the diocese of worcester parish treasurers meeting 2007

THE DIOCESE OF WORCESTER

Parish Treasurers

Meeting 2007

PARISH SHARE FORMULA

• Previous “Quota Formula” set in 1986• Working party established in 2000• All deaneries represented• Examined various options• New formula approved by Diocesan Synod

in Nov 2003• Phased in from 2004• Implementation reviewed in 2006

SHARING, NOT CHARGING

• Through Parish Share we seek to share the costs of mission and ministry

• Distributing the resources of ministry as they are needed

• Paying for them according to our ability

GIVING, NOT PAYING

• By giving as part of our Christian discipleship

• Proportionate to:– Church membership– Church members’ income

Calculating Parish Share

Basic concept of formula is simple. Share is allocated to deaneries using two elements:

Average Sunday Attendance (using statistics provided by parishes)

Income

Calculating Parish Share (Continued)

Income is a notional Average Personal Income calculated for each deanery.

We’ll come back to how it’s calculated later


Multiplying Average Personal Income by the Average Sunday Attendance figure gives an idea of the income of churchgoers in a deanery.

Divide this by the income available to churchgoers in the diocese and you have the proportion of share requested from the deanery.


“But the people who earn a lot in my parish don’t come to church!”

WHAT MATTERS IS THE RELATIVE LEVELS BETWEEN DEANERIES NOT PRECISE INCOME FIGURES

AVERAGE INCOME

• Working Party wanted income survey questionnaires – this was not accepted

• Use of Inland Revenue statistics (2nd choice)Advantages: • Objective measure of relative wealth• Readily available• Regularly updatedDisadvantages:• Not specific to congregations• Tax districts overlap deanery boundaries


Average Personal Income is based on figures from

HM Revenue & Customs for income and number of tax payers in each District

the 2001 Census for populations of small geographical areas called “Super Output Areas”

INLAND REVENUE STATISTICS

• How we use them

• Help of new mapping software

• Integration of census statistics

• Indicator of relative wealth

Calculating Parish Share (continued)

“Super Output Areas” are used for

government statistics.

The brown lines represent the SOA boundaries. Parish

boundaries are shown in magenta.


• Super Output Areas

• Districts• Deaneries &

Parishes

Let’s see how they relate

Calculation Parish Share

Parishes in Bromsgrove Deanery

For example


overlap District boundaries

Redditch

Bromsgrove

Wychavon

Stratford-on-Avon

Wyre Forest Solihull

Birmingham


and Super Output Areas


The overlaps affect our calculations so we’ll come back to them again

But first let’s put together Population figures (of those over 15 years of age) from the 2001 Census and the figures from HM Customs & Revenue


Dividing the number of tax payers in a District by the population count gives the proportion of tax payers.So we can work out how many tax payers and non-tax payers there are in each Super Output Area.

LA_CODE District LSOA_CODE Pop TaxMean PropTaxPayers TaxPayers NonTaxPayers

00CR Dudley District E01009722 1230 18800 0.68 836 394






Calculating Parish ShareWe need to estimate the total income available to people in a parish before we work out the Average Personal Income. That’s the number of taxpayers multiplied by their average income, with an addition for non-taxpayers (their number multiplied by ¾ of the single persons tax allowance £5,032 x ¾ = £3,774)

LA_CODE District LSOA_CODE Pop TaxMean PropTaxPayers TaxPayers NonTaxPayers


We can easily do it for a Super Output Areae.g. (836 x £18,800) + (394 x £3,774)

= £17,203,756


But we need figures for the deaneries.

We start at parish level and find the proportion of each SOA that overlaps a parish


We use a geographical information system to automate the calculation of the proportion of a Super Output Area that overlaps a parish


Here are the figures for one parish

Parish SOA_code Proportion Population Payers NonPayers TaxMean Allowance NonTaxInc TaxInc TotalInc

Finstall, St Godwald E01032167 0.113005 293 208 85 25600 3774 320790 5324800 5645590









Calculating Parish ShareWe have to add up the number of people and total income for every parish in a deanery

Ref Parish People over 15 Total Income

D1.01 Alvechurch, St Laurence 4428 85011490

D1.02 Astwood Bank, St Matthias & St George 2550 37698384

D1.03 Beoley, St Leonard 10279 156375598

D1.04 Bromsgrove, All Saints 9247 178127120

D1.05 Bromsgrove, St John Baptist 9262 178435138

D1.06a Catshill, Christchurch 6752 130082744

D1.06b Dodford, Holy Trinity 719 13865992

D1.07 Finstall, St Godwald 4617 88918986

D1.08 Ipsley 17235 254743854

D1.09 Redditch, St Stephen 7015 103704996

D1.10 Redditch, The Ridge 22248 329172772

D1.11 Tardebigge, St Bartholomew, Lower Bentley, St Mary 3810 66049080

98162 1622186154


The Average Personal Income for a deanery is

Total income divided by number of people over age 15

For our example£1,622,186,154 / 98,162 = £16,526

The Average Personal Income is multiplied by the Average Sunday Attendance figure


We smooth the fluctuations of incomeand attendance figures by averaging

Income is based on a 3 year average

Attendance is based on a 5 year average


So all this enables the relative proportion

of the diocesan budget to be worked out for each deanery.

THE DIOCESE OF WORCESTER

Parish Treasurers

Meeting 2007

the diocese of worcester parish treasurers meeting 2007

Documents

parishes income slide

parish boundaries

proportion of share

ability slide

average income

parish dont

precise income figures

continued income