By Brent Lacy

A family calls on Friday afternoon. The power is scheduled to be disconnected. A neighbor needs groceries after missing work. A church member asks for help with rent, while another request comes from someone the pastor has never met. The need is real, the budget is limited, and the pastor wants to respond before the moment passes.

These are not problems that a policy can make painless. But a written benevolence policy can help a church respond with both mercy and good judgment. It clarifies who decides, what the fund can cover, how the church protects private information, and what happens when the available money is not enough.

A benevolence policy is not a way to make care feel like paperwork. It is a shared commitment that people in need will be treated consistently, church resources will be handled responsibly, and urgent situations will receive a timely response.

Why a Small Church Needs a Written Benevolence Policy

In a small congregation, requests often reach the pastor, treasurer, or a trusted deacon directly. Familiarity can help the church understand a situation, but it can also make decisions feel personal. One leader may approve a request because the person is well known. Another may hesitate because the applicant is unfamiliar. A third may promise more than the church can afford.

A written policy creates a common process without replacing pastoral care. It gives leaders a way to ask the same basic questions, record decisions, and explain limits before a difficult request arrives. It also protects the person seeking help from feeling that support depends on friendship, attendance, or the ability to tell a painful story in public.

The IRS technical guide on charitable purposes explains that assistance for financial distress should be based on demonstrated need and objective criteria. Its guidance also emphasizes serving a charitable class and maintaining records of assistance. This guide is educational and is not itself an official pronouncement of law, so churches should review their own arrangements with qualified tax or legal counsel.[IRS Exempt Organizations Technical Guide TG 3-3]

That verse holds together the two responsibilities. Love acts. Truth gives action integrity. A policy is one tool that helps a church do both.

Start With the Purpose, Not the Form

Before drafting an application, the church should agree on why the fund exists. A clear purpose helps leaders avoid turning benevolence into a general-purpose loan program, a reward for church participation, or an informal way to give money to favored people.

A simple statement might say: “The benevolence fund provides temporary assistance to individuals and households experiencing financial hardship, with priority given to basic needs and urgent situations. Assistance is offered without regard to church membership, and decisions are based on need, available funds, and the written criteria of the church.” Adapt that language to your congregation, denomination, bylaws, and legal advice.

Be specific about the kind of help the fund may offer. Common examples include food, utility shutoff prevention, short-term lodging, transportation to essential appointments or work, and limited help with rent or medical needs. The church does not need to promise that every type of request will be covered. It does need to be honest about what the fund can reasonably do.

Also name what the fund cannot do. A small church may decide it cannot pay ongoing bills, make unsecured personal loans, cover fines, replace insurance, or provide cash without documentation. These are policy choices, not universal rules. State them clearly and leave room for a documented exception when circumstances warrant it.

Use Fair Criteria Without Making People Prove Their Worth

Objective criteria do not require treating every story as a courtroom case. They mean leaders decide on relevant facts rather than impressions, personal closeness, or assumptions about who deserves help. Ask only for information that helps the church understand the immediate need and make a responsible decision.

A brief request conversation or form can cover:

• The household’s urgent need and when it must be addressed.
• The amount needed and the provider, landlord, or vendor to be paid.
• What changed recently and what resources have already been explored.
• Whether the request is one-time, recurring, or connected to a broader crisis.
• Any relationship between the applicant and a leader who would decide the request.

Do not demand details that are unrelated to the decision. A person should not have to share a full medical history to request a utility payment. Explain why information is being requested, who will see it, and how it will be kept. If a written form creates an unnecessary barrier, a trained leader can complete it with the person and read it back for confirmation.

The IRS guidance on disaster and emergency hardship assistance describes an objective assessment of need and documentation of the aid, purpose, selection criteria, and decision process. That publication focuses on relief programs, especially disaster-related assistance. It offers useful stewardship principles, but churches should not assume every detail applies identically to an ordinary local benevolence fund.[IRS Publication 3833, Disaster Relief]

This is a decision aid, not a scorecard. A person facing an immediate safety or shelter concern may need a fast referral or emergency response before a full review is possible. The policy should describe who may authorize limited urgent help and how the decision will be documented afterward.

Decide Who Approves Requests and How

Choose a small group or a clear chain of authority. In a very small church, that might be the pastor and treasurer, with a deacon or another trusted leader as backup. Avoid making one person solely responsible for receiving requests, approving payments, and reconciling the account whenever the congregation has another workable option.

Set an approval limit that fits the church’s budget. Requests above that limit can go to a second approver or the next scheduled meeting. For urgent needs, define an exception path so a family is not left without help simply because the committee meets monthly. The exception should still be recorded and reviewed.

Require decision-makers to step out when a request involves a close relative, business partner, or other personal conflict. The remaining authorized people can review the request under the same policy. Record the conflict and who made the decision, but do not circulate private details more widely than necessary.

When possible, pay the utility company, landlord, pharmacy, or other provider directly rather than giving unrestricted cash. Direct payment can help confirm that support reaches the stated need. But do not make it a rigid rule when it would delay help or create a barrier that the church can reasonably avoid. The policy can allow other forms of assistance with an explanation in the record.

Protect Dignity and Confidentiality

A benevolence request is sensitive. Discuss it only with people who need the information to make or record a decision. Do not share names, personal stories, or financial details in a prayer request, church email, group text, or public meeting unless the person has freely agreed to the specific disclosure.

Store forms and receipts in a restricted location, not in an open church office file or a shared folder visible to every volunteer. Decide how long records will be retained and confirm the schedule with the church’s accountant or legal adviser. Keep the record factual: date, amount, type of assistance, purpose, approving people, and any required receipt. Avoid editorial comments about an applicant’s character.

Confidentiality is not an absolute promise. If the request raises immediate safety concerns, suspected abuse, or another situation covered by mandatory reporting or church safeguarding policy, follow those obligations. Explain the limits calmly rather than promising secrecy you cannot guarantee.

Set Financial Boundaries That Leaders Can Explain

A benevolence fund should have a budget. The church may set aside a defined amount, designate offerings for the fund, or review the balance during regular financial reporting. Do not promise an amount the church has not authorized. When the fund is depleted, tell the applicant honestly and help identify other options if possible.

Set a consistent approach for repeat requests. A person may face a series of setbacks, and a flat rule that blocks any second request can be unnecessarily harsh. At the same time, repeated short-term payments may not solve a continuing housing, employment, health, or debt crisis. The policy can call for a fresh review, a conversation about longer-term support, or a referral to a community agency, while making clear that approval is not guaranteed.

Do not attach a spiritual test to assistance. Receiving help should not require church attendance, a pledge, evangelistic participation, or a public testimony. Pastoral conversation and prayer can be offered, but they should not be conditions of aid. The purpose is to meet a legitimate need with compassion and stewardship, not to put a person in a position where help feels coerced.

A Simple Request-to-Review Process

A small church can use a short, repeatable process rather than a complicated bureaucracy:

1. Receive the request respectfully. Listen first. Ask what is needed, when it is needed, and what would help today.
2. Check immediate safety. If someone is in danger or without safe shelter, follow emergency and safeguarding procedures while the financial request is reviewed.
3. Gather only relevant details. Explain the criteria and privacy boundaries before asking questions.
4. Review the request consistently. Use the written purpose, available funds, and approval rules. Address conflicts of interest.
5. Communicate a clear answer. Say what the church can provide, how it will be delivered, and what it cannot do. If declining, respond with kindness and, where possible, a useful referral.
6. Record and reconcile. Keep a limited confidential record and make sure the payment is reflected in the church’s financial controls.
7. Follow up appropriately. Ask whether the immediate issue was addressed. Offer additional pastoral care without making the person feel monitored or indebted.

A decision may be “yes,” “not from this fund,” or “we need one more piece of information.” Each answer deserves a timely response. Silence leaves people uncertain and can damage trust even when the church is trying to be careful.

Review the Policy Before a Crisis

Bring the policy to the elders, deacons, finance team, or governing body that has authority in your church. Confirm that it matches the bylaws and financial controls. Ask an accountant or attorney familiar with nonprofit and church matters to review the tax and recordkeeping implications. The IRS materials linked here are guidance, not a substitute for advice about a specific church, state, or situation.

Then tell the congregation how the fund works without identifying recipients. A brief explanation can invite designated giving, set realistic expectations, and show that care is handled thoughtfully. Review the policy on a regular schedule and after a difficult case. If the process repeatedly delays urgent help or puts private information at risk, revise it.

Frequently Asked Questions

Should a church help people who are not members?

A church can choose to serve people beyond its membership. State the eligible group and criteria in the policy, and use them consistently. The IRS technical guide discusses charitable assistance in terms of public benefit and a charitable class. Ask a qualified adviser how those principles apply to your church’s program.

Should benevolence be paid in cash?

Not necessarily. Direct payment to a provider can connect aid to the stated need, while some urgent situations call for another practical method. Define approved methods and exceptions, keep a record, and do not let the process delay necessary help.

What if we cannot verify every detail?

Ask for only what is reasonable for the type and urgency of the request. For an immediate meal or transportation need, a simple conversation may be enough for a modest response. Larger or continuing assistance may require more information. Document what was considered and why the church chose its response.

Can we require people to attend church or meet with a pastor?

Pastoral care may be offered, but tying financial help to worship attendance, prayer, or a faith decision can undermine dignity and create pressure. Keep assistance decisions focused on the policy and the need. Let spiritual support be an invitation, not a condition.

What should we do when the fund cannot meet the request?

Be direct, compassionate, and timely. Explain the limit without blaming the applicant, offer a smaller amount if that would help, or connect the person with a community agency, government program, or another church. Never promise ongoing support the congregation cannot sustain.

Sources

1. Exempt Organizations Technical Guide TG 3-3: Exempt Purposes – Charitable IRC Section 501(c)(3) – Internal Revenue Service, revised February 2024. The guide notes that it is not an official pronouncement of law.
2. Publication 3833: Disaster Relief, Providing Assistance Through Charitable Organizations – Internal Revenue Service, revised December 2014. Disaster relief guidance cited here for its discussion of objective need assessment and documentation; confirm application to ordinary benevolence programs with qualified counsel.