My wife, Ann, and I got married at Christmas our senior year in college. This year we will celebrate 39 years of marriage! Unfortunately, it took us 21 years before we were on the same page financially.
It finally took a Crown Study in 1999 to get us aligned financially. There is so much freedom when spouses are united around what the Bible says about money and setting proper goals. But that doesn’t make it easy!
No matter how long you have been married, it can be difficult to get on the same page as your spouse about money. But there’s no better time to start than now, especially if you are just starting out.
Here are 5 financial tips for newlyweds from Kiplinger.com:
In addition, I suggest you:
Fidelity.com has a Getting Married Checklist with some very practical tips. Regardless of whether you have questions about short-term needs or long-term strategies, you may benefit from their suggestions.
And, unless your parents are paying for your wedding, your immediate goal may be paying for the big event. If that’s the case, remember to spend wisely and avoid going into debt.
Deuteronomy 6:5 says, “You shall love the Lord your God with all your heart and with all your soul and with all your might.” Honoring Him with all He’s provided for you is the best way to start a marriage.
Did you know that we offer a comprehensive online course in biblical financial management? The MoneyLife Personal Finance Study will help you get out of debt, increase savings, and decrease stress. It’d be a great way for you and your future spouse to get on the same page and avoid some fights down the road.
The Bible contains more verses about money than it does about Heaven and Hell combined. Why? Because God created us and knows the role that money plays in our lives.
But across all 2,350 verses about money, not one of them says that borrowing, or being in debt, is forbidden. The Bible does not contain a direct mandate to never borrow money. It does, however, clearly indicate that borrowing comes with burdens and negative consequences. Scripture is clear that while debt itself may not be sinful, it’s also not God’s best for His people. This is because when we choose to borrow money, we are putting our trust and confidence in a credit card or a lender instead of in Christ. As it says in Proverbs 22:7, “The rich rules over the poor, and the borrower becomes the lender’s slave.” Borrowing can easily turn into a habit or cycle very quickly, pulling us further away from the Lord and the freedom He offers.
These biblical principles about borrowing and debt haven’t changed, even if the currency by which we borrow has. Credit cards are not evil, they are neutral. Credit cards are a resource, a form of currency, and by themselves can neither do good nor bad. But the way you choose to use your credit card determines its positive or negative impact.
When used wisely, credit cards can help you earn rewards and benefits. credit cards can kind of get you free money. Depending on the card, you can earn cash back points, flyer miles, and other perks by making purchases with your card and paying it off in full at the end of each month. But remember – no reward or perk is worth carrying a balance on your credit card.
But when used wrongly, you trap yourself in a cycle of debt, unable to make progress and thus wasting money on interest charges and incurring more debt to try and stay afloat. Paying off any debt requires discipline and sacrifice that unfortunately many people no longer have.
Over the last decade, overall household debt in the US has increased by 11%. The average household carries a credit card balance of over $16,000. Including all debt (like mortgages), the average household owes $135,284. Because of the increasing acceptance of relying on debt for survival, it opens a wonderful opportunity for the body of Christ to look, and spend, differently than the rest of the world.
Here are general biblical principles to keep in mind as you pray about the use of your credit card:
The Bible is explicitly clear about avoid surety (depositing a pledge in either money, goods, or partial payment for a greater obligation). Proverbs 11:15 tells us to not be surety for someone else – “He who is surety for a stranger will surely suffer for it, but he who hates going surety is safe.”
And Proverbs 22:26-27 remind us of more dangers associated with borrowing, “Do not be among those who give pledges, among those who become sureties for debts. If you have nothing with which to pay, why should he take your bed from under you?”
If you use a credit card for the points or rewards, pay it off in full at the end of each month. Romans 13:8 says, “Owe nothing to anyone except to love one another…” It also doesn’t actually help your credit score to carry a balance month to month and the interest charges tend to be outrageous. Be sure to do your research and find a card that has a great rewards program. Remember Psalm 37:21, “The wicked borrows and does not pay back, but the righteous is gracious and gives.”
If you do incur charges on your credit card, stop using it until you have paid off all your charges and work diligently to pay them off as quickly as possible. Your home mortgage should be the only long-term debt you have, if any, and even that you should work to pay off as quickly as possible.
For Christians, bankruptcy should not be an option. When you borrow, you are making a vow or a promise to repay what you borrow. Even if the law says bankruptcy is an acceptable option, God still expects us to repay all our debts and fulfill our promises. Ecclesiastes 5:4-5 explains, “When you make a vow to God, do not delay to fulfill it. He has no pleasure in fools; fulfill your vow. It is better not to make a vow than to make one and not fulfill it.” It may take time, hard work, and a lot of sacrifice, but you can pay off your debts and honor the Lord while you do it. Read the story of the widow in 2 Kings 4 to find encouragement, and imagine the power of your testimony after working to pay off your debts!
This may be one of the most important principles to follow when it comes to achieving any financial stability. Most Americans don’t even have $500 saved. Couple that with the staggering amount of debt owed by each household and it’s no wonder credit card debt is a growing epidemic. Proverbs 21:20 says, “There is precious treasure and oil in the dwelling of the wise, but a foolish man swallows it up.” Protect yourself from having to depend on your credit cards to pay for an emergency or unexpected expense by having a healthy savings account. Start with a $1,000 and work your way up to a year’s worth of living expenses.
This applies to those with and without debt. Following a budget is the absolute best way to see where your money is going and what purposes it’s serving. You can get started here.
If you need to get out of overwhelming credit card debt, get in touch with Christian Credit Counselors. Their highly-trained team of friendly counselors can help you establish a plan to pay off your cards the right way. You can get started with a free debt analysis now.
Remember that not everyone should have a credit card! Be honest with yourself and pray about the decision before you continue to use yours or get one. It takes wise management and discipline to use it the right way, so spare yourself the debt and pain if you know you won’t handle it the right way.
If you need a plan to pay off your debt, start with the Debt Snowball calculator. It will show you exactly how long it will take to pay off your debt, how much interest you can save, and a payment schedule to follow. It’s easy to use, so don’t wait!
Work shouldn't be draining and unfulfilling all of the time. We have developed a checklist that will help you determine what you can do today to improve your current situation and create a plan to make your work mean something again.
Have you ever failed? I mean, really failed?
You know that sickening feeling when you realize you’ve missed the mark, made a huge mistake, or gone just a little too far. No wonder it’s one of our greatest fears.
You want to know what my biggest financial failure was? I became successful in the eyes of the world, but a failure as a steward of what God had given me. I got so distracted by my own goals and achievements that I sought after the wrong things – I accumulated worldly wealth instead of true Kingdom riches.
But God isn’t unaware of our mistakes. In fact, 2 Corinthians 12 tells us that in our weaknesses and mess-ups, He’s made even greater. So don’t give up.
Repentance is part of learning from your mistakes. Come humbly before God to confess your failures and surrender your future. He’s slow to anger and abounding in love – God can always redeem your mistakes for His purpose. If you have this attitude, you may be able to avoid messing up in the first place! Psalm 37 tells us, “Commit everything you do to the LORD. Trust him, and he will help you.”
If you’re making short- or long-term goals, pray about them and commit them to the Lord. Proverbs says, “In their hearts humans plan their course, but the LORD establishes their steps.”
No matter what your failure is, it’s never so bad that God can’t redeem it.
Ask Him to reveal what He wants you to achieve. Abide in Him and He will give you the desires of your heart. Crown’s online Money Life Personal Finance Study helps you connect with what God’s Word says about your finances, career, and life. This 7-week study is a great way for you to dive deeper into your relationship with God as you transform your finances.
In Mark 12, we meet the poor widow who gave two small coins in the temple treasury as her offering. In verse 42, Jesus said, “Truly I say to you, this poor widow has put in more than all those who are contributing to the offering box. For they all contributed out of their abundance, but she out of her poverty has put in everything she had, all she had to live on”.
At church, I was asked, “If Jesus commended her for this gift, shouldn’t we too give all we have?” Great question.
This widow is considered one of the greatest givers in Scripture.
We know God wants us to be cheerful and generous givers, so should we also give all we have?
The principle we learn from the widow is that her heart’s condition was right – she knew Jesus is worthy of everything she had. She teaches us the right attitude and motives for giving; she didn’t give all she had out of obligation, but out of love, honor, and reverence.
However, she is not considered the greatest saver in Scripture. The Bible points to Joseph, who saved a nation and the people of God by saving diligently for seven good years in preparation for seven years of famine. In Proverbs 6 and 30, we learn from the lowly ant the habit of saving during the harvest to have something for the winter. So yes, we should give like the widow, with a heart attitude of God’s absolute worthiness to have all we possess, but we should also save like Joseph.
Finally, God commending her actions does not make her more righteous. He used her pure heart to point out the hardened hearts of the Pharisees and to encourage all the givers of the world that any gift with the right attitude matters greatly in God’s kingdom. But she was not more righteous. Only the grace of God makes her or you and me righteous in His eyes.
Are you a generous giver? Sometimes what we believe about money and how we behave don’t match up with Scripture – for example, you may believe that giving is good, but you have a hard time following up on the action. The MoneyLife Indicator assessment will help you see where these areas of growth are, as well as what financial areas you excel in. It’s free and will help you focus on specific areas of growth so you can become a better steward and find more freedom.
You’re on your way!
You’ve done all the right things to prep for a career or at least your first real job. Your grades are excellent; you’ve talked to counselors and others you respect about possible careers; you even did a job shadowing with a friend from church. You know about the difference between hanging out on monster.com and doing serious networking. Maybe you’ve had an internship.
But there’s one indispensable ingredient to the career mix: you, and how God has wired your personality. Are you an extrovert or an introvert? Detail oriented or more of a big-picture thinker? How do you handle conflict? In school or other settings you may already have taken some of these tests that assess individual personality. And more likely than not, as part of the hiring process, you will be asked to take some sort of assessment or aptitude test, both to see if you have the abilities required for the position but, more important, to determine whether your personality is right for the job and for the team you’ll be working with.
Why are these tests important? I have seen time and time again that those who achieve incredible career success know their strengths and play to them. Those who have career disasters often ignore their strengths and gifts and allow their personalities to derail them in the workplace. Take time now to learn about yourself—as it will be a career changer!
One of the best personal assessment tools I’ve come across in my career in the business and nonprofit worlds is Personality I.D.® It’s based on the DISC inventory, which is widely used in the work world. DISC stands for Directing, Interacting, Supportive, and Conscientiousness. Personality I.D.® breaks down these traits into 17 “blended profiles.” Each of us will fit one of these profiles, and they will impact how we work with others and what careers and jobs will be best for us based on our gifts and skills. Each has their strengths and weaknesses. If you are questioning what you want to do in life, or want to learn about yourself so you can be successful in your job and career, this assessment is a perfect place to start!
Let’s look at four of them as examples.
As the name suggests, the Driver is a natural leader—bold, direct, confident. She loves new challenges, building a new enterprise, initiating. She struggles with details and routines and can be a poor listener, insensitive to others’ feelings. She will thrive in a setting where she is given a lot of independence and the challenge of meeting big goals—without having to worry about the details.
Rachel is a natural Driver. After graduating from college she took her love of business and the start-up world to form an investment group that helps entrepreneurs get funding for their projects. This practice is known as “angel investing.” Rachel helped organize and direct a large group of investors around the country into one of the most prominent angel capital groups helping new business get started and helping create jobs around the country. She is a perfect Driver and getting great results!
She loves people—and they love her back! And why not? The Networker is optimistic, engaging, persuasive, even inspiring. A skilled communicator, she is at her best sharing new ideas, concepts, and information with a group. However, she can sometimes talk too much, be emotional and impulsive, and overlook details. But provide her with variety and creative opportunities and she shines!
Heidi is a born Networker. She has a diverse group of friends and associates around the country and she loves connecting people and sharing things with them that will help them in their lives. A few years ago she was struggling with her weight and health. After starting a new weight loss and fitness program and achieving astonishing results, she began to share her results with her friends. They quickly joined in, and soon a business was born. Heidi became a leader and spokesperson for a fitness revolution helping many across America—and started a business for herself in the process!
If you want to make sure something gets done, ask the Administrator. She is steady, persistent, loyal, a good “team player.” But, as so often happens, her greatest strength can be a weakness: she can be so focused on reaching a goal that she can come across as stubborn and inflexible. She functions best in team settings where she can be the one keeping everyone on track. Elderly people should exercise caution during treatment with Phentermine, since the metabolic rate decreases after 55-60 years, and the drug is delayed. This phenomenon can lead to the effect of an overdose against the background of taking a minimum amount of the substance. Read more at Warren Labs Aloe.
Amy was a young intern who took the Personality I.D.® assessment and learned she was an Administrator. During her internship she focused on admin work for the company and got rave reviews from her boss. She was focused on her areas of strength, and quickly made a name for herself within the organization. When the internship was over she was offered a full-time job and leadership role within the company. Four years into her employment she has had multiple promotions and continues to perform at a high level. A natural administrator, Amy played to her strengths and is on a great career path because of it.
She’s the one who loves to do research! The Deep Thinker excels working with data, analyzing, developing plans. Precise and conscientious, she can also fall into the trap of perfectionism and may be hypersensitive to what she sees as criticism. Hand her a complex project involving lots of information and ask her to come up with logical solutions, and she will deliver.
Sheila has been with her company for close to 25 years. She is gifted as a deep thinker, and throughout her career has naturally gravitated to roles analyzing data and developing plans. Serving in multiple roles, she rose through the ranks to become a senior leader for her organization, always staying focused on roles that would allow her to use her gifts and natural abilities. Now she is mentoring young women, showing them how to do the same.
There is no single path to success. It is good to ask questions and study other leaders and what worked for them. However, it is critical to take what you have learned and contextualize it, based on your own unique skills, gifts, and abilities. Play to YOUR strengths! The key to success is to be the best version of YOU and don’t try to be someone else. You have to know yourself to lead yourself!
There is no better time for exploring your God-given personality than right now, when you’re starting out. You can position yourself for success . . . and save yourself problems down the road. I’ve seen both. Know yourself—and thrive!
Originally published on RelateMag on June 10, 2017
Dear Chuck,
For years I have always managed to earn more than I spend. But, my fiancée says we need a budget and she wants it before the wedding.
Help!
Dear Help,
Funny how a fiancée (or wife) can motivate us to get our act together! There seem to be two parts to your question: a) should you say yes to your fiancée’s request? and b) how to put a budget together before the wedding?
The first answer is definitely, yes! Larry Burkett said if he were a pastor he wouldn’t marry a couple thathad not first developed a budget. You have a wise fiancée! Plus, you’ve demonstrated love and honor by seeking to fulfill her desire.
As a single person, it sounds like you’ve been able to get by without a budget because you knew when the money was coming in and where it was going. Adding a wife to the picture requires a plan to manage your combined spending. God will use money to reveal your strengths and weaknesses and teach you to depend on Him more fully.
You’re entering a covenant relationship. A clear financial plan is one way to help your marriage flourish. Dedicating your lives to Christ and His Word will give you wisdom for the days ahead.
Now for the how-to part of your question. A budget is simply a plan that allows you to steward wisely. It’s a visible way to help you handle your money over the next year and years to come. It demands honesty, total transparency, and common goals.
Think of a budget as a reference for both you and your future wife – it will aid you in communication, reflect your individual spending habits, reveal areas for improvement, and help you agree upon a philosophy of money.
Here’s an easy 3-step approach to get you started:
You both need to track your spending for 30 days to get an accurate idea of what your expenses really are. You can use a budgeting app connected to your bank account, print off your bank statement at the end of the month, or keep a written log to help you keep track. Regardless of the system you choose, you need to be diligent about recording every dollar you spend, every day. Keep in mind that if you use a digital option, you’ll still need to account for any cash you spend.
First, calculate your monthly income.
This is the amount you take home after taxes and employer-based retirement deductions (401(k), 403(b), etc.) have come out. If you’re paid biweekly, double the amount of one paycheck; if you’re paid weekly, multiply by 4. Use your bank statements and paystubs to help.
Second, calculate all monthly expenses based on your combined spending record from Step 1.
Include credit card statements, loan data, utility statements, groceries, phone and internet bill, subscriptions, transportation costs, and cash receipts. This download will help to show you what expenses you should look for to find your total expenditures.
Third, define specific categories. Every dollar that you spend should belong in a category.
You need to account for your fixed expenses first: those are expenses that are the same month to month – tithe, savings, rent, insurance, loans, etc. Next, account for variable expenses: these vary from month to month – utilities, transportation, clothing, food, medical expenses, gifts, entertainment, etc.
Remember that for all of these you are working off a monthly basis. If you have an expense that only comes up once a quarter, you should still include it in a category.
Fourth, subtract the expenses (Step 2) from income (Step 1).
The Easy Guide to a Budget You Love walks you through each of these steps to make budgeting simple, practical, and enjoyable! It sounds like you have a good history of spending less than you earn so you should have a surplus here. Once you have the difference between your expenses and income, apply any surplus to specific categories and goals (savings, investments, future car, house fund, vacation, adoption, etc.). If you have a deficit (your spending is greater than your income), cut expenses out until you have a $0 bottom line.
Once you fill out all areas of your budget, print it, and put it where you can refer to it regularly.
Schedule an hour every month to go over the numbers together. Put it on your calendar now to repeat monthly, so it will be a habit throughout your marriage.
Take the initiative to make your meetings stress-free by having fun snacks, coffee, popcorn, or whatever your “budget” allows. Pray together before you begin, asking the Lord to shed light on any problem areas and for your speech to be seasoned with grace. This is not a time to accuse but to grow so your wallet reflects your heart.
You may want to recruit a wise older couple to come alongside you. Years of wisdom can dispel fears, answer questions and shed helpful insights.
Forbes recently reported several reasons budgets fail. These include:
Crown’s Money Map can help you stay on track with your budget and the rest of your financial goals. Starting your marriage off on the same page financially will be a large blessing to both of you for years to come.
I urge you to keep your life free from the love of money so you develop a lifestyle based on conviction – not circumstances. Gratitude, trust, and seeking God’s will from the very first budget meeting will serve you well. Like Joshua, may your use of money be a tool that allows you to declare together, “But as for me and my house, we will serve the Lord.”
Let me know how you are doing and congratulations on your upcoming marriage!
Originally published on the Christian Post, June 30, 2017
There are many misconceptions and myths about money. Many of them are completely untrue, but some are more untrue when you look at them through the lens of a faithful, biblical steward. Here are some of the top 6 money myths and a biblical perspective.
This money myth isn’t true at all! Investing is not unscriptural. In fact, in the Parable of the Talents in Matthew 25, each man receives according to their abilities and is directed to manage their portions well. Each steward was then rewarded or punished based on how he used the money given to him.
Investing is also different than gambling. When you gamble, someone else has to lose in order for you to win. It’s also the ultimate get-rich-quick scheme that usually preys on the poor and is motivated by greed and covetousness.
An important distinguisher is between investment performance and investment purpose. Performance will vary based on our response to constantly changing factors beyond our control. Increased knowledge and discipline should lead to increased skill and better performance.
Investment purpose, however, is not a matter of skill. It is a matter of intent. It’s the foundation for the spiritual and moral side of the equation because as you learn to invest money according to God’s principles, you’ll find that God will increase your opportunity to help other people. In reality, the true purpose of godly investing is to increase your assets so you can serve God more fully. If you are simply multiplying your money and storing your assets without a purpose, you’ll be guilty of hoarding, like the rich fool in Luke 12.
This is a surefire way to get into debt. A savings account is crucial because you can’t always plan for emergencies and the unexpected in life. Instead of charging medical costs, car repairs, and home improvements on your credit card, dip into your nest egg of cash and avoid debt altogether. The Bible doesn’t prohibit borrowing, but it does discourage it.
This is a very common myth – that credit card companies want to see your ability to pay off balances steadily and over time. But this actually doesn’t do anything for your credit score! It just prolongs the amount of time you’re in debt and the amount of interest you are paying. If you use a credit card for cash back rewards or airline miles points, pay it off in full every single month. Commit to not be in debt, even if it’s for a short period of time.
When you are renting, your monthly payments aren’t an investment in a piece of property that is going to increase in value – whereas mortgage payments on a house will.
But for a lot of people, renting is a much better option. This could be for a variety of reasons. If you foresee a move coming up in the near future, if you have a busy lifestyle that would prevent you from taking care of the home and landscaping, and if you don’t have enough money to make a 20% down payment on a house.
The most common complaint about renting is that you’re just “throwing away money”. This can be true in one sense, since you are paying your landlord and not appreciating value on your apartment, whereas a house increases in value as you make your payments.
But in the same sense, you “throw away money” on food and gas every week. You need a place to live, and it’d be better to rent an apartment than to be in a house and waste more money on a mortgage, or worse — on interest, repairs, landscaping, etc.
The biggest rule of thumb here is if you have a 20% down payment for a house.
You should have a budget no matter how much money you make. But if you live paycheck to paycheck or find that money is tight, it will be even more vital for you to stick to a budget. A budget allows you to know exactly where all your money is going so you can control it, instead of it controlling you. To make a budget you love, start here.
Neither of these myths could be farther from the truth. If you’re young, now is the most important time to start planning and saving for retirement. Compound interest is a beautiful thing that works for you…if you give it time.
And it’s never too late to start saving for retirement. It would be better to have something saved for retirement than nothing at all. Even if you plan on never retiring, if you have some savings, you can leave it as an inheritance for your children or as a gift to your church or ministry. Part of being a faithful steward is saving money so you are positioned to serve God however He wants.
Remember that stewardship is all about managing your life in a way that God can spend you however He wants. If you’re stressed or anxious about money, surrender your circumstances to the Lord and ask Him for direction.Crown has a great online study that helps you do this – it’s self-paced so you can go through each of the 7 lessons whenever you have time, and it is great for individuals or married couples. Understanding what the Bible says about money vs. what the world says about money can be overwhelming, but this study will make it simple.[/vc_column_text][/vc_column][/vc_row]
Congratulations! You have made it through your first full week of (official) summer. For many of you, your kids have probably been out of school much longer than just one week, and you may be wondering how to make it through the next 2 months with all their limbs and your lamps still in tact.
But summer is also a great time to be working on your budget, growing your savings account and trying to get a head start on retirement, which means that whatever the antidote for cabin fever is, it can’t be very expensive….or really cost any money at all.
So we’ve put together these 10 awesome summer activities that cost $10 or less, and your kids are sure to love them.
Bonus tip: Google free events in your city and see what’s happening. There’s usually a pretty long list of summer activities you can participate in – VBS, drive-in movies, and picnics are all common. Recruit some other families to go with you and have some fun!
Keep in mind that “creativity blossoms when economy demands”. Let your discipline of budgeting and wise stewardship be an example to your children this summer, and include them on some of the money conversations. You may be surprised at all you can learn from your children this summer as you strive to become an even better steward.
Crown’s has a new book all about teaching your kids to become faithful stewards. It’s packed full of practical activities and biblical direction that will help you and your child learn what God’s Word says about your money. For a generous donation of any amount, we will send you your own copy of Raising Money-Wise Kids to thank you for your generosity.
And don’t forget to share your fun summer activity ideas with us!
Check out how Chuck and Ann have taught their sons about money management:
How is your summer going so far?
My husband and I just bought our first house about 3 months ago (which can be an exhausting process), so this summer has been filled with fun home improvement projects. With many of those projects come other unexpected projects, but it’s all part of the fun of homeownership, right?
No matter how long you’ve owned a home, there are some basic projects you can do this summer to keep your house in great condition and add value to it. Sometimes it makes sense to spend money in order to save (or make) money in the long run. Here’s a great list of DIY home improvement tips for you to consider this summer:
Stewardship encompasses everything that God entrusts to us, and for most people, their house is the most expensive item they own. What better way to live as a good steward than to take care of the most valuable material item you have? But remember to store up for yourselves treasures in heaven, not on earth. You and I won’t be able to take our freshly painted house or beautifully landscaped yard with us to heaven. Be a wise manager here on earth but remember that it’s not your final destination – remember the words of Joshua, “as for me and my house, we will serve the Lord.”
Now that you have a plan for keeping your house in order, give your finances a summer tune up too! Download the Money Map and see where you are on the road to financial freedom.
What home improvement projects are you working on this summer? Share your ideas with us!
