Dear Chuck,
Every December, my wife and I do some preliminary tax planning by reviewing our charitable giving for the year. We are split on our views of giving. What is your perspective on this question: do you think we can ever be too generous?
Generous to a Fault?
Dear Generous to a Fault,
No, I don’t think it is possible to be too generous. However, since you and your spouse appear to be divided on how much to give, I want to provide some perspective that may help you get united.
Don’t Ask the Wrong Questions
It is common to ask, “How much of our money do we want to give away?” The reality is that everything we have belongs to God. The better question for spouses should be, “How much of God’s money should we spend on ourselves?” Once you have answered that question, you should be able to easily agree on the amount that you can freely and joyfully give to others.
While it is wise to get the maximum tax benefit from your giving, there are far better motivations for establishing your standards of giving. In fact, I believe we often miss the Biblical paradox of being generous.
Generosity Is Better for the Giver than the Receiver
Paradoxical statements appear to contradict logic, as in the statement, “Fools can be wise.”
According to G.K. Chesterton, “A paradox is often a truth standing on its head to get our attention.” Take generosity. It is not the prosperity gospel nor the give-to-gain strategy. It is a principle of Biblical economics in which generosity is better for the giver than for the receiver. Consider Proverbs 11:24–25 (NIV), “One person gives freely, yet gains even more; another withholds unduly, but comes to poverty. A generous person will prosper; whoever refreshes others will be refreshed.”
Generosity Is Good for Your Health
A study conducted by clinical psychiatrist Dr. Lynne Gallagher shows that when we are generous and focused on others’ needs, our body’s stress is reduced, which slows premature aging and lowers our risk of death more than those who are not generous. Giving can stimulate the brain’s mesolimbic pathway or reward center. This is measured by lower blood pressure, reduced levels of cortisol, and an increase in endorphins, which elevate happiness and reduce depression.
Generosity Makes You Happier than Spending
A 2008 study by Harvard Business School professor Michael Norton and colleagues found that giving money to someone else lifted participants’ happiness more than spending it on themselves (despite participants’ prediction that spending on themselves would make them happier.) In a 2006 study by the National Institutes of Health, Jorge Moll and colleagues found that when people give to charities, regions of their brains are activated with pleasure, social connection, and trust, creating a “warm glow” effect.
Generosity Decreases Loneliness
“Giving promotes cooperation and social connection.” Several studies, including work by sociologists Brent Simpson and Robb Willer, have suggested that when giving to others, “your generosity is likely to be rewarded by others down the line—sometimes by the person you gave to, sometimes by someone else.” These exchanges promote a sense of trust and cooperation that strengthens our ties to others. Research shows that having positive social interactions is central to good mental and physical health. As researcher John Cacioppo wrote in his book Loneliness: Human Nature and the Need for Social Connection, “The more extensive the reciprocal altruism born of social connection…the greater the advance toward health, wealth, and happiness.”
Generosity Is Contagious
A study by James Fowler of the University of California, San Diego, and Nicholas Christakis of Harvard, showed that a generous person inspires observers to behave generously later. Altruism could spread by three degrees—from person to person to person. “As a result, each person in a network can influence dozens or even hundreds of people…”
Generosity Gives Meaning and Purpose
According to a study by Ascent, acting more generously is correlated with feeling more satisfied with life and career. Meaning and satisfaction are associated with making a difference in something bigger than ourselves, connecting to the feeling that we’re making a positive contribution to those around us.
Generosity Gives a Sense of Control in a Chaotic World
When life feels out of control, choices about giving help you feel empowered because you can engage in ways that are most meaningful to you.
Our Advantage
Our motive for giving is the recognition and deep appreciation for the grace and goodness of God. Like the Macedonians, it is a privilege for us to participate in giving. They gave themselves first to the Lord; then out of their love for Him, even though they were extremely poor in the eyes of the world, they pleaded for the joy to support the expansion of God’s eternal Kingdom!
“For you know the grace of our Lord Jesus Christ, that though he was rich, yet for your sake he became poor, so that you by his poverty might become rich.”
(2 Corinthians 8:9 ESV)
I hope you and your spouse will unite around the joy and privilege we have to give and, through your generosity, will experience the untold benefits God promises far beyond a tax deduction.
Do you want more tools and tips regarding financial freedom to prepare you for a prosperous new year? Are you interested in receiving ministry updates from around the world? Sign up to receive the Crown Newsletter emails by using the form on the homepage at Crown.org.
This article was originally published on The Christian Post on December 22, 2023.
Dear Chuck,
“Girl Math” sounds humorous and fun to justify some crazy spending, but I think it is actually dangerous. Can you give me some counterpoints to discuss with my women’s group?
California Women’s Mentor
Dear California Women’s Mentor,
I had not seen this trend, so thanks for bringing it to my attention. Let’s start with some clarity on what the term means. My wife, Ann, helped me with the research. She does not practice “Girl Math,” by the way.
Business Insider defines “Girl Math” as “the process of justifying spending by breaking down big-ticket items into cost per wear or rationalizing that using cash isn’t ‘really’ costing money because it’s not coming directly out of a checking account – maybe you have money on a Starbucks card or cash in your Venmo account – so that coffee or paying back a friend for brunch can be ‘free.’”
It’s a TikTok trend in which the hashtag “#girlmath” is how young women explain spending choices that make absolutely no sense. The craze is meant to be a humorous way of justifying overspending on large or unnecessary purchases. Here are some examples:
Does any of that make you cringe too?
Some people say “Girl Math” can motivate people to spend more responsibly by making them think through purchases—apparently not if short-term indulgences justify long-term debt. The backward logic detaches people from the consequences of overspending. When emotions override reality, there will ultimately be financial trouble. In some ways, it dismisses responsibility, reality, and the warnings against greed and coveting. For your women’s group, I suggest you introduce them to “God’s Math.”
I have often said that Biblical financial teaching can be summed up like this:
Stewardship is not ordering your finances in a way that you can spend whatever you want;
it is ordering your life in such a way that God can spend you however He wants.
Jesus did not die on the cross so we could spend our lives in pursuit of vanity upon vanity. He died to stake His claim of ownership on our lives. We were bought with a price and beckoned to serve Him and build His Kingdom, not our own. You become a steward when you recognize that you are not the owner but God’s temporary manager. In this role, you are called to be faithful to His purposes. This will involve self-denial, generosity, and eternal treasures, not necessarily earthly riches.
Regardless of whether you have a little or a lot entrusted to your care, you must seek to allow God to have total control over your financial choices. The challenge is to die to self and come alive in Christ. When you recognize your identity as a steward, everything is done for the glory of God. Work, management of resources, and our very lives reflect our submission to His ways and His purposes. Stewarding what we have for His glory is a huge and honorable responsibility.
A key to making clear, wise choices is found in consciously handing over ownership of “my” resources to God. In fact, a quit claim deed or transfer of ownership to God is a beneficial reminder that everything belongs to Him. I highly recommend completing one. Here is an example, followed by a printable form.
Truth That Will Set You Free from “Girl Math”
“Do not lay up for yourselves treasures on earth, where moth and rust destroy and where thieves break in and steal, but lay up for yourselves treasures in heaven, where neither moth nor rust destroys and where thieves do not break in and steal. For where your treasure is, there your heart will be also. The eye is the lamp of the body. So, if your eye is healthy, your whole body will be full of light, but if your eye is bad, your whole body will be full of darkness. If then the light in you is darkness, how great is the darkness! No one can serve two masters, for either he will hate the one and love the other, or he will be devoted to the one and despise the other. You cannot serve God and money.” (Matthew 6:19–24 ESV)
“ But godliness with contentment is great gain. For we brought nothing into the world, and we can take nothing out of it. But if we have food and clothing, we will be content with that. Those who want to get rich fall into temptation and a trap and into many foolish and harmful desires that plunge people into ruin and destruction. For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.” (1 Timothy 6:6–10 ESV)
Crown Budget Coaching can help you set and achieve your financial goals with the help of a personal coach. Your coach will work with you to develop a customized spending plan and debt elimination strategy to put you on the road to financial freedom!
This article was originally published on The Christian Post on December 15, 2023
Dear Chuck,
My adult children are pursuing careers and putting marriage on hold. With each passing year, I grow increasingly concerned. When did financial security take precedence over God’s plan for families?
Concerned Parent
Dear Concerned Parent,
Oh boy, this is a big subject! It is a concern that not only impacts you as a parent but also each of us as human beings the world over. Not only is the age of first marriage being pushed further and further out, but the precipitous drop in the fertility rate or number of children born in a household is a troubling trend as well. We need marriages, children, and strong families to be a fully functioning society. Many developed countries of the world currently have a birth rate below the replacement rate!
The Root of the Problem
Our young people have been exposed to the good, the bad, and the ugly side of marriage. If they are not abiding in Christ or in community with other believers, they likely see life through a secular worldview shaped by media, which typically portrays love and marriage like nothing resembling God’s design. “Hook-up” culture is replacing the idea of a lifelong covenant with another.
The Gospel Coalition published an article by Keith Simon entitled “Marriage Is Better for You Than You May Think.” He makes an excellent observation: “I’m most intrigued by the way Western culture has convinced multiple generations that life’s highest value is personal autonomy, as measured by financial independence.”
For many, marriage is a financial transaction, and debt has become a major factor. Couples make a promise to marry when the finances work. Some do trial runs to determine if they are compatible. They may justify it as a way of “saving money” when, in reality, they are simply “playing house”—my mother-in-law’s definition of cohabiting. There are some interesting articles about that here and here. Most have no idea marriage is good for you and your financial well-being!
Nine Times Better Off
Go Banking Rates states, “Traditionally, married people tend to be better off financially than those who are single – and thanks to inflation, this is now more true than ever.… In 2010, the median net worth of married couples 25 to 34 years old was four times as much as the median net worth of single households; as of 2019, married couples were worth nine times as much, the Wall Street Journal reported.”
Granted, there are some scary statistics about divorce, but they tend to be exaggerated and rarely touch on the benefits and joy of marriage. Marriage does not mean people won’t experience hardship or heartache. It often guarantees it as a means of sanctification. (Ephesians 5:22–33)
The benefits of marriage far outweigh all other forms of living arrangements. In fact, studies show that marriage makes people happier, increases their net worth, and helps them save more money. Marriage allows for filing taxes jointly along with the marital tax deduction, social security, IRA, inheritance, and leave benefits. There are health, auto, and home insurance benefits. While increasing the likelihood of affluence, it also decreases mortality risk. Married women, by and large, experience less poverty, and married fathers earn more income than single dads.
A True Picture of Marriage
The Gospel Coalition states, “Married adults also express higher levels of satisfaction with their relationship, and are more likely than those who are cohabiting to express a great deal of trust in their spouse or partner is being faithful to them, will act in their best interest, always tell them the truth, and will handle money responsibly. Additionally, married adults are much more likely than cohabiters to say they feel closer to their spouse or partner than to any other adult.” [sic]
The Meaning of Marriage by Tim and Kathy Keller states, “Married people experience greater physical and mental health. Also, marriage provides a profound “shock absorber’ that helps you navigate disappointments, illnesses, and other difficulties. You recover your equilibrium faster. But the increased earnings probably also come from what scholars call ‘marital social norms.’ Studies show that spouses hold one another to greater levels of personal responsibility and self-discipline than friends or other family members can. Just to give one example, single people can spend money unwisely and self-indulgently without anyone to hold them accountable. But married people make each other practice saving, investment, and delayed gratification. Nothing can mature character like marriage.”
Offer Them An Alternative
Unfortunately, a high percentage of our population does not know or abide by Biblical financial principles. They do not believe or understand that everything in Heaven and Earth is His. Stewardship is the responsibility of managing the resources God provides. It is choosing to live in such a way that sacrifices are made to avoid debt, gain margin, and experience freedom from financial stress.
Share with your children the great joys and financial benefits of living in God’s design for marriage. Then pray He will open their hearts and prepare them to be ready when the right one comes into their lives. I should add that the Bible commends those who are able to live in singleness and devote their undivided attention to serving Christ. So don’t force the issue. Pray, offer your counsel, and see what God has in store.
This book may be of great interest to your children and you: Money Problems – Marriage Solutions by Chuck and Ann Bentley. Crown also has an online financial course for couples to do together called Money Dates.
This article was originally published on The Christian Post on December 8, 2023
Dear Chuck,
Christmas is my favorite holiday because of the focus on giving. My husband and I want to be extra generous with our four children, our church, and our favorite ministries. We have a budget of $3,000 for all of these. Can you help us set priorities?
Establishing Our Priorities for Christmas Giving
Dear Establishing Priorities,
First, I am grateful for your focus on being generous. Christmas is a heartwarming reminder of the generosity of those who worshiped Christ at His miraculous birth. Tis the season for giving!
The challenge with your question is my lack of context. I have no idea how much you have given your children, church, or favorite ministries throughout the year. With that understanding, I will answer your question about how to prioritize the three categories so you and your husband can determine the amounts. Starting with a working definition of giving as a tangible expression of love, let’s examine all the ways that you can love extravagantly this Christmas.
GIVING PRIORITIES
Giving to Your Children
“But if anyone does not provide for his relatives, and especially for members of his household, he has denied the faith and is worse than an unbeliever.” (1 Timothy 5:8 ESV)
I recommend that you make the children your priority for demonstrating generosity this Christmas. They want/need to see your commitment to their needs and wants on par or greater than they see it shown to others. However, that may be done without spending lots of money. Let me give you a few ideas.
Align giving and their love language. Gary Chapman surveyed a group of adults and found the five most common love languages:
You may discover your children’s dominant love languages through simple observation, or you may need the book to go through the questions with each one individually. Knowing each child’s love language will enable you to connect with them on a deeper level.
Upon confirmation, ask the Lord for creativity to come up with a custom gift that speaks their language. For the “Quality Time” child, the gift may be a day alone with both parents doing a favorite activity together. For the “Words of Affirmation” child, you could record friends’ and family’s love and praise in a short video, journal, or frame—and so forth. You get the idea.
Another method involves interviewing them with questions without giving away your intentions.
What has been your best Christmas ever? Why? What is your hope or dream for this Christmas?
The costs of gifts do not have to be equal, but the thoughtful expression of your love should be.
Giving to Your Church and Favorite Ministries
“Honor the Lord with your wealth and with the first fruits of all your produce…”
(Proverbs 3:9a ESV)
Assuming that you consistently support your church and favorite ministries throughout the year, there is no requirement to do more. However, if moved to demonstrate your love for Jesus during this season, the Bible offers principles to guide you in setting priorities:
1.Giving should be premeditated. 2 Corinthians 9:7
This means giving is not a spontaneous or emotional reaction but a prayerful decision on where and how much to invest in God’s work.
2. Giving should be proportional to your income. 1 Corinthians 16:2
While we should give sacrificially to accomplish Kingdom work, it is the consistent, steady giving over time that has the greatest cumulative impact. Pray together, and seek unity on the amount.
3. Giving should support those teaching God’s Word. 1 Timothy 5:17
Many wonderful nonprofits do great work, but as Christians, our priority is first supporting a Bible-believing church and then God-glorifying ministries. Avoid giving where you cannot verify a group’s validity. Many people are scammed at Christmas by fake charities.
4. Giving should help the poor and suffering. Matthew 25:34-45
Jesus, the greatest gift and the greatest giver in the history of the world, will separate the generous and selfish by their tangible love to the hungry, thirsty, stranger, naked, sick, and imprisoned. Be sure that some of your giving is toward those who are suffering.
5. Giving should be done with joy. 2 Corinthians 9:7
It is our privilege to represent His love and kindness to others. He wants us to do so cheerfully and not under pressure, as if paying a tax. Giving is actually better for us than it is for the receiver!
It is not my job to allocate your giving budget; however, these principles can help you and your husband unite your hearts. I am grateful that you are avoiding holiday debt and seeking help to be generous vessels of God’s love this Christmas.
Do you want more tools and tips regarding Biblical financial principles and purposes? Are you interested in receiving ministry updates from around the world? Sign up to receive the Crown Newsletter emails by using the form on the homepage at Crown.org.
This article was originally published on The Christian Post on December 1, 2023
Dear Chuck,
Inflation has hurt our family. We have very little money to spend on Christmas gifts this year. I am tempted but decided to skip all the Black Friday madness this year. My husband and I discussed using our credit cards for Christmas gifts, but he said no way. Haven’t you offered tips for ways to celebrate without spending money?
Frugal Christmas This Year
Dear Frugal Christmas This Year,
Here we are again—another Black Friday that kicks off the shopping frenzy for 2023.
Some people really look forward to it every year and line up early to rush into stores for supposed bargain deals. Others, like me, tend to ignore it as mostly marketing hype.
If your finances are in need of some help, then read my Black Friday Survival Guide from 2017 or Christmas Shopping on a Budget from 2021. Like your husband, I want you to have a wonderful Christmas without debt! Don’t let Black Friday create a Red New Year! That is, avoid going into debt—period! Don’t spend money you don’t have. Don’t open retail credit cards or buy-now-pay-later accounts. Don’t give in to pressure to spend money you don’t have. Exercise self-control, and track your spending to make sure you can cover the costs (in full!) when the bills come due.
Celebrate With Joy, Not Debt!
As always, I asked my wife, Ann, for her best advice on saving money. She is our resident expert! Here are some ways she suggests to celebrate the beauty of the season without partaking in a gift-buying frenzy:
Pray and Focus on What He Has Done
Pray, and ask God to provide in ways that you could never plan. One of our friends raised seven children on a limited budget. He tells the story of when one of the young boys said they wanted a grand piano for Christmas. There was no way the family could ever afford it. But they prayed. Before Christmas arrived, a friend contacted them and said she no longer needed their grand piano after the death of her spouse and asked if they could use it in their home!
Change your mindset by focusing on the truth of Christmas: the arrival of our Savior, Jesus Christ, who came to give us new life. Nothing comes close to the wonder of this! Refuse to let your heart be gripped by the advertising and materialistic madness of the season. Note what the Apostle Paul wrote in Colossians 3:1–2 (ESV):
If then you have been raised with Christ, seek the things that are above, where Christ is, seated at the right hand of God. Set your minds on things that are above, not on things that are on earth.
Renew your mind, give thanks in all things, and focus on the true meaning of Christmas. Listen to the words of Christmas carols, and teach them to your family. They are rich in meaning and timeless. Memorize Luke 2:1–20 as a family. This way, you can enjoy the season without fearing bills arriving in January. Not only will you have a frugal Christmas but a fulfilling one as well!
For everyday inspiration, subscribe to the Crown God Is Faithful devotional. You will receive daily devotionals that will help transform your finances and provide much-needed encouragement. May it be a blessing!
This article was originally published on The Christian Post on November 24, 2023.
Dear Chuck,
I’ve made many bad decisions that have negatively impacted my family financially. There are days when I honestly feel like giving up. I can’t even afford to do nice things for the children during the holidays. We are in a dark hole, and it feels very hopeless.
Dark Financial Hole
Dear Dark Financial Hole,
Financial pain creates some of the worst stress we ever experience because it is intertwined with our relationships, hopes, and dreams. It is especially hard during holiday seasons.
I, too, have made financial mistakes in my life. There were times when it seemed hopeless; there were years when I could not afford a nice Thanksgiving celebration or Christmas gifts. But let me assure you, there is hope for better days ahead. You and your family can climb out of this hole step by step.
Invite God into Your Pain
Ask God to comfort you and give you His wisdom in all your financial decisions. I did this in 1999. I repented of the love of money and asked God to forgive me of my idolatry. Peace flooded my heart, mind, and soul. I re-ordered my financial strategies from living in man’s economy to living in God’s economy. Yes, my finances improved. But, more importantly, peace ruled my heart. I had a heart problem that needed fixing.
Be Patient and Disciplined
Patience is necessary. You did not get into the problem overnight and will not get out of it quickly. But with careful, disciplined management of your finances, this problem will be overcome and likely never repeated. Pain is an excellent teacher if we learn from it. Discipline is the ability to say No to what we want today so that we can Yes to what we need tomorrow. And what you need is a simple plan that you repeat every day: spend less than you earn, give first, save second, and pay off debt.
Optimistic Resilience
Working through financial struggles can make you more resilient and compassionate toward others. You will discover true friendships, and those relationships will deepen. You will be stretched in ways you never imagined—but all for your good. You will find new strengths and discover resources, talents, and abilities you didn’t know you had. In all this, you will find hope and make daily progress.
Scripture to Remember
Trust God to provide.
And my God will supply every need of yours according to his riches in glory in Christ Jesus. (Phil. 4:19 ESV)
Ask for strength and discipline to work hard.
In all toil there is profit, but mere talk tends only to poverty. (Proverbs 14:23 ESV)
Pay your debts, and give.
The wicked borrows but does not pay back, but the righteous is generous and gives. (Psalm 37:21 ESV)
Be content, and give thanks for what you have.
For I have learned in whatever situation I am to be content. I know how to be brought low, and I know how to abound. In any and every circumstance, I have learned the secret of facing plenty and hunger, abundance and need. I can do all things through him who strengthens me. (Phil. 4:11–13 ESV)
Get Focused and Get Started
Set goals, and seek the help of a trusted advisor/mentor. Simplify your budget by temporarily going on a needs-based-only diet. Consider it a spending fast. Cut out everything except basic necessities: shelter, transportation, health, insurance, food, and education. A Crown Budget Coach can help!
If you have an expensive car, trade it for a cheaper, reliable vehicle. Own too much house? Consider selling and renting until your situation improves dramatically. Some people move to tiny homes or rural settings for cheaper housing or move in with friends or family. Ask God to help you think outside the box. Do not worry about what others may think. They are probably too concerned about their own problems and may follow your lead! It takes courage to change one’s lifestyle in the fight for financial freedom.
Ann’s Tips for Saving Money
My wife helps me with these questions, and she is an expert when it comes to being frugal. Here are some of her tips for you:
Hope and Financial Margin
Many Americans have not learned the benefit of living with margin—spending less than we earn. It is a freedom that removes fear and doubt. It grants confidence for the days ahead, gratitude for what we have, and dignity. Rather than relying on hand-outs or borrowing from others, we make progress in hard work and planning. This sets an example for those around us.
You will make it through the holidays with a focus on love and gratitude. Brighter holidays are ahead if you take it one day at a time.
God promises to provide for us. But often, He asks us to step out in faith and do our part first. Our obedience or disobedience doesn’t change His character but can change our outcome.
Our soul waits for the Lord; he is our help and our shield.
For our heart is glad in him, because we trust in his holy name.
Let your steadfast love, O Lord, be upon us, even as we hope in you.
Psalm 33:20–22 ESV
Read How to Reduce Financial Stress and Help My Financial Anxiety for more information.If credit card debt is a financial stressor, Christian Credit Counselors is a trusted source of help. Contact them, and they can help you get on the road to financial freedom.
This article was originally published on The Christian Post on November 17, 2023.
Dear Chuck,
My spouse is frustrated at work. I’m afraid he will get fired if he’s not careful. Can you give me some tips that I can share with him?
Worried about My Husband’s Job
Dear Worried about My Husband’s Job,
I have no idea of the age of your husband, but many workers are frustrated to the point of quitting their jobs. I know I have had a similar experience. The temptation is just to walk away, but that is not a good plan.
According to a 2022 survey, the majority of Americans were considering a job change. This trend is growing. More than half of U.S. workers—61%—considered leaving their jobs in 2023, a new report from LinkedIn has found, noting that a higher percentage of Gen Z (defined by LinkedIn as ages 18–25) and millennial (ages 26–41) workers are planning to call it quits more than any other generation.
How Not to Get Fired
Getting fired is a lose/lose event—not only is the income gone, but the likelihood of getting a good referral for the next job is also gone. I suggest you help him improve his attitude and guard his tongue carefully.
Over a nice meal with just the two of you, recommend that he guard against complaining, gossiping, or threatening to leave. Instead, encourage him to start giving thanks for the work he has that provides for your family! Yes, he may need to find a better job for numerous reasons, but there is a professional way to go about it.
Conduct an Objective Evaluation before Deciding to Leave
List the pros and cons of his job. You may discover that the pros actually outweigh the cons.
Dealing with Frustration
Managers do not like being caught off guard by employee problems. It is important that he communicates his frustrations in a respectful manner.
If the situation involves harassment or abuse, speak to an attorney first. Your church may be able to recommend someone he can talk to about it. No one should subject themselves to a job where morals are compromised or there is a fear for safety.
Work as Unto the Lord
Experts agree that threats to leave one’s position hurt an employee in the long run. Loyalty to the company and trust is immediately lost. One’s mental stability and professionalism may be questioned. If money is the only thing an employee wants, management knows that dedication to the company is missing. In fact, complainers who threaten to leave make it easy for a manager to accept a resignation.
Perhaps your husband just needs an attitude adjustment. Work can become worship when it’s done as an offering to God, not for our own benefit. All of our gifts and talents should be stewarded wisely to benefit others and glorify Christ.
As Colossians 3:17 says, “Whatever you do, whether in word or deed, do it all in the name of the Lord Jesus, giving thanks to God the Father through him.” Every project, task, and conversation we have at work should be done in the name of Jesus to honor Him.
I pray that you and your spouse get united and that this works out far better than you ever hoped or dreamed.
If thinking about a new career altogether, a Crown Career Direct Assessment could help him get to know himself. He’ll gain an understanding of his personality, skills, interests, and values. Crown has coaches to help him find a new direction should he desire one.
This article was originally published on The Christian Post on November 10, 2023.
Dear Chuck,
My spouse recently confessed to secretly opening a credit card in our name. It is now maxed out. We are determined to pay it off together but could use some tips for the debt and rebuilding trust.
Crippled by Credit
Dear Crippled by Credit,
According to Julia Kagan at Investopedia, financial infidelity occurs “when couples with combined finances lie to each other about money. For example, one partner may hide significant debts in a separate account while the other partner is unaware. Another common example is when one partner makes large discretionary expenditures without discussing the matter with their partner.”
This is a breach of trust and will lead to the erosion of the very fabric of your marriage if not addressed and restored. I am encouraged by your description that your spouse has been honest and is seeking your help to eradicate the debt.
We will talk about paying off the debt, but my encouragement is to focus on the root cause of why your spouse felt the need to hide this and work on full transparency and mutual decision-making going forward. Your marriage is more important than the money.
Credit Card Debt Is Spiraling Out of Control
Credit card debt has reached an all-time high. The New York Federal Reserve reports that in the latest numbers, total consumer credit debt exceeded $1.03 trillion. Before Covid-19, record levels had reached $806 billion. The economic environment is different now: people face higher interest rates, inflation, tighter lenders, and the end to stimulus checks issued by the government during the pandemic. People carrying balances with a high APR (annual percentage rate) are in trouble.
Why Such High Credit Card Debt?
Interest Rates Are Rising!
According to The Consumer Financial Protection Bureau (CFPB), Americans were charged $130 billion in credit card interest and fees in 2022. There is also a growing trend in credit card delinquencies. Last year, 3.35% of people were at least 90 days late on their bills; now, that has increased to over 5%. Bankrate’s annual Retail Cards Study reported on October 16th that the average retail credit card APR hit a new record high of 28.93%, up from 26.72% in 2022 and 24.35% in 2021.
These are store-issued cards which sometimes come with deferred interest promotions. If a balance is not paid in full by a certain date, interest is charged retroactively, even if minimum payments were made during the promotional period. So everyone should be leery of store offers as we approach the holiday season!
The target interest rate has been raised 11 times since March 2022. This increased payments for those who carry a balance. When minimum payments are missed, it can negatively impact one’s credit score. The average credit card balance now totals nearly $6,000. “This represents the highest average balance since the second quarter of 2008,” said Paul Siegfried, senior vice president and credit card business leader at TransUnion.
Defeating Your Credit Card Debt
Since you are determined to pay off your debt, start by agreeing with your spouse to make this a turning point in your lives. Pray together, forgive each other, unite your hearts, and make a plan to defeat this debt! Here are the steps I suggest:
Romans 13:8 says, “Let no debt remain outstanding, except the continuing debt to love one another, for whoever loves others has fulfilled the law.” I suggest you both memorize this and say it to one another each day. It covers the heart of the issue.
Christian Credit Counselors is an excellent and trusted source of help for credit card debt. Contact them, and they can help you get on the road to financial freedom.
This article was originally published on The Christian Post on November 3, 2023
Dear Chuck,
Inflation is hitting our family hard. We keep hearing it is coming down, but it does not seem that way when I go to the grocery store! When do you think we might see it return to normal?
Irritated Over Inflation
Dear Irritated Over Inflation,
You’re not the only one. Before the Israel-Gaza war, the April Pew Research Center report showed that a large majority of Americans are dissatisfied with the economy and the overall condition of our nation. In addition, confidence in the future has fallen from a year ago. You are right to be concerned about inflation. Some call it the “invisible tax” or the “silent thief.” No doubt, it robs families of the purchasing power of their income.
The Silent Thief
The Federal Reserve Bank of Cleveland reported in a paper titled “The Long-Run Costs of Higher Inflation” by Jean-Paul L’Huillier Bowles and Martin DeLuca, “Inflation imposes significant costs on society.” These costs appear in skewed markets and loss of purchasing power. Higher prices force consumers to invest less in order to have more cash on hand. In addition, inflation’s effect on taxes alters investing practices. When wages don’t rise along with prices, fewer goods and services are purchased, which negatively impacts business. Consumers negotiate wages more frequently and devote time and energy to coping with rapidly rising prices, and banks often decrease lending. (More here.)
How Long Will It Last?
Bankrate’s Third Quarter Economic Indicator Poll reports that many experts don’t expect inflation to settle in at the Federal Reserve’s 2% goal until some point near the end of 2025. 29% expect inflation will cool by the end of 2024, and 29% say 2026 or later. No economists expect it to reach the Fed’s target by the end of this year. Yelena Maleyev, senior economist at KPMG, says, “The concern is rising food and energy prices which could have inflationary effects on other areas of the economy.”
The International Monetary Fund warns of stubborn inflation and weaker global growth in 2024. It increased the pace of consumer price increases across the world to 5.8%, up from 5.2% just three months ago.
Consumer Sentiment Is Turning Negative
I’ve summarized The University of Michigan’s Consumer Sentiment Index report here:
“Nearly all demographic groups posted setbacks in sentiment, reflecting the continued weight of high prices,” reported Joanne Hsu, director of the university’s Surveys of Consumers. The index fell 7% from September to October, influenced by the war between Israel and Hamas, a spike in bond yields, and political dysfunction. Bill Adams, chief economist at Comerica Bank, wrote, “The impasse over the next House Speaker could be adding to fears of a government shutdown in November; the UAW strike; the restart of student loan payments; and the recent uptick in long-term interest rates could be affecting sentiment, too.”
The Consumer Price Index rose 3.7% in September from over a year ago. Higher oil prices pushed up gasoline prices, although there is easing in parts of the country. The cost of rent remains elevated. Gregory Daco, chief economist at EY-Parthenon, told CNN, “The tremendous degree of uncertainty around the Israel-Hamas war means it’s very difficult to predict the potential economic fallout.”
Personal Savings Rates Are Increasing in Europe
The Federal Statistical Office found that the savings rate in Italy registered at 2.1%, the United States at 3.7%, Japan at 5.4%, Austria at 8.8%, and Germany at 11.1%. Only the Netherlands at 12.7% and Switzerland at 18.4% surpassed Germany. It is a paradox because German consumer sentiment was -26.7% in October and is expected to fall in November. This has pushed saving to its highest level in over a decade. Unlike many Americans, Germans have a cautious approach to money; they emphasize financial stability and long-term planning. Covid-19 and the uncertainty it caused in the economy pushed them to save more instead of spending. The population’s high level of financial literacy makes saving for emergencies, retirement, and major purchases a priority. This results in long-term economic growth but negatively impacts businesses and overall economic activity with decreased spending on goods and services.
How People Are Coping in America
Adjust Your Budget and Perspective
Financial experts suggest cutting back on groceries, eating out, gas, self-care, entertainment, and travel to gain margin in your budget. It also helps to keep it all in perspective. Economic conditions can change quickly. Adjust what you can while continuing to give generously and save for the future. Our real treasures are not here; they are being laid up in Heaven where inflation cannot steal them.
If credit card debt is a financial burden for you or someone you know, reach out to Christian Credit Counselors. They are a trusted source of help toward financial freedom.
This article was originally published on The Christian Post on October 27, 2023.
Dear Chuck,
My car rental company did not have a vehicle available, even though I made a reservation weeks in advance. With a shortage at the airport, the agency with a car tried to rip me off on the price. The entire experience left me frustrated and wanting to learn how to avoid problems in the future. What advice do you have?
Rental Car Frustrations
Dear Rental Car Frustrations,
I was just with a friend for a meeting over coffee who told me a similar story of a nightmare at our local airport trying to rent a car. This exact problem has happened to me twice in Atlanta. Friends attending our Crown conference this week were frustrated in the Charlotte airport. Many had to stand in long lines due to overbooking, and some had no vehicles, even though the reservations were made long ago.
Watch Out For These!
Making a reservation to pick up a car at the airport normally works well, except in situations like these:
Since your car reservation is not guaranteed by a non-refundable deposit, the rental agencies prefer to have the guaranteed customer who is standing at the desk vs. the one who may or may not arrive.
General Tips for Renting Cars
Assuming cars are available, other factors will impact what you pay: the type of vehicle, the location, and the age of the driver. Rent from a trusted company. Zipcar, a subsidiary of Avis Budget Group, was recently fined $300,000 for renting out vehicles with unrepaired recall issues.
Check out this source for rankings of rental companies.
Common rip-offs, as seen below, can be avoided by spending a little extra time in preparation.
Prepaying at Booking
If you have to cancel, you can get stuck with some major costs—book when you know your schedule and have done some research. If you have some flexibility, you can potentially save a lot of money. For example, booking a different time and location for pick-up can offer major savings.
Different Locations
Changing the drop-off location from the pick-up location can add extra charges.
Add-Ons
If you want the convenience of driving through a toll booth, you will pay for it. Otherwise, skip the add-on fee, and pay for tolls on your own. Car seats, additional drivers, and GPS cost more.
Check before Signing and Driving
Always inspect the rented vehicle carefully before signing any paperwork. Walk around the vehicle, take photos, and document the condition upon pick up. Bend down to see things below eye level. How are the tires? Save photos and videos for several months to avoid any future claims. Does it have a full tank of gas? Knowing the VIN (vehicle identification number) will reveal any special features and recalls. If you have problems while driving the rental, a recall could indicate that it is not your fault. Always save your paperwork in case there is a claim filed against you.
Car Rental Insurance
Millions of dollars are made off customers who decide to pay for insurance at the rental counter.
Pre-Paid Gas
Customers get ripped off thinking they get a normal per-gallon rate. However, the price is for an entire tank. If not returned empty, you overpay, along with high rental-car taxes, which can add 30% to the cost.
If you decline to pre-pay, just refill the tank before returning. Keep the receipt in case the company tries to charge you later. If you forget or run out of time to refill, you will be charged up to three times the local price for every gallon needed to fill the rental. So, make sure you allow time to fill up before returning. Plus, you will get the credit card rewards!
Late Fees
Most companies offer a grace period of around 30 minutes. After that, extra fees kick in. After 90 minutes, a full-day’s charge and taxes may apply.
Price Changes
Demand, availability, and promotions can cause prices to fluctuate. Flexibility with travel dates can yield savings. There’s more info here.
Check for Private Options
A friend of mine loves to use Turo.com. Although I have never used it, he reports that he has had no issues whatsoever after more than 25 rental experiences.
Driving your own car has a depreciation cost. A road trip with lots of miles could accelerate your need to replace tires or make future repairs. If you decide to drive your own car, have a trusted mechanic check it out. A friend recently had to spend an extra week on a trip out of state waiting for a part for his older model vehicle.
Christian Credit Counselors is a trusted source of help for a debt management plan out of credit card debt. Contact them if you need help getting on the road to financial freedom.
This article was originally published on The Christian Post on October 20, 2023.
