"https:\/\/www.cccc.org\/membership_options\" target=\"_blank\" rel=\"noreferrer noopener\">CCCC member charities<\/a> can view more tips and best practices on keeping books and records in the <a href=\"https:\/\/www.cccc.org\/kbm\" target=\"_blank\" rel=\"noreferrer noopener\">CCCC Knowledge Base<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Good recordkeeping is essential for Christian charities committed to the sustainability of their mission. It is not only a practical necessity but also a reflection of good stewardship, a principle deeply rooted in our faith. We see it present throughout Scripture as important details are recorded that showcase strong administration,&#8230; <a href=\"https:\/\/www.cccc.org\/news_blogs\/cccc\/2024\/08\/20\/the-importance-of-good-recordkeeping-for-christian-charities-a-pillar-of-stewardship\/\" class=\"linkbutton\">More<\/a><\/p>\n","protected":false},"author":9,"featured_media":37961,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ts_fic_featured_image_caption":"Four binders on white shelf with blue background","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[137],"tags":[431,240],"series":[],"class_list":["post-37962","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-books-and-records","tag-charities"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The Importance of Good Recordkeeping for Christian Charities: A Pillar of Stewardship - CCCC Blogs<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cccc.org\/news_blogs\/cccc\/2024\/08\/20\/the-importance-of-good-recordkeeping-for-christian-charities-a-pillar-of-stewardship\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Importance of Good Recordkeeping for Christian Charities: A Pillar of Stewardship - CCCC Blogs\" \/>\n<meta property=\"og:description\" content=\"Good recordkeeping is essential for Christian charities committed to the sustainability of their mission. 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