Cash Reserves

[Jeff Steed]

What is a typical healthy level of cash reserves for a church?

[Jeff Steed]

A good “rule of thumb” seems to be 3-6 months of cash-flow needs from a minimum standpoint.

[Jeff Steed]

The Louisiana Baptist Foundation’s Short Term Fund can be used for various cash reserves and designated accounts. This daily liquidity savings-type account is paying an annualized rate of 1.60% (as of 6/30/2022) compared to the average national daily savings rate for banks being around 0.10% currently. Based on our internal information, we are excited that the rate is the highest being offered to churches in the state to our knowledge. For more information, please email Contact@LBFinfo.org or call 877-523-4636.

[Jeff Steed]

Should a church’s cash reserves and restricted/designated accounts be (1) comingled under one savings account, or (2) segregated?

[Jeff Steed]

RATE INCREASE — The Louisiana Baptist Foundation’s Short Term Fund can be used for various cash reserves and designated accounts. This daily liquidity savings-type account is paying an annualized rate of 3.13% (as of May 2023) compared to the average national daily savings rate for banks being around 0.25% currently. For more information, please email Contact@LBFinfo.org or call 877-523-4636. The Foundation would be very honored to partner in ministry.

[Delaina Walley]

The Louisiana Baptist Foundation offers cash management services and short-term investment through the Short Term Fund. The current Short Term Fund rate for Louisiana Baptist churches and ministries is 4.30% (as of June 2024). This is the highest rate in sixteen years!

The Short Term Fund account has no minimum balance, and your money can be accessed daily via check or electronic transfer. A STF account with the Foundation is intended to maximize current yields and assume minimal risks.

For more information, contact the Foundation at contact@LBFinfo.org, or call 877-523-4636. We would love to partner in ministry with you and your church to advance the Kingdom… one dollar at a time, one ministry at a time, one life at a time.

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