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.
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, ev-ery disaster relief effort, evev-ery TV and radio broadcast—evev-erything. 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,
64 STATEMENT OF TRANSPARENCY
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
FINANCIAL HIGHLIGHTS FROM 2011
FINANCIALS
»
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 December 31, 2011, 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 December 31, 2011, 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, 2012
A COMMITMENT TO MAINTAIN TRUST
AND PROVIDE TRANSPARENCY
REPORT OF INDEPENDENT
CERTIFIED PUBLIC ACCOUNTANTS
STATEMENT OF FINANCIAL POSITION
December 31, 2011
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 63,1 73,161
Total liabilities and net assets $ 68,263,585
The accompanying notes are an integral part of these financial statements.
STATEMENT OF ACTIVITIES
December 31, 2011
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 1 4,051,333
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 6 4,192,864
Net assets at end of year $ 63,173,161
The accompanying notes are an integral part of these financial statements.
SCHEDULE OF FUNCTIONAL EXPENSES
December 31, 2011
TV and
Cost of
Meetings and
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 1,579 221,408 557 18,464 5,753 291,139
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 94,610 876,108
Cost of Christian materials – – – – 2,478,819 – – 2,478,819
Depreciation and amortization 2,147,528 43,617 779,930 57,942 1 3 1,261 931,389 – 4,091,667
Dues, subscriptions, licenses and fees 182,047 363,237 415,444 49,409 5,573 546,695 18,379 1,580,784
Equipment rental 1,327,1 1 1 17,429 36,882 8,959 4,895 27,632 178,093 1,601,001
Insurance 393,613 659,714 1,277,530 505,839 449,383 1,749,692 18,798 5,054,569
Missions and outreach – 1 ,716 – 15,338,602 – 75,715 – 15,416,033
Payroll taxes 107,601 286,639 344,1 31 149,891 104,349 54 1,597 1,1 77 1,535,385
Pension 63,190 58,562 106,668 63,802 44,139 158,747 4,900 500,008
Postage 167,082 3,022,967 58,461 1,149,3 1 1 2,140,178 1 7,7 1 1 1,072,074 7,627,784
Printing and production 164,990 4,201,602 2,243 346,227 178 166,765 1,481,975 6,363,980
Professional fees 380,1 1 1 233,721 993,033 802,971 26,042 515,408 513,678 3,464,964
Promotional costs 8,323 105,438 – 162,677 271,054 76,861 377 624,730
Rent 961,1 15 4,998 8,860 15,274 1,543 9,761 126,333 1,127,884
Repairs and maintenance 150,309 35,1 3 1 133,719 75,480 76,179 250,574 16,942 738,334
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 33,832 940 8,799 28,254 284,782
Staff training 70,914 23,855 21,695 13,009 4,418 118,525 – 252,416
Supplies 342,925 863,572 500,290 282,849 161,352 332,285 70,376 2,553,649
Taxes and licenses 86,309 33,885 102,797 20,247 146,958 178,170 8,506 576,872
Telephone 9,271 10,552 259,308 67,023 3,158 44,257 2,412 395,981
Travel 1,131,353 109,381 154,620 650,648 14,986 143,272 147,896 2,352,156
Utilities 23,433 401,030 162,492 52,952 41,052 172,067 – 853,026
$ 10,731,900 $ 14,432,236 $ 30,614,080 $ 31,947,866 $ 7,299,297 $ 13,782,762 $ 6,262,895 $ 115,071,036
The accompanying notes are an integral part of these financial statements.
STATEMENT OF CASH FLOWS
December 31, 2011
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
The accompanying notes are an integral part of these financial statements.
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.
NOTES TO FINANCIAL STATEMENTS
December 31, 2011
NOTES TO FINANCIAL STATEMENTS
December 31, 2011
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 December 31, 2011.
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.
9. 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 December 31, 2011 have been accrued.
NOTES TO FINANCIAL STATEMENTS
December 31, 2011
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 958-720-05
“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 December 31, 2011:
Finished goods:
CDs $ 346,788
DVDs 1 2 7,670
Books 823,758
Kits 561,604
Other inventory items 509,343
Supplies to produce finished goods 201,609
$ 2,570,772
NOTES TO FINANCIAL STATEMENTS
December 31, 2011
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 December 31, 2011. 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.
NOTES TO FINANCIAL STATEMENTS
December 31, 2011
NOTE D – PROPERTY AND EQUIPMENT
Property and equipment includes the following at December 31, 2011:
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
$ 36,369,983
NOTE E – COMMITMENTS AND CONTINGENCIES
Airtime
The Church has radio and TV airtime contracts extending to 2012. These contracts may be terminated with a fourteen to sixty day notification. The average monthly cost of these contracts is approximately $2.6 million.
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 $492,500.
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 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
INDEPENDENT ACCOUNTANTS’ REPORT
ON MANAGEMENT ASSERTIONS
MANAGEMENT REPORT
TO SUPPORTERS REGARDING COMPENSATION
P.O. Box 655 · Fenton, Missouri 63026 · (636) 349-0303 · joycemeyer.org
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 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
INDEPENDENT ACCOUNTANTS’ REPORT
ON MANAGEMENT ASSERTIONS
MANAGEMENT REPORT
TO SUPPORTERS REGARDING PROGRAM EXPENSES
P.O. Box 655 · Fenton, Missouri 63026 · (636) 349-0303 · joycemeyer.org
4 TELLING STORIES
A Few of the Lives That Make Up Our Story
38 SHARING CHRIST Media Outreach Highlights
44 LOVING PEOPLE
Hand of Hope Outreach Highlights
54 NEW VENTURES The Story Continues…
56 STEWARDSHIP & SUSTAINABILITY The Partner Story
62 ACCOUNTABILITY Financials
TABLE OF CONTENTS
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