• Skip to main content
  • Skip to footer

SeedTime

SeedTime Money (Christian Personal Finance)

  • Home
  • About
  • Podcast
  • The Book
  • The Course
    • True Financial Freedom
    • The Real Money Method
    • The 10x Investing Course
  • Newsletter
    • The Tools We Use
    • 25 Ways to Save Money
    • 10 Budgeting Spreadsheets
    • How We Travel For Free
    • 5 Bible Verses You Should Know
    • 35 Ways To Make Money
    • Beginner Investing
    • 7 Passive Income Ideas
    • Is Tithing for today?
    • 31 Legit Home Biz Ideas
  • Churches

Rich Avery

How to Choose the Best Charities to Donate To

February 13, 2020 By Rich Avery

How to Choose the Best Charities to Donate toThere are currently over 1.5 million nonprofit charities in the United States, according to the IRS.

All of these organizations purport to do good work and make a difference, so how do you decide which ones are the best charities to donate to?

Back in 2005, an email began to circulate on the Internet imploring people to “Think Before You Donate.”

The email targeted specific charities whom it claimed were not worthy of your donations because of how much compensation their CEO received, and other charities who were more worthy because of how little compensation the CEO received.

The email went viral and, eleven years later, is still being circulated. Unfortunately, much of the information in it is inaccurate, outdated, and out of context.

But because it was on the Internet, people believed it and kept forwarding it without verifying its claims.

And groups like Goodwill, who were unfairly maligned, have to keep fighting it to set the record straight.

Despite the fact that people didn’t think (or verify) before forwarding this email on to others, the premise behind it was good – we should think before we donate. But what criteria should we use before donating to charity? And how can we be sure that our money will be used well and go to the people who need it?

Choosing the Best Charities

Here are four things to consider when choosing which charities to donate to…

1. Affinity

Give to charities that you’re personally connected to or affiliated with somehow. Like your church or denomination, your alma mater, an organization you volunteer with, a listener-supported radio station you listen to, etc. The closer you are to the organization, the more confident you can be that they’re really doing what they say they’re going to do, and in the way you hoped they’d do it.

2. A Cause You Care About

Give to charities that are working on causes or passion areas you really care about. Like evangelism and missions, abortion prevention, cancer research, the environment, politics, the arts, children, fraternal organization, the symphony, museums, etc. The more you care about what they do, the more you’ll want to stay engaged and informed.

3. Good Financial Stewardship

Give to charities that spend the majority of their income on programming and lesser amounts on overhead costs like fundraising and administration. There is no hard or fast rule on how much is acceptable for overhead – it varies depending on the type of organization and where it is in its life cycle.

For example, new organizations often spend more on fundraising and administration for the first few years because they’re just getting started. But a general rule of thumb for the best charities is to spend 80-90% on programming and just 10-20% on overhead (including staff salaries and fundraising costs).

Another factor to look at is how much the organization pays in salary to their CEO, which is what that “Think Before You Donate” hoax was getting after. But compensation is somewhat subjective because it all depends on the context like the CEO’s experience, the organization’s size, scope and budget, the cost of living in the community where the organization is located, etc.

4. Good Board Governance and Accountability

Give to charities that have an active, informed, and independent board. A good rule of thumb for the board is to have at least five members who are not employees of the organization or family members of the CEO.

If the board is made up of several staff or family members, there is greater risk that they will not act independently or in the best interests of the organization. Also, look to see if they submit to an annual independent audit or review of their financial records.

Researching Charities

So how do you know if the charity you’re interested in supporting practices good financial stewardship and board governance? Should you really be giving to them? Here’s how you find out.

1. Contact them for information.

Don’t be afraid to call and ask to speak to someone about the work they do, how much of their income goes to programming expenses, etc.

2. Research their website.

Many organizations are open and transparent about their financial and management practices and post their most recent financial audit report or IRS 990 form online for all to see.

The audit report is a report of their finances and financial practices, which is conducted by an independent accounting firm.  The 990 form is an annual tax return that most tax-exempt organizations (excluding churches) are required to file with the IRS each year.

3. Check third-party sources.

It’s easier than ever to research charities online thanks to charity evaluator and accreditation sites like GuideStar, Charity Navigator, and the Evangelical Council for Financial Accountability (ECFA). Each site offers an easy way to look-up your favorite charity to see if they’re listed and to learn about their governance, finances, programming focus, and more.

What are the best charities to donate to?  For me, they do work I believe in and am passionate about, are financially responsible, and open and transparent. What do you look for when deciding which charities to donate to? Leave a comment!

7 Simple Rules To Stop Fighting About Money

January 20, 2020 By Rich Avery

Want to finally stop fighting about money with your spouse? These are 7 simple rules that you can start applying to your life today that will end those fights about money!...Dissension in marriage is often caused by conflicting financial priorities. So if you want to experience greater harmony and unity in your marriage, you won't go wrong by finding ways to create greater harmony and unity in your finances. While money disagreements can cause stress and strain in marriage, I believe the opposite is also true: Agreement and harmony about money can cause a greater sense of oneness in marriage....

Dissension in marriage is often caused by conflicting financial priorities.

So if you want to experience greater harmony and unity in your marriage, you won’t go wrong by finding ways to create greater harmony and unity in your finances.

While money disagreements can cause stress and strain in marriage, I believe the opposite is also true: Agreement and harmony about money can cause a greater sense of oneness in marriage.

Want to stop fighting about money?

Here are some financial practices that can go a long way to help you increase harmony in your finances and oneness in your marriage:

1. Be Generous Givers

I think the most important thing a couple can do to impact their finances is to commit to regular giving back to the Lord. My wife and I agreed to tithe early in our marriage, and back then, giving 10% seemed like a big hardship. I know others must feel that way too, since the average Christian gives just 3% of their income to the church or other causes.

Tithing worked to bring us closer together because we needed to pray that God would take what’s left, after tithe and taxes, and stretch it and make it grow to meet our needs. Somehow, God always did, and our needs were met.

As we’ve grown in the grace of giving throughout our 20 years of marriage so far, we’ve experienced God’s provision, blessing, generosity, and faithfulness in amazing ways. And we’ve found that the 10% giving benchmark established in the Old Testament was a great place for us to start, but a sad place for us to stay. We’ve decided to increase our giving percentage each year as the Lord provides.

2. Set Financial Goals

Setting financial goals together – and creating a plan or framework for achieving them – is a vital key to your financial success. Take the time to dream about or brainstorm what you want your finances to look like over the next one, three, and five years, then identify the steps you can take to achieve those goals.

Some couples I know go away for a weekend each year just to work on their family’s goals for the coming year. My wife and I recently set aside about half the day on New Year’s Day to work through our financial goals and priorities for the coming year.

Here are just a few budget categories you might set goals for:

  • Savings
  • Giving
  • Retirement
  • Education for your kids
  • Vacations and travel
  • Weddings for your kids

3. Create a Monthly Spending Plan and Review Regularly

Once you’ve identified your financial goals, the next step is to create a spending plan or budget that reflects those goals. Some people think of spending plans or budgets as restrictive or negative. I’ve certainly thought that way before, but gratefully, I’ve learned that spending plans actually give you more freedom by helping you achieve your predetermined goals.

You’re more likely to be financially organized, current on your bills, and saving money for the future if you have a plan. Without one, you’ll tend to spend without thinking and will often end up with more month than money.

But don’t just create a spending plan without also setting aside time to review it. My wife and I review ours every two weeks, on my paydays. Others might decide to do it monthly.

4. Keep Joint Accounts and No Secrets

Make a commitment to keep no secrets between each other, and to open joint accounts, not individual ones. Many couples who keep separate accounts get into trouble down the line when one spouse buys more things than the other spouse knew about.

Someone I know recently shared how heartbroken their daughter was to discover that her husband had been racking up thousands of dollars in charges on a secret credit card. As you can imagine, this has caused an enormous amount of financial and emotional strain on the family – and will take years to pay off.

5. Learn to Live on One Income Early

This is my best advice for young couples: Learn to live on only one income. That way, if you decide that one spouse should stay home with the kids at some point, it’s no hardship because you can live on the other person’s income. And the best part is that you should have a really nice savings fund built up!

We’ve known couples who have struggled financially and emotionally when mom wanted to stay home with the kids, because her heart was calling her to stay home, but the lifestyle they were trying to maintain required her to work.

It was a bit of a challenge for us at first when our first child was born and we decided to have my wife stay home. The Lord provided in some pretty neat ways, and we’ve never regretted the decision. But we’ve always wished we had learned to live on one income during our first four years of marriage before our first child, so we would have had a nice nest egg saved up. A few of our friends did that, and they’re reaping the financial benefits today.

6. Give Each Person their Own Spending Money or Allowance

While I believe it is important to share joint ownership of all your financial accounts, I think it is equally important that husbands and wives each have their own budget line item for “pocket money” or “allowance” to cover things like lunches, haircuts, coffee, clothes, hobbies, etc. That way, each person has some flexibility and freedom to make their own choices.

7. Keep it Simple and Organized

Keep your finances as simple as possible, and do your best to stay organized. Bad things happen when one spouse understands what’s going on and the other doesn’t, or when your financial papers are scattered about and no one can find the bills or information they need when they need them.

While you’re getting organized, create a special file or envelope to store important financial information that will be needed in case one of you dies, or in case of an emergency. In it, include info on the location of your wills, safety deposit box keys, keys to your home safe, life insurance policies, bank and retirement account information, etc.

And as a rule of thumb, if you’re considering a financial investment or maneuver that your spouse does not understand, it is probably best to leave it alone instead of leaving them in the dark.

This recent interview that I did with Talaat McNeely about how he and his wife recovered from financial infidelity gives a firsthand example of the importance of transparency with your spouse and how you can stop the money fights before they begin.

[mv_video key=”gvuins3jrwpaqi6am8ge” volume=”70″ sticky=”false” ratio=””]

Following any or all of these rules in marriage will help you and your spouse grow in greater financial and relational intimacy and oneness. What else would you add to this list? Leave a comment!

4 Free Ways to Do Your Taxes on Your Phone

January 20, 2020 By Rich Avery

These are 4 ways you can file your taxes for free using your iphone. One of them even offers free state tax filing as well as free federal filing! Enjoy!Are you ready to start working on your state and federal tax returns?

There’s an app for that!

Actually, there are several free ways to do your taxes on your tablet or smartphone.

Suddenly, tax time just got a little less taxing – and maybe even a little more fun.

I don’t know about you, but I can’t recall ever using the words “tax” and “fun” together in the same sentence before.

But as I’ve experimented with doing taxes on my iPhone and iPad, I must admit that it did feel a little fun to do them on a mobile device instead of a desktop or laptop computer.

Some can handle any tax situation, while others are only for people with very simple tax returns (like 1040EZ). And they all guarantee they’ll give you the biggest refund. 😉

To get started, all you need is your mobile device.

Free Tax Apps for Smartphones and Tablets

1. TurboTax App for Smartphones

Doing taxes on your iPhone or Android is a snap thanks to the SnapTax app from TurboTax. If you can take pictures with your smartphone, and your tax situation is very basic, you can file your state and federal tax return with SnapTax.

Just snap a photo of your W-2 and the app does the hard work of extracting all of your information and filling in the form for you. Next, answer a few simple questions and you’re ready to e-file.

Unfortunately, SnapTax isn’t for everyone.  It is designed for people who have only W-2 income, don’t itemize deductions, and can file the 1040-EZ or the 1040A form.

If you receive retirement or dividend income or itemize deductions for mortgage interest, medical expenses, or charitable deductions, you’ll need to use TurboTax’s app for the iPad, or the online version, which is optimized for mobile.

Cost:  The best part about it is that it is FREE for Federal, State, and to file. 

Get Started with TurboTax!



2. TurboTax App for the iPad

If SnapTax can’t handle your tax situation, or you want to use a mobile device with a screen that is bigger than the one on your smartphone, the TurboTax iPad app may be just what you need.

The TurboTax app is a full version of TurboTax on your iPad. It gives you the convenience of doing your taxes on the fly, and allows you to use it here and there instead of all at once.

Like you’ve come to expect from TurboTax, the iPad app asks you questions to guide you through entering your tax information, and double-checks to make sure you don’t miss deductions that could save you money and increase your refund.

Cost:  The best part about it is that it is FREE for Federal, State, and to file. 

Get Started with TurboTax!

Free Tax Sites Optimized for Mobile Devices

3. eSmartTax Mobile for Tablets and Smartphones

Liberty Tax offers free federal e-filing via its mobile-optimized eSmartTax site. Use your smartphone or tablet to answer questions that guide you through the process of entering your financial information.

When you’re done, it transmits your returns securely to the IRS, all from your smartphone or tablet. You can even get started on your taxes on your mobile device and finish on the eSmartTax website from any computer.

Cost: eSmartTax Mobile is free to use. E-file your federal taxes for free using the basic edition for simple tax situations. Deluxe and premium upgrades are available. State e-file is just $19.95.

Get Started with eSmartTax!

4. TaxACT Free Federal Edition for iPad and Android Tablets

Whether your tax situation is simple or complicated, TaxACT is available to help you prepare and file your return from your iPad or Android tablet.

Basic federal e-filing is free, but more complicated tax returns will require a $9.95 upgrade to a more robust version of TaxACT (you don’t pay until you’re ready to file). State returns are available for an additional fee.

Data is synced with TaxACT’s website, so your information is available to you anytime, anywhere, via computer or tablet.

Cost: TaxACT Mobile is free to use. E-file federal taxes for free using the basic edition. Deluxe upgrade is $9.95 and state e-file is $19.99.

Get Started with TaxACT!

Do Your Taxes Wherever, Whenever with Your Mobile Device

Thanks to these smartphone and tablet tax apps and mobile-optimized sites, it’s easier than ever to do taxes whenever and wherever you want.

Personally, I think it would be fun to do my taxes with my iPad while sitting on the beach someday. But I’m afraid that all of my receipts would blow away!

You can use all of these tax apps and mobile sites for free to see how they work. You don’t pay until you’re ready to e-file.

I tried them all on my iPad from the comfort of my easy chair, while doing taxes for my dad, who is retired. SnapTax didn’t work for his situation because of his 1099 retirement income, so I use it with my 16-year old son, on my iPhone, to help him do his taxes. He filed for the first time this year. Lucky guy.

It’s not practical for everyone to do their taxes on their mobile device. But for those who can – especially those who file the 1040EZ – it’s great to have the option!

This article was originally written in 2013, but updated for 2016.












16 Ways to Protect Yourself from Online Fraud and Identity Theft

January 20, 2020 By Rich Avery

While no one can totally prevent it, there are many things you can do to protect yourself from online fraud and identity theft.  Check out these 16 simple things you can do today to minimize your chances of becoming a victim...If you've ever received an email from a friend claiming to be stranded overseas and in need of money to get home, an offer from a widow who is looking for a kind, trusting person like yourself to give her your bank account information so she can deposit millions of dollars into your account for safekeeping, or if you've received seemingly official emails from banks, PayPal.com, or other financial sites asking you to provide them with your account or other personal info, you've probably been targeted for online fraud.  Here are a few of the most common examples of identity fraud:... While no one can totally prevent it, there are many things you can do to protect yourself from online fraud and identity theft.

What is Identity Theft and Identity Fraud?

According to the US Department of Justice, “Identity theft and identity fraud are terms used to refer to all types of crime in which someone wrongfully obtains and uses another person’s personal data in some way that involves fraud or deception, typically for economic gain.”

How Does Identity Fraud Happen?

If you’ve ever received an email from a friend claiming to be stranded overseas and in need of money to get home, an offer from a widow who is looking for a kind, trusting person like yourself to give her your bank account information so she can deposit millions of dollars into your account for safekeeping, or if you’ve received seemingly official emails from banks, PayPal.com, or other financial sites asking you to provide them with your account or other personal info, you’ve probably been targeted for online fraud.

Here are a few of the most common examples of identity fraud:

Phishing

Those suspicious emails you get that tell you you’ve won a contest, or that the company needs to verify personal information, or that a widow wants to send you a million dollars, are all examples of phishing – an attempt to get you to share your personal information like usernames, passwords, and bank or credit card account numbers. Many of these phishing emails also contain links that, if clicked, can put a virus on your computer to hunt for your sensitive data and send it without your knowledge.

Skimming

Skimming is the theft of your credit or debit card information at the time you make a legitimate transaction. Skim artists get temporary jobs at restaurants, gas stations and hotels for the purpose of scanning the credit and debit cards of unsuspecting customers using pocket-size skimmers.

Thieves also put skimmers over the top of card readers on ATM machines and gas pumps to capture card info, and some add tiny cameras to watch customers type in their pin numbers. Then they print new debit or credit cards with your number and information on them or simply enter your information online to make purchases.

Un-Secure Internet Connections

If you have an unsecure wireless internet connection at home, hackers in your neighborhood could use your internet connection to access personal data stored on our computer or network.

Also, if you use un-secure Wi-Fi hotspots at restaurants, hotels, or other locations to access your bank accounts or make online purchases, hackers can monitor your transactions and capture your personal data.

Data Breaches

A data breach is the theft or unintentional release of private data (like individual social security numbers, driver’s license numbers, medical records, or financial records and account information) by people unauthorized to access or release the data.

Data breaches often occur by someone hacking into a corporate network to steal sensitive data. But they can also occur by authorized or unauthorized employees who view or steal the information.

Smartphones

Smartphone users are 33% more likely to be victims of identity fraud according to Javelin Strategy & Research due to “careless consumer usage.” How? We forget that when we make a call over a cell phone, or send a text or email, someone else may be listening or may be able to access that info. Also, malicious smartphone apps can steal sensitive information that is stored on your smartphone and send it to identity thieves without your knowledge.

16 Ways to Prevent Identity Fraud

While no one can prevent all identity theft and fraud, there is a lot you can do to protect your identity and private information.

  1. Check your financial accounts regularly. The sooner you notice something out of the ordinary and report it, the better.
  2. Install a firewall and anti-virus software to protect your computer and personal information, and update them frequently.
  3. Update your operating system and web browser software regularly.
  4. Secure your wireless home network (Wi-Fi) by enabling encryption.
  5. Be wary of emails that urgently implore you to click on a link to update your account information, use a generic greeting like “Dear Member,” have misspellings or use poor grammar.
  6. Do not click on any links or attachments. You can often spot a fake email by hovering over the links and checking whether the URL actually leads to the website of the business or, in a scam email, to a third party site.
  7. Delete suspicious email from your computer completely and be sure to empty your “trash” or “recycling bin,” as well.
  8. If you did click on a link, run your anti-virus software’s full system scan feature.
  9. If you’re not sure if an email is legitimate or not, contact the company directly to verify, or visit their web page by typing in their web address (instead of clicking the link provided in the email).
  10. Protect your passwords by keeping them in a safe place. Your passwords should have at least eight characters and should contain numbers, symbols and letters. Create different passwords for each online account that you have, and use an online password manager like Roboform to remember them all.
  11. Use cash more instead of debit or credit cards.
  12. Never give personal or financial information to unsolicited callers.
  13. Use a debit card as a credit card so you don’t have to enter the pin number.
  14. Never access your financial accounts or purchase anything when using an un-secure public Wi-Fi connection.
  15. Protect your smart phone by adding a password lock, enrolling in a data wiping program that can be accessed from a computer if you lose your phone, and downloading apps only from trusted app stores.
  16. Enroll in an identity guard service like LifeLock for as low as $8.99 per month, to monitor access to your personal and financial information.

What Should You Do if You Are a Victim of Identity Fraud?

Don’t think you’re at risk for identity theft or fraud? Think again. My wife and I have been victims several times over the last three years:

  • My wife’s purse was stolen at a restaurant in Miami Beach, Florida the day before we were to embark on a cruise. She lost her driver’s license, debit card, iPod, and all of our cash for the cruise. Gratefully, our passports were not in her purse!
  • My corporate credit card number was stolen during the middle of an eight-day business trip. The credit card company said it was likely due to a skimmer at a hotel.
  • Our home was once broken into while we were on vacation during the summer and our computers were stolen. Our tax returns, financial accounts information, and other private data were stored on those computers.
  • My wife’s debit card number was stolen two months ago. Again, it was likely due to a skimmer.

Here are three things you should do right away if you think you are a victim of identity theft or fraud:

  1. If your purse or wallet are stolen, or home has been broken into, contact the police. If you need to file an insurance claim, they will need your police report number.
  2. If your financial accounts have been compromised, immediately contact your bank or debit/credit card issuer to report the misuse and request a new card.
  3. Report the incident to the Federal Trade Commission (FTC) through their ID Theft Clearinghouse at www.ftc.gov/idtheft. This will allow the FTC to identify patterns associated with the unauthorized transactions.
  4. If your data has been accessed through a data breach, consider subscribing to a credit-monitoring service, which is often offered for free for a year by the company that had been breached.

What steps have you taken to protect yourself from identity theft and fraud? Leave a comment below!













Are Church Giving Kiosks a Good Thing?

January 20, 2020 By Rich Avery

I attended a missions conference at a very large church in the Orlando area six years ago and was struck by a machine sitting in the lobby. At first, I thought it looked like an ATM. But it wasn’t. After a closer look, I discovered that this curious machine was a giving kiosk.

What are Giving Kiosks?

Giving kiosks are touch screen devices that allow people to make credit and debit card donations to their church. To use a giving kiosk, simply swipe your card and follow the instructions on the screen to complete your transaction.

The earliest ones – like the first one I saw – were big like ATMs. Today kiosks come in many shapes and sizes from flat panel computer screens sitting on a custom-made pedestals to iPads mounted onto stands.

Our church recently installed two giving kiosks – one in the atrium outside our worship center, the other at the opposite end of the building, in the lobby closest to the church offices. They’re flat panel displays mounted on a custom-made pedestal.

Giving kiosk use is on the rise – especially in larger churches like ours, but they’re not without controversy. Some people like them, and others don’t. Here are a few reasons why.

Why Some Don’t Like Church Giving Kiosks

1. Some churches don’t want to accept credit or debit cards because of the added cost and paperwork.

Accepting credit and debit cards is a big leap for some churches because of the added cost and paperwork. However, the reality is that credit and debit cards are here, and they’re here to stay. And many people prefer the convenience of using their cards instead of carrying cash or writing checks. In fact, I’m pretty sure that my children will rarely, if ever, write a check.

2. Accepting credit cards may encourage debt.

Yes, it is possible that credit card use may encourage someone to go into debt. However, in 14 years of ministry (including several years as a financial coach), I’ve yet to meet someone who got into debt trouble because of their charitable giving.

If churches are concerned about this, they should talk about it with their people from the pulpit and in written communication. And of course, many churches, like ours, regularly offer financial counseling to help people get out of debt and be a better steward of their finances.

3. Giving kiosks may commercialize the church.

Some churches just don’t want any kind of money to be transacted in the church building except for when the tithes and offerings are received. They feel that a giving kiosk would make it feel more like a bank and less like a house of worship and prayer.

Why Some Like Church Giving Kiosks

1. Convenience.

Fewer people carry cash and more prefer to use debit and/or credit cards for their financial transactions, including their giving. Everywhere I go, I use my debit card: at the doctor, stores, restaurants, gas station, etc. Why not the church?

2. More options.

People like having multiple, and easier, ways to give.

3. Kiosks increase overall giving.

Surveys of churches that have installed giving kiosks show that overall giving often increases within a few months of the kiosks being installed. They note that the kiosks provide a visual reminder to everyone – whether they use the kiosks or not – of the opportunity to give.

4. Kiosks increase the number of first-time givers.

Many churches report an uptick in first time new donors using the kiosks than they would have received before the kiosks. Kiosks provide an easy, non-threatening way for new people to make their first gift to the church.

5. Giving kiosks provide a secure way to give.

Kiosks are more secure to use for debit and credit card transactions because the donor doesn’t have to fill out a form with their card number on it, or give their card number to church staff over the phone.

Giving Kiosks: Passing Fad or Here to Stay?

I think giving kiosks are here to stay and that their use will continue to grow in the digital age and the increasingly cashless society we’re living in.

As the technology has advanced, giving kiosks are more simple and affordable than ever, allowing churches of just about any size to find an option that is right for them.

Are giving kiosks right for your church? Would you use a giving kiosk at your church? Why or why not?












Why Do Pastors Always Talk About Money?

January 20, 2020 By Rich Avery

Why do Pastors Always Talk about Money?“Why do pastors always talk about money at church?”

It’s a question I’m asked every now and then when someone finds out I’m a pastor.

When I ask what they mean, they say that when they go to church it seems like their pastor always talks about the financial needs of the church right before the collection plate is passed each week, and asks people to give more money to help meet those needs.

On top of that, pastors preach sermons about money from time to time, and some of those sermons also seem meant to motivate people to give more to the church.

In essence, what they’re saying is they believe that pastors talk so much about money, and they ask their people to give so often, that it makes them feel uncomfortable about how they manage their own finances, and a little guilty about how much, or little, they give to the church.

So why do pastors and churches talk about money?  Is it meant to make people feel uncomfortable or guilty? Do we do it too much? Here are three reasons why pastors talk about money at church.

Three Reasons Why Pastors Talk About Money

1. To invite people to help the church fulfill her calling to impact the community and world.

When people ask me why pastors always talk about money, I usually begin my reply by jokingly saying,

“If you think pastors talk too much about money at church, you should see what they do at the grocery store.  Every single time I go there and put something in my cart, they ask me for money.  And when I go to the doctor, he asks me for money too.  When I go to the gas station, they ask me for money.  When I go to the movies or out to dinner, they ask me for money.  Come to think of it, wherever I go, people are asking me for my money in exchange for some service that they provide for me.”

My point is this: No business, organization, or ministry survives without money.  Businesses charge their customers for the products and services they receive.  Churches do not (though they may charge a fee for a particular class or workshop).  Instead, churches invite people to give to meet their financial needs so they can accomplish the work God called them to do, and serve people who cannot repay.

Our ultimate goal as pastors in asking people to give is not to make budget, save for a new building, fund programs, or employ staff.  We need to show people how their tithes make a real – and eternal – difference in the lives of real people through the daily ministry of the church inside the four walls, across the street, across town, and across the world.

2.  Jesus talked about money a lot!  In fact . . . .

  • Jesus talked about money more than He talked about heaven and hell combined.
  • Jesus talked about money more than anything else except the Kingdom of God.
  • 11 of 39 parables talk about money.
  • One out of every seven verses in the Gospel of Luke talk about money.
  • About 25 percent of Jesus’ teaching in the Gospels relates to money, stewardship, and the resources God has given us.

Why did Jesus talk so much about money?  Because…

3. There is a direct correlation between what we do with our money and what we truly believe.

Jesus said, “Where your treasure is, there will your heart be also” (Luke 12:34).  In other words, where and how we spend our money is a reflection of where our heart is.

As pastors, we have an opportunity to not just ask people to give, but also a God-given obligation to show them how to earn it, save it, and give it in a way that honors God.  That’s why a lot of churches offer money management classes and coaching.

I think we can all agree that the world does not tell us how to spend our money according to biblical principles. So where else will we hear this?  It needs to come from the church.

But if you think pastors and churches talk too much about money, and ask people to give too often, consider these facts:

  • Only 4% of Americans tithe (give 10% of their income to their church) according to a 2011 survey by the Barna Group.
  • 25% of American Christians gave away no money at all (according to a 2008 Christianity Today article – from which the following points are also taken).
  • The average regularly attending churchgoer gives 6% of after-tax income (but it was noted that this figure is skewed by a handful of very generous givers).
  • The median annual giving for an American Christian is $200 – just over half a percent of after-tax income!
  • About 5% of American Christians provide 60% of the money churches receive (it’s these people who skew the average mentioned above).

What this tells us, I believe, is that few Christians really believe that their money belongs to God and that they are stewards of the resources He has chosen to entrust to them.  Few make a priority commitment to give from the heart.  Most of us just “tip” God by dropping a few coins or bills in the plate here and there.

I believe pastors and churches probably wouldn’t need to ask for money if all Christians gave at least the 10% tithe.  Our church has tested this assumption by holding a “Tithing Demonstration Weekend” once a year, where we we ask everyone to tithe 10% of the income they earned that week.  Our goal was to see how much money would be received if everyone tithed.  We’ve found that our income increased by nearly 50%!

We also challenged non-tithers to a 90 day Tithing Challenge to give tithing a try for 90 days and see what would happen in their lives as a result.  After the challenge, we heard amazing stories of how people grew in their faith and watched God provide for their needs when they committed to giving Him at least 10%.

Of course, if you can’t give 10%, you can start where you can and try to add a percent every 4-6 months until you get there.  But don’t stop there.  Keep on going, and growing, in the grace of giving.

I don’t know how it is at your church when the pastor announces it is time for the offering, but at our church, people applaud and cheer now when the time comes.  Why?  One simple reason: because God loves a cheerful giver, and more and more people in our church are learning to give with gratitude, from the heart (2 Corinthians 9:7).

What about you? Are you growing in cheerfulness and generosity when the offering plate comes your way in church, and when the pastor preaches on the subject of money?  Leave a comment below!












9 Financial Challenges Pastors Face

January 20, 2020 By Rich Avery

As a pastor for over 14 years, I don’t know anyone who went into the ministry for the money. Pastors respond to a call to serve God and make a real difference in the lives of others.

Most live modest lives and give sacrificially of their time and financial resources to help others. But some pastors struggle under the weight of financial burdens that few people in their congregation know about. These personal financial challenges often have a negative impact on the pastor’s church, and sadly, are leading a growing number of pastors to leave the ministry.

Here is a list of 9 financial challenges that many pastors face, along with some suggestions for what churches and pastors can do to address them.

9 Financial Challenges that Pastors Face

1. Lack of authenticity regarding finances.

Pastors and their spouses often feel pressure to look like they have it all together in every aspect of their lives – including their finances. When faced with financial difficulties, many pastors have a hard time admitting to anyone that they struggle or need help. And when they do open up and share their shortcomings and failures, it is sometimes used as a weapon against them.

2. Comparing themselves to others.

Some pastors feel a need to maintain a lifestyle level that is comparable to that of the business people in their congregation.  This is often unrealistic – and unsustainable – if the pastor’s income doesn’t match up to their expenses.  Left unchecked, this can lead to an increased debt load and added personal stress.

3. Feeling a need to justify having or doing something nice.

Some pastors have a hard time buying something nice for themselves, and feel like they have to justify certain personal purchases or expenses (like a car, vacation, boat, etc.) to others for fear of what they might say or think of them.

4. Modest pastoral salary.

We’ve all heard stories of celebrity TV preachers who live in mansions, and mega-church pastors who earn low-mid six figures, but the average starting salary for a pastor in the U.S. is $37,000.  Depending on location and situation, some pastors can live on that just fine, while others, in places like New York City or Southern California, can’t live on twice that.  Some pastors find they need to work an extra job to supplement their pastoral salary. Other pastors, especially in small and rural congregations, have two careers (in church speak, they are “bi-vocational”), working part-time as a church pastor and part or full-time in another field.

5. High student loan debt.

Many churches and denominations require their pastors to have a high level of education – four years of college and two to four years of seminary or graduate theological study. As seminary costs rise, more pastors-in-training are turning to student loans to finance their education. But many find it extremely difficult to make their monthly payments after graduation because their first church is often small and so is the starting pay.  Bethel Seminary reported that the average student loan debt of 2009/2010 graduates was $38,247. Luther seminary reported that 68% of its 2009/2010 graduates had student loan debt, and that the average debt load was $50,838.  It would take a pastor earning an average salary 15-20 years to pay off their seminary student loans – not to mention any undergrad loans they may have.

6. Inadequate savings for child’s education.

Pastors who struggle to pay off their own student loans will obviously find it difficult to save for their child’s education at the same time. This is a significant burden for several pastors I know.

7. Unprepared for retirement.

Historically, churches have been slow to provide for the retirement needs of their pastors, and pastors didn’t often take the initiative to create their own savings fund, leaving many retired pastors living in poverty.  Gratefully, more churches and denominations are setting up retirement plans and offering a match to what the pastor contributes to the plan, but many churches still do not. Pastors who’ve lived in a church parsonage have another problem at retirement: no home equity.  While many retirees enjoy living in a home they own, retired pastors often have to pay for housing in their retirement years.

8. No unemployment benefits.

The recent economic downturn caused many churches to cut back and some to lay off staff.  Some churches can provide a generous severance for laid off pastors but many cannot.  And since American churches are exempt from unemployment taxes, pastors are not eligible for unemployment benefits.  I don’t know how long it takes the average pastor to find a new position these days, but I know several pastors who have been between churches for 2-3 years.  One has been driving a semi truck cross-country for nearly two years while searching for his next pastorate.

9. Uninsured or underinsured.

Many churches cannot afford to provide health insurance benefits for their pastors.  This leads many spouses to work outside the home to provide insurance for the family through their employment. For pastors who don’t have Medishare or traditional health insurance, medical emergencies often become medical debt that takes years to pay off.

What can churches and pastors do to help resolve these financial challenges that pastors face?

1. Pastors need at least one person, or perhaps a small group of people, that they can be “real” with.

Sometimes the church board, or the board’s lay leader, can fill this role, but other times it needs to be someone else. Pastors need people around them who are good listeners, non-judgmental, can keep things confidential, and are committed to their personal and spiritual well-being.

2. Churches and denominations that require a high level of education for their pastors should be willing to pay more for it.

Churches should provide more affordable ways of obtaining that education – especially if they require their pastors to attend their own denominational school.

3. Churches should be as generous as they can be with their pastor’s salary, benefits, and retirement.

If you cannot do everything you may want to do for your pastor, don’t let that be an excuse for doing nothing.  Make a list of all the things you’d like to provide, prioritize the list, and take one or more steps toward those goals each year. If you can’t provide health insurance, at least start a flexible spending account so the pastor can pay for medical expenses out of pre-tax dollars.  If you can’t provide a 5% match for your pastor’s retirement savings, start now with 1%.

4. Pastors should start their own emergency and retirement funds if they haven’t already.

Even if you can put in just a few bucks a week, it really adds up over time!

5. Pastors should seek to set a good financial example and not be afraid to preach about stewardship and money.

Even if they feel inadequate in dealing with the subject, they should teach it nonetheless.  You don’t need to preach like you’ve got it all figured out. Instead, say, “This is what I’m learning” or “This is what God’s been teaching me lately about money.”

6. Pastors should seek to remain humble and grateful, and not compare themselves to others or worry about what others think.

They should not worry about their lifestyle and what they decide to spend money on. Ultimately, we serve an audience of one.

Pastors, is there anything else you’d add to these lists?  Church members, have you seen your church or pastor struggle with any of these financial issues in the past?  What was the result?  Leave a comment below!








Footer



SeedTime is a 2x Plutus award winning website.
seedtime money logo


seedtime is accredited with the BBB and has an A+ rating
seedtime instagram seedtime money youtube channel seedtime money twitter with Bob Lotich


Our book Simple Money, Rich Life was named 2022 book of the year!
  • Home
  • About
  • Blog
  • Podcast
  • The Book
  • Courses
  • Press
  • Churches


Privacy Policy | Terms | Reviews | Contact | 636-344-0438
625 Bakers Bridge Ave Suite 105-134 Franklin, TN 37067
©2007-2023 · SeedTime (Formerly ChristianPF)