Activities, Budgeting, Holiday Tips

Ask Chuck: Vacation Without Debt

By: Crown Financial Ministries, Chuck Bentley

Dear Chuck,

I would love to treat my family to a vacation, but we just can’t afford it unless we put it all on a credit card and pay it off over the coming months. Seems worth it to us. We need a break.

Vacations Via Credit Cards?

Dear Vacations Via Credit Cards, 

Happy July! School’s out, and many are looking forward to a traditional summer vacation to a theme park, the beach, or even bucket list travel destinations. Others, like you, do not see how they can afford one. The truth is, you need a vacation; that is non-negotiable. But paying it out over months of high-interest rates is not wise.

Vacations Are Vital

Vacations are permissible, profitable, and, more importantly, Biblical! An article at Forbes, “Why Taking Vacation Time Could Save Your Life,” makes the case that time off is “integral to well-being, sustained productivity, and high performance.” 

The Harvard Business Review offers this compelling article: “Thinking of Skipping Vacation? Don’t!” Research shows that taking regular vacations grants greater job satisfaction. Those who take ten days of vacation are 30% more likely to get a raise. “Research on elite athletes shows that rest is what enables them to perform at peak levels, and the same is true for us.” Another HBR article to reference is: “We All Really Need a Vacation. Here’s How to Make the Most of It.” The article states, “Even before the pandemic, millions of days of vacation time went unused in the United States.”

This article at Very Well Mind addresses burnout prevention and managing stress. “How to Take a Break from Work” says time off is needed when these signs are evident: 

  • Lack of energy and motivation
  • Low mood, sleep disturbances
  • Difficulty concentrating, unfocused or fuzzy-headed
  • Changes in eating habits, headaches, stomachaches, frequent illness
  • Using drugs or alcohol to cope with stress
  • Cynicism about work, poor performance 
  • Withdrawing from friends, family, or co-workers

Even if these signs are not present, because we are made in God’s image, we all benefit from rest. If He rested, we certainly can’t ignore our need for rest! The break in routine can rest your mind and body, but sticking to clear parameters will prevent financial stress upon your return home.

Steps to A Vacation You Can Afford

  • Make a budget. 

A debt-free vacation is possible if you do it on a budget! Be realistic about what you can afford. Planning a vacation without debt requires cooperation, planning, perseverance, and, perhaps, some painful sacrifices, but the reward is worth it. Spend some time researching costs; then set a financial goal and get started. 

  • Try pulling together more cash.

Assess your financial situation. Try cutting back your variable expenses to accumulate some cash. If the family works together, you can jointly agree on things like not eating out for a month and giving up certain activities, foods, subscriptions, or new clothes. How about having a garage sale or selling larger items on Facebook Marketplace? 

  • Plan to have fun. 

Consider driving to see friends and family or receiving them at your home. Camp, stay in state and national parks, spend time in nature, and simply unplug. Enjoy a staycation, and take advantage of all the free or low-cost experiences near your home. Invite other families to join you. It can be a truly enjoyable time for all! If you cannot afford a summer vacation, save for a fall or winter one. You can find great rates in the off-season!

Vacation Without Overspending

 According to a survey by Accrue Savings on travel and vacation habits:

  • Men are more likely to go into debt than women.
  • Gen X is the generation most likely to have gone into debt.
  • Most of those surveyed incurred $500–$2,999 of debt.

Managing Family Expectations 

It is easy to overspend when away from home because people let down their guard. They relax and treat themselves to new activities, souvenirs, drinks, and once-in-a-lifetime experiences. Some find it easier to give in to a child or spouse than answer with a loving, “No, we can’t do that this year.” Discuss the situation, and try to teach basic financial principles before leaving home. Then hold one another accountable. You might want to enact a no-complaining rule.

Perhaps you can surprise the family with special treats purchased or prepared ahead of time. Carrying food and drinks with you is usually more affordable than buying on-location. If driving, bring books, journals, pens, pencils, games, and in-car entertainment to pass the time. Limit or avoid screen time so the family is truly present—communicating with one another and enjoying the scenery. Plan family devotions and time to praise and worship God.

Set a New Standard

Please get away and rest, but try to avoid doing it with debt, which will only add financial stress to back-to-school and holiday expenses coming in the Fall. I have a wealthy friend who annually pitches a tent in a state park just an hour from his home in North Carolina. He and his wife spend the weekend completely unplugged from the world. Although he could afford a 5-star hotel, this is one of his favorite ways to recharge. He inspires me to find ways to set a new standard for how I steward my vacation expenses. 

Crown has a number of resources available to assist in budget planning, including calculators, online courses, and even personal budget coaches. If we can help your family get on the road to financial freedom, please reach out, and we would be honored to help.

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Budgeting, Credit Cards, Credit Counseling, Debt, Money Management, Saving

Ask Chuck: Move Back from the Financial Cliff

By: Crown Financial Ministries, Chuck Bentley

Dear Chuck,

Our finances are stretched so thin that I am stressed out all the time. We live on a budget, but my husband and I both need some hope that it will not always be this way.

Living on a Financial Cliff

Dear Living on a Financial Cliff,

There is certainly reason for hope, so hang on!

Let’s put your challenges in a current economic context and then a Biblical context before I offer some practical tips to help you through this painful time.

Economic Context

With the lingering impact of inflation, a new CNBC survey reports that 70% of Americans say they, too, are feeling financial stress, and 58% report they are living paycheck to paycheck. The report pointed to several specific concerns, including a lack of savings and a dependency on debt.

“People are worried that the money they’ve saved won’t last and are worried they’re going to have to lean more on their credit cards and other sources of debt just to get by,” said Bruce McClary, a senior vice president at the National Foundation for Credit Counseling.

With rapidly increasing costs, higher interest rates, and a sense of economic uncertainty in the air, many are feeling like their finances are balanced on a razor’s edge with no margin for error.

Biblical Context

The Bible is full of people who had to face incredible amounts of stress. It is also full of principles and truth that help us to reframe our present circumstances. I am reminded of Romans 8:18–21:

I consider that our present sufferings are not worth comparing with the glory that will be revealed in us. For the creation waits in eager expectation for the children of God to be revealed. For the creation was subjected to frustration, not by its own choice, but by the will of the one who subjected it, in hope that the creation itself will be liberated from its bondage to decay and brought into the freedom and glory of the children of God. (NIV)

We live in a fallen world—in bondage to decay—because of mankind’s disobedience to God, but a promise of freedom and redemption awaits those who are children of God. Considering our eternal future, our present trials and tribulations are insignificant. Remember to keep your present cares and burdens in the context that this is not our home. We temporarily manage what God provides and seek to be faithful until we have finished our race.

Help in Reducing Your Financial Challenges

Three very practical steps will help you reduce the immediate pain you are in.

First, no matter how much or how little income you have each week or month, be sure that you are spending less than that amount. Think of the old game of limbo, where you have to bend your body to get under a bar without knocking it off. The bar represents your income. Your attempts to get under it represent your control over your spending. That is why a budget is so very helpful. You can adjust your expenses to ensure that you never exceed the height of the bar (your weekly or monthly income).

Second, build an emergency savings fund. You need at least $1,000 set aside to help with unexpected expenses. That is the bare minimum. Set a goal of saving three months of overhead. Emergencies always happen, so this is non-negotiable. In the CNBC survey, most of those who report living paycheck to paycheck say they do not have any money saved. This is like flying through the air on a trapeze bar without a safety net. It is scary! Crown has some free tools to help you get that accomplished. Perhaps you need to adjust your budget. You might benefit from our budgeting resources and a coach.

Finally, make a plan to reduce your debt and break any dependence on credit cards, store accounts, buy-now-pay-later plans, or payday loans. The largest expense in most American budgets today is the interest expense on debt. Just imagine how free you would feel without debt hanging over you each month. We partner with Christian Credit Counselors to help free people from this burden.

Thank you for writing. Please know that we want to help! May God give you His peace and the freedom you so desire.

Christian Credit Counselors is a trusted source of support in assisting people with getting on the road to financial freedom. Reach out to them today; they may be of great benefit to you.

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Budgeting, College Debt, Kids & Money, Money Management, Saving, Student Loans

Ask Chuck: How Do I Financially Prepare My Child for College?

By: Chuck Bentley, Crown Financial Ministries

Dear Chuck,

I’ve tried to prepare my daughter to handle money responsibly while she’s away at college. But, I’m concerned that peer pressure and the stress of classes will throw her off track. Any tips?

Budget-Minded Mom

Dear Budget-Minded,

Congratulations are in order for preparing her for this crucial transition. Far too many students leave home without a clue how to manage money and are vulnerable to making life-altering messes.

While most Americans assume that student loan and consumer debt is the only way to get a college education today, this is simply not true, regardless of income. I have a friend who immigrated here from China. She only had $2,000 to help her daughter when she left for college. When her daughter finished her undergraduate and decided to seek a master’s degree, her mother asked if she needed financial help. Turns out that her daughter had been able to graduate without borrowing money and still had cash in the bank. She explained that she had been saving and investing for years and had $70,000 cash in the bank before entering grad school!

Financial preparedness for college students and young adults is crucial today. Demands come from all directions and unless students understand the value of a dollar, they can blow through spending money and quickly rack up consumer debt and long-term student loan debt before they ever realize the consequences ahead. 

Having raised four sons, we can appreciate your concerns but also want you to know that it is possible for our children to swim against the tide. 

Set Clear Boundaries

Make sure there is a clear understanding of what you will pay for and what your student is required to cover. Typically, students are more careful with the money they have earned, so avoid robbing them of an important lesson by giving them everything. 

For example, if they have a car at college, determine who will pay for gas, insurance, tags, parking, maintenance, and repairs. If they’re going to be responsible for those expenses, then they need to find a part-time job. That’s real life! If you plan to cover the expenses, have clear stipulations and terms (e.g. you’ll only cover those costs as long as they remain in school and maintain a decent grade point average). Every family situation is different, but the goal is to grow financially mature adults.

Some Practical Tips 

Here are a few additional tips you may want to teach the young people in your life:

  • Exercise self-control. Don’t drink, smoke, or binge with money
  • Live like you’re poor in college and you won’t be when you graduate!
  • The earlier you save and invest, the more you’ll have for your future
  • Boundaries now grant freedom later
  • Be careful loaning money
  • Keep healthy snacks on hand and in a backpack
  • Use cash to avoid overspending
  • Avoid debt. Period. Set a goal to graduate without student loans or consumer debt.

What They Need to Know

  • How to use a checking account and debit card – understand bank fees
  • How to make deposits into a savings account – preferably at a different bank to avoid easy withdrawals
  • How to use a credit card wisely – pay it off in full each month
  • How to make a budget and keep track of expenses
  • The importance of good credit and how to establish it
  • The joy of giving and saving with intentionality
  • Student loans will be offered but try to avoid them

Prevent Medical Expenses

  • Cook healthy meals or use a meal plan wisely
  • Sleep, exercise, avoid alcohol and drugs
  • Seek a community of Godly friends
  • Take care of mental health: limit social media, join a church, volunteer

Practical Tips

  • Keep $100 tucked away in your wallet for emergencies only
  • Guard personal information
  • Know how and where to buy/sell used textbooks
  • How to study well, apply for scholarships, and work part-time
  • Know identity in Christ to withstand peer pressure, FOMO, and comparison traps
  • Live at home or with another relative to save dorm/apartment fees
  • Know how to make coffee, cook, and do laundry
  • Get to know the financial aid counselors
  • Work on campus: saves time/gas, and opens doors to deeper relationships with staff

Preparing our youth financially will give them a step ahead of most people. Diligence requires purpose, intentionality, and resolve. It requires renewing the mind and working toward specific goals. May they be filled with the understanding of who they are in Christ and the knowledge that they are stewards of what He gives.

And whatever you do, in word or deed, do everything in the name of the Lord Jesus, giving thanks to God the Father through him. (Colossians 3:17 ESV)

Whatever you do, work heartily, as for the Lord and not for men, knowing that from the Lord you will receive the inheritance as your reward. You are serving the Lord Christ. (Colossians 3:23-24 ESV)

By discussing your daughter’s financial needs, desires, and habits regularly now, you can help her avoid the mistakes that most make plus prepare her for the next stage of her career without the bondage of debt-driven decisions.

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Budgeting, Finance, Money Management

Ask Chuck: How to Budget for the Dangers of Inflation

By: Chuck Bentley, Crown Financial Ministries

Dear Chuck,

We tried to live on a budget when we first got married but didn’t stick with it. Now that we have children and are feeling the pain of rising gasoline and groceries, etc., we need to get disciplined with money! Can you help us? 

Budgeting for Inflation

Dear Budgeting for Inflation, 

We are all having to navigate the dangerous challenges to our finances caused by inflation. To help you get serious about your budget, I reached out to Steve Brooks at Dedicated Money Management. Steve is a dear friend who served on staff with CRU for 21 years and Crown for 27. He has been a trained budget coach for over 20 years, helping tens of thousands of people manage money from a Biblical perspective. He answered a number of questions that will help you get on the right track. 

Why don’t more people live on a budget?

Steve: I think there are three main reasons why people do not stay on their budgets:

  • They have wrong money beliefs.
  • They have poor money behaviors.
  • They don’t have a simple budgeting tool.

I teach my clients that God is the Owner of all that they possess. They are stewards of His money and possessions. If they do not get this right, they will never become “good and faithful stewards” of God’s money and possessions. If I do not have a spending plan (budget), I am probably spending God’s money the way I want to spend it instead of the way He wants me to spend it.

What is the best way to get the right perspective on budgeting? 

Steve: I ask my budget coaching clients two important questions:

  1. How would you act if I hired you as my money manager/steward?
    • Would you spend my money any way that you wanted to?
      • If you did, I would quickly remove you from your money-managing responsibilities!
    • Or would you ask me how I want you to manage my money?
      • This is the appropriate thing for a money manager/steward to do.
  2. Since God has hired you as His money manager/steward, how should you act?
    • Should you spend God’s money any way that you want to? 
      • If you do, He might remove you from your money managing responsibilities. This is what happened to the shrewd and dishonest steward in Luke 16.
    • Or should you ask God to show you how He wants you to manage His money? 

This is the appropriate thing for a money manager/steward to do.

Do people need special skills to make this work?  

Steve: I want my clients to become “budgeters,” not “accountants.” The difference is that budgeters check the category balance throughout the month before making a purchase to make sure they have enough money set aside for that purchase. 

What tools do you recommend? 

Steve: Choose a budgeting tool that works best for you.

  • Cash envelopes 
  • Paper and pencil 
  • An Excel spreadsheet
  • A computer program (Quicken, QuickBooks, etc.)
  • A budget app that can be accessed on a cell phone to check a category balance before making a purchase. Some examples are You Need a Budget (YNAB) – the one I like best, Mint, Every Dollar, or Calendar Budget.

What about those who say they don’t make enough to budget? 

Steve: If one is unable to live on a budget because income is too low, consider these options: 

  • Look at every spending category in the budget, and ask yourself: Can this category be eliminated or lowered? Is it a necessity?
  • Sell stuff you no longer need or want. Use the income to fund short- or long-term savings goals. For example, if you sell an item for $500, you might consider funding your vacation with this money instead of setting aside that money monthly.
  • As a last resort, you might consider starting a side business or working part-time to earn additional income. I have clients who have become Uber Eats drivers temporarily to fix holes in their budgets.

What are the behaviors needed to budget well?

Steve: This is a great question and an important one to make the budget work well! 

  1. Keep your budgeting tool updated. 
  2. Check it before making a purchase.
  3. Accelerate debt repayments.
  4. Be generous toward God’s work in the world.
  5. Save for future expenses.
  6. Invest part of your income.
  7. Husbands and wives, make financial decisions together.
  8. Refer to the Crown Money Map when making financial decisions.
  9. Seek counsel from the Bible and Godly family and friends.
  10. Be completely honest and trustworthy.
  11. Teach/train others to be faithful stewards (multiplication principle).

What are the beliefs that you want your budget coaching clients to know and believe?

Steve: All of these are Biblical principles that I can summarize: 

  1. God is the Owner, and we are stewards of HIS possessions and money.
  2. Debt is bondage and should be avoided.
  3. We are to be givers (generous) rather than getters (consumers).
  4. We are responsible to teach/train others to be faithful stewards.
  5. We are to seek counsel from God and others when making financial decisions.
  6. We are to save and invest our money to meet needs and to build God’s Kingdom.
  7. We are to work hard for the Lord in our God-given areas of strengths and talents.
  8. We are to be absolutely honest.

Thank you, Steve! 

General Principle to Follow

Since overall inflation is estimated to be between 8–10%, I suggest you reduce all spending by the same amount to ensure you are keeping up. You also need to increase your emergency savings, as you are able, to ensure you can navigate any disruptions to your income should inflation hurt your job or career. 

Hopefully, these ideas will set you on a course to develop your budget, stick with it, and navigate the rapidly changing effects of inflation on your finances. If you want help creating and staying on a budget, reach out to Steve today, or contact Crown to enroll in our Budget Coaching Program.

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Activities, Budgeting, Holiday Tips, Money Management

7 Ways to Ensure a Great Staycation

By: MoneyWise

Inflation and gas prices may have pushed a traditional vacation out of your budget. But that doesn’t mean you still can’t enjoy time with family and make some lasting memories.

A staycation is an at-home vacation. Staycations reduce or eliminate common expenses related to vacations—gas, hotel, and food. Staycations have become a popular option for a budget-friendly time away from work.

Are you considering a staycation this year? Here are seven ways to ensure a great time:

1. Set objectives for your staycation.

What do you hope to accomplish during your staycation? Objectives are not equivalent to what you will do. What you will do should be a means to an end. Before considering what you will do during your time away from work, think about more significant outcomes. Do you desire to make some memories with family? Do you desire to rest? Do you desire to grow spiritually or help your children grow spiritually? Setting objectives can provide guidance and purpose to your staycation plans.

2. Make a plan.

It’s easy to procrastinate staycation planning. Because you are staying at home, the need to plan doesn’t seem as urgent. However, not planning is a sure way to get frustrated during or after the staycation. Without a plan, routines tend to take over and the time at home starts to feel less like a vacation. A lack of planning also reduces the anticipation of a staycation. When planning, consider your objectives. Make a schedule that best accomplishes those desired outcomes.

3. Take advantage of special events.

Good staycations create a break from the normal, even when staying local. While planning your staycation, look for special events, activities, and concerts taking place during your time away from work. These special events can bring added excitement, fun, and a flair to the familiar during your staycation.

4. Do something you’ve wanted to do for a while.

Have you wanted to see something or do something in your hometown for a while? A staycation is a great time to do activities or see areas you would not normally do or see. If you have been talking about doing something for a while, make sure to include it in your staycation plan.

5. Take a day trip.

Yes, you can get out of town during a staycation. More than likely, there are a few fun day trips you could take. Consider including one or two-day trips during your staycation. Granted, this will increase gas costs. So, budget accordingly.

6. Spend more money on entertainment than food.

For families, food is a big vacation expense. During the staycation, determine to significantly reduce your food costs. Breakfast can typically take place at home. Depending on the day’s plans, bringing a cooler filled with sandwiches, chips, and drinks can create a low-cost lunch. Dinner can take place at home, or you may choose to eat out, depending on your budget. If you do choose to eat dinner at home, consider having foods you would typically eat on vacation—pizza, hamburgers, ice cream, etc.

7. Plan a few splurges.

Craft a staycation budget that allows for a few splurges. Consider splurging on experiences instead of food. Experiences usually create longer-lasting memories than meals at an expensive restaurant.

Enjoy your time away from work in a cost-effective manner. Set your staycation objectives and plan accordingly. Make some amazing memories without making a bunch of debt.

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Budgeting, Finance, Gas, Money Management, Saving

How to Deal with Inflation and Rising Costs

By: MoneyWise

The latest Consumer Price Index was released today, posting an 8.6% annual increase in May. That’s the highest increase the U.S. has seen since 1981. More importantly, it tells us that goods and services are becoming more and more out of reach. Reports have shown that these increases have already slowed discretionary purchases. Basically, that tells me there’s a lot less vacation and leisurely spending going on right now.

Our regular contributor and Compass Australia founding member, Gwenda, touched on saving the other day. And in times like this, I think it bears repeating: “The Bible encourages us to save and is loaded with great practical advice.”

That’s from the last time we heard from Gwenda. And as prices rise, we’re reminded of just how much wisdom God’s Word contains. Not everybody feels the effects, but many of us do. And one thing to weather it is to do exactly what the Bible says. As Gwenda mentioned, there’s a saying: “Save for a rainy day.” A step further, Proverbs 21:20 says that the wise save for the future, but the foolish spend whatever they get.

Sometimes, it can be hard for us to save when we don’t know what we’re saving for. But if the cost of just about everything is going up and it’s affecting you, this is the case in point for why the Bible tells us we must save. Having savings set aside right now would help weather rainy days like this.

If you’re asking how would you save, here are a few ways to get started:

  1. Make it automatic – Gwenda mentioned the automatic savings plan, as well. It’s an amount you decide and set up typically through your bank.
  2. Budget – Another recommendation by Gwenda. But don’t let this word scare you.
  3. Cut Back – I consider this separate from budgeting because the way I see it, just because I budget or plan for something, it doesn’t mean it’s necessary.

An automatic savings plan encourages you to save first, spend second. If you tithe and “pay yourself” first, you’re required to work with what’s left. A much better formula for putting more aside than if you were to spend first, save second. Saving whatever’s left over usually encourages more spending.

“Budget” is just a technical term for telling the money where to go, not the other way around. And when I say cutting back is separate from budgeting, here’s what I mean…

In our budget this month, my husband and I have planned to spend no more than $150 on dining. How much of that has to be spent, though? Well, the answer is $0.

We have to eat, but we don’t have to do that by going out to restaurants or taking out. This is my point: If you study your budget, chances are you’ll find one or two categories that either can be reduced or don’t need to be there at all.

The Building Your Finances God’s Way financial discipleship study dives even deeper into the concept of saving and much more. I encourage you to sign up for a study right here. Because it’s not just about weathering your storm.

Putting these three things into practice helps us become better financial disciples: One who can live in contentment, knowing no matter what, God provides; who can live life applying finances God’s way, giving cheerfully and with the assurance that it shall be given unto them, pressed down, shaken together, running over (Luke 6:38); and who shows others how to do the same and that there’s a reason why faith and love get us through anything and everything life throws our way.

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Activities, Budgeting, Money Management, Saving

Ask Chuck: Help Me Get Our Spending Under Control

By: Chuck Bentley, Crown Financial Ministries

Dear Chuck,

We have to cut our spending this year, but I really don’t know where to begin. When I bring up the subject, my spouse always has an excuse. If we don’t get things under control, we are going to face eviction from our landlord. 

Cash Crunch

Dear Cash Crunch,

I’m so glad that you wrote to me and are ready to make some big changes. My hope is that if you set a clear direction, your spouse will be inspired to join in the effort. Forced eviction is devastating emotionally; it is expensive and wrecks your credit score. Let’s work hard to avoid it!

Some of the obvious ways to reduce spending include eliminating the big expenses, like a car payment or rental/living costs in excess of 40% of your net spendable income. Look at both of those expenses closely, and determine if you need to make any changes. If not, there are some not-so-obvious ways you can save money each month that really add up over time. Cutting what seems like a necessity may seem impossible, but over time, the sacrifice will prove rewarding. Here are a few examples I want you to consider.

Do You Really Need Amazon Prime?

Membership fees jump for new members on February 18th. Renewals take the hit on March 25th. The annual cost will be $139/year plus taxes or $14.99/month plus taxes. An alternative is to keep a shopping list until you reach a total that qualifies for free shipping from Amazon or other companies. You may have limited shipping options, but this leads to better planning and less impulse purchasing. You can also use Amazon gift cards to limit spending since a credit card is not linked to your account.

Do You Really Need That Streaming Service?

According to The Streamable, in 2021, the average viewer had five or more subscriptions. The top five include Netflix, Amazon Prime, Disney+, Hulu, and HBO Max. In May 2021, Bloomberg reported that the average streaming consumer spends $40 per month. That comes to $480 per year! Different streaming prices can be seen here. The average cost of cable TV comes in at $64 but can run from $11 to $127 or more per month.

Do You Really Need Audible or Spotify?

Free audiobooks are available via Overdrive and Hoopla with a library card. Spotify and other small monthly fees that seem insignificant can really add up. Nothing is too small to eliminate to help you avoid eviction!

There’s More

Look at your spending with a critical eye. What could you realistically eliminate? What are your real needs? What do you need to reprioritize? Small daily purchases can add up quickly.

Analyze what is spent on subscription services, fast food, coffee, bottled water, shoes, clothes, gym membership and gear, house plants, manicures, pedicures, tattoos, haircuts and color, lottery tickets, toys for children, etc.

Challenge

Ask your spouse to join you in tracking all spending for the next 30 days. When Ann and I did this years ago, we found that recording each dollar spent made us more aware of our actions. We realized that we had some costly habits. Write down your expenses. Don’t leave anything off your list so that you know where your money is really going.

After 30 days, come together and share what you learn. It may only take a few days before a heightened awareness sets in. Prayerfully discuss what you could sacrifice for six months or a year. I suggest you gently educate your spouse on the long-term benefits. Can you agree to get the help of a mentor or come under the accountability of trusted friends? How about planning a reward when reaching your goal? You can likely cut back on your spending by 25% by just changing some of your habits.

Once you get your spending under control and avoid eviction, there are many other reasons people decide to better manage their money. Reduced spending builds the habit of saving, and with the help of automatic deductions, people learn to live without. The possibilities can include:

  • Building an emergency fund
  • Paying off debt
  • Saving for retirement
  • Giving more generously
  • Having funds for vacations, a move, a business, education, holidays, births, deaths, etc.

Years ago, a woman confided in my wife that she was tired of her husband limiting her spending. She felt like she was being treated as a child. Ann listened and then asked, “Have you considered the possibility that he loves you so much that he wants to protect you and save for your future together?” The thought had never entered the woman’s mind. It changed her entire perspective and opened the door to healthy dialogue about their finances.

We enter marriage with a philosophy of money. Most often, we marry an opposite. The goal is uniting around God’s principles regarding our finances. Pray about how to lovingly communicate with your spouse. Treat him/her with respect and love so you can make progress. My desire is to see God’s people free and marriages united, strong, and thriving. We must recognize the errors in what the world has taught us about finances and have our minds renewed by God’s truth. Consider this effort to lead the way out of this crisis the best gift you can give your spouse.

If credit card debt is a source of frustration in your marriage, consider contacting Christian Credit Counselors. They specialize in assisting people with getting out of debt and on the road to financial freedom, and they are a trusted source of help.

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Budgeting, Goals, Money Management, Personal Goals

7 Steps to Achieving Your Financial Goals This Year

By Daniel Rodriguez | Dr. Budgets

Another year has come and gone, and last year’s goals are now in the history books. So how did you do? If you want some guidance in achieving your financial goals this year, then read on! Below are 7 steps to achieving your financial goals this year:

1) Be SMART. No, I’m not talking about intelligence. The first step to achieving your goal is to set a strong financial goal that is SMART (Specific, Measurable, Achievable, Relevant, Time-Bound). In order for your goal to be strong, you have to really want it (do you have a strong emotional attachment to your goal?). Once you are emotionally invested in your goal, then being SMART with it will strengthen it even further.

2) Know Your WHY. Take some time to determine WHY your goal is so important to you. For example, my wife and I have a goal of moving from our condo to a single-family home in four years because our baby girl (on the way) and future unborn kids are very important to us. We want to raise our kids in a place that is large enough and located in a great school district because family, education, and stability are a top priority. Knowing the WHY behind your goal will help keep you on track when you stumble (and believe me, we all stumble!).

3) Find the Money. Once you have your goal and you know your why, then you need to consistently put money toward your goal. To do so you need to be aware of where you are currently spending your money, and then find savings within your current spending that can be used to fund your goal. One of my favorite tasks as a Dr. Budgets money coach is to find the savings within my client’s current spending that allows them to achieve their financial goals. The key is to keep spending money on what is important to you and cut spending in the areas where you receive very little value from your money.

4) Build A Plan. Now that you have all the facts and figures of your current spending and have determined where the money is going to come from to fund your goal, the next step is to build a spending plan that coincides with your SMART goal. This is also when you may have to adjust the “T” portion of your SMART goal based on your findings from Step 3.

5) Monitor Your Progress. Having a plan is worthless if you don’t follow it. Monitoring your progress and making adjustments along the way is critical to successfully achieving your goal. If you don’t know how you are doing, then you will be flying blind. When I coach my clients, I track their spending and monitor their progress toward their goals, which greatly increases their probability of success.

6) Celebrate! Setting some milestones (or mini financial goals) along the way toward your ultimate goal, then celebrating and rewarding yourself when you hit those milestones, makes your journey much more enjoyable and will help keep you motivated. So think of some experiences or things that you want, then use those as rewards for when you hit your milestones. Also, remember to celebrate when you do achieve your ultimate goal. This is an area where I have had trouble in the past, but I’ve been getting better at rewarding myself, which has made it more fun!

7) Repeat. Repeat Steps 1 – 6 for your next financial goal. I do recommend you limit the number of goals to a maximum of three. Ideally, you want to focus on just one financial goal at a time.

These are my 7 steps to achieving your financial goals this year. I hope you find these steps helpful as you start off the new year. What is your top financial goal this year? What will you do to achieve it? Wishing you a great start to the year!

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Budgeting, Debt, Money Management, Personal Goals

Ask Chuck: Help My Financial Anxiety!

By: Chuck Bentley, Crown Financial Ministries

Dear Chuck,

My husband and I are both working adults. With 3 kids at home and trying to care for some extended family here and abroad, I am increasingly struggling with financial anxiety. Now the holiday pressures are making it worse. Please help me deal with this! 

Family Financial Stress

Dear Family Financial Stress,

You obviously have a big heart…maybe bigger than your budget can afford.

The Bible says that we are to provide for our own immediate families (1 Timothy 5:8). This is a responsibility that the Lord has entrusted to us. When you add extended family members, here and/or those living in a different country, it is no wonder your stress is great.

Immigrants or children of immigrant parents face pressures that differ from many in the general population. Learning the language, navigating the culture, and the burden to succeed create tremendous stress. In my travels, I have seen how parents in some nations sacrifice greatly to give their children an excellent education. Once in the working world, these children are then expected to sacrifice for their parents. The pressure for a couple to support four aging parents along with their own children can be financially and emotionally crippling.

Financial Anxiety

Researchers at the Global Financial Literacy Excellence Center at George Washington University and the FINRA Investor Education Foundation found that prior to Covid-19, more than half of American adults experienced financial anxiety. The report shows that anxiety occurs in thinking about or discussing money. (This is without the very real pressures you and your husband are shouldering.) Women, young adults, those with financial dependents, and those who are low-income, unmarried, and unemployed feel most anxious. Respondents reported that too many expenses and monthly bills, especially medical expenses, were major factors contributing to high anxiety.

My Advice

First, establish a budget that primarily takes care of your immediate family. Meet with your husband, and discuss the appropriate distribution of the surplus funds that you discover in your budgeting process.

Next, set priorities for whom your budget will allow you to support, and then, determine how much can be allocated to them as the Lord provides.

Communicate to those whom you may not be able to support on a regular basis that you are sorry that you cannot continue. Let them know that you will help them establish a budget, and encourage them to try and take care of their needs themselves.

For those that may be totally dependent on your financial support and are unable to work or care for themselves, set some goals for what you may be able to do should the Lord provide an increase in your income, but live within your budget without compromise.

Make or improve your plan. If grandparents are living with you, possibly they can be asked to make some contribution to the needs of the family, like babysitting, doing household chores, shopping for discounts, cooking, cleaning, or running time-saving errands. Don’t rule out that some family members may be capable of generating income under the right circumstance or opportunity. A friend who operates an online business has his parents that live with them answering emails, praying with customers, and even filling orders.

Consider creative ways to give meaningful gifts that do not cost money. Often, a handmade card, a day spent together, or a poem or song will convey your love far more than a gift that comes in a box.

Reduce Financial Anxiety 

God’s Word gives us financial principles for our good. When we fail to know and live by God’s financial principles, we actually create circumstances that increase our stress. He also told us how to deal with anxiety. Here are some tips that have helped me:

  • Acknowledge Him as your Provider. He is a God of abundance, and He is faithful.
  • Live one day at a time. That means to keep your mind and emotions on today. Matthew 6: 25-34
  • When you are afraid, learn to pray and seek God’s guidance.
  • Cast your cares upon the Lord.
  • Practice gratitude. Give thanks to the Lord for three things every day. Philippians 4:4-9

The key to breaking the anxiety loop is faith exhibited by a deep trust in God’s character and an assurance of His promises.

Faith is a muscle that grows under tension. It is an exercise that must be practiced. Remember the words the apostles spoke to the Lord? “Increase our faith!” (Luke 17:5 ESV) Or, remember the father who brought his boy with an unclean spirit before Jesus for healing? “I believe; help my unbelief!” (Mark 9:24 ESV)

Invite the Lord to intervene and give you peace in the midst of your trial. Ask Him for wisdom to make the right decisions and the words to talk winsomely with your family.

If your pain is from debt, stop all borrowing. Are you in need of a raise? Improve your skills, meet with your boss, and ask for feedback on how to qualify for an increase. Have you mishandled money in the past? Get on a crisis budget, and ask all family members to help.

Crown has many free online courses available to guide you, like budgeting tools and career assessments. Also, if debt is a problem, Christian Credit Counselors is a trusted source of help.

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