Dear Chuck,
My home is in need of multiple costly repairs. My neighbor just did a major update on his home, and he told me he did it with a cash-out refinance. We also need a new car. What should we do?
Refi Home
Dear Refi Home,
There is a lot in your question that I hope I can assume correctly and give you some solid advice.
I must assume you are free of all consumer debt and have built your emergency savings fund to three to six months of your current living expenses. Also, I assume your car is paid for and you will not borrow money from your equity to buy a new car. Getting out of debt and having emergency savings are higher priorities than doing repairs on your home or buying another car, and these are certainly not things that I recommend that you borrow against your home to achieve. With that aside, let’s talk about what you may be able to do with a cash-out refinance.
Bankrate.com says homeowners pulled $70 billion in equity from their homes in cash-out refinances in the third quarter of 2021. It was the highest rate in over 14 years. Back in ’07, the housing bubble was about to burst, holding many vulnerable to foreclosure. Borrowers last year had higher credit scores and pulled cash at a third of the rate of ’07. Higher home values reflected lower loan-to-value ratios. It’s led to the lowest total market leverage ever recorded, with the average borrower’s mortgage debt at just 45%. This is a sign of the inflation in real estate values that we are experiencing.
Refi Advice
Rates are on the rise, so if you hope to lock in a decent rate, you need to act quickly.
I recently recommended a cash-out refi for one of my sons. His historic home needed a new roof and some interior work. Because he is an army veteran, he was able to get a fantastic rate with no closing costs. His property has appreciated, so his refi provided enough cash to cover all repairs at a lower mortgage payment. It was a complete win for his family.
A traditional refinance involves retaining a financial institution to trade your existing mortgage for a new one at a better rate. With a cash-out refi, you borrow more than your remaining mortgage balance and convert equity in the form of a check or wire transfer to your bank account. In other words, you pull equity from your home to use for the repairs.
There are pros and cons with the length of the loan. A 30-year note offers lower monthly payments but a greater interest rate and higher total costs over the life of the mortgage. A 15-year note will cost less in the long run but has higher monthly payments. Decide on the length of loan that serves you best. Just remember: the shorter the term, the better the rate.
Careful Use of Funds
A cash-out refi makes sense if you need some money for home improvements or repairs. Using your mortgage to get a new HVAC or roof may be the cheapest money you’ll find. If you want to update kitchens or bathrooms, research what brings lasting value. Be mindful of resale potential for your area. Increasing the home’s market value will add to your home equity. My rule of thumb is to always use the funds to put back into your home to protect its value. Avoid using your home equity as an ATM for your impulse spending or lack of self control.
Using a cash-out refi to pay down private student loans at high rates makes sense, but not on Federal loans with reasonable interest rates. Using your equity to invest in your career can be beneficial. On the other hand, don’t refinance for cash to go on vacation or buy consumer goods. Instead, find ways to increase your income or decrease expenses. You could also do a simple refi to get a lower payment which would enable you to pay down debt. Some financial pros say that cash-out refi can be wisely used to boost retirement savings if placed in a diversified portfolio. For most people, pulling out home equity to invest is a risk that I don’t advise taking. By all means, don’t use it for day-trading or buying volatile stocks like crypto.
Dangers of a Cash-out Refinance
Risk of Foreclosure: A larger home loan can increase your mortgage payments. Never take out more than you can comfortably cover because you could fall behind in payments and lose your home.
Closing Costs: Costs vary by lenders. Make sure you understand all charges in order to accurately compare and assess quotes.
Overspending Cycle: Paying off high-interest debt with low mortgage rates makes sense if you have self discipline to avoid repeating your mistakes. Control your spending, and manage your finances wisely, or you could end up in the same predicament in the future.
Some other considerations involve how long you plan to stay in the home and whether you have a prepayment penalty on your mortgage. If a larger loan reduces your equity to less than 20%, you may have to pay private mortgage insurance (PMI). Avoid this.
If you already have a low mortgage rate, a home equity loan or line of credit may serve your purposes. Whatever you choose to do, proceed with caution. Do your research on the lender, the terms of your note, and the costs involved. Most of this is available online or by asking your lender for full disclosure documents. Read all the fine print. Ask questions. Don’t assume that you are not vulnerable to being ripped off. Seek wise counsel, and pray for wisdom. God gives it generously. (James 1:5)
We have several Crown Stewardship Podcasts that you may find beneficial. Some of our recent ones include preparing for inflation, finding relief from debt, and lowering expenses while increasing faith.
This article was originally published on The Christian Post on January 14, 2022.
Dear Chuck,
I dread making financial resolutions every new year because I usually fail at keeping them. Can you offer any simple tips to help me manage money better this year? Something that’s fail-proof?
Fail-Proof Financial Resolutions
Dear Fail-Proof Financial Resolutions,
First, Happy New Year! It is always exciting to me to roll the calendar over to a fresh start on the 365 days ahead. As of today, we have 358 remaining to plan a new path forward!
While there is no such thing as a “fail-proof plan,” I can give you Biblical advice that has stood the test of time when it comes to your financial resolution for 2022. Here it is: Give First. Save Second. Faithfully follow this plan, and you will experience true financial freedom! Now, let’s break it down into some action steps.
Give First
Invite the Lord into your finances. Ask Him to give you the motivation to make giving your highest financial priority for 2022 and beyond. Proverbs 3:9 tells us to “Honor the Lord with your wealth and with the firstfruits of all your produce.” (ESV) Do you truly honor Him first? God wants to conform us into His image. He does that by asking us to trust Him by first giving away a portion of what He provides. Ask yourself whom you are honoring in the way you use what He provides.
Generous living is one of the greatest blessings of financial freedom. Once you develop the habit of giving first, you will discover the joy in it, and soon, it will become part of your normal routine. When giving comes from a heart of sincere love and gratitude, it will change you. If God increases your income, increase your standard of giving, not just your standard of living. I believe starting with a goal to give away 10% of your total income (gross amount) is a clear standard set forth in Scripture. While not a law, it is an objective target for honoring the Lord.
Save Second
We can save when we follow the warning in Hebrews 13:5: “Keep your life free from the love of money, and be content with what you have, for he has said, ‘I will never leave you nor forsake you.’” Contentment is what makes us able to actually enjoy frugality. It is what gives us flexibility in our budget so that we can save as needed. Automatic deposits insure consistency. Save 3-6 months in an emergency account. Then, set some short- and long-term saving goals for things like vehicles, a house, vacation, and retirement.
Resolve to Take Action
Should you make “Give First, Save Second” your New Year’s resolution, you will fail if you do not take action. The first attack will be to think you cannot afford to give first or save anything because you are constantly short of the funds to accomplish one or both goals. Let me introduce you to another principle that will ensure your success this year.
The way you accomplish this is by exercising what Bob Lotich calls The Never 100 Rule.
Do not spend everything you earn. Never spend 100% of your income! Get that? Never!
King Solomon said it this way: “The wise man saves for the future, but the foolish man spends whatever he gets.” (Proverbs 21:20 TLB) The simplified version of that is: “If your outgo exceeds your income, your upkeep will be your downfall.” If you spend more than you earn, the stress of keeping up will be overwhelming! Abide by the Never 100 Rule, and you will find margin to give and save.
Most people have to adjust their spending habits to make this work. If you don’t have a budget yet, I highly recommend one. Download our Easy Guide to a Budget You Love, or use an app. Track your spending for a month or two so you can estimate how much you need to allow for each category. You will likely discover holes in your “bucket.” Plug them. Here’s how:
Find Joy in the Journey
Charles Dickens said, “There is nothing in the world so irresistibly contagious as laughter and good humor.”
My suggestion is to face the year ahead with a good attitude. Make it fun to deny yourself things you once compulsively purchased. Laugh, and enjoy it because you know God is orchestrating your steps for His purposes. Do your best with what He gives you to manage. Be proactive, and face 2022 with laughter, expectancy, and renewed purpose. Resolve to see this year through the lens of an eternal perspective. Acknowledge God as your Provider, then give and save out of devotion to Him.
The Crown Stewardship Podcast is a wonderful tool to help guide you in the many facets of God’s financial principles. You can subscribe for alerts on new episodes. I hope you find it a valuable resource; enjoy!
This article was originally published on The Christian Post on January 7, 2022
Dear Chuck,
I have the After-Christmas Blues. My joy gets packed away with all the Christmas decorations. How can I carry the joy of Christmas into next year?
After-Christmas Blues
Dear After-Christmas Blues,
It is not uncommon for people to experience depressing thoughts after Christmas. Not only are the beautiful decorations packed away but loved ones also depart, and loneliness can settle in. For some, the extra stress of the bills for gifts, parties, and travel are coming due, which adds to the loss of joy.
As believers, we know that the greatest joys of Christmas are derived from giving. To avoid melancholy or depression, choose to carry the giving spirit with you throughout the year.
The Spirit of Giving
In his wonderful book Knowing God, J.I. Packer wrote:
“The Christmas spirit is the spirit of those, who like their Master, live their whole lives on the principle of making themselves poor—spending and being spent—to enrich their fellow humans, giving time, trouble, care and concern, to do good to others—and not just their own friends—in whatever way there seems need. If God in mercy revives us, one of the things he will do will be to work more of this spirit in our hearts and lives. If we desire spiritual quickening for ourselves individually, one step we should take is to seek to cultivate this spirit.”
Give
Years ago, I heard the story of a woman who was so depressed knowing her child planned to marry someone outside of their social class that she ended up hospitalized in a fetal position. A pastor, who knew her well, spoke the Word of God over her and gave her this advice: “Go home, bake brownies, and take them to visit families with a child in a local hospital.” Simple advice—but it worked. It renewed her thinking by serving others.
Giving gets our eyes off ourselves. Jesus emphasized it because He knew it was good for us. The Apostle Paul told the Ephesian elders, “In all things I have shown you that by working hard in this way we must help the weak and remember the words of the Lord Jesus, how he himself said, ‘It is more blessed to give than to receive.’” (Acts 20:35 ESV)
Giving Is Good Stewardship
This year, the federal government expects to collect about $3.863 trillion in explicit taxes. Nearly $2 trillion will be collected through individual income taxes. If you itemize, charitable giving can reduce what you owe. This is the final day of the year for giving to impact your 2021 taxes. But you can begin the new year with a giving mindset.
There are several ways to make your giving go further. The first is the gift of stocks, bonds, and mutual funds. These are growing in popularity because donors can claim the fair market value as an itemized deduction. If they’ve appreciated over time, it’s a win-win for donors and charities. The second is bunching or concentrating deductions in one year then skipping one or more years. Third, establish a donor-advised fund. I recommend The National Christian Foundation. Donors make a contribution and receive an immediate tax deduction, while contributing to charities over time through the fund. The benefit at this point in time is that you get the deduction and have time to pray about where to give your support.
Ask the Lord where to give so you rely on the leading of the Holy Spirit, not your emotions. We are not called to give to every cause or every person who asks us. We are to prioritize, budget, and seek wisdom for whom to give to, how long, and when to stop. Do your research. Ministry Watch is a source of information for different organizations.
Eternal Investment
Now is the time to plan your financial giving for next year so you can budget accordingly. In addition, look for opportunities to give or serve others. Giving does not have to be financial. You can offer your time and talents. Anything you give with proper motives is an investment in eternity. And God loves the cheerful giver! Choose to cultivate the Christmas spirit every day. Bake brownies, visit neighbors, or share the gospel over a cup of coffee. It is guaranteed to chase away those After-Christmas Blues—for good!
If part of your blues comes from the burden of debt, especially from the extra Christmas shopping, please consider contacting Christian Credit Counselors, as they are a trusted source of help.
This article was originally published on The Christian Post on December 31, 2021.
Dear Chuck,
I am weary of the commercialization of Christmas. My family is hosting Christmas this year, and I want to prioritize the real meaning of our celebration, not money or stuff. I long to simply focus on the birth of Christ. How can I do that when friends and family expect more?
Making Christmas About Christ
Dear Making Christmas About Christ,
In a letter to his parents dated December 17, 1943, Dietrich Bonhoeffer wrote from prison:
“I don’t have to tell you how greatly I long for freedom, and for all of you. But for decades you gave us such incomparably beautiful Christmases that my grateful memory of them is strong enough to outshine even this rather dark one. It is times like these that show what it really means to have a past and an inner legacy independent of the change of times and conditions. The awareness of being borne up by a spiritual tradition that lasts for decades gives one a strong sense of security in the face of all transitory distress….”
Christ-Centered Traditions
Family traditions are priceless. Money cannot buy them. Repeated over time, they will imprint the hearts and minds of those you hold dear. Precious memories will be recalled throughout life, just like Bonhoeffer said. Traditions rooted in Christ will build a legacy of faith, security, and strong family bonds.
This is your year to winsomely steward the real meaning of Christmas! Be intentional about building traditions rooted in the Word of God. Read aloud about the birth of Christ from Luke 2:1-19, and encourage your family to memorize it for next year. I still love the King James Version. Fill your home with beautiful holiday music, and sing Christmas carols together. One of our daughters-in-law continues her family tradition of putting an empty box with a blanket under the tree on Christmas eve. It represents the manger and the anticipation of the birth of Christ. On Christmas morning, the children awake to a doll wrapped in swaddling cloths, lying in the manger. My wife’s siblings and cousins acted out the Christmas story every Christmas eve.
These things do not cost money, but they plant Truth within the hearts of family and friends. This kind of investment is a deposit in eternity. If you know the Lord, then you have been entrusted with the gospel. Prioritize the celebration and wonder of God becoming man! It is the best gift we could ever share with anyone.
J.I. Packer, in his book Knowing God, wrote:
“It is here…at the first Christmas, that the profoundest and most unfathomable depths of the Christian revelation lie. ‘The Word became flesh’; God became man; the divine Son became a Jew; the Almighty appeared on earth as a helpless human baby…It meant a laying aside of glory; a voluntary restraint of power; an acceptance of hardship, isolation, ill-treatment, malice and misunderstanding; …at the Father’s will Jesus Christ became poor and was born in a stable so that thirty years later he might hang on a cross. It is the most wonderful message that the world has ever heard, or will hear.”
Give True, Lasting Riches
So, enjoy the food, fun, and festivities, but invest in traditions for the sake of your family’s spiritual legacy! If you have never volunteered at Christmas or given anonymously together, try it. Commit to carry that tradition into 2022. You will develop compassion and reap spiritual blessings in the hearts of your family members as you give. Who knows the value it will add to your home and community. Emphasize the example of Christ: “You know the grace of our Lord Jesus Christ, that though he was rich, yet for your sakes he became poor, so that you through his poverty might become rich.” (2 Corinthians 8:9 ESV)
More valuable than any gifts your children or loved ones hope to unwrap is the yearly blessing of Christmas traditions which focus on the Truth: “Joy to the world; the Lord has come.”
One of our recent Crown Stewardship Podcast episodes is all about being generous in a grace-based and joy-filled manner. Enjoy listening to it. Merry Christmas!
This article was originally published on The Christian Post on December 24, 2021.
Dear Chuck,
I have five adult children who constantly come to me with financial emergencies. I am 70 years old. Our family is fractured, so I’m trying all I can to preserve relationships. How intrusive can I be in their use of money?
Financially Fatigued Mom
Dear Financially Fatigued Mom,
The Scripture is true: “I have no greater joy than to hear my children are walking in the truth.” (III John 1:4 ESV). I would add to that: “I have no greater relief than to see my children paying their own way in life.”
This is an emotionally charged topic. Navigating family relationships is challenging enough; but throw in the financial expectations they may have, and it can be very explosive. Here is my advice.
Set New Boundaries
Your desire to preserve relationships within your family is important and appropriate. But, unless you set boundaries, you will likely never accomplish your desired goal. Adult children who continue to look to you for financial help will depend on you instead of God. Enabling them prolongs your pain and prevents them from maturing in financial matters. Your goal should be to help them “grow up” and handle money wisely.
You should resolve to only provide them with Biblical financial counsel—and not funds. Before anyone comes to you for more money, let them each know privately the way that you plan to handle things in the future.
Set New Expectations
Consider writing a letter so they fully understand your intentions. It could go something like this:
Dear <Child Name>,
In the past, I have tried my best to help you financially. Because I love you, things will be different from this day forward. My goal is that you learn how to handle money wisely and escape the need for my financial support in the future.
My motivation is to help you thrive as an independent family unit. I hope you will be able to see my sincere love and concern for you in this new phase of our relationship. Let’s not let money come between us. Love, Mom
If They Live at Home
If adult children are living at your home, consider the following:
Resolve to Trust the Lord
Remember the words of the Apostle Paul:
“Put on then, as God’s chosen ones, holy and beloved, compassionate hearts, kindness, humility, meekness, and patience, bearing with one another and, if one has a complaint against another, forgiving each other; as the Lord has forgiven you, so you also must forgive. And above all these put on love, which binds everything together in perfect harmony. And let the peace of Christ rule in your hearts, to which indeed you were called in one body. And be thankful.” (Colossians 3:12-15 ESV)
Ask the Lord for strength to allow them to suffer the consequences of financial mismanagement. Be patient, calm, and affirming. Remind them in love that you desire to help them.
If they request money that conflicts with your values or compromises your financial situation, just say “No.” Do not speak harshly, shame them, or manipulate them. Do not feel guilty. You must take care of your needs so you are prepared for your future. Even if you have plenty of money, desire their financial independence, and point them to God’s financial principles. You may need to structure your will for beneficiaries who do not handle money well. If you lend, keep careful records. If and when they fully repay you, consider giving them the money as a reward for their diligence and honesty. Do not tell them this up front. Keep it as a surprise to encourage their continuing financial education.
I hope this helps you overcome the emotional fatigue and financial stress you are experiencing. It is not “intrusive” to share the truth in love and to expect better for your children’s financial future.
In addition to the Crown resources listed above, please consider listening to—and having your children listen to—the Crown Stewardship Podcast for more in-depth wisdom on the application of God’s financial principles.
This article was originally published on The Christian Post on December 17, 2021.
Dear Chuck,
My husband and I are both working adults. With 3 kids at home and trying to care for some extended family here and abroad, I am increasingly struggling with financial anxiety. Now the holiday pressures are making it worse. Please help me deal with this!
Family Financial Stress
Dear Family Financial Stress,
You obviously have a big heart…maybe bigger than your budget can afford.
The Bible says that we are to provide for our own immediate families. (I Timothy 5:8) This is a responsibility that the Lord has entrusted to us. When you add extended family members, here and/or those living in a different country, it is no wonder your stress is great.
Immigrants or children of immigrant parents face pressures that differ from many in the general population. Learning the language, navigating the culture, and the burden to succeed create tremendous stress. In my travels, I have seen how parents in some nations sacrifice greatly to give their children an excellent education. Once in the working world, these children are then expected to sacrifice for their parents. The pressure for a couple to support four aging parents along with their own children can be financially and emotionally crippling.
Financial Anxiety
Researchers at the Global Financial Literacy Excellence Center at George Washington University and the FINRA Investor Education Foundation found that prior to Covid-19, more than half of American adults experienced financial anxiety. The report shows that anxiety occurs in thinking about or discussing money. (This is without the very real pressures you and your husband are shouldering.) Women, young adults, those with financial dependents, and those who are low-income, unmarried, and unemployed feel most anxious. Respondents reported that too many expenses and monthly bills, especially medical expenses, were major factors contributing to high anxiety.
My Advice
First, establish a budget that primarily takes care of your immediate family. Meet with your husband, and discuss the appropriate distribution of the surplus funds that you discover in your budgeting process.
Next, set priorities for whom your budget will allow you to support, and then, determine how much can be allocated to them as the Lord provides.
Communicate to those whom you may not be able to support on a regular basis that you are sorry that you cannot continue. Let them know that you will help them establish a budget, and encourage them to try and take care of their needs themselves.
For those that may be totally dependent on your financial support and are unable to work or care for themselves, set some goals for what you may be able to do should the Lord provide an increase in your income, but live within your budget without compromise.
Make or improve your plan. If grandparents are living with you, possibly they can be asked to make some contribution to the needs of the family, like babysitting, doing household chores, shopping for discounts, cooking, cleaning, or running time-saving errands. Don’t rule out that some family members may be capable of generating income under the right circumstance or opportunity. A friend who operates an online business has his parents that live with them answering emails, praying with customers, and even filling orders.
Consider creative ways to give meaningful gifts that do not cost money. Often, a handmade card, a day spent together, or a poem or song will convey your love far more than a gift that comes in a box.
Reduce Financial Anxiety
God’s Word gives us financial principles for our good. When we fail to know and live by God’s financial principles, we actually create circumstances that increase our stress. He also told us how to deal with anxiety. Here are some tips that have helped me:
The key to breaking the anxiety loop is faith exhibited by a deep trust in God’s character and an assurance of His promises.
Faith is a muscle that grows under tension. It is an exercise that must be practiced. Remember the words the apostles spoke to the Lord? “Increase our faith!” (Luke 17:5 ESV) Or, remember the father who brought his boy with an unclean spirit before Jesus for healing? “I believe; help my unbelief!” (Mark 9:24 ESV)
Invite the Lord to intervene and give you peace in the midst of your trial. Ask Him for wisdom to make the right decisions and the words to talk winsomely with your family.
If your pain is from debt, stop all borrowing. Are you in need of a raise? Improve your skills, meet with your boss, and ask for feedback on how to qualify for an increase. Have you mishandled money in the past? Get on a crisis budget, and ask all family members to help.
Crown has many free online courses available to guide you, like budgeting tools and career assessments. Also, if debt is a problem, Christian Credit Counselors is a trusted source of help.
This article was originally published on The Christian Post on December 10, 2021.
Dear Chuck,
What’s up with the labor market? I have never seen so many postings for job openings or so many people who aren’t working. Many don’t even appear to be concerned about finding a job. Are people just living off the government now? How long can this continue?
Working but Worried
Dear Working but Worried,
Like you, I have never seen such a strange situation in the labor markets in the United States. On a number of occasions, I have gone out to eat at restaurants that only had enough staff to open half their dining room. Other times, I have not been able to find anyone to help me at a large retail store. They barely had enough staff to provide check-out services. Hotels are struggling to find maids. Truck drivers are in short supply. Something is changing since the pandemic started! However, it would be over simplifying the problem to lay all the blame on the government.
Let’s take a closer look as I seek to analyze what is really happening and to answer your question.
Record Numbers Leaving the Workforce
The Labor Department recently reported that more than 4.4 million people quit their jobs in September—the most ever for a single month. 4.3 million quit in August. Federal Reserve Chair Jerome Powell, in a news conference last month, said there are 5 million fewer people in the workplace than before the pandemic. Clearly, there is turmoil in the job market.
Why Is This Happening?
Labor economist Lawrence Katz, in an interview at the Harvard Gazette, says that some are quitting to go to a better opportunity, while some are quitting with a “take this job and shove it” mentality.
Ian Cook, at the Harvard Business Review, cites results of an in-depth analysis of the situation in Who is Driving the Great Resignation?
Some blame the government. There is a long list of policies that some believe contribute to the loss of workers:
Wealth, Burnout, Shifting Family Priorities
The pandemic came on the heels of a long stock market expansion. 4% left their jobs because of money made in crypto investments. Housing prices soared, and people refinanced at lower rates. This provided cash or lower payments. During the lockdowns, spending decreased, savings increased, and debt was paid down. This created financial margin for many workers to quit without having another job lined up. Older workers took early retirement. Mothers who quit relied on working spouses, collected unemployment, or freelanced.
Now, many people are reluctant to return to work. The Federal Reserve Bank of Dallas says 31% hesitate returning to previous jobs. Millions of women are “caring for relatives, searching for affordable child care, reassessing their careers or shifting their work-life priorities.” Their children’s lives have been disrupted, and they feel more needed at home than at work.
The Associated Press addressed the issue last month. The number of employed mothers with children 13 or younger is lower than pre-pandemic levels, per Nick Bunker, director of economic research at Indeed. A report titled “Women in the Workplace” by consulting firm McKinsey and Co. says, “Women are even more burned out now than they were a year ago, and the gap in burnout between women and men has nearly doubled.” In addition, some claim racism or under-recognized, underpaid work compared to male colleagues.
Will It Continue?
Employers need workers and are raising wages to attract them. In addition to higher pay, workers want flexible work arrangements and job security.
Stephen Moore believes that we are witnessing the end of four decades of labor peace in America. He predicts an increase in labor strikes. He also foresees a troubling cycle: “Inflation means higher prices at the stores, which means workers want higher pay, which means companies have higher costs, which means the firms have to raise their prices further. And the process repeats. Six percent inflation could snowball into 8% to 10% inflation by the end of the year.”
Goldman Sachs believes that up to 60% of those leaving the workforce have retired and will not be coming back. While I cannot predict the future, I expect the trend will be with us in the short term until new efforts to attract workers start to kick in.
Work, Pray, Prepare
Regardless, for those like you and millions of other Christians who continue to work, we can do so knowing that work was created by God for our good. When done as an offering to God, work becomes worship. And we can be thankful for the opportunity we have to bring Him glory.
“Whatever you do, work heartily, as for the Lord and not for men, knowing that from the Lord you will receive the inheritance as your reward. You are serving the Lord Christ.” (Colossians 3:23-24)
It is a good reminder to pray. Pray for our nation’s leaders, for our economic policies, for those who want better jobs, and for employers struggling to fill positions. Pray for those in our families, churches, and communities who need jobs.
Let us know how we can help. Crown has many free tools and resources for the employed or unemployed, including a Budget Coaching program and a career assessment tool.
Dear Chuck,
Money is tight for Christmas this year. Any tips for shopping Black Friday and Cyber Monday sales?
Looking for Deals
Dear Looking for Deals,
You can search for articles pointing you to the “best deals” on Black Friday or Cyber Monday, but be aware that many of those articles are really just sponsored advertising made to look like neutral journalism.
My biggest tip is: don’t let Black Friday create a Red New Year! That is, avoid going into debt.
Retailers are highly dependent on holiday sales. Black Friday supposedly got its name because it was the day many went from being “in the red” to “in the black.” It is the day when profits finally appeared on the books.
This has been a very difficult year for many retailers. They desperately need sales. Potential lockdowns have motivated customers to buy gifts early to avoid disruptions in physical shopping or online shipping.
BlackFriday.com predicts, “a strong uptick in retail spending during Black Friday week compared to the rest of 2020 – but not compared to recent Black Fridays…if shoppers are out looking for deals, we predict they are more likely to comb for specific needed items (a new fridge, a new laptop, a new phone) rather than shop indiscriminately for less-necessary items, such as clothing, beauty products, and gadgets.”
Due to Covid concerns or restrictions, many retailers are anticipating a very large Cyber Monday, the day when online retailers offer steep discounts on certain items. But, don’t assume you are getting a good deal just because it is marked down online. Be sure to factor in shipping costs and do your research on any significant purchases.
A Few Shopping Tips
It’s easy to spend money you don’t currently have to buy gifts, or just to be done with the chaos of Christmas shopping. But taking the easy route now will prove to be far more stressful for you come January when your credit card bills arrive. That’s why it is important to take some time to determine how much you can really afford.
Don’t presume future income will cover your credit card bills. We don’t know what the future holds. 2020 has proven that!
Here are five simple tips:
A Change of Perspective
Walmart, Target, Best Buy, Kohl’s, and others are closed this Thanksgiving. Some see this as a negative. I see it as a gift for those employees to rest and enjoy time off, if possible, with friends and family.
Contrary to what the world says, money is not required to express love. You can plan fun activities and gifts that don’t cost a lot. A debt-free Christmas is a gift for yourself and one that ultimately impacts your family!
We know from the past how crazy Black Friday can get. So, let’s put things in perspective.
Just because something is on sale does not mean you need it or that it won’t be there in January. It’s important to exercise self-control and patience by avoiding the use of credit cards when you don’t have the option to pay with cash. I use credit cards but I pay them off every month. If you can’t, don’t use them. The cost of interest on top of the purchase price puts many in financial bondage. If credit card debt is already part of your holiday overwhelm, I recommend contacting Christian Credit Counselors. Crown is privileged to partner with CCC to help free individuals and families from the burden of credit card debt.
Don’t justify spending more than you can afford. Pray for self-control because it is easy to succumb to the bombardment of advertising. Satan can subtly convince us that we need “things” to be happy, accepted, or content, or that our children need the latest and greatest gadget.
The prophet Haggai was sent to bring an important message to the people of Judah. He said: “The silver is mine, and the gold is mine, declares the Lord of hosts.” God is the Owner of all things and appoints believers to be managers of what He provides.
Knowing that, let’s use the holiday shopping season as a time to steward our money
Don’t let Black Friday give you a Red New Year!
This article was originally published on The Christian Post on November 27, 2020.
Dear Chuck,
My company is encouraging us to participate in Giving Tuesday. How can I give more if I’m on a limited budget?
Cheerful Giver
Dear Cheerful Giver,
It is nice to answer a question about giving, especially today, when so many have begun the shopping and spending frenzy that has come to be referred to as Black Friday—the day retailers traditionally become profitable. Cyber Monday comes next, which is the day online retailers typically offer deals and discounts to launch the holiday season. In 2012, a grassroots movement to promote more generous giving was launched, called Giving Tuesday, that seeks to counterbalance the heavy emphasis on spending during the holidays.
Biblical Giving
While I appreciate the efforts made to promote generosity on Giving Tuesday, God’s Word has instructed us to be prepared to be generous on all occasions and to do so cheerfully.
Larry Burkett, the founder of Crown, sincerely believed that giving was how God allows us to share in His work. I grew up knowing that God loves a cheerful giver from 2 Corinthians 9:7, but I did not experience the joy until I developed the habit. Once I acknowledged the Lordship of Christ and followed Him out of love and gratitude, I discovered that my desire to give has increased. Paul told Timothy that giving is an act of storing up treasure for the future that awaits us. (1 Timothy 6:18-19)
While it can be a good witness to participate in your company’s efforts on Giving Tuesday, it is important to know where the giving will be directed. For Christians, not all generosity is equal. We should commit our acts of generosity to those efforts, causes, and missions which are consistent with God’s Word.
Giving on a Budget
Giving is a matter of the heart. It does not require a lot of money. Simply ask God for opportunities, and be attentive. In fact, the size of the gift is not as important as the motive and the size of the sacrifice. Our Lord commended the widow for giving her two mites. She trusted God with all that she had. (Luke 21:1-4) The Macedonians gave out of their “extreme poverty” for the joy of advancing the spread of the gospel.
Also, generosity can come in many forms. When a friend’s husband died after years of being bedridden, several neighborhood women gathered to help her clean and clear out her home. It was a sacrificial gift that blessed the widow and all who worked. They saw an opportunity, had the availability, and chose to act. They seized the moment. You can, too. Consider these ideas:
Giving Is Worship
“Honor the Lord with your wealth and with the firstfruits of all your produce; then your barns will be filled with plenty, and your vats will be bursting with wine.” (Proverbs 3:9-10)
Read David’s prayer in 1 Chronicles 29:10-13. Read about the woman who anointed Jesus at Bethany in Matthew 26:6-13.
Author Randy Alcorn says, “Gaze upon Christ long enough, and you’ll become more of a giver. Give long enough, and you’ll become more like Christ.” I love that perspective. We are to give what we can without worrying about how much others give. Sometimes, He trusts us with more to test our hearts. It has been said that God often provides an increase in our income so we can increase our standard of giving, not our standard of living.
Giving Is Transformational
“As for the rich in this present age, charge them not to be haughty, nor to set their hopes on the uncertainty of riches, but on God, who richly provides us with everything to enjoy. They are to do good, to be rich in good works, to be generous and ready to share, thus storing up treasure for themselves as a good foundation for the future, so that they may take hold of that which is truly life.” (1 Timothy 6:17-19)
Over the years, I have heard many inspiring testimonies from cheerful givers. I think about the unexpected check, the money found in a drawer, a bonus, or a raise that helped a giver in his/her time of need. How about appliances or vehicles that keep running without need of repairs or replacement? God can do anything, but we miss the blessing if we fail to acknowledge His hand in it all! Givers often see Him do more than we can dream or imagine, even on a limited budget!
Giving Is a Test
“Bring the full tithe into the storehouse, that there may be food in my house. And thereby put me to the test, says the Lord of hosts, if I will not open the windows of heaven for you and pour down for you a blessing until there is no more need.” (Malachi 3:10)
Grow as the Lord’s Giver
Regardless of your decision to participate with your company on Giving Tuesday, I hope you are inspired to be a year-round giver. Crown has many great resources to help you experience true freedom that enables you to grow as a cheerful giver. Also, the National Christian Foundation is a community of givers that annually recommends grants at twice the rate of other major donor-advised fund providers. Their library of books, podcasts, videos, articles, and studies are inspiring and motivating.
This article was originally published on The Christian Post on November 26, 2021
Dear Chuck,
My elderly parents get scam phone calls, emails, and texts constantly. I worry they are going to fall for one of these since both are kind hearted and trusting. I know they are vulnerable. How do I help them?
Worried about Scams
Dear Worried about Scams,
The Lord detests lying lips (Proverbs 12:22), and so do I! Often, when I am speaking with my 88-year-old Dad on his mobile phone, his landline phone (remember those?) rings in the background. I ask him if he needs to answer it, and usually he says, “No, probably just another scam.” While I am glad to hear him acknowledge that he is aware that he is a target, I wonder if he will always be able to keep up his defense.
The sad reality is that we are all vulnerable to being ripped off, especially during the peak spending season. Billions of dollars are lost in holiday scams every year! Here are some ways to help your parents and yourself identify some common scams and defend against being ripped off.
Elder Scams
The FBI lists the most common types or categories of schemes to defraud elders: Romance, Tech support, Grandchild needs money, Government impersonation, Sweepstakes/charity/lottery, Home repair, Family/caregiver, Reverse mortgages. This does not include recent COVID-19 scams or early payment of government stimulus checks!
See the FBI’s information regarding common scams.
Online Shopping Scams
Earlier this month, Trend Micro warned shoppers to beware of holiday online shopping scams. These involve fake shops, phishing, E-skimming, and pop-up ads.
Red Flags
Safety Tips
Travel Scams
The Better Business Bureau (BBB) receives a large number of travel scam reports around the holidays. These are the top five most reported:
The BBB recommends the following guidelines:
Scams Targeting Apple Owners
Apple ID Phishing Scams involve hackers who aim to get Apple IDs and passwords. iPhone users need them to access services for the App Store, Apple Music, iCloud, iMessage, and FaceTime. Common scams ask you to click on a link or call a number for some important-sounding reason. Often, victims react and fail to think logically. An Apple virus warning is one such example. Beware of the following:
In addition:
Unfortunately, there are endless ways that deceivers can come up with to take advantage of others through fraud. Pray with and for your parents about this concern. Consider sharing this article with them, and discuss areas they need to be more guarded. Ask the Lord for His wisdom and discernment as you seek to help them.
It is the season for giving thanks. Thank you to my wife, Ann, for her careful research, writing, and insights that help me form and improve this article each week. Also, thank you to Elissa, Stephanie, and Melinda for their help with editing and production. Thank you to the Christian Post for publishing this column. And thank you to those who read and share it. I hope you actively and sincerely count your blessings for all that the Lord has given you that money cannot buy.
In this peak spending season, I caution you to be careful with credit card debt, and if you need help reducing it, please consider contacting Christian Credit Counselors. They are a trusted source of help.
This article was originally published on The Christian Post on November 19, 2021.
