It's Not The Economy – But It Might Be You

“When giving trends decline, it’s far more comfortable to blame external circumstances than to look inward. But the truth is, the factors that most influence giving are almost always internal.”

The Economic Mirage

Every time the headlines warn of inflation, interest rates, or another market shift, many church leaders brace for impact. They expect giving to dip and brace themselves with a familiar refrain: “It’s the economy.”

But the latest Lifeway Research study tells a different story. In 2025, only 49% of pastors say the economy is negatively impacting their church—a sharp drop from 66% last year. In other words, fewer pastors are blaming economic conditions for their financial challenges.

And yet, giving levels haven’t dramatically changed. One in five churches still report declining offerings, while more than a third are growing. What’s going on?

It’s simple: the economy isn’t the decisive factor in a church’s giving health. It never has been. The real story lies within the walls of the church itself—in leadership, culture, and spiritual vitality.

The Real Story: Internal, Not External

I’ve worked with churches for more than three decades, across every region, size, and denomination. If the economy truly dictated giving, then all churches in a given region would rise and fall together. They don’t.

In the economic adjustment period of 2008-2010, some churches grew in giving, some shrunk and some remained flat.

The same thing happened when the economy was going strong from 2014-2019. 

And the same thing happened during the pandemic period from 2020-2022.

Some churches thrive through recessions. Others struggle during economic booms. The difference?

Health. Leadership. Vision.

Generosity doesn’t follow the Dow Jones—it follows discipleship. When a church’s mission is clear, its leadership is healthy, and its people are spiritually engaged, giving is strong—regardless of the headlines.

When those elements falter, giving falters with them.

Leadership Sets the Temperature

“The giving temperature of a congregation almost always matches the emotional and spiritual temperature of its pastor.”

This may be the single most consistent truth I’ve seen in 30 years of consulting.

When the senior pastor leads from passion and conviction, the church’s culture reflects it. 

Vision is clear, confidence is high, and people respond. They invest their resources in what they believe God is doing through that church.

But when the pastor is weary, uncertain, or discouraged, the congregation feels it. Vision blurs. Enthusiasm wanes. Giving slows.

That’s why pastoral health is a generosity issue. A tired, isolated, or anxious leader cannot sustain a culture of abundance. Churches that prioritize the emotional and spiritual health of their pastors are not just caring for their leaders—they’re protecting the financial and missional health of the church.

Measuring the Right Indicators

Economists track GDP and inflation. Church leaders should track something more telling:

• Is our vision clear and compelling?
• Are we making disciples who understand generosity as a spiritual practice?
• Are we telling stories of impact that connect giving to life change?
• Is our leadership team healthy, aligned, and energized?
• Are we growing—not just numerically, but spiritually and missionally?

If the answers are yes, the giving trend almost always follows upward. If not, no change in interest rates or stock prices will fix it.

A church’s financial health mirrors its spiritual health. The deeper the discipleship, the stronger the generosity.

The Power of Growth and Momentum

When a church is growing—new people joining, ministries expanding, lives being changed—giving follows. Growth creates momentum, and momentum fuels generosity.

People want to give to something that’s alive.

When the church’s story is vibrant and visible, people see their giving as part of something that matters. But when a church feels stagnant or inward-focused, generosity dries up. 

Again, that’s not about the economy; it’s about energy and vision.

What the Lifeway Data Really Tells Us

The Lifeway Research report is encouraging. While about half of pastors still perceive negative economic effects, the trend line is improving. At the same time, 37% of churches report an increase in giving—a number consistent with pre-pandemic norms.

In other words, even amid inflation, high interest rates, and global uncertainty, many churches are thriving financially. That’s proof that internal strength outweighs external pressure.

Scott McConnell of Lifeway pointed out that local factors and leadership perspectives have more influence on giving than national economic trends. He’s right. Local leadership health, vision clarity, and congregational engagement matter far more than the Federal Reserve’s latest decision.

The Politics Trap

McConnell also noted that pastors’ views of the economy often align with their political leanings. That’s revealing—and risky.

When pastors interpret their church’s financial reality through a political or cultural lens, they can unintentionally project fear, scarcity, or division into their leadership. But the church’s mission transcends political and economic cycles.

The Kingdom doesn’t shrink in a recession or expand with the stock market. It advances through faith, obedience, and generosity. When leaders remember that, they lead with confidence instead of anxiety.

What Pastors Can Do Now

If you’re a pastor or church leader navigating financial tension, here are some next steps:

1. Look inward before you look outward.
   Conduct an honest health check—on your leadership, your systems, your staff culture, and your own soul. External excuses mask internal issues.
2. Clarify and communicate vision.
   People don’t give to needs—they give to vision. Regularly tell stories of impact. Show how giving changes lives.
3. Prioritize your own health.
   Take time for rest and renewal. A healthy pastor creates a healthy church culture, and that culture fuels generosity.
4. Teach and model generosity.
   Don’t assume people know how to give or why it matters. Discipleship includes stewardship.
5. Celebrate fruit, not fear shortfalls.
   Gratitude multiplies generosity. Celebrate every story of God’s provision and every person transformed through giving.

The Bottom Line

“When a church is healthy, its people are generous. When a pastor leads from strength and faith, the congregation follows.”

Yes, the economy matters—but it’s not the determining factor in your church’s giving.

The real drivers are internal: leadership health, mission clarity, congregational engagement, and the emotional and spiritual vitality of the pastor.

The 2025 Lifeway Research findings remind us that fewer pastors are blaming the economy. That’s progress. But we can go further—by taking responsibility for what truly shapes generosity: the spiritual and organizational health of the local church.

When a church is alive with purpose and faith, resources flow.

Because ultimately, it’s not the economy. It’s the heart.

About the Author

Jim Sheppard is the Chairman and Principal of Generis, a consulting firm that helps churches, Christian schools, and faith-based organizations accelerate generosity toward their God-inspired vision.

With more than 30 years of experience guiding leaders and congregations, Jim is a trusted voice in stewardship, generosity, and organizational health.
Learn more at www.generis.com

This blog post originally appeared on Church Leader Insider. For more information or to subscribe to Church Leader Insider, click HERE.

https://www.christianpost.com/news/fewer-pastors-say-economy-is-negatively-impacting-their-churches.html