We are blessed to be part of a Synod that is built on the foundation of our risen Lord and Savior Jesus Christ and is governed and supported by a strong and educated laity and willing member congregations who have voluntarily chosen this walking together. As Chief Financial Officer, my primary focus is faithfully stewarding the financial gifts that are passed up through that structure to support our work together. In this effort, I strive to maintain transparency regarding the Synod’s finances, while also looking to understand the broader context of those finances. The financials may vary from year to year, but the love of Christ remains.
Synodical Context Giving by individuals in the Synod remains strong. In my 2023 convention report, I indicated that giving to congregations by individuals (as reported by congregations as dollars used for both “Work at Home” and “Work at Large”) had surpassed $1,000 per confirmed member for the first time in 2021. 2024 was again a record high, with the average confirmed member giving $1,124 during 2024 to the congregation.
The downward trend in the purchasing power of the gifts received by congregations (the dotted line) is unmistakable. What drives this disconnect between the steady support of the people of the Synod and the decline in availability for the congregations? Simply put, the decline in total confirmed members of LCMS congregations has outpaced the decline in the number of member congregations. Since 1984, the number of member congregations of the LCMS decreased by only 5 percent. Over the same period, the number of confirmed members decreased by 37 percent. The impact of this on the work of the Synod is significant, both at the congregation and beyond. The following table shows the trend of giving to the Work at Large of the Synod, and the portion of that passed on to corporate Synod, since 1984.
Table 1: Giving to Work at Large and Corporate Synod in Nominal and 2024 Inflation Adjusted $ (millions of dollars)
Corporate Synod Despite facing the headwinds above, the financial position of the Synod continued to improve over the last three fiscal years (7/1/2022 to 6/30/2025). The following tables summarize the expenditures of corporate Synod, and how our work was funded.
Table 2: Corporate Synod Expenses 7/1/22 to 6/30/25 ($ millions)
*Includes the Office of National Mission, the Office of Pastoral Education (except for grants to seminaries), and Youth Gathering **Includes grants to seminaries and subsidies to Concordia University System (CUS) ***Includes LCMS Communications and KFUO ****Includes portion of the Hot Chalk settlement paid with Synod funds
Table 3: Corporate Synod Funding Sources 7/1/22 to 6/30/25 ($ millions)
If there is a silver lining to the down trend of support to corporate Synod from congregations via the districts, it is that a diverse revenue stream has been developed to support the work of the Synod. At the same time, the support from the districts is what is primarily available to fund our collective work, as many gifts from individuals and other entities carry restrictions as to their use. More than that, the gifts from districts represent, at least as a proxy, our collective willingness to contribute financial resources to our life together as Synod. The excess of revenues for operations over total expenses was a surplus of almost $34 million over the last three years. Some of this surplus was the result of unanticipated items, such as unusually large bequests and dividends received from our international operations. Some was intentionally targeted while the prospect of significant litigation in the Hot Chalk matter loomed. Fortunately, this matter is behind us. The total impact of this settlement on the LCMS financial statements is included in the expenses shown above and was included in the fiscal year 2025 audited financial statements of the Synod. The portion funded by Synod funds was immaterial to the fiscal year 2025 financials and did not require specific disclosure. Even with these surpluses, we work to remain faithful stewards using the gifts and treasures entrusted to us. The $223.5 million of expenses represents a 22 percent increase over the prior three-year period. The significant portion (80 percent) of spending on programs exceeds best practice guidelines for nonprofit organizations. Additionally, since the end of fiscal year 2025, the LCMS has put more of this surplus to use, paying down substantially all of CUS’ debt owed to the Lutheran Church Extension Fund (LCEF). With that, corporate Synod is free of debt and the guarantee of the indebtedness of others. Beyond the investments made in the programs and mission of the church described by others in this Workbook, we are also beginning necessary investments in technology and systems needed to support our programs and mission and the people of the Synod today and into the future. Additional transparency and information can be found in regularly available sources. I give regular financial reports to the Board of Directors that are reflected in the minutes of their meetings. Monthly and annual financial statements are posted to the LCMS website. We annually prepare a budget report showing the work not only of corporate Synod but also of all synodical entities and agencies. There is an annual report highlighting broadly the work of the Synod, the financials, and other statistical information. We are committed to transparency, and endeavor to remain so. In my opinion, you would be hard pressed to find a church body more transparent about its financials with its parishioners. In addition to the work of corporate Synod, I represent the Board of Directors on the boards of several entities: LCEF, Concordia Plan Services, LCMS Foundation, Concordia Publishing House, and CUS. I support the work of other LCMS entities that are part of the consolidated financial statements, including the Lutheran Center for Religious Liberty and LCMS Holdings, Inc. This would not be possible without the dedicated and hard-working staff across the teams who support me in accounting and finance at the LCMS International Center in St. Louis. The Lord has blessed the LCMS in many ways. Over the last several years, He has seen fit to provide a financial position previously unseen in the Synod’s history. I pray that He will grant us wisdom in stewarding these gifts to support our bold proclamation of the Gospel—that Christ Is Risen Indeed!