Bad Economy Challenges Churches but Provides

Opportunities

Survey of 1,000 Protestant PastorsFebruary 2009

2

Methodology The telephone survey of Protestant pastors was

conducted February 2-10, 2009 The calling list was randomly drawn from a list of

all Protestant churches. Up to six calls were made to reach a sampled phone number

Each interview was conducted with the senior pastor, minister or priest of the church called

Responses were weighted to reflect the geographic distribution of Protestant churches

3

Methodology The completed sample is 1,000 phone

interviews The sample provides 95% confidence that the

sampling error does not exceed +3.2% Margins of error are higher in sub-groups.

4

Protestant Churchgoers in America Remain Generous Despite Tough

Economy

5

71% of Protestant churches finished 2008 with offerings at or above 2007’s total

Compared to your calendar year 2007 offerings, were your total offerings for 2008…above 2007s or below 2007s or the same as 2007s?

Don't Know10%

Above 2007's47%

Below 2007's19%

Same as 200724%

Larger churches are more likely to have

seen offerings grow in 2007

Attendance Above ’07

1-49 35%

50-99 45%

100-249 51%

250+ 56%

6

The average Protestant church saw giving increase 4% in 2008

Approximately what percentage were your calendar year 2008 offerings above/below 2007s offerings?

10%

4%

22%

21%

24%

7%

9%

3%

0% 20% 40% 60% 80% 100%

Don't know

Above by 25% or more

Above by 10 - 24%

Above by 1 - 9%

Same as 2007

Below by 1 - 9%

Below by 10 - 24%

Below by 25% or more

7

Over half of pastors say the current economy is negatively impacting their church

How is the current economy impacting your church?

30% 51% 7%2% 7%

Very positivelySomewhat positivelyNo impactSomewhat negativelyVery negatively

53% of churches under 100 and 62% of churches with 100+ in attendance indicate the economy has impacted their church very or somewhat

negatively

3% Don’t know

8

71% of Protestant churches are meeting or exceeding their budget

Since the beginning of 2008, have your offerings been: higher than budgeted, lower than budgeted, or about what we budgeted?

About what we

budgeted45%

Lower than budgeted

27%

Higher than

budgeted26%

Don't know2% Larger churches are more likely

to have been exceeding their budget with their offerings

Higher thanAttendance budgeted

1-49 19%

50-99 26%

100-249 27%

250+ 35%

9

Protestant Churches Have Increased Their Ministry to the Needy During

Gloomy Economic Conditions

10

More than a third of churches have increased spending to help the needy

Compared to recent years, has your church seen changes in any of the following areas in the last year?

11%

31%

35%

37%

40%

50%

62%

0% 20% 40% 60% 80% 100%

More reluctance to attend church functions or church-sponsored events that have a cost/ admission charge

More requests from within your congregation forfinancial assistance

A greater sense of caution within your congregationabout your church trying new things that cost money

Increased spending from the church budget to help theneedy

More people in your congregation who have lost theirjobs

A greater sense of excitement about the opportunitiesto minister to the needy

More requests from people in the community outsideyour congregation for financial assistance

9% None of these1% Not sure

11

Actions churches have taken in response to the economy

Have the recent problems in the economy caused your church to take any of the following actions?

4%

4%

6%

7%

12%

31%

35%

0% 20% 40% 60% 80% 100%

Laid off one or more employees

Reduced insurance benefits for staff

Reduced staff salaries

Delayed hiring that was planned

Delayed construction or other large capital expensesthat were planned

Explored starting a new ministry to help people who aredisadvantaged

Held salaries for the new year at last year’s levels

37% None of these1% Not sure

12

Actions pastors have personally taken in response to the economy

Have the recent problems in the economy caused you personally to take any of the following actions?

1%

3%

5%

5%

5%

27%

0% 20% 40% 60% 80% 100%

Seriously considered leaving the ministry for financialreasons

Sought writing or speaking opportunities that wouldprovide royalties or honoraria

Paid for less ministry items out of your own pocket thannormal

Asked your spouse to add a non-ministry job for moreincome

Added a non-ministry job for more income

Paid for more ministry items out of your own pocketthan normal

63% None of these0% Not sure

Higher personal giving among pastors most

affected:

34% of pastors whose salaries were held at last year’s level and

55% of pastors whose salaries were reduced

have ‘paid for more ministry items out of their own pocket than

normal’

Bad Economy Challenges Churches but Provides

Opportunities

Survey of 1,000 Protestant PastorsFebruary 2009