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What Factors Determine Your Church Salary?

Orginally published on Tuesday, September 27, 2005 at 8:28 AM
by Todd Rhoades

Last week, we looked briefly at Senior Pastor pay levels. When it comes to paying associate staff members in your congregation, many different factors figure in. According to the new 2006 Compensation Handbook for Church Staff by James F. Cobble, Jr. and Richard R. Hammar, here are some key factors in influencing what your church’s salary package should look like for associate staff…

1. Church Attendance
In their latest study, weekend worship attendance had a direct influence on the compensation levels of associate staff pastors. Here are the average associate pastor total compensation packages for church size:

Church Attendace 0-99 -- $32k
Church Attendance 100-299 -- $49k
Church Attendance 300-499 -- $58K
Church Attendance 500-749 -- $67k
Church Attendance 750-999 -- $68k
Church Attendance over 1000 -- $82k

2. Church Income
About half of all associate pastors serve in churches with an average annual budget of over one million dollars. And salary packages didn't reach the national average for most associate positions in church with an annual budget of less than $900,000.

Church Income $0-$249,999 -- $43k
Church Income $249,999-$499,999 -- $48k
Church Income $500,000-$749,999 -- $57k
Church Income $750,000-$999,999 -- $57k
Church Income $1,000,000+ -- $73k

3. Education
Education does matter. College graduates do earn more than non-graduates, but the highest salaries go to those who have graduate degrees.

High School -- $48k
Associates Degree -- $44k
Bachelor -- $61k
Masters -- $69k
Doctorate -- $68k

4. Length of Service
Salary packages do tend to increase along with years of service.

Employed 0-5 years -- $60k
Employed 6-10 years -- $65k
Employed 11-15 years -- $69k
Employed over 15 years - $72k

5. Hours Worked
According to their survey, most part-time associates work half-time at the church.

1-14 hours per week -- $12.92/hour
15-29 hours per week -- $18.84/hour
30-39 hours per week -- $20.18/hour
All Part Time -- $18.99 per hour

These are just a few of the stats and helps that are available in this new compensation directory. There are over 150 pages of charts, graphs, and data to show what the average compensation packages are for church staff around the country. If you don't already have a copy, I would encourage you to order a copy today. It's just $19.95 plus shipping; and it will save you many grueling hours trying to decide what is fair in the area of compensation. You can order one from us here.


This post has been viewed 366 times so far.


 TRACKBACKS: (1) There are 21 Comments:

  • Posted by

    I was wondering if the stats given here regarding salaries are total package amounts or if they are cash salary amounts with benefits to be in addition to that.

  • Posted by Todd Rhoades

    Eric,

    These include base salary, housing or parsonage allowance, retirement contribution, life and health insurance payments, and educational funds.

  • Posted by

    Is there a breakdown of what percentages for the catagories listed (base salary, housing, etc)?

  • Posted by

    Again, those numbers seem unbelievable to me (and I have the 2005 edition). 

    I have been talking to a pastor about a full-time children’s/CE position in a church of 270, and they are only offering $28,000 total compensation - which I do believe is way low considering I have four and a half years of senior pastor experience on top of nearly six years combined youth and children’s pastor experience, and am 32 years old with a wife and son.

  • Posted by Todd Rhoades

    Paul,

    Yes, they break everything all down in the book.

    Todd

  • Posted by

    “Church Attendace 0-99—$32k”

    What world are they living in?  In my experience, churches under 100 do not pay that well.  I am currently pastoring a church of 70 and making $9900.00 per year.  And, I find this to be more the norm for small churches.  So, I am I right?  Or is this just the midwest, and I need to move?

    Tad Mills

  • Posted by

    I served in a fairly large church for 13 years and the attendance ran around 1,200 to 1,300. My salary was around 50K with health insurance on top of that. The church never supported us in a retirement package, that was on our own. I had at that time 10 years of additional ministry experience plus an MA. The church could have given more, but the feeling was “you’re” geting enough. When we changed Sr. Pastors he thought we were getting too much, so there was a type of moratorium on raises. So in five years, with cost of living and increased insurances expenses, we actually when backwards. So when I resigned I was worth less than when I began. Church finances are “funny” animals and if a Sr. pastor is in charge..."look out"..."buyer beware”...if you’re looking for a ministry position. Investigate to see if the church has adopted a type of raise/salary increase grid or plan tied to the local school system, or church denomination. That’s best. Then the church can’t wiggle out of it’s moral obligation to give you adequate compensation for your ministry. We had a wonderful raise/merit system tied to the local school system, but that was thrown out when the new Sr. Pastor came. Also check the attitude of the Administrator and Financial board (Deacons) etc. Their attitude will tell you whether they are generous and full-hearted in supporting you and your ministry or they’d rather brag about the big $’s in the bank while little or NO ministry is happening. This is to All new guys, do your home work and research the staff, and Sr. Pastor attitude of the church etc. Not everyone who says “Lord, Lord.....” get the picture, is as enthusiastic about the Lord’s work as you.Some just want the laborer as cheap as possible. My philosophy the church should be just short of financial hardship. Why? Increased faith to believe God for His direction and support. Second, for me personally, the money should go to ministry and the folks doing the work. If all the money is being put into the lives of people being saved, trained, equipped, nurtured, counseled and just simply ministered to, then God will supply. But if the bank account is fat,and church has new carpet, choir robes and “pretty” pictures on the wall while, not much is going on minsitry wise then, “beware”! The money in that church has become a symbol and not the tool God intended it to be. Statistically, dead and dying churches have fat bank accounts (According to Barna and McNeal, Bandy, Eausom). Those churches are more about preservation than aggression upon the world with the gospel.

  • Posted by

    James, you have some very good points for all who are looking for a position to consider. Thanks for your input. I am the Worship Pastor at our small church working about 10 hours a week. I fall in line with the hourly rate (just a little under). However, Our Senior Pastor is in line with the catagories education and length of service but his salary blows the top off of the church income and number of people attending catagories. This is due mainly to our building and property having been paid off for many years. Churches like ours may be causing some of the skew that you see.

    By the way, we are in a rebuilding phase after the church almost closed a few years ago.

    One last comment, does anyone else find it amusing that the average salary for the Masters Degree is higher than the average salary for the Doctorate?

  • Posted by

    What region of the US did this come from?...seems ridiculously high for the places like the midwest.  Those figures make me think they are based around major metropolitan areas.

    If I made what they said having a bachelor degree, with the experience I have, in the church size...I should be making about twice as much money.  I make about $32,000 including housing and benefits, and the parsonage actually costs me money.

  • Posted by

    When I saw these salaries.  I know this must be some way else here in the southeast .. especially person like myself that pastor a bilingual ministry attendance 150-200.. doesn’t even come close.  and I have a M.A.  How do they get these fiqures

  • Posted by bernie dehler

    Hi Todd-

    Serious question.  With your experience and data, how much should Pastor Hagee make with his Global Evangelism Television ministry? Is his current compensation at almost $1 million too much for the 16 hrs per week he reports working there?

    Serious question, because some thing it’s obscene, while others think any amount is fine.

    In addition, he also makes over $300K for being Senior Pastor at Cornerstone Church in San Antonio.  Your charts top out at under $100K.  Don’t your charts go high enough? What if the church brings in over $10 million in donations, your chart only goes up to $1 million revenue (I don’t know what their revenue is)…

    ...Bernie
    http://raydehler.com/fgn/

  • Posted by Todd Rhoades

    Ahhh… back to John Hagee. Somehow I knew we’d come full circle; so I’ll indluge… smile

    I really don’t know what a ‘reasonable’ salary would be.  I would defer to their board of directors.  And this is where I would see the problem as I’ve said before, Bernie.  As I understand it, John Hagee has mostly his family members on the board; and that’s dangerous for setting salaries and the staying away from even the appearance of impropriety.  If I’m taking in 10 million a year; and me and only my family control all the money (given from individual contributors), then there is a problem. This is NO accountability. Hope that makes sense.

    Some popular preachers (tv or not) have found financial prosperity thrust upon them.  I think of Rick Warren; and authors like Chuck Swindoll.  I don’t think that we can look down on this when this happens.  In these instances, they are ultimately responsible for how they account for their riches.  Rick Warren, for example, says he’s a reverse tither.  Rick, Chuck, Jim Bakker, Jery Falwell, James Dobson, D. James Kennedy, and you and I are all responsible for the resources God has given us. 

    I’m not sure how Hagee’s is broken down… how much is royalties; how much is salary, etc.

    Is there a need for a watchdog like you, Bernie?  Perhaps.  But, I guess I would ask (sincerely), a few questions:

    --What do you wish to accomplish?  Do you wish merely to expose Hagee? If so, what is your motivation?  And why just pick on him; as there are many many others who abuse the system? If Hagee is exposed, what will that do for the Kingdom, in your opinion?  Do you want him to repent?  If you run into walls (as you are), what will your next step be?  What if he doesn’t repent?  At what point do you let go?

    Come to think of it, John Hagee also will give an account.  And if he’s fleecing money off of God’s people for his own gain, then woe to him (and everyone else who does this).

    Todd

  • Posted by

    i’m new to blogging, so not sure where this one will get posted, but i’m trying to reply to these articles on preacher’s salaries.

    my only question is simple: who decides (or better, who SHOULD decide) what is a “fair” or “good” amount of money to pay a preacher?

    in Christ,

    tad

  • Posted by bernie dehler

    Hi Todd-

    About your Hagee questions:

    People like Chuck Swindoll have parachurch org’s and are required to disclose their salary.  Nothing OUTLANDISH there, like Pastor Hagee (although I think he’s also overpaid).  However, for the church side, they are not required to report, so no one knows how much they make (such as Rick Warren).  But when you look at the data for what we do have, for Pastor Hagee and his peers, Pastor Hagee stands-out like no one else (see spreadsheet at:  http://www.freegoodnews.com/christian%20exec11%20chopped7.xls )

    My goal is to force Matt. 18 to it’s logical conclusion with Pastor Hagee.  Either the Church (worldwide) will treat him as an outcast for his misdeeds, or he’ll repent.  I will let go when all the church is aware of this situation (Pastor Hagee’s misdeeds are exposed).

    Why him? Look at the spreadsheet.  No one else compares.

    All this information and more is at:
    http://raydehler.com/fgn/ .

    Back to your original article, your top category for revenue is “over $1,000,000.” How much revenue do the top mega-churches bring in and pay?  Very curious as to how that compares to Pastor Hagee’s compensation as Senior Pastor at Cornerstone Church in San Antonio for $371K (not including his almost $1 million in compensation from his TV ministry).

    By the way, this has nothing to do with royalties.  These people are paid compensation by the org.  Royalties usually go to the ministry directly, if purchased thru the ministry.  If you buy their books at Amazon.com or somewhere else, it’s my understanding that those royalties go directly to the author-- no accounting at all by the ministry.

    ...Bernie

  • Posted by bernie dehler

    Todd-

    Curious if you have the actual data, and can share what the top 3 minister compensation packages were, and what revenue their church brought in.  That would be interesting.

    Also, I talked to ECFA today.  The previous post of mine talks about royalties too simply.  It’s true, but also much more complex.

    ...Bernie
    http://www.oneplace.com/ministries/247

  • Posted by

    Do you have similar studies and statistics on Chidlren’s Pastors’ salaries?

  • Posted by

    What is the average percentage of salary to budget, with 2 full time pastors, secretary, treasurer, 2 part time maintainence, church budget of 270,000 and average attendance of 200-250

  • Posted by

    How may I receive a copy of the previous post on Senior Pastor salary and compensation?

  • Posted by

    Can I receive a copy of the Senior Pastors Salary and Compensation of 2007?

  • Posted by

    Correction: I need a copy of the Senior Pastors Salary and Compensation for 2006

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