Saturday, January 23, 2021
Gerald Weston Starts Spin Doctoring Before Financial Report Comes Out To LCG Members
This is some good spin doctoring from Gerald Weston over 2020 income levels.
Remember brethren, our numbers are not always what they appear to be...trust us though, we have always told you the truth and would NEVER be deceptive, even in the slightest measure.
Greetings from Charlotte,
Most of us do very simple accounting. We keep records of money deposited in and withdrawn from the bank to find the bottom line of what we have. However, when it comes to business accounting for non-profits like Living Church of God, things are not so straightforward. Those not familiar with GAAP accrual accounting practices may find things a bit confusing. For example, if we were notified of an estate donation in November of 2015, we had to estimate the amount and put it on the books as a receivable asset for 2015, even though we may not have received the money until 2016. Therefore, if we had a large estate “booked” in the income column in 2015 and none in 2016, it makes 2015 look better than it was when it comes to what we had in the bank, and 2016 look worse than it was, when in fact the actual money arrived and was expensed that year. This happens every year to one degree or another, and 2020 was no exception. We booked some onetime extraordinary items last year in 2020, but much of the actual money will not be received until this year. Nevertheless, 2020 was a very good year for the Work. We had an 8.6 percent increase over 2019 in regular tithes and donations (that was money put in the bank), plus we had some estate income arrive during the year that was booked previously in 2019. Additionally, some estates were booked in 2020 and we expect them to actually arrive this year, although the amounts and times of arrival are often difficult to predict. This may seem like a crazy way to do things, but this is standard GAAP accounting practice required by U.S. law and our independent auditors, and I wanted to explain this to help you understand our annual financial reports when they are published. The details of these transactions are published in the “Notes” portion of the audited financial statement, which can be found on the lcg.org website.—Gerald Weston
As the former Worldwide Church of God accounting department supervisor once said, "We can take any set of numbers and make then mean whatever we want." It is no coincidence that this man went with Meredith.
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