SeedTime

SeedTime Money (Christian Personal Finance)

Craig Ford

10 Money Tips For Graduates

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10 money tips for graduatesI keep checking my mailbox to get an invitation to speak at a school graduation, but alas, the invitation never came.  Therefore, I’m going to share some financial advice I wish I had when I graduated (high school and college).

1. When given the choice to learn from your own mistakes or the mistakes of others always choose the mistakes of others.

You are a generation that has access to more information than any previous generation.  On the right is the internet, on the left the libraries and straight ahead there is quality education.  Not only is there more information, but technology is opening the door for faster and more efficient ways to access that information.

But, history is useless unless we learn the lessons history so desperately wants to teach us.

Look.  You could make your own mistakes, but that doesn’t make any sense does it?

Read a top personal finance book.  Subscribe to some personal finance blogs (like SeedTime).  Talk to your grandpa.  Learn from those who have already made the mistakes.

2. Remember that the mirror is your greatest investment indicator and financial advisor.

There are more investment indicators than I care to know about.  They gauge when the market is overpriced and when the market is a value.  They predict when you should buy and when you should sell.

There is a season for everything. Just because the market is down does not mean it is a good time for you to buy stock.

Just because house prices are at a national low does not mean it is a good time for you to buy a house.

Follow a plan to develop a lifestyle of generous giving, then get out of debt, fully fund an emergency fund, and then invest or buy a house.  Purchase things based on when you are ready, not the market.

3. Choose life over money.

Money is not king of the financial jungle.  To make every decision simply because it is the best mathematical decision is a mistake.  You will feel caged in and you will lack the passion for life.  God wants us to live life to the fullest.  Life is his gift and how we live our lives is an act of stewardship.

I’ve never made much money in my life – though God is continually blessing me with more income. But as much as possible, my wife and I have chosen to do what we were passionate about, not what paid the bills.  Interestingly, we’ve always been able to pay the bills.

4. If you think only about today, your future self is going to have a fit.

No one knows the sum of their days.  However, if God grants you another 10-15 years and if you act the financial fool, then your future self is going to have some nasty things to say.

Every day you overspend is two days you’ll make your future self miserable.  That is the unfortunate reality of paying someone else interest.  You will slide further and further in debt.

However, there is another side to the coin.  For every day that you spend less than you earn is two days in the future you don’t need to work.  You will gain more and more financial freedom.

The best way to be responsible today is by making a budget and controlling your spending. Don’t go ignoring your future self.

5. Generous giving is one of the most satisfying things you can do with money.

I’ve done a lot of things with money. I’ve spent it on debt repayment.  That is a horrible feeling.  Knowing that someone else is profiting just because they lent you money.

I’ve spent money on the daily ‘necessities’ of life.  However, that satisfaction of stuff never lasts.  The MP3 player I was so excited about buying broke.  My first laptop required a crane to carry, but now there is the iPad.  What is new will become old.

I’ve spent money on experiences and memories.  Now we’re moving in the right direction.  When I think back over my life those memories grow stronger and more fond.  They still add something of value to my life.

I’ve spent money on helping other people.  One of the first decisions my wife and I made after we go married was to send some money to some missionaries in Japan.  Still today I think about that decision and it warms my heart.  Is there a Christian in Japan today because I sent that money?  That feeling is amazing.  Being part of God’s plan is extremely satisfying.

I once gave money to a family so their son could have surgery to fix a cleft pallet.  I wonder who smiles more today – me or the boy? That must be why the Bible talks so much about giving.

6. Your net worth is not the total of your worth.

Life is going to tell you some lies – many of them.  Here’s one.  Your net worth is the sum of everything you own.  This is the total value of your life.

Here’s how to calculate your true net worth.

Take all your money and your possessions and subtract everything you owe money for.  Then divide that number by 1,000.

Add up the number of people you have helped, encouraged, taught, ministered to, and impacted then multiply that number by 50,000.

You worth is determined by your obedience to God and your service to man.  People won’t gauck over your bank statement when you die, but they will shed tears if you touched their lives and honored God.

7. Don’t listen to just one source – verify.

Everyone has an opinion, but not everyone is right.  Hey, I even disagree with things I’ve said in the past.

People will freely want to offer you advice.  That’s fine.  But, you cannot freely accept it.  Treat every piece of financial advice as wrong until proven right.

When you turn off your brain and start blindly following, you’re going to make your future self mad.

8. Never underestimate the risk factor.

I continually struggle with this.  I tend to ignore risk.  I tend to think I am the exception to the rule.  Yet, day by day, I must continue to factor risk into my decisions.

Would you rather have $40,000 per year and little risk or $75,000 with the potential of losing everything on one single transaction?  Sometimes our natural selves can be deceptive and ambition is simply a fancy title for greed.

Just remember the tortoise still beats the hare.

9. Debt brings devastating destruction.

Getting things by getting debt is a terrible plan.  Avoid debt as if it was a two-headed monster.  In your life you will likely take on some debt – most people do, but always proceed in prayer and with caution.

Here is some debt you should always avoid – credit card debt and borrowing to invest. Here is some debt you should try to avoid – car debt (see how much you can save by paying cash for a car).

Here are a couple of pieces debt that are manageable in moderation– student loan and house. If you do take on debt make an effort to repay it as soon as possible.

10. Pray for your financial purpose because God has something he wants you to do with His money.

You probably won’t wake up tomorrow and know exactly what God wants you to do with his money, but eventually, your financial purpose will be clear.  Talk to trusted advisors and pray constantly and God will show you how he wants you to use his money.

To have money without purpose is a dangerous thing.

What money tips do you have for graduates?

4 Habits of Millionaires (Have Any of These?)

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habits of millionaires
The book The Millionaire Next Door analyzes the financial habits of millionaires. It shares the results from interviews and surveys with millionaires. The goal of the book is to give an accurate idea of what characteristics make a millionaire. I found four of those characteristics especially important.

4 Essential Habits of Millionaires

1. Millionaires practice frugality.

“They live well below their means.”
Here are some stats on millionaire shopping habits:
  • Average paid for a suit = $399
  • Average paid for a pair of shoes = $140
  • Average paid for a watch = $235
While those numbers might seem a little higher than the average middle class shopper, it is certainly a far cry from the $4,500 pair of shoes we think millionaires would wear. Did you know that for every 100 millionaires who don’t budget there are 120 who do? Perhaps it is time for you to start a budget. It is time to make sure that you spend less than you earn.

2. Millionaires spend time managing finances.

“They allocate their time, energy, and money efficiently, in ways conductive to wealth building.”
Those who become wealthy don’t often become accidental millionaires. Instead, they take time to set and keep clear goals. While most of us feel like don’t have time to budget because it is a “waste of time,” millionaires do. It is difficult to reach any kind of a goal until you are first willing to allocate some time to working toward a goal.

3. Millionaires build wealth, not status.

“They believe that financial independence is more important than displaying high social status.”
Ouch. This one hits home. How often do we buy things based on what others will think? People often talk about teen spending and consumerism, but what about adult spending? A person who is upside down and in debt still thinks they can afford a car payment. Why do those in debt always seem to spend more money and own nicer things than those who are debt-free? I guess we each need to grow thick enough skin so that we do not think about what others think of us. Make a plan and reap the rewards of your financial planning – even if people think you’re weird. Here’s an example based on the type of cars millionaires drive:
Latest Model-Year of Vehicle Owned Percent of Millionaires
Current Year 23.5
Last Year’s / One Year Old 22.8
Two Years Old 16.1
Three Years Old 12.4
Four Years Old 6.3
Five Years Old 6.6
Six Years Old or Older 12.3
(This chart is from The Millionaire Next Door on page 113.) Here’s the deal. Millionaires don’t mind driving older cars. The masses who are in debt love owning new vehicles that cost $25,000+. Meanwhile, they can’t make their minimum car payments.

4. Millionaires have a healthy financial background.

“Their parents did not provide economic outpatient care.”
I’m so thankful this was included in the book. Your parents have a tremendous influence on how you turn out financially. I know in my case, I had solid financial education at home. In so very many ways, I am who I am because of my parents (thanks, mum and dad). The book goes a different direction with this characteristic by highlighting that the parents of millionaires allowed their kids to be independent and learn important life lessons. Who is going to be a financial mentor for people who didn’t or can’t learn these lessons at home? When we think about issues of poverty, we need to recognize that what the poor need are examples and mentors – not just money. Education is important. We also found these 9 Millionaire Success Habits that you may find interesting: Which of these four habits do you think are most important to wealth-building? Leave a comment! I interviewed a millionaire about 10 years ago and took some great advice away from our conversation – I wrap up those thoughts and takeaways in this quick video so take a look if that’s your thing!
https://youtu.be/K_p0ghLBvF4?rel=0&showinfo=0

How to Survive a Financial Crisis: 12 Tips For Married Couples

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How to survive a financial crisis: 12 tips for married couplesJob loss.  A lay off.  Fraud. Getting fired. Robbery.  Legal Issues. Credit card debt.  In a moment, any of these instantaneous events can shatter your financial plan.

At times these events do not come alone, but they come in groups – event after event.

Unfortunately, life is filled with disappointment, frustration, and surprise.  So what do you do when you get the pink slip?  How do you wade through a series of financial failures?

“10% is what happens and 90% is how you react.”

Remember this quote during a family financial meltdown.  Nerves wear thin and perspective is tainted. If couples do not proceed with caution, there might be even more losses (in addition to financial losses) on the way.

12 Action Items For Couples During A Financial Crisis

  1. Talk openly, communicate, and set goals

    Financial difficulty brings a slew of questions: What are we going to do now?  How will we pay the bills? What if “x” happens? While all these questions are buzzing around, talk with your spouse and communicate.  Decide on a direction you both support and start looking forward.  Commit to moving through the process together, not alone.

  2. Prioritize together by asking “What is most important to you?”

    What things do you value the most?  What people do you need around you?  If I lost “x”, things would be even worse.  Write the items in a list. For example, food, household, transport …  Take your very first dollar and apply it to #1 on your list.  Go in order no matter how loudly someone else says they need to get paid.  If you are not budgeting you need to start.  Here are some free budget worksheets to help.  In case you find it helpful, here is a sneak peak into how my family budgets.

  3. Switch to survival mode

    Bring in the spending tsar who reduces spending to absolute necessities.  I suggest you write your needs list and then cut out half the stuff.  This is the time to get the most mileage out of every single dollar. While your life might feel completely out of control this is still one area you can control.  Spend carefully and intentionally. This might be a good time to sell your stuff on ebay.

  4. Acknowledge emotions

    You will experience a bunch of emotions from bitterness to guilt to frustration.  The emotions will impact your relationship with your spouse, your children, your extended family, your friends, and your faith.  Did I miss anything?  You may be tempted to lash out to find a place to release your frustration.  When you talk about your emotions, use phrases like, “I feel …” This makes others less defensive.

  5. Avoid blame

    At this point, once things are damaged, it is not the time to figure out who is to blame.  This will only serve to push your spouse away. Your frayed nerves will do more damage than good if you let them run rampant. There will be a time for reflection and debriefing, but in the midst of the chaos you will do more harm than good if you start to play the blame game.

  6. Accept help

    Accepting help is difficult because of one reason – pride.  Perhaps you will have a new favorite Bible verse “It is better to give than receive.”  God may once again put you in the position of the giver, but for now this might just be your time to receive.  Standing together is a function of community, and in this case standing alone is a sign of selfishness.

  7. Minimize pressure

    If you allow it, financial concern can completely consume you.  Schedule time in your day to focus your energy on other chores or tasks. Removing yourself from the worry and strain will help remove the burden.

  8. Turn to your faith

    When the world seems to be falling apart you will need a Rock upon which to stand.  Continue or begin a habit of daily devotionals and seek the will and presence of God. (Check out these encouraging bible verses.)

  9. Count your blessings

    Yes, count your blessings.  Things may be bad, or awful, or even horrible.  But are there probably still many blessings in your life?  Focusing solely on the problems and your lack of stuff will only cause depression.  Remember that around every corner there is a blessing, if you are looking for it.

  10. Don’t be afraid to dream

    If you have just lost a job, this is a great chance to dream. What am I passionate about doing? What have I always wanted to try?  This crisis might simply be a hidden opportunity.  Look ahead and have some direction.  The time may be right for turning a hobby into a business or even trying a new way to make money.  Just be sure to ask the right questions to reduce risk.

  11. Journal

    These circumstances might just be the greatest blessing in your life (in a few years).  Journaling helps learn all the important lessons that the school of life is trying to teach.  If hindsight is 20/20, don’t you want to have a chronicle that details exactly what was going on and exactly how the problem was resolved?

  12. Stay in control

    You may be tempted to throw up your hands and say “I don’t care anymore.”  Creditors want to drive you to this state where you just give them what they want to get you off their back.  Remember, you don’t need to answer the phone. Whatever you do make sure you break the debt cycle by refusing to take on more debt.  Digging deeper is not your solution.  Don’t be a good person who make bad money choices.

While a series of financial tragedies can be extremely difficult, your responses during this time will determine a large portion of the situation’s solution.

What would/have you done in the midst of financial devastation?















10 Ways To Make Money For Teenagers This Summer

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10 Summer Job Ideas for Budding Teen EntrepreneursBefore dropping off your first application for a summer job, you should first first stop and define what the perfect summer job looks like.  Some teens would love to spend the summer working at a camp, and others would be content setting up their own business.  Make sure you define what you are looking for before you start shopping for jobs.

If you have some free time, Swagbucks is a fun way to earn some extra cash. You can earn by taking surveys, doing simple tasks (like giving feedback about a website), trading in old video games or books, and more. It’s not for everyone, but it may be worth a look. Check out my review of it here!

Summer Jobs For Teenagers

The following questions will help you establish your perfect summer job:

  • What is the minimum pay you’re looking for?
  • Do you want to work inside or outside?
  • Do you have transportation?  How far can you work from home?
  • Do you want to work days, nights, or weekends?
  • Do you have any other summer events that will conflict with a job?
  • What kinds of things do you enjoy doing?

If you are a tech-saavy teen who loves to be on the computer, you may love to find a computer based job.
You might find that you are better off starting your own business for teens.

3 Considerations When Looking For Teen Summer Jobs

Consider both the value for today and the value for tomorrow.

One reason teens should work is to develop important life skills – not just increase their income.  Moreover, when you work hard for a pay check your are in a better position to combat teen spending and consumerism.

Some jobs have great pay, but in the end they will do little to help advance you towards your life goals.  As a result, your summer job should be something either in a field of interest, in a job that gives you interaction with the public, or a job that helps you improve a skill.

The obvious reason to work in a field of interest is so you can get to play the profession – do you like the job as much as you had anticipated?  What parts of the job do you enjoy and what don’t you like?

Working in a job that gives you interaction with the public will help you no matter what you do in the future.  Learning people skills is a skill that helps in any job.

Finally, some jobs might help you grow and improve in areas of weakness.  For example, putting yourself in a service industry, like working at a restaurant, might help you improve how to interact with and relate to others.

Don’t assume a degree equals a job because school can’t completely prepare you for work.

Consider the safety factors.

Some better paying jobs pay you more because you are more at risk.

Here are the five worst teen jobs in terms of occupational danger (as quoted in Money Still Doesn’t Grow on Trees):

  • Driving and delivery, including operating or repairing motorized equipment.
  • Working alone in a cash-based business and late night work.
  • Cooking with exposure to hot oil and grease, hot water and steam, and hot cooking surfaces.
  • Doing construction and working at heights.
  • Selling items door-to-door and traveling youth crews.

Here’s the thing – every job will have a little risk, so evaluate the risk.

Consider the company’s flexibility and reputation.

Some employers are notoriously ridged.  Even a weekend off might cost you your job.  Others, like McDonald’s, have a reputation for being very flexible.  If you are interested in taking a week off for a short-term mission trip (need to raise money for your mission trip?) or camp, just tell your future employer at the start of the interview process.

For some jobs, it will be very important that you have limits.  They will call you at night and over the weekend.  That’s fine if that is what you are looking for, but if not, just be clear about your work limits and boundaries.

Remember, flexibility is a premium, so you might want a job that gives you a little less pay and more flexibility.

Now you can start brainstorming and come up with the summer job that you think fits your needs the best (keep scrolling for some fun ideas).  If you need some more ideas here are the some ways to earn money doing what you love.

Then you should talk to someone who already works for the organization.

The best way to know if a job is a good fit is to talk to those who are already working for the company.  This doesn’t need to be a formal interview.  Even a simple casual question like, “Hey, do you like working here?” can give you a lot of valuable information.

Once you’ve found the summer job, how do you land the job?

Here are a few quick tips:

  • When you pick up an application, ask for at least two copies or make a copy – this way you can make necessary changes
  • Ask someone to look over your application and make suggestions.  Pay attention to verbs and adverbs. Are you using good, strong, and convincing words to describe yourself?
  • Be sure to ask all references if they would provide a ‘positive reference’.  When you drop of an application, just send your references an email saying, “I just dropped off an application at X company.  I listed you as a reference so you might expect a call from them.”
  • When you drop off your application, ask to see the manager and hand deliver the application.  Be sure to wear something appropriate.  I’d define appropriate as anything a step above everyday clothes.  In most cases, this might be something like a pair of khakis and a collared shirt.
  • If you don’t hear anything back in a week, call the manager and ask if she had a chance to look over your application.
  • If you have certain non-negotiable items, make a note of this on your application.  For example, I suggest teens indicate that they cannot work Sundays since they will be at church.  This way the company has this request in writing before they hire you.  If it ever becomes an issue, you can ask them to review your application.  In addition, if you are planning a short term mission trip over the summer let your employer know at the interview process.

Added by Bob: Since we were talking about teen summer jobs, I thought it would be good to add a few ideas to get you started. So here are a few…

10 Fun Summer Job Ideas for Teenagers

Umpire baseball and softball games – I started doing this when I was 13 years old and did until I was about 17. It can be really good money for a 13 year old.

Movie theater – Many teenagers love this job because of some of the great perks. Working with friends, air conditioning, and getting to watch free movies – what’s not to love?

Pool Maintenance – If you live in a part of the country with a lot of pools, being a pool boy (or girl) can be a great summer job for many teens.

Babysitting – It seems as long as babies continue to be born, babysitters will be needed.

Lifeguard – This is one of the classic teenage jobs that is still a great one. Get to hang out by a pool and get tan in the process.

Tutor kids – If you are gifted in a school subject (or many) tutoring can be a great way to make some extra summer money. Proactive parents might want to help johnny get a head start on Algebra – so why not be the one to tutor johnny?

Mowing grass – Alright, I guess I didn’t think this was fun at the time, but now I love being outside in the sun. Either way, I think mowing lawns is one of those jobs every teen should do at some point. Manual labor in the hot summer sun is just a good all around life experience to have. And if you get a few regulars it can turn into a decent business.

Camp counselor – Don’t you remember going to camp as a kid? Summer camps are still alive and strong and always need counselors to help out. So if you love kids and being outside, this might be a great one for you.

Car washing and detailing – I remember a friend from high school who worked at a car wash and made about double what I was making bagging groceries. He worked hard, but it paid off handsomely.

Clothing store in the Mall – While this one never seems to pay that well, working at a mall retail store can be a fun job for teens.

For more summer job ideas check out these 23 ways to make money.

Do you have any other great summer job ideas for teenagers?
















Personal Capital Review

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Personal Capital is an online personal finance tool that allows you to track all of your finances (budget, bank accounts, credit cards, and investments) all in one place.

Best of all, it’s free!

The Benefits of Personal Capital

  1. It’s a convenient web-based tracking tool that you can access anywhere you have Internet service. Yes, this includes your smartphone, tablet, laptop, and computer. This is ideal for people who travel or people who want to have access to their information on multiple devices.
  2. Real-time updates. After opening a Personal Capital account, you’ll be asked to enter your information. You’ll activate online access with your bank accounts, credit card accounts, and investments. This allows Personal Capital to automatically update all of your information every time you sign into your account. There is no need for you to initiate an account sync as that happens automatically.
  3. Manage all your financial accounts in one place. As a Personal Capital user, you’ll see all your financial accounts and transactions in one easy-to-find account. This also makes it easy to keep up with your net worth.
  4. It’s free. Need I say more?

As you can see from the desktop image above, when you sign into your account, you’ll see all your accounts listed on the lefthand sidebar. Your financial accounts will be listed as:

  • Cash
  • Investments
  • and Credit.

From the sidebar, you can quickly review your bank account balances, investment totals, and total credit card charges. You can see the numbers by account (for example, how much you owe Citi and Chase) or the total across all accounts.

This is a quick and convenient way to get an overall sense of your financial movements.

Using Personal Capital to Budget

Since Personal Capital automatically downloads every transaction from your credit cards and your bank, you’ll find it a useful tool for budgeting. However, if you usually spend money in cash, it will be a little bit more cumbersome to use this to budget. Once the transactions have posted, you’ll be able to assign an appropriate category (assuming the preassigned category isn’t correct). You’ll also be able to mark if an expense is business, medical, reimbursable, or tax related. 

personal capital options

You’ll also be able to see what percentage of your budget you’re spending on each category within your budget.

personal capital review

The one main thing that’s missing (or I’m just not smart enough to find) is a way to manually enter cash transactions

Using Personal Capital to Track Your Investments

Personal Capital shines when it comes to providing you with detailed analysis of your investments.

From the home page, you’ll be able to see your top performing investments (see sample to the right). Personal Capital will list your top gaining funds and the funds that have the greatest losses. For context, these will be published underneath a real time report giving you the S&P 500, Dow Jones, NASDAQ, and 10-year bond indexes.

With a click on the “Investments” tab on the navigation menu, you can see all your investments across all your accounts. You’ll be able to see the 30-day dollar movement within that account and the one-day dollar change.

If you want, Personal Capital will also provide an “Investment Checkup.” Using their own metrics, they’ll determine if you have the appropriate amounts in cash, international bonds, US bonds, international stocks, US stocks, and alternatives. You’ll be able to put your age, years to retirement, and risk tolerance. You’ll then see if you are above or below their recommendations for your holdings in each of the above category. Of course, if something is amiss and you want some feedback, you can contact your account advisor.

One helpful feature I’ve found is the “Investments Costs” page. Here you’ll be able to see exactly how much you’re projected to pay in fees for your investments. This helps you determine which funds have the highest expense ratios so you can see if the returns justify the higher fees.

The Catch?

Businesses are in business to make a profit (profound, I know). As a result, it’s valuable to know how a company can afford to fund such a project. The answer is not what you expect. Personal Capital doesn’t plaster their pages with advertising. In fact, if you want to find advertising, you have you work to find it. As an example, under the navigation menu for Banking, you’ll find a link to something called Savings. There you’ll see how your current interest rates compare to a leading US bank. You will have the opportunity to call Personal Capital to open a new bank account if you wish.

How Personal Capital Makes Money

When you sign up for a new Personal Capital account, you’ll be assigned an individual to serve as your representative as part of the Advisor Team. After opening your account, a Personal Capital representative will call you to see if you need any assistance with your finances and investments. This is a no-pressure call and if you say, “no thank you,” that is all the conversation will involve.

My Experience with Personal Capital

I’ve had my account for the last few months, and I primarily use it to get an overview of what is happening with all my financial accounts. It’s the easiest place where I can go to get an update on how all my investments are performing. I always prefer signing into one account instead of multiple accounts! And, it’s definitely a product I recommended in my Personal Capital review.

Since the account is free, there’s no risk to you to try and set up an account, play around, and see if the features are ones you’ll find valuable. I know I’m glad I took the time to sign up for Personal Capital.

Have you tried Personal Capital? Tell us your thoughts in the comments, or leave a question for the community!

10 Compelling Reasons to Give More

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10 Compelling Reasons to Give MoreOne would expect a Christian blog to talk about giving.  We may ask, “how much should I give?  Where should I give?” Should I really tithe my money?

Giving is part of our Christian mission.  If Christians can increase their giving by embracing missional frugality, much good will be done in their lives, in their relationship with God, and around the world.

10 Compelling Reasons to Give More

1.  Because you have received.

Christians ought to be the most thankful people.  We are recipients.  We’ve received grace, loving kindness, and salvation.  We earned nothing.

As a response to the generosity God has showered on us, we give.

As a prisoner for the Lord, then, I urge you to live a life worthy of the calling you have received. (Ephesians 4:1 NIV)

2.  To build up treasures in heaven.

Jesus has promised that when we give, we build up treasures in heaven.  I have no idea what those treasures are, but it is a blessed promise that our giving will be honored by God.

Do not store up for yourselves treasures on earth, where moth and rust destroy, and where thieves break in and steal. But store up for yourselves treasures in heaven, where moth and rust do not destroy, and where thieves do not break in and steal. (Matthew 6:19-20 NIV)

3.  Because the Bible teaches us to give.

While there may be some differences of opinion about how to give and where to give, the Bible is very clear that giving is something Christians ought to participate in.  It’s part of the Christian DNA.

In everything I did, I showed you that by this kind of hard work we must help the weak, remembering the words the Lord Jesus himself said: ‘It is more blessed to give than to receive.’ (Acts 20:35 NIV)

4.  It’s a spiritual discipline.

I personally believe that we should give sometimes when we don’t want to.  In that way we develop a giving heart.  Giving must be learned.  We do find that those who are faithful in their giving are transformed into the likeness of Jesus Christ who gave all he had and emptied himself.

I want to know Christ and the power of his resurrection and the fellowship of sharing in his sufferings, becoming like him in his death, and so, somehow, to attain to the resurrection from the dead. (Philippians 3:10-11 NIV)

5.  It provides resources for Kingdom growth.

Churches and ministries have a lot of necessary expenses.  As a missionary overseas, all of my missionary support comes from the gifts of others.  The work here in Alotau, Papua New Guinea could not continue without the support of others.

In all my prayers for all of you, I always pray with joy because of your partnership in the gospel from the first day until now, being confident of this, that he who began a good work in you will carry it on to completion until the day of Christ Jesus. (Philippians 1:4-6 NIV)

6.  For Kingdom restoration.

When Jesus came, he came proclaiming the Kingdom of God.

The sign of the presence of the kingdom included things like – the lame are healed and the blind see.

The presence of the Kingdom involves community restoration.  Funds given to churches and charities allow us to continue to be the body of Christ to a hurting world.

The Spirit of the Lord is on me, because he has anointed me to preach good news to the poor. He has sent me to proclaim freedom for the prisoners and recovery of sight for the blind, to release the oppressed, to proclaim the year of the Lord’s favor. (Luke 4:18-19 NIV)

7.  To be a light.

Speech is easy.  People say that talk is cheap.

And it is.

Our actions become our witness to a lost world.  Thus, giving is an act of evangelism where we are shining our lights before a world in need of His light.

In the same way, let your light shine before men, that they may see your good deeds and praise your Father in heaven. (Matthew 5:16 NIV)

8.  It brings joy.

Think back over the dollars you have spent over your lifetime.  What has brought you the most joy?

I think God wired us that our investments in stuff provides little emotional return.  However, our investment in the lives of others fills us with joy.

All they asked was that we should continue to remember the poor, the very thing I was eager to do. (Galatians 2:10 NIV)

9. It fulfills the two greatest commands.

Jesus told us that we must first love God and then love others.

Giving honors those commands.  If our giving is motivated with a love for God and the sake of mankind then it fulfills these commands.

Jesus replied: “ ‘Love the Lord your God with all your heart and with all your soul and with all your mind.’ This is the first and greatest commandment. And the second is like it: ‘Love your neighbor as yourself.’ ” (Matthew 22:37-39 NIV)

10. It strengthens our faith.

The Bible teaches us that God will provide.  However, until you give it will be very hard to appreciate that truth.  Those who have ever participated in elective sacrificial giving have tasted of the faithfulness of God.  Remember, there is a fine line between faith and testing God when it comes to giving.

And God is able to make all grace abound to you, so that in all things at all times, having all that you need, you will abound in every good work. (2 Corinthians 9:8 NIV)

What are some other compelling reasons to give? Why do you give?












How to Save Hundreds of Dollars By Taking a Day Off Work

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how to save hundreds of dollars by taking a day off work

Do you have a to do list that includes items you should have accomplished a year ago?  If you do, you are what I call normal.

The January 2010 issue of the Sound Mind Investing Newsletter discussed something called a “fiscal health day” (a term they borrowed from a Ron Lieber article in the New York Times). I thought the concept was such a great idea that I’d like to introduce it to you today.

Take a Day Off Work and Focus on Your Finances

Inactivity is costly. If you’re like most people, when you get your house insurance renewal notice, you quickly glace at the price and renew it.  You renew it because you don’t have the time to search around for better prices. Most people have a good sense of what needs to be done to improve their finances but they simply cannot find the time.

The solution?  Take a day off work.

Many financial tasks cannot be completed in the evening or on the weekend, like finally making a household budget.  By taking a day off work, you can contact people who may only be available at regular business hours.

Possible tasks to consider accomplishing on your day off:

  1. Dump your savings account with a puny interest rate and open a high yield savings account.
  2. Shop around for cheaper insurance: health, life, auto, house, and any other insurance. Be sure to do a little calculating to determine how much you could save by changing your deductible.
  3. Complete any important (but not pressing) financial tasks like making a will.
  4. Call credit card companies and ask them to reduce your credit card interest rates. Take time to develop and formulate a good plan to get out of credit card debt.  Find or prepare a debt reduction plan.
  5. Apply for  a cash back debit card.
  6. Get more organized with your finances by shopping around for and using a good personal finance software program.
  7. Review your budget, get caught up on your budget, or learn how to budget.
  8. Shop around for the best online broker.  Be sure you’re getting the best price for your stock trades.
  9. Make energy efficient changes to your home and lifestyle.
  10. Shop at a second hand store instead of the local department store.
  11. Set up automatic payments for your bills to be sure you avoid late payments.
  12. Create a FLOP – so that your loved ones will have all the financial information in one place if you leave earth earlier than expected.
  13. Google it.  Use the phrase “how to save money, and then fill in the blank on groceries, on gasoline, on kitchen expenses, on babies …”
  14. Sell stuff on Ebay. Look for junk laying around the house and list it on Ebay.

How Maximize Your Day Savings

Step #1: Take a spreadsheet and list all of the possible activities.

Step #2: List an estimated completion time beside each task.

Step #3: List an estimated dollar savings for each task.

Step #4: Divide the estimated time by the estimated dollar saving to get an hourly dollar saving potential.  Organize your list according to the items that have the most potential for profit.

If you focus on tasks that can save a hundred or more dollars a year, you can save hundreds of dollars on your one day off.

What other activities would you suggest focusing on?

Photo by David Cesarino















8 Money Questions That Have a Lasting Impact on Your Finances

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money questions that have a lasting impact on your financesMaking decisions can be hard work.

Sometimes I get tired of trying to choose between all the options of life.  Truth be told, some decisions that I thought were important turned out to have little or no impact on my life.  Other decisions that I made are still impacting me (either positively or negatively).

In this post, I want to point out some of those decisions that will impact your finances for a long time.  I tried to list them in order, but it was too difficult.

Instead, I’ll share the three most important financial decisions you’ll ever make, and then the best of the rest.

The 3 Most Important Financial Decisions You’ll Make

1. How much should I give?

As Christians, we believe that we are called to store up treasures somewhere beyond this earth.  All the other money questions may impact the days of your life on earth, but how you treat this question will have a much longer impact.

Read more:

2. Who should I marry?

I’m not suggesting you shouldn’t marry for love, but I do believe that when you choose to marry someone, that will be one of your biggest financial decisions.  Some people suggest that buying a house is your biggest financial decision, but the truth is that your spouse will have a significant say in how much you spend on a house.  Your spouse will also have a certain way he or she spends money.

More: 

3. What is my/our debt stance?

How you feel about debt significantly impacts your finances.  Some, like myself, are allergic to debt.  I hate paying interest to people.

Others think that debt is a perfectly acceptable way to accumulate stuff.  These are people who rack up thousands of dollars in credit card debt in just a few short years and are then forced to work three times as long to pay off credit card debt.

More:

Best of the Rest | Other Important Financial Decisions

4. What should I do when I grow up?

Most people only have one job at a time, but some do keep part-time jobs.  Thus, much of your financial future will be determined by the job you take.  At the same time, we should also point out that your job can also have a huge emotional impact.  For many, satisfaction in life is closely associated with what they do for a job.  When considering what you will do when you grow up, remember that life is more important than money.

5. How much should I spend on college? How will I pay for college?

Most people traipse off to college and spend the next 10 years playing financial catch-up.  Despite what people say, I think it is possible to graduate debt free from college.  Either way, it is entirely possible to minimize your college expenses so you don’t have such a high debt load.

6. How much should I spend on a car?  How will I pay for my car?

Our family made the decision to pay cash for cars.  Looking back, now I realize that was a very good choice that has positively impacted our finances.

More:

7. How much should I save for retirement?

When you are planning for retirement, you want to be sure that you have enough.  Enough can be a hard thing to determine.  However, if you are not saving anything for retirement, I think you’ll find a very different experience during your own retirement.

8. How much house should I buy?

Unfortunately, some people end up purchasing a house they cannot afford.  That house eats up too much of their income, and everything else is pushed aside to make room for house payments.  A home should be a blessing, but if the mortgage is too high you will never be able to enjoy your home.

What other questions did I miss?