WHAT S. We d love to hear from you. Share your story at joycemeyer.org/mystory

Transcription

1 WHAT S Your life is part of a greater story than what you see every day. Thank you for joining with us to share the beautiful story of God s grace, redemption, provision and great, great love around the world. We d love to hear from you. Share your story at joycemeyer.org/mystory

2 FINANCIALS FINANCIAL HIGHLIGHTS FROM STATEMENT OF TRANSPARENCY This year has been an amazing time of sharing Christ and loving people. We ve had a wonderful year of sharing our lives, seeing how our stories intertwine as God s story of grace and redemption is told. What an awesome journey we are all on together! Psalm 107:2 encourages the redeemed ones to tell their story. It helps give others a sense of hope. I often tell how God changed my life from one of abuse and brokenness to one of healing and wholeness of beauty for ashes. He turned my mess into a message of hope, not only for me but for the countless others who hear my story and begin to trust and believe that God can do the same for them. That s the case with so many of the friends and partners of Joyce Meyer Ministries. Thanks to you, as you ve received healing and wholeness, or even in your process of healing, you have reached out to help someone else be made whole as well. It s all about watching God s story continue to unfold as every life connects with the next when paths cross. I hope you ve been encouraged as you ve read through this report of the past year. We want you to know that your story is intertwined in everything you see every feeding program, every disaster relief effort, every TV and radio broadcast everything. Your support helps make it all happen. Thank you so much for helping us to keep sharing Christ and loving people. As the story goes on, 65 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS 66 FINANCIAL STATEMENTS 66 STATEMENT OF FINANCIAL POSITION 67 STATEMENT OF ACTIVITIES 68 SCHEDULE OF FUNCTIONAL EXPENSES 70 STATEMENT OF CASH FLOWS 71 NOTES TO FINANCIAL STATEMENTS 76 MANAGEMENT REPORT TO SUPPORTERS REGARDING COMPENSATION 77 INDEPENDENT ACCOUNTANTS REPORT ON MANAGEMENT ASSERTIONS 78 MANAGEMENT REPORT TO SUPPORTERS REGARDING PROGRAM EXPENSES 79 INDEPENDENT ACCOUNTANTS REPORT ON MANAGEMENT ASSERTIONS 62 joycemeyer.org/annualreport OUR STORY

3 A COMMITMENT TO MAINTAIN TRUST AND PROVIDE TRANSPARENCY REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS Joyce Meyer Ministries, Inc. expensed 83 percent of total expenditures for outreach and program services directed at reaching people with the Gospel of Jesus Christ and meeting the physical needs of the less fortunate all over the world. Joyce Meyer Ministries, Inc. voluntarily submits to an annual audit by an independent public accounting firm. Financial statements are presented in accordance with generally accepted accounting principles. Joyce Meyer Ministries, Inc. voluntarily submits to an annual legal audit to ensure that the ministry is complying with applicable federal and state laws and regulations. Joyce Meyer Ministries, Inc. issues an annual attestation letter provided by an independent public accounting firm that attests to our program service expenditures. Joyce Meyer Ministries, Inc. issues an annual attestation letter provided by an independent public accounting firm that attests to the compensation of our President and Founder Joyce Meyer. Joyce Meyer Ministries, Inc. requires all board members and employees to abide by a conflict of interest policy that encourages high standards of ethics and integrity. Joyce Meyer Ministries, Inc. strives to ensure that all fundraising efforts clearly portray the purpose of the funds to be raised and that all contributions received are used for those specific purposes. Joyce Meyer Ministries, Inc. protects the privacy of our donors by not marketing our mailing list. Joyce Meyer Ministries, Inc. commits to posting our audited financial statements, as well as any attestation letters provided by our auditors, on our website and updating the information annually. To the Board of Directors Joyce Meyer Ministries, Inc. Fenton, Missouri We have audited the statement of financial position of Joyce Meyer Ministries, Inc. (the Church), a nonprofit organization, as of, and the related statements of activities, functional expenses and cash flows for the year then ended. These financial statements are the responsibility of the Church s management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statements presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Joyce Meyer Ministries, Inc., as of, and the results of its operations and its cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America. Tulsa, Oklahoma March 29, joycemeyer.org/annualreport OUR STORY

4 STATEMENT OF FINANCIAL POSITION ASSETS Current assets Cash and cash equivalents $ 14,531,038 Accounts receivable 132,257 Due from affiliates 455,945 Inventories 2,570,772 Prepaid expenses and other assets 3,251,614 Total current assets 20,941,626 Property and equipment 7 1,018,814 Less: accumulated depreciation 34,648,831 Total property and equipment 36,369,983 Non-current assets Investments 10,751,976 Due from affiliates 200,000 Total assets $ 68,263,585 LIABILITIES AND NET ASSETS Current liabilities Accounts payable $ 3,823,285 Accrued liabilities 1,035,968 Deferred revenues 23 1,1 71 Total current liabilities 5,090,424 Net assets - unrestricted 63,173,161 Total liabilities and net assets $ 68,263,585 The accompanying notes are an integral part of these financial statements. STATEMENT OF ACTIVITIES Changes in unrestricted net assets Revenue and other support Contributions, less direct donor benefits of $2,454,230 $ 96,140,532 Contributions from meetings and conferences 3,027,180 Contributions and revenues from foreign affiliated ministries 5,222,187 Sale of Christian materials 7,924,273 Honorariums from speaking engagements 75,000 Women s conference and other registrations 1,104,636 Interest income 231,393 Other income 326,132 Total unrestricted revenue and other support 1 14,051,333 Expenses Program services Meetings and conferences 10,731,900 Print media 14,432,236 Radio ministry and television ministry 30,614,080 Missions and outreach 31,947,866 Cost of Christian materials sold 7,299,297 Total program services expenses 95,025,379 Support activities Management and general 1 3,782,762 Fundraising 6,262,895 Total support activities expenses 20,045,657 Total expenses 1 1 5,071,036 Decrease in unrestricted net assets (1,019,703) Net assets at beginning of year 64,192,864 Net assets at end of year $ 63,173,161 The accompanying notes are an integral part of these financial statements. 66 joycemeyer.org/annualreport OUR STORY

5 SCHEDULE OF FUNCTIONAL EXPENSES TV and Cost of Meetings and Print Radio Missions Christian Management Conferences Media Ministry and Outreach Materials and General Fundraising Total Advertising $ 291,887 $ 150 $ $ 4,798 $ $ 50 $ 39,412 $ 336,297 Books and other outreach expenses 42,346 1,032 1, , ,464 5, ,139 Broadcast time 1,958 20,458,667 8,862,372 2,386,225 31,709,222 Contract labor 694,644 8,702 74,273 1,975 1,904 94, ,108 Cost of Christian materials 2,478,819 2,478,819 Depreciation and amortization 2,147,528 43, ,930 57, , ,389 4,091,667 Dues, subscriptions, licenses and fees 182, , ,444 49,409 5, ,695 18,379 1,580,784 Equipment rental 1,327, ,429 36,882 8,959 4,895 27, ,093 1,601,001 Insurance 393, ,714 1,277, , ,383 1,749,692 18,798 5,054,569 Missions and outreach 1,716 15,338,602 75,715 15,416,033 Payroll taxes 107, , , , , ,597 1,177 1,535,385 Pension 63,190 58, ,668 63,802 44, ,747 4, ,008 Postage 167,082 3,022,967 58,461 1,149, ,140, ,71 1 1,072,074 7,627,784 Printing and production 164,990 4,201,602 2, , ,765 1,481,975 6,363,980 Professional fees 380, , , ,971 26, , ,678 3,464,964 Promotional costs 8, , , ,054 76, ,730 Rent 961,115 4,998 8,860 15,274 1,543 9, ,333 1,127,884 Repairs and maintenance 150,309 35, ,719 75,480 76, ,574 16, ,334 Salaries 1,776,470 3,951,623 4,783,827 2,938,071 1,190,308 7,696,422 46,725 22,383,446 Speaker honorariums 207,370 2,385 3,202 33, ,799 28, ,782 Staff training 70,914 23,855 21,695 13,009 4, , ,416 Supplies 342, , , , , ,285 70,376 2,553,649 Taxes and licenses 86,309 33, ,797 20, , ,170 8, ,872 Telephone 9,271 10, ,308 67,023 3,158 44,257 2, ,981 Travel 1,131, , , ,648 14, , ,896 2,352,156 Utilities 23, , ,492 52,952 41, , ,026 The accompanying notes are an integral part of these financial statements. $ 10,731,900 $ 14,432,236 $ 30,614,080 $ 31,947,866 $ 7,299,297 $ 13,782,762 $ 6,262,895 $ 115,071, joycemeyer.org/annualreport OUR STORY

6 STATEMENT OF CASH FLOWS NOTES TO FINANCIAL STATEMENTS Cash flows from operating activities Decrease in net assets $ (1,019,703) Adjustments to reconcile increase in net assets to net cash provided by (used in) operating activities: Depreciation and amortization 4,091,667 Donated equity securities (38,098) Gain on investments (89,174) Gain on disposal of assets (82,494) Changes in operating assets and liabilities: Decrease in accounts receivables 142,185 Decrease in due from affiliates 1,304,921 Decrease in inventory 708,686 Increase in prepaid and other expenses (1,352,326) Increase in accounts payable 124,577 Increase in accrued liabilities 57,366 Increase in deferred revenues 1 1 1,940 Net cash provided by operating activities 3,959,547 Cash flows from investing activities Proceeds from sales of investments 16,61 2,1 31 Proceeds from sale of equipment 251,453 Purchases of investments (13,109,892) Purchases of property and equipment (769,648) Net cash provided by investing activities 2,984,044 Net increase in cash 6,943,591 Cash and cash equivalents - beginning of year 7,587,447 Cash and cash equivalents - end of year $ 14,531,038 NOTE A ORGANIZATION AND CHURCH VISION Joyce Meyer Ministries, Inc., headquartered in Fenton, Missouri, is organized as a church dedicated to Christian and charitable purposes. In its ministry as a church, Joyce Meyer Ministries, Inc., (the Church or JMM) conducts regular meetings worldwide, teaching biblical principles. Through its daily media outreach, millions of people receive the life-changing biblical teaching through the Church s television and radio programs, CDs, DVDs, books, websites and conferences. The Church s missions and outreach programs include rescuing people from human trafficking, medical/dental outreaches, water relief, feeding the poor, clothing the unclothed, visiting the prisoners, helping in inner cities, ministering to the elderly and reaching out and training people of all ages. The Church provides funding and helps oversee several children s homes that supply food and shelter to needy children. The Church provides global humanitarian aid to hurting people and disaster relief on a regular basis to those in devastating situations. The Church employs approximately 516 individuals to carry out its Christian and charitable purposes. NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 1. Basis of Accounting The financial statements of the Church have been prepared on the accrual basis. The significant accounting policies are described below to enhance the usefulness of the financial statements to the reader. 2. Revenue Recognition The Church reports information regarding its financial position and activities according to three classes of net assets: unrestricted net assets, temporarily restricted net assets and permanently restricted net assets. Gifts and contributions received with donor stipulations that limit the use of the asset are reported as restricted assets. When a donor restriction expires, that is, when a stipulated time restriction ends or purpose of the contribution is accomplished, temporarily restricted net assets are reclassified to unrestricted net assets and reported in the statement of activities as net assets released from restrictions. Contributions that are restricted by the donor are reported as increases in unrestricted net assets if the restrictions expire in the fiscal year in which the contributions are recognized. No amounts have been reflected in the statements for donated services since no objective basis is generally available to measure the value of such services; however, a substantial number of volunteers have donated significant amounts of time to the Church s program services. During 2011, approximately 77,000 hours were donated from volunteers for meetings and conferences. The Church periodically exchanges educational resources with donors based on a designated contribution. At December 31, 2011, the cost of these direct donor benefits was approximately $2.45 million. These costs are included as an offset to unrestricted contributions in the statement of activities. The accompanying notes are an integral part of these financial statements. 70 joycemeyer.org/annualreport OUR STORY

7 NOTES TO FINANCIAL STATEMENTS NOTES TO FINANCIAL STATEMENTS 3. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 4. Cash and Cash Equivalents The Church considers all highly liquid investments with an original maturity of three months or less to be cash equivalents for the purposes of the statement of cash flows. Deposits in excess of Federal Deposit Insurance Corporation s (FDIC) coverage were approximately $5,840,000 at. The Church maintains sufficient cash resources to cover near-term working capital needs. 5. Accounts Receivable Accounts receivable is recognized on the accrual basis of accounting. Management believes these amounts to be fully collectible. Accounts receivable is comprised of the following: approximately $13,200 of insurance receivable, approximately $20,300 in royalties receivable, approximately $30,000 of accrued interest and approximately $68,500 of miscellaneous items. 6. Inventories Inventory consists of books, CDs, DVDs and all other related items utilized in the media operation of the Church. Inventory is valued at the lower of cost or market with cost determined on the first-in first-out basis. 7. Fixed Assets and Depreciation Expenditures and donated fixed assets in excess of $5,000 are recorded at cost if purchased or estimated fair market value if donated. Depreciation of fixed assets is provided over the estimated useful lives of the respective assets on a straight-line basis, ranging from 3-40 years. Expenditures for repairs and maintenance are charged to operating expense as incurred. 8. Investments The Church s investments consist of government securities and bank certificates of deposits. The certificates of deposit total $3,405,774 and are stated at fair value based on quoted market price in an open market, which represent Level 1 Inputs. The government securities total $7,346,202 and are stated at fair value based on significant other observable inputs of directly comparable securities which represent Level 2 Inputs, as they are part of a less active secondary market. During the year, there were no transfers between input levels. Dividend, interest and other investment income are reported in the period earned as increases in unrestricted net assets unless the use of the assets received is limited by donor-imposed restrictions, in which case the earnings are reported in the same category as the donations. 10. Deferred Revenues Deferred revenues are generated from registration fees collected for 2012 conferences. 11. Income Taxes The Church is exempt from Federal income taxes under Section 501(c)(3) of the Internal Revenue Code, as such the Church does not file income tax returns. 12. Expenses Advertising Costs Are expensed as incurred. Allocation of Fundraising Costs The Church allocates fundraising costs in accordance with Statement of ASC Accounting for Costs of Activities of Not-for-Profit Organizations and State and Local Governmental Entities That Include Fundraising. Joint costs affecting programs and fundraising have been reviewed by management and meet the criteria established by the Statement of Position. During 2011, approximately $6.25 million of television and radio ministry expenses, meeting expenses, monthly mailing costs, and other expenses have been allocated to fundraising. 13. Subsequent Events The Church has evaluated subsequent events through March 29, 2012, the date which the financial statements were available to be issued. NOTE C INVENTORIES Inventories include the following at : Finished goods: CDs $ 346,788 DVDs 127,670 Books 823,758 Kits 561,604 Other inventory items 509,343 Supplies to produce finished goods 201,609 $ 2,570, Compensated Absences Full-time employees of the Church receive paid vacation and personal days off, depending on job classification, length of service and other factors. Compensated absences earned but not paid as of have been accrued. 72 joycemeyer.org/annualreport OUR STORY

8 NOTES TO FINANCIAL STATEMENTS NOTE D PROPERTY AND EQUIPMENT Property and equipment includes the following at : Land and land improvements $ 4,665,055 Buildings 23,976,657 TV, computer and other equipment 22,374,622 Transportation equipment 19,934,932 Intangible assets 67,548 71,018,814 Less: accumulated depreciation 34,648,831 NOTE E COMMITMENTS AND CONTINGENCIES Airtime $ 36,369,983 The Church has radio and TV airtime contracts extending to These contracts may be terminated with a fourteen to sixty day notification. The average monthly cost of these contracts is approximately $2.6 million. NOTES TO FINANCIAL STATEMENTS NOTE G SUPPORT OF OTHER MINISTRIES During the 1990s, Joyce Meyer Ministries, Inc. began to finance the establishment of similar international ministries called Joyce Meyer Ministries Canada, Inc., Joyce Meyer Ministries Australia, Inc., Joyce Meyer Ministries England, Inc., Joyce Meyer Ministries South Africa, Meyer Ministries GmbH & Co, KG (Germany) and Joyce Meyer Ministries, India. During 2011, the Church received approximately $3.7 million in contributions from affiliates and earned approximately $1.5 million in revenues for sales of services to affiliate organizations. The Church had outstanding loans of approximately $660 thousand to its international affiliated ministries as of. The Church provides broadcast airtime, supplies, and various other services including marketing and distribution services to some of its international affiliated ministries without charge. Total donated goods and services provided to affiliates totaled approximately $10.8 million in 2011 to support the mission of those entities. All expenses incurred by the Church on behalf of these affiliates have been recognized as missions and outreach in the statement of activities. Joyce Meyer Ministries, Inc. and an organization created to assist the underprivileged have some board members in common. Since its inception, JMM has provided support for community outreach and volunteer training and education. During 2011, JMM provided approximately $1.5 million of contributions or 75 percent of the total contributions to this organization. NOTE H COMMITMENTS AND CONTINGENCIES The Church is occasionally involved in litigation as either a plaintiff or defendant arising in the normal course of its activities. The results thereof are not expected to be significant to the Church s financial position or operating activities. Self-Insurance The Church self-insures for workers compensation and employee health claims. Operations are charged with the cost of claims reported and an estimate of claims incurred but not reported. A liability for unpaid claims and the associated claim expenses is recognized as an expense and accrued at year-end. The determination of such claims and expenses and the appropriateness of the related liability are continually reviewed by management and a third party. The Church has purchased stop-loss insurance to supplement the plans, which will reimburse the Church for workers compensation claims in excess of $300,000 per occurrence and $2,000,000 in the aggregate. Medical stop-loss insurance is purchased to reimburse individual medical claims in excess of $100,000 and $3,800,000 in the aggregate. NOTE F RETIREMENT PLANS The Church maintains retirement plans that cover full time employees who participate and are at least 18 years of age. Contributions to the plans during 2011 were approximately $492, joycemeyer.org/annualreport OUR STORY

9 MANAGEMENT REPORT TO SUPPORTERS REGARDING COMPENSATION INDEPENDENT ACCOUNTANTS REPORT ON MANAGEMENT ASSERTIONS March 29, 2012 To Supporters of Joyce Meyer Ministries, Inc. In 2011, the compensation approved by the Board of Directors and provided to Joyce Meyer, as President of Joyce Meyer Ministries, Inc., included salary and fringe benefits of $250,000, a housing allowance and contributions to retirement plans. During 2011, the Ministry s gross profits from Joyce s books and the honorariums received by the Ministry from Joyce s speaking engagements exceed her total compensation stated above. The Ministry is voluntarily releasing this information to our partners to provide transparency regarding the Ministry s operations. Sincerely, Delanie Trusty, CPA, CTP Chief Financial Officer To Supporters of Joyce Meyer Ministries, Inc. We have examined the assertion of management of Joyce Meyer Ministries, Inc. (the Church), that during the year 2011, compensation approved by the Board of Directors and provided to Joyce Meyer consisted of salaries, including taxable fringe benefits, of $250,000, a housing allowance and contributions to retirement plans. We also examined the assertion that during 2011, gross profits received by the Church from the sale of Joyce Meyer s books and honorariums received by the Church for Joyce Meyer s speaking engagements exceeded her total compensation stated above. Joyce Meyer Ministries, Inc. s management is responsible for the assertion. Our responsibility is to express an opinion on the assertions based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence supporting management s assertion and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. In our opinion, management s assertions referred to above are fairly stated, in all material respects. Tulsa, Oklahoma March 29, 2012 P.O. Box 655 Fenton, Missouri (636) joycemeyer.org 76 joycemeyer.org/annualreport OUR STORY

10 MANAGEMENT REPORT TO SUPPORTERS REGARDING PROGRAM EXPENSES INDEPENDENT ACCOUNTANTS REPORT ON MANAGEMENT ASSERTIONS March 29, 2012 To Supporters of Joyce Meyer Ministries, Inc. During 2011, 83 percent of total expenses were used for outreach and programs directed at reaching people with the Gospel of Jesus Christ. Sincerely, Delanie Trusty, CPA, CTP Chief Financial Officer To Supporters of Joyce Meyer Ministries, Inc. We have examined management s assertion that during the year 2011, 83 percent of total expenses were used for outreach and programs directed at reaching people with the Gospel of Jesus Christ. Joyce Meyer Ministries, Inc. s management is responsible for the assertion. Our responsibility is to express an opinion on the assertion based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence supporting management s assertion and performing such other procedures as we consider necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. In our opinion, management s assertion referred to above is fairly stated, in all material respects. Tulsa, Oklahoma March 29, 2012 P.O. Box 655 Fenton, Missouri (636) joycemeyer.org 78 joycemeyer.org/annualreport OUR STORY

11 CONTINUES joycemeyer.org/annualreport TABLE OF CONTENTS TELLING STORIES A Few of the Lives That Make Up Our Story SHARING CHRIST Media Outreach Highlights LOVING PEOPLE Hand of Hope Outreach Highlights NEW VENTURES The Story Continues STEWARDSHIP & SUSTAINABILITY The Partner Story ACCOUNTABILITY Financials Churches in the St. Louis metropolitan area had just finished their Good Friday services when the strongest tornado to hit St. Louis in 40 years ripped through their community. Thankfully no one died, but more than 2,000 homes were severely damaged. That s why we partnered with Service International to provide immediate relief following the storm. Everything you found in the printed Annual Report specifically for your ipad A downloadable version made Exclusive videos, photos and content of Our Story