Dear Chuck,

What advice would you give for using money to impact our children and build a strong family? We have limited funds and want to be wise as well as strategic.

Investing in Our Children

Dear Investing in Our Children, 

I love the heart behind this question! Although you may have limited funds, you are not limited in the fun approaches you can take to impact your children and build a strong family. I see it all as a form of investment for future returns. Let’s look at investing in a budget, activities, work experiences, skills, generosity, and their financial future. 

Invest in a Budget

The easiest way to maximize limited funds is to invest a few hours into setting goals and establishing a budget. Spending less than you earn will provide stability and margin. If budgeting is new to you, consider investing in a series of weekly Money Dates. This will enable you to enjoy the process of getting unified and building your plan. Crown’s step-by-step program lays out what to cover on each date. 

Invest in Activities

Activities will vary from one family to another, but prioritize your time together. Add to your budget the money needed for what you want to emphasize.

A wise friend of mine once told me that buying a boat when his children were young was “the best money he ever wasted.” He explained that the boat created a place for lifelong memories that his family cherishes. 

Another friend purchased fixer-upper old cars that he and his boys would work to restore on the weekends. The cars were the basis for lessons in stewardship and were given to the boys when they reached driving age. He told me, “This investment in old cars kept my boys off the streets, off of drugs, and close to our family. It was worth every penny I ever spent on one, even if we lost money on the car.” 

Enjoying activities together will positively influence your children. 

Here are a few examples that will not hurt your budget: hiking, biking, gardening, running, cooking, playing board games, enjoying academic competitions, working out, reading aloud, listening to audiobooks, working puzzles, drawing, painting, building, camping, learning foreign languages, going on mission trips, visiting zoos and museums, and serving neighbors, older family members, and the church.

You don’t have to buy all the equipment to enjoy more elaborate experiences. Many times, it is best to rent the equipment if these activities will not occur on an ongoing basis.

Invest in Their Work Experiences 

Besides having fun, teach them the value of work. They can learn to earn more and contribute to their own financial needs early in life. Larry Burkett wrote a great devotional on this topic.

Have them talk to older couples and families you admire so that they can learn from their experiences and land an internship or a future job. 

Invest in Their Skills

What skills can you pass on to your children? What are their interests? What skills do they need to develop? Can you involve extended family? 

My second son was an Eagle Scout who went on to serve in the military as a Ranger Medic. We spent many nights sleeping in tents! One day, he called and jokingly complained that I had not taught him the “3 Essential Man Skills” before he got to the military: how to drive a stick shift, how to back a trailer, and how to ride a motorcycle. We got a laugh out of it; but the truth is, I knew how to do all of those things. I had just failed to teach them to him before he left home!

Invest in Generously Serving Others

Today’s giving in church is usually done online. Unfortunately, children do not experience putting the giving envelope on the plate each week. Supporting the church needs to be talked about and emphasized. Encourage them to give off the top of their income. 

Serving in the church, your neighborhood, and beyond can involve the entire family. Make it fun! Ask them to help you participate in secretly leaving gifts for the needy or helping widows or elderly neighbors with projects. Allowing them to join in discussions on your family’s decisions about the generosity of time and money will leave a lasting impression.

Invest in the Financial Future of Your Children

Enjoy your children as you help them develop self-confidence and a healthy identity in an environment of love and acceptance. Investing early in their lives will create loyalty and strength. It will also model for them the financial management that you want them to be able to carry into their lives and families as adults. The money you invest today will pay dividends for generations to come. 

No Guarantees, but Nothing Is Wasted

Raising children involves the wise stewardship of money, time, and talent. God gives us children to steward as well! Invest time in praying for the wisdom, love, and strength to raise them for His glory. While there are no guarantees, being intentional will likely help you build a stronger family than simply hoping for the best. I like to remind my wife that Adam and Eve had the best Father, but they still decided to disobey. Don’t beat yourself up if things are not going well right now. Trust the Lord, and see each day as a new opportunity to build stronger unity in your family.

“Behold, children are a heritage from the Lord, the fruit of the womb a reward. Like arrows in the hand of a warrior are the children of one’s youth.” Psalm 127:3-4 ESV

Does the word “budgeting” strike fear into your heart? What about “healthcare options”? Putting those two phrases together can be difficult for even the seasoned professional to navigate.

Have no fear — financial planning from a biblical perspective is possible! Follow these three budgeting tips to take the stress out of preparing for your healthcare costs:

Tip 1: Plan ahead

There is no better time to start budgeting for healthcare than the present. They say the best defense is a good offense, and by planning early and comparing options, great healthcare can be achievable and pain-free.

Among many other passages about provisions in the Bible, Proverbs 6:6-8 addresses the importance of taking preventative measures in order to reach long-term goals. When we plan ahead for future seasons, we are being good stewards of the resources God has given us.

Tip 2: Consider your values

With so many choices available today, finding the best healthcare option for your family can be overwhelming. Considering and evaluating your values can help you make decisions that are oriented with biblical principles.

Not sure where to start? Look at where you spend the majority of your resources. The choices you make—including how you budget—are a direct reflection of what you value (Matthew 6:21).

By making a list of your family’s principles and goals, you gain a clearer picture of where to spend moving forward. Better values lead to improved choices, stronger outcomes, and lower overall healthcare costs.

Tip 3: Pray for wisdom

Starting and ending our decision-making processes with prayer gives God room to speak into them.

When we ask God for guidance and spend time in His Word, He will impart the wisdom and discernment we need to maintain an organized healthcare budget (James 1:5).

Discovering what God says about our finances frees us from worry and allows us to plan for future needs with clarity. Focusing solely on our investments distracts us from what truly matters—spending time with Him (Matthew 6:24). Crafting a manageable strategy that asks God for wisdom at the forefront will free us from the pressure of future financial burdens.

James 1:17 states that all good and perfect gifts come from God, and our finances are no exception. By planning early, evaluating our values, and continually asking God for wisdom, we honor the financial gifts we’ve been given and successfully budget for our healthcare costs.

“If then you have not been faithful in the unrighteous wealth, who will entrust to you the true riches?” – Luke 16:11

We’re called to be good stewards of God’s resources, but being financially faithful amid the busyness of modern life is often a challenge. It’s easy to feel overwhelmed and be tempted to take the path of least resistance with money. Maybe it’s easier to grab a cup of coffee on the way to work than to make it yourself, or to hit a fast food drive-thru rather than making dinner for the family.

Those small expenses add up quickly, however, and before you know it, there isn’t quite enough money left over at the end of the month to meet your obligations. It doesn’t have to be that way. With preparation, you can avoid it.

First, carve out some time each week for prayer. Ask God for wisdom in managing your money. James 1:5 tells us, “If any of you lacks wisdom, let him ask God, who gives generously to all without reproach, and it will be given him.”

Next, you need a spending plan. It’s essential for managing your money faithfully. If you’re not living on a budget, download the free FaithFi app. It has three different ways to set up a budget with step-by-step instructions and will also track your expenses so you *stay* on budget.

Developing your budget will show clearly whether you have enough income to meet your expenses. If you don’t, there are really only two options. You can either cut your expenses or look for ways to increase your income.

Trimming the budget may be easier, so look at the categories where you spend a lot of money first. You may not be able to do much right away with your rent or mortgage, but what about food?

Groceries and eating out can gobble up a big chunk of your budget, but planning can save you a lot of money. Limit carryout meals to one or two a month. Instead, draw up a menu plan for the week. Make a list of the items you’ll need to prepare those meals before you go to the store.

Shopping online for groceries may actually save you money because you’re not tempted by impulse buying and you see the running tab of the items you choose. That will help you stay on budget by not overspending in your food category. Most of the bigger chains offer online shopping now, often at no charge.

Then, look for other ways to trim your spending. Are you still subscribing to streaming services you’re not using? Can you form a babysitting pool with other parents? You can also look for free activities in your community. Every little bit helps.

Once your budget is balanced, ideally you have something left over. This is also essential. Unless you can learn to live below your means, you’ll be running up debt every month.

The next step for staying financially faithful is to take that leftover money, even if it’s only a little, and begin saving up your emergency fund. You must have a reserve of cash to meet unexpected expenses — things outside your budget such as a furnace needing repair or a medical bill.

Start with a goal of $1500, then keep going, adding bit by bit. You want to eventually save three to six month’s worth of living expenses in your emergency fund. It may take a long time and you’ll have setbacks along the way, but the peace of mind you’ll get once your emergency is in place will be worth the effort.

If you have debt, you know firsthand that Proverbs 22:7 is true, “…the borrower is slave to the lender.” Make a plan to get out of debt. You can split your leftover money, applying some to saving up your emergency fund and the rest to paying down consumer debt.

Use the snowball method to speed this up. Make all of your minimum payments, but pay more on the account with the smallest balance. When that’s paid off, put your extra money on the next smallest balance. Repeat until the debt is gone.

If you’re having trouble meeting those minimum monthly payments, contact our friends at Christian Credit Counselors to get on a debt management plan. They can get your interest rates reduced so that you pay off your debt up to 80% faster.

Once your consumer debt is paid off, you can turn to retirement savings. Strive to save 10% to 15% of your income in a tax-advantaged plan such as an IRA or 401k. If your employer offers matching contributions to a 401k, do this as quickly as possible to take full advantage of that benefit. It’s free money.

All of these things are important, but perhaps the best way to be financially faithful is to remain generous. Strive to be a percentage giver to your local church, no matter what’s going on in your life. Trust that God will provide. Jesus says in Matthew 6:33, “Seek first the kingdom of God…and all these things will be added to you.”

Those are the ways you can remain financially faithful in the busyness of life. The best time to get started on them is right now!

Dear Chuck,

I heard “buy now, pay later” data will soon be reported to credit bureaus. I hope this is true! My daughter got into financial trouble during her first year out of college by getting sucked into these easy payment plans. How do I help her and her friends open their eyes to the dangers of this type of debt?

Concerned Mom

Dear Concerned Mom,

Easy credit leading to financial challenges has been around for a long, long time. I grew up in the age of “layaway.” You could select what you wanted to purchase and make interest-free payments for a few weeks or months. However, the buyer was not allowed to take possession of their purchase until the final payment was made. Today, that plan has been modified to make it even more enticing and risky.

Buy Now, Pay Later

The use of buy now, pay later (BNPL) plans is growing fast. Sometimes, it is used to cover basic necessities. Total BNPL spending last year came to $75 billion, a 14% jump from the previous year. Experts expect usage to double or even triple over the next five years.

More than one-third of U.S. adults are estimated to have used a BNPL service, where purchases are divided into several interest-free installments. With only a few questions to answer and flexible requirements, buyers are given a plan to split their payments over several weeks.

Bankrate senior industry analyst Ted Rossman says, “BNPL terms vary widely. Sometimes it’s four interest-free payments over six weeks, other times the plan can stretch on for many months or even years. And while some of those longer plans charge a low interest rate — or no interest at all — other times there is an interest rate and it can be even higher than what a credit card would charge.”

Unfortunately, in a recent survey, 56% admit to overspending, missing payments, regretting purchases, or facing challenges getting a refund or returning items. The most common reasons people use BNPL services:

• 50% – Want to pay in installments to spread the cash flow
• 37% – Low or no interest rate
• 33% – Knowing what they owe and how long the plan will last
• 27% – Easy to obtain credit
• 26% – Feel more responsible than using a credit card
• 20% – Retail promotion
• 20% – Recommended by friends/family
•   2% – Other

Pros/Cons of BNPL plans

• They come with fixed repayment schedules.
• Purchases are attainable for those without access to credit cards.
• People lose track of what they owe and spend more than they should.
• There are late fees, deferred interest, and other penalties.
• Few protections and regulations are in place.

Discernment and Self-Control

If used responsibly, BNPL can help in financing a large expense without interest charges. The key is discerning needs from wants and understanding the terms. Self-control is needed to avoid overspending and entrapment to debt. It goes without saying that couples must be transparent about their purchases so that they don’t get overwhelmed with multiple payments.

Phantom or Shadow Debt

BNPL has been described as phantom debt, a term some economists use to describe debt that is not centrally monitored.

A problem exists in regulating how data is given to the major credit bureaus: Equifax, Experian, and TransUnion. As a result, lenders may not know how many loans a consumer has outstanding. “It’s hard to know how much of this debt is out there,” says Ted Ross, senior industry analyst at Bankrate. “It’s this kind of shadow debt that’s hanging over people.” Tim Quinlan, senior economist at Wells Fargo, told CNBC, “Because no central repository exists for monitoring it, growth of this ‘phantom debt’ could imply total household debt levels are actually higher than traditional measures.”

To see how they are currently reported and how it may impact credit scores, see here.

A Problem of Fraud

BNPL can invite synthetic identity fraud. Cecilia Seiden, VP of market strategy at TransUnion says, “This is when fraudsters use a combination of legitimate but unconnected pieces of personally identifiable information (PII) to fabricate a person or entity and use it to apply for credit with a low bar to entry, like BNPL… Once a synthetic identity is established and begins to build credit, institutions often have no idea what their level of exposure is.”

“Buy now pay never” is how some have begun to refer to these programs as they look for ways to rip off the business that extended them the loan.

Protection for Customers and Businesses

On May 22nd, The Consumer Financial Protection Bureau (CFPB) ruled that BNPL lenders are credit card providers and must provide consumers some protections and rights given under conventional credit cards, such as the ability to investigate disputed charges and pause payments during that time, get a refund for returned products purchased with a BNPL loan, and receive bills that disclose fees. Many lenders already conduct business in this way.

Proper reporting would help reveal or thwart fraud in either direction. In addition, responsible BNPL consumers could improve their credit score which would enable them to gain access to other credit products, even securing a mortgage.

Biblical Perspective on Debt

“The rich rules over the poor, and the borrower is the slave of the lender.” (Proverbs 22:7 ESV)

Many are in debt today because they have not managed funds appropriately. Applying Biblical financial principles to everyday life and teaching others likewise will bring much-needed attention to the growing problem of excessive debt in our nation. Training in responsible spending, contentment, and constraint is necessary for people everywhere. When we begin to acknowledge that everything belongs to God, we will gain a mindset of wise stewardship.

I hope this helps your daughter and you.

If credit card debt is holding your daughter, or anyone else you know, in bondage, a valuable and trusted resource is Christian Credit Counselors. They can help consolidate debt to get one on the road to financial freedom.

Proverbs 27:12 reads, “The prudent sees danger and hides himself, but the simple go on and suffer for it.”

The word “insurance” isn’t in the Bible, but God’s Word does say that it’s wise to protect your financial holdings and insurance is one of the best ways to do that. Unless you have tens of millions of dollars spread across dozens of investments, you’re going to need insurance for several things. So what insurance do you need?

Some types of insurance leave you little choice in the matter. Auto insurance, for example, is usually required by law, if you own and drive a car. Homeowners insurance is also required if you have a mortgage and it would be foolish not to have it even if you don’t have a mortgage.

You can usually save money by bundling auto and homeowners insurance. While you’re at it, look into the option of an umbrella policy. Premiums usually start at around $200 a year and may give as much as $1 million in coverage. An umbrella policy will protect your assets in case you’re sued and the settlement exceeds limits set by your auto or homeowners policies, which is easy to do these days.

If you’re a renter, you need to have renter’s insurance. It’s a bargain that can be a lifesaver. A renters insurance policy will cost around $15 a month. It not only protects your property inside the rental unit but also covers you if you’re sued by your landlord or someone else for negligence.

Another “must have” is health insurance. If you think it’s too expensive, consider not having it. The average cash cost of a doctor visit is $100 to $150. Paying cash for an emergency room visit will cost you around $2500, and a one-day stay in the hospital without insurance can set you back around $9300.

We get a lot of calls from folks asking if they need life insurance. You don’t need it unless someone depends on your income. When the kids are grown and out of the house, you may not need it at all or perhaps you can downsize your policy to provide for your spouse only. Always get a term life insurance policy, not whole life. You don’t want to mix insurance with investing.

Once you reach your 50s, you need to look into long-term care insurance. If you don’t think you need it, consider that 70% of 65-year-olds will need some type of long-term care, according to the latest data from the Department of Health and Human Services. Women typically need this care for 3.7 years; men for 2.2 years. At an average cost of $8,000 a month, that’s plenty of time to wipe out all or much of your assets before Medicaid takes over paying for your care.

Long-term care insurance is generally expensive, but again, consider the cost of not having it. Most people purchase it between ages 55 and 65. Start looking at policies in your early 50s and select one with the longest term you can find.

Another form of insurance you really should have is long-term disability insurance. If you are incapacitated due to an accident or illness, you could be without a paycheck long enough to wipe out your emergency savings.

A long-term disability policy will cover you in that event. Plan on it costing between 1% and 3% of your annual salary. Premium amounts are tied to how much you make, so the higher the salary, the higher the premium.

Some types of insurance you probably don’t need include title “theft” insurance. Unlike the commercials imply, these policies don’t really “lock” your title. However, if someone files a false deed and takes out loans on your property, you can’t be foreclosed on because it won’t hold up in court. Also, you can sign up for free monitoring now with most county deed offices.

By the way, don’t confuse title theft insurance with regular title insurance, which you really do need to get when you purchase a house. That protects you in case there’s a legitimate challenge to your ownership of the property and in many cases will even protect you from a fraudulent claim.

Finally, there’s identity theft insurance, which we’ll put in the “maybe” category. It’s another type of policy that claims to “lock” your credit, but you can freeze your credit all on your own for free with the three credit bureaus, Experian, Transunion, and Equifax.

You can freeze and unfreeze your credit any time you want. Once you freeze your credit, identity thieves won’t be able to open accounts in your name because lenders can’t check your credit if it’s frozen.

Still, credit monitoring services can be valuable. Many times when there’s a data breach somewhere and you have to get a new credit card number, for example, you’ll be offered free credit monitoring, perhaps for a year. Always sign up for that. It will alert you if someone tries to open an account in your name.

You can also sign up for free credit monitoring services at Credit Karma and Credit Sesame. There’s no need to pay hundreds of dollars a year if you can get it for free, and your credit is frozen.

Of course, paid services that offer to repair your credit in the event of identity theft sound great, but if thieves can’t do it in the first place, do you really need that coverage? Probably not.

Dear Chuck,

I’ve never had an emergency fund. My parents always helped when I got in a bind. Recently, they told me that since I’m 30 and have an established career, it’s time I handle my own financial affairs. So how does an emergency fund work? 

Seeking Financial Independence

Dear Seeking Financial Independence,

It sounds like your parents have been incredibly supportive, so be sure to thank them for their care and financial help through the years; but yes, it is time to wean yourself from this arrangement. 

You do need an emergency fund. It is a primary element of a basic financial plan. Having funds set aside and always available for the unexpected expenses that will surely come eliminates a lot of financial stress and the need to rely on credit cards.  

Survey Says…

Wallet Hub conducted a nationally representative survey. Here are the results:

• 35% of Americans say inflation makes it harder to save for emergencies.
• 44% are not confident they can cover an unexpected expense.
• 30% would use a credit card or loan to cover a major unexpected expense.
• 3 in 5 say inflation has caused them to use emergency savings for day-to-day expenses. 
• 2 in 5 prioritize paying off debt over an emergency fund or retirement savings. 
• 1 in 3 expect someone else to bail them out.
• 1 in 5 do not have an emergency savings account.
• More than 2 in 5 could not come up with $5,000 in a day to save a loved one’s life.  

How Much Do You Need? 

An emergency fund is a source of money to draw on during unexpected circumstances. It is basically an insurance fund for sudden setbacks: a layoff, the loss of income, medical bills, car or home repairs, a natural disaster, an unforeseen tax bill, a death in the family, or emergency travel expenses. Giving gifts, non-urgent medical costs or predictable expenses are not emergencies.

Most experts recommend saving 3-6 months of your current living expenses, but here are some other scenarios:

• Those with dependents or those who own an older home or drive older vehicles are advised to save more.
• If layoffs are common in your industry or you have a fixed income or are retired, I recommend saving more.
• If you are self-employed or deal with medical issues, save more.
• If you carry high insurance deductibles and/or your income is unstable, save more.
• Single parents without a second source of income should aim to save more.
• Those with few expenses, no dependents, and liquid assets can keep fewer months of living expenses in emergency funds.

A portion of the emergency savings should be “liquid,” or easily accessible, in accounts that won’t be penalized for withdrawal. Basically, don’t confuse your long-term retirement savings plan with an emergency fund. 

You need to be able to cover rent, mortgage, utilities, insurance (car, home, health, life), gas, routine maintenance (car and home), HOA fees, health care, groceries, child care, and debt payments. Find the total monthly cost of these items and multiply that by 3 to calculate a 3-month saving goal; multiply by 6 to determine what is needed to cover 6 months. This total is for basic survival—luxury items are not included. This is money needed to survive if the unexpected hits.

How to Start

Open an account that you absolutely will not touch unless a true emergency arises. Save $1,000 as quickly as possible into an FDIC-insured account with some liquidity, like a money market or high-yield savings account. Set up automatic deposits so you will not spend the money. Deposit financial gifts, credit card rewards, raises, bonuses, or tax refunds when possible. Go through your bank and credit card statements to see where you can cut expenses, and divert that money toward an emergency fund until you establish a 3-to-6-month cushion. If you must withdraw money, aim to replenish it ASAP. 

Set a goal; then challenge yourself with spending fasts, like a no-eating-out month, a no-entertainment-expense month, etc. Find friends to do this with you; some competition may help you build it faster! 

If you have high-interest credit card debt, consider working with Christian Credit Counselors while saving something every month. The problem with using credit cards in emergencies is that unless the balance is paid in full, the total bill will cost more due to additional interest that compounds monthly. 

Once you hit your goal, consider another account or laddered CDs for future needs, like replacing a vehicle, necessary maintenance, vacations, and more. 

Lessons from Ants 

“Go to the ant, O sluggard; consider her ways, and be wise. Without having any chief, officer, or ruler, she prepares her bread in summer and gathers her food in harvest.”

Proverbs 6:6-8

Not only are ants extremely busy creatures, but they are also known for their ability to store food that is ultimately shared with others in their colony. Most of us have seen an ant carrying off a large breadcrumb under the picnic table. They are not feasting on the bread; they are harvesting it for use in the future. This is the wisdom that God wants us to learn from.  

I know your parents will be so proud of you for this step toward financial independence. While you will no longer rely upon your parents for their financial help, be sure to remain totally dependent upon the Lord, regardless of how much or how little you have in savings. 

Set and achieve your goals with the help of a personal business coach. Crown’s online Budget Coaching program matches you with a certified coach who will work with you to develop a customized plan to put you on the road to financial freedom.

Two words that just don’t seem to go together are springtime and procrastination.

The birds are coming back, the daffodils are blooming and the maintenance chores you put off all winter need to get done. Maybe you can work off a little winter weight in the process!

At FaithFi, we always want to help you manage your time, talent, and treasure— and make no mistake— do-it-yourself preventive maintenance is faithful stewardship of all three of those resources we receive from God. 1 Corinthians 4:2 reads, “It is required of stewards that they be found faithful.”

The more time and talent you have, the less treasure you’ll have to spend to get things done. However, if you don’t have the physical ability or know-how to do any of these chores, it’s wise to hire someone to do them.

Here’s your Spring “To Do” list:

1. Inspect your outdoor air conditioning unit to make sure it’s ready for summer.

Look for debris inside and around the unit. Leaves and other materials can collect over the winter and could cause damage when the system kicks on. Of course, it’s also wise to have a qualified heating and cooling contractor clean the coils and service the outside unit— and that’s not a D-I-Y project. An annual maintenance checkup to clean coils, change filters, and possibly add coolant can add years of service to the unit. It’s definitely worth having done.

2. Take a look at your roof.

You may be able to do this from the ground and we’d recommend that, if possible. Did you lose any shingles over the winter? If you spot damages, call in a professional roofer to make repairs. You may also want to start saving a little each month toward a new roof. They do wear out, and these days they can cost anywhere from $7,000 to $15,000 or more, depending on the size of your house. Set up a separate savings account that can earn interest until your roof needs replacement.

3. Inspect for loose, leaky, or clogged gutters around the house.

You’ll need to get on a ladder for this one, so if you’re not comfortable and careful doing that, again, it’s better to hire someone. It’s important to have this done, though, because drainage problems can lead to water entering your basement or crawlspace, causing further damage.

If the gutters are only clogged, you can try removing the debris from the ground with one of those hose attachments shaped like a candy cane. Various models are sold online for $15 to $115. Anytime you can avoid getting on a ladder, it’s best to do so.

4. Check around the yard and next to the foundation for low areas.

These areas can fill with spring rain and threaten to flood the house. You can fill them with soil and spread grass seeds to eliminate the problem.

5. Test your outside faucets for freeze damage.

Put your thumb firmly over the faucet opening and turn on the water. If you can stop water from coming out of the faucet, the pipe inside your home is probably ruptured from freezing. Turn the water off immediately and replace the entire faucet unit. Unless you’re very handy, you’ll probably have to call a plumber for this one.

If you’re wondering why the pipe inside your house wasn’t leaking all winter, it’s because the actual shut-off valve for the faucet is in the pipe a foot or more inside the house. That prevents flooding if the pipe closest to the outside wall is ruptured.

6. If you stacked firewood over the winter on your deck or near your home, it’s time to move it.

You don’t want it close to the house over the summer when termites and carpenter ants get busy. Move the wood farther away, or stack it away from the house from the get-go so you don’t have to move it in the spring.

7. Check for cracks in your sidewalk and driveway.

This is especially true if you live in the north where freezing water will expand cracks. Fill any cracks with cement filler or silicone caulk. Otherwise, they’ll just keep growing and widening every winter.

8. Finally, prepare your lawn mower to sally forth and slay grass for another season.

Inspect and tighten or repair outside components on the mower, such as handles, grass chutes, and wheels. Change the spark plug and oil, and inspect the air, oil, and fuel filters. Sharpen or replace the blades as needed. Lastly, fill the tank with fresh ethanol-free fuel. Ethanol is terrible for small engines and will dramatically shorten the life of the carburetor, so avoid that.

These are your spring maintenance tips. We hope they help you prepare for an enjoyable summer season.

Receiving a tax refund can feel like an unexpected gift. It’s a lump sum of money that many hadn’t factored into their monthly budgets, making it an ideal opportunity to improve one’s financial situation. Here are several wise and strategic ways to utilize your tax refund:

1. Build or Bolster Your Emergency Fund

Financial experts commonly recommend having an emergency fund that covers 3-6 months of living expenses. This fund serves as a financial cushion for unforeseen circumstances such as medical emergencies, car repairs, or sudden unemployment. Allocating your tax refund towards this fund can provide peace of mind and financial stability.

2. Pay Down High-Interest Debt

Proverbs 22:7 says, “The rich rules over the poor, and the borrower is the slave of the lender.” Using your tax refund to pay down debt, especially high-interest debt can be a wise decision that frees you from financial bondage and honors God by managing the resources He has entrusted to you responsibly.

High-interest debts, such as credit card balances, can quickly erode your financial health. Using your tax refund to pay down this debt can save you money in interest over time and reduce your financial burden. It’s a straightforward strategy that offers a guaranteed return on investment equivalent to the debt’s interest rate. As a current client of Christian Credit Counselors, you can make an extra payment through your DMP by calling us at 800.557.1985. 

3. Saving for the Future

Proverbs 21:20 notes, “In the house of the wise are stores of choice food and oil, but a foolish man devours all he has.” Consider using part of your refund to save for future needs like education, home repairs, or retirement. Saving reflects prudent planning and trust in God’s provision, acknowledging that while we make plans, it is God who directs our steps (Proverbs 16:9).

4. Invest in Your Future

Investing your refund into a retirement account (such as an IRA) or the stock market can compound over time, contributing to a more secure financial future. Consider speaking with a financial advisor to choose investments that align with your risk tolerance and long-term goals.

5. Improve Your Home

Investing in home improvements can increase your property’s value, enhance your living environment, and potentially reduce your utility bills if you focus on energy-efficient upgrades. Whether it’s a major remodel or minor improvements, your home can be a worthwhile place to invest your refund.

6. Fund Your Education

Education is an investment in your future earning potential. Using your refund to pay for courses or certifications can enhance your skills and qualifications, potentially leading to career advancement and increased income.

7. Start or Grow a Business

If you’ve been dreaming of starting your own business, your tax refund could serve as seed money to get your idea off the ground. For existing business owners, this extra cash might be what you need to expand your services or marketing efforts.

8. Tithing and Charitable Giving

Consider tithing a portion of your refund to your church or giving to charitable organizations. Donating a portion of your tax refund to charity can not only help those in need but also provide you with a sense of fulfillment and potential tax deductions for the next year. Choose organizations that resonate with your values and check their credibility to ensure your donation has the maximum impact.

9. Responsible Spending

Spend Wisely: While it’s not wrong to spend some of your refund on yourself or your family, consider how your spending reflects your values. Philippians 4:5 advises, “Let your reasonableness be known to everyone.” Before making a purchase, pray for wisdom and discernment, ensuring that your spending decisions honor God.

Conclusion

Your tax refund offers a unique opportunity to improve your financial health, invest in your future, and even enjoy the fruits of your labor. By carefully considering your financial situation and long-term goals, you can make strategic choices that maximize the benefits of your refund. Remember, the best use of your tax refund is one that aligns with your personal financial goals and circumstances.

Dear Chuck,

Inflation is hitting our family hard. We keep hearing it is coming down, but it does not seem that way when I go to the grocery store! When do you think we might see it return to normal? 

Irritated Over Inflation

Dear Irritated Over Inflation, 

You’re not the only one. Before the Israel-Gaza war, the April Pew Research Center report showed that a large majority of Americans were dissatisfied with the economy and the overall condition of our nation. In addition, confidence in the future has fallen from a year ago. You are right to be concerned about inflation. Some call it the “invisible tax” or the “silent thief.” No doubt, it robs families of the purchasing power of their income. 

The Silent Thief 

The Federal Reserve Bank of Cleveland reported in a paper titled “The Long-Run Costs of Higher Inflation” by Jean-Paul L’Huillier Bowles and Martin DeLuca, “Inflation imposes significant costs on society.” These costs appear in skewed markets and loss of purchasing power. Higher prices force consumers to invest less in order to have more cash on hand. In addition, inflation’s effect on taxes alters investing practices. When wages don’t rise along with prices, fewer goods and services are purchased, which negatively impacts business. Consumers negotiate wages more frequently and devote time and energy to coping with rapidly rising prices, and banks often decrease lending.

How Long Will It Last?

Bankrate’s Third Quarter Economic Indicator Poll reports that many experts don’t expect inflation to settle in at the Federal Reserve’s 2% goal until some point near the end of 2025. 29% expect inflation will cool by the end of 2024, and 29% say 2026 or later. No economists expect it to reach the Fed’s target by the end of this year. Yelena Maleyev, senior economist at KPMG, says, “The concern is rising food and energy prices which could have inflationary effects on other areas of the economy.”

The International Monetary Fund warns of stubborn inflation and weaker global growth in 2024. It increased the pace of consumer price increases across the world to 5.8%, up from 5.2% just three months ago.

How People Are Coping in America

• Prioritizing lower prices over convenience 
• Stockpiling sale products
• Buying regular fuel instead of premium
• Tracking gas deals and usage 
• Cutting back on discretionary purchases 
• Skipping vacations
• Postponing health care 
• Increasing credit card debt
• Decreasing savings

Adjust Your Budget and Perspective

Financial experts suggest cutting back on groceries, eating out, gas, self-care, entertainment and travel to gain margin in your budget. It also helps to keep it all in perspective. Economic conditions can change quickly. Adjust what you can while continuing to give generously and save for the future. Our real treasures are not here; they are being laid up in Heaven where inflation cannot steal them.

If credit card debt is a financial burden for you or someone you know, reach out to Christian Credit Counselors. They are a trusted source of help toward financial freedom.

Most people understand that time has value. Maybe that’s why we often use the expression, “spending time.” What a lot of folks don’t realize is just how valuable time really is, because if they did, it just might change the way they spend money.

In their book, “Leverage: Using Temporal Wealth for Eternal Gain,” Ken Boa and Russ Crosson emphasize the importance of making the most of all our assets, including time. It’s a blueprint for putting the Bible’s financial principles into practice for God’s Kingdom. In other words, taking something that’s temporary and making it eternal.

It’s important to point out that God values our time. Like all the other resources He provides, He’s given each of us only a certain amount of it. He wants us to be faithful stewards of the days and hours we have.

Psalm 90:12 reads, “Teach us to number our days …that we may get a heart of wisdom.” And James 4:14 admonishes us to make the best use of our time today. It reads, “You do not know what tomorrow will bring. What is your life? For you are a mist that appears for a little time and then vanishes.”

And of course, since most of us have to work to provide for ourselves and our families, it’s important to understand what our time on the job is really worth so we can be faithful stewards of it.

To figure out what you really earn per hour, jot down the total or gross amount you put down on your last tax return. Then subtract anything you paid in taxes including Social Security and Medicare taxes, plus the income tax you paid. You’re left with your net earnings.

Let’s say you earned a total of $52,000 and you paid $10,000 in Social Security, Medicare, and income taxes, leaving you with $42,000.

Next, you divide that $42,000 by 52 weeks and you get roughly $800. That’s what you’re netting in a week. Assuming you work a 40-hour week, divide 800 by that number, 40, and you get $20 an hour. That’s your real hourly wage.

Of course, if you typically work more than 40 hours a week, it means you’re earning even less than $20 an hour after taxes. Now, all this might seem a little disheartening, especially if you’ve always thought you earn more like $25 an hour, which you do, but that’s before taxes.

That’s why it’s important to understand what your time is worth in real dollars that you can actually spend because then you begin to see how long you have to work to buy something.

Let’s say one night you’re tired and don’t feel like cooking, so you pick up fast food for the family. That costs you $50. When you realize that you had to work two and a half hours to pay for that meal, you’re much more inclined to spend one hour making dinner at home and cleaning up after.

When you know what things really cost, it can change your spending habits. You’re less likely to give in to impulse spending. Look at the last several months of your checking account statements. You’ll probably see a purchase here for $10, another one there for $20, maybe another for $50, and so on.

Did they really add value to your life? Especially knowing how long you had to work for them? Probably not, because you realize that you can never get those hours back. You’ll probably want to make some changes.

Just cutting out impulse spending is a huge step forward. As your time becomes more important to you, you’ll free up money that you can spend in areas that have more value and one of those, we hope, will be increased giving of both your time and money to the Kingdom, which has eternal value.

Start by memorizing Proverbs 21:20, “Precious treasure and oil are in a wise man’s dwelling, but a foolish man devours it.” That will help you cut impulse spending right away.