Less than one quarter into the year, most church budgets are running behind, and many have been forced to lay off staff or take other austerity measures.

While this kind of gloomy news has a ring of truth, the worst step a church can take amid the current financial crisis is drafting the treasurer to make a special budget plea, says a pastor and consultant who teaches generous giving.

"Nobody gives to the budget," says Brian Kluth, whose booklet on a generous lifestyle has sold 400,000 copies. "The other mistake churches make is tending to react rather than being proactive. They do nothing and then slash and burn, or cut staff, which hurts morale."

He says the two questions churches must answer:

1. What are they going to do to help people maintain a confident, biblically-based outlook?
2. How are they going to inspire generosity?

Four-step plan

Lately, churches have been calling Financial Peace University (FPU) daily, usually because of decreased giving related to job losses or fear of the unknown, ...