New memory verse!
Memory verse 1: Everything in the heavens and earth is yours, O Lord, and this is your kingdom. We adore you as being in control of everything. 1 Chronicles 29:11
Memory verse 2: “Just as the rich rule the poor, so the borrower is servant to the lender” Proverbs 22:7
Memory verse 3: “the way of the fool is right in his own eyes, but a wise man is he who listens to counsel” Proverbs 12:15
Memory verse 4: “you shall not steal, nor deal falsely, nor lie to one another” Leviticus 19:11
Memory verse 5: “whatever you do, do your work heartily, as for the Lord rather than for men” Colossians 3:23
Memory verse 6: “for where your treasure is, there will your heart be also” Matthew 6:21
Memory verse 7: ““steady plodding brings prosperity, hasty speculation brings poverty” Proverbs 21:5
I hope you enjoyed the video sessions on tithing. I know i have learned so much from that teaching. Now we will shift our focus to saving and investing.
Many people are not consistent savers. I’ve mentioned before I think the second most important habit financially we need to learn is how to save, tithing being the first. The average person saves less than one percent of their income, and at least 35 percent of all adults have no savings at all. This is very contrary to scripture which encourages us to save.
It Is Wise To Save
Saving money can be a real test sometimes, and can be a tough habit to start. Saving often has to go against our nature to have “stuff”, and forego an expenditure today so you will have something to spend in the future.
“the wise man saves for the future, but the foolish man spends whatever he gets” Proverbs 21:20
Now, saving money is only possible if you actually have any extra to put away. If our debts consume every dime of our income, that makes for a very stressful situation if any unexpected expense comes along. We should make it a goal and a habit that whenever we get paid, our first portion goes to tithe, and the second goes to savings. But this will take time and deliberate practice.
Now in the very near future, we are going to attempt to write our first budget, but there are a couple more things we need to consider first. You have already listed your debts, smallest to biggest. Keep updating this list as it changes. You have written out your personal financial statement, and you have had a look at a sample budget paper. Now let’s have a look at what is one of the most popular financial 7 steps plans in the world and highly recommended by leading Christian financial experts like Dave Ramsey. The 7 steps are these:
- Save $1000 in a bank account for emergencies
- Pay off all debts (except mortgage)
- save 3-6 months of wages for emergencies
- invest 15% for retirement
- save for your kids college/university
- pay off the mortgage
- build your wealth and give more
Lets look at the first one today. Start off by getting a small buffer in your account for unexpected emergencies. And i don’t mean a “i don’t feel like cooking, so lets order pizza” fund. No real emergencies. Car breaks down, kid needs braces, that kind of stuff. Do this as fast as possible, sell stuff, get a second job, whatever it takes to create this emergency account. Less emphasis on debts during this time (continue paying at least the minimum though) so this account can be funded quickly. This is important because it will play into how we write our first budget. You will feel a lot more freedom and a lot less stress when you have a bit stashed away.
There are lots of methods to save money, especially if you have a hard time not spending it. You can set up automatic savings plans that put a certain percentage in a separate account the second your paycheque is deposited. Maybe you are getting a tax refund. Put it away. And if you need to, be accountable to someone.
“steady plodding brings prosperity, hasty speculation brings poverty” Proverbs 21:5
All new habits take time to develop. Don’t give up. Start small and increase from there
Lord we thank you for your faithfulness. God help us to learn to save as your Word has instructed us. Show us today how were we can get that 1000 dollars for our emergency account. Help us to let go of things that need to go to get us on the right financial track. Thank you Jesus, amen.
tomorrow- investment principles and step 2.