I am on a journey to find simple.
Money is such an important subject that Jesus talks about it in over half of His parables.
One in every seven verses in the New Testament deals with finances.The Bible offers 500 verses on prayer, fewer than 500 verses on faith, and more than 2,000 verses on money.
So basically, our financial life is a BIG deal.
Finances is a huge cause of divorce, stress, and a whole other host of health issues.
It is time we figured out how to simplify our finances.
Alex Himaya taught me several important things about finances, and I want to share them with you.
First, and foremost, we need two things to have financial peace.
Margin is all about what is going out, not coming in.
We all know that we need to watch what we are spending and where our money is going. But do we apply this effectively?
Think of our country’s debt.
According to figures from the Federal Reserve, total U.S. outstanding consumer debt was $3.62 trillion as of May 2016. That figure includes car loans, student loans, and revolving debt, but not mortgages. Total U.S. outstanding revolving debt, which is chiefly made up of credit card balances, was $953.3 billion as of May 2016.
And Total U.S. outstanding revolving debt, which is mainly made up of credit card balances, was $953.3 billion as of May 2016.
That is a lot of money we are spending!!
And it is money that we do not have.
Margin is all about only letting money go out that we have to spend.
It is not comparing or Keeping Up with the Kardashians.
It is living within our means.
Four steps I learned from Alex Himaya on simplifying finances:
Consolidating is pretty simple. Keep your finances together. Know what is coming in and more importantly, what is going out.
Use a simple program like Mvelopes to keep track of your money.
Simply put, stop spending on things you do not need.
This concept is very similar to my post on only do what matters.
We also should only spend our money on things that matter.
I know that for my kids I am constantly reminding them why they do not need x, y, or z.
I show them what we have at home. I show them how we can make it ourselves.
We get creative and find ways to be frugal together.
It takes some effort, but now our kids know that complaining is just not going to work.
We do not spend money on things we just do not need.
Save time and automate your bills.
Pay them online or set up automatic payments.
This gives you more time and less stress when things are automatic.
Sit down and figure out your budget.
If you do not have a plan, you plan to fail.
A financial plan is boring, never fun, but it can give you so much financial peace.
When we are complacent with our plan, we become discontent.
When we become discontent, we get distracted.
When we get distracted, we become financially stressed.
It is a vicious cycle that has only one stopping point: get off and make a plan!
We need to be sure that we have a biblical mindset on finances.
EVERYTHING COMES FROM GOD.
EVERYTHING BELONGS TO GOD.
EVERYTHING IS DISTRIBUTED BY GOD.
When we view money through the lens of the Bible, we see that there is no reason to be stressed by our finances.
Like the kid’s song goes, He’s Got The Whole World In His Hands.
When we stop holding our fist so tight and start giving and living with an open hand, we will see the blessings flow.
Contentment is all about the response.
We are thankful, we are humble, and we know that we have what we need for this very moment.
What are some steps that you need to take today to simplify your finances?
Think of some of the stresses money is causing you and your family. Then, stop and make a plan.
Join me for this 5-part series.