Tuesday, July 27, 2021

Lifestyle and Financial Principles

No one can claim to be so different that he or she does not need to worship, praise, pray, study scripture, fellowship with a local Church of believers, and serve others (minister) in ways that honor the LORD. Though we are unique in many ways and each person may have a different type of work to which they are called, biblical instruction applies equally to every person in the same manner. Those who want blessing reward from Almighty God will be transformed by the renewing of their minds and thus conformed to His image (living life and carrying out our work according to His instructions). The following weapons of spiritual warfare are needed for the financial realm of our lives to build the character and habits in us that our LORD desires to help us carry out His purpose: The Great Commandment The Great Commission placed on our individual lives and the Church.

Eleven Biblical Principles for Financial Freedom Wealth Building

1) God owns everything – you are His steward (estate / money manager):

1Chronicles 29:11, Psalm 50:10-12, 1Corinthians 10:26, Revelation 4:11

 

2) Work to be fruitful and produce income:

Genesis 2:15, Ephesians 4:27-28, 2 Thessalonians 3:6-11

 

3) Show contentment:

Luke 3:14, Philippians 4:11, 1Timothy 6:8

 

4) Sacrifice to initiate God’s plan for your ministry blessing:

Romans 12:1, Philippians 4:18, Hebrews 11:4

 

5) Show self-control:

Proverbs 25:28, 1Corinthians 7:5, 9:25, Galatians 5:22-23

 

6) Tithe and give offerings from increase:

Genesis 14:20, Malachi 3:8-12, Matthew 23:23, Hebrews 7:8

 

7) Budget- tell your income what to do:

Proverbs 27:23-27, Habakkuk 2:2-4, Luke 14:28-30

 

8) Eliminate all debt:

Deuteronomy 28:12, 15, 44, Proverbs 22:6-7, Romans 13:8

 

9) Do not cosign for anyone:

Proverbs 6:1-2, Proverbs 11:15, Proverbs 17:18

 

10) Save Invest:

Proverbs 13:23, Proverbs 21:20, Matthew 25:14-30, Luke 19:12-27

 

11) Diversify savings investments:

Proverbs 15:22, Ecclesiastes 11:2, Matthew 25:14, Luke 19:12

 

Seven Focused Steps to Financial Freedom

(methods based on the principles noted above)

 

1) Budget: Tell your money what to do – plan at least 3 months into the future.

a. Subtract all your current spending each month or pay period from your net income to show you where you are currently and help you decide what needs to change to be able to become debt free and build wealth

b. If your situation is too messed up right now to achieve financial freedom you may need to cut retirement and non-essential pay roll deductions and other expenses and find other income producing options

 

2) Build a $1,000 first tier emergency fund

a. You may be able to do this and the rest of the steps while also contributing to tax deferred plan to get employer match if you can do so and pay off all debt within the next 2 years

 

3) Pay off all non-mortgage debt as quickly as possible

 

4) Invest at least 10% of your gross income each pay period including funding tax deferred retirement vehicles up to the employer matching percentage, if you are not already doing so

 

5) Build your emergency fund to $10,000

 

6) Pay off all your mortgage debt

a. Income producing properties could be paid off in step number three if they do not have very large mortgages

b. Alternately, you may need to consider selling them earlier in the process in order to use the equity / profits to more quickly become debt free

 

7) Use the tremendous surplus income (cash flow) you now have each month in order to give more abundantly and build great wealth

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