Managing Money God’s Way

In my previous post on Friday, I talked about being in financial bondage.  In that post, I stated that financial bondage is “the state of being captivated or overwhelmed by money matters, including mental or spiritual concerns.  In today’s post I want to share with you what I feel are the 9 symptoms of financial bondage.  If you have one or more of these symptoms, you more than likely are in financial bondage.  All the verses I quote below are from the New International Version.

9 Symptoms of Financial Bondage

• You have a Get rich quick attitude.  Proverbs 28:22 – “A stingy man is eager to get rich and is unaware that poverty awaits him.”  You know who you are.  You are out buying lottery tickets, or looking up every get rich quick scheme you can find on the internet.
• Overdue bills, late fees.  Proverbs 3:27-28 – “Do not withhold good from those who deserve it, when it is in your power to act.  Do not say to your neighbor, “Come back later; I’ll give it tomorrow”-when you now have it with you.”  Paying your credit cards late?  Incurring late payment fee’s?
• Making minimum payments, over-limit fees.  I would say this one is ok if you are working on paying off your debt utilizing the debt snowball method, because you are paying more than the minimum of something to get it payed off.
• Cash advance on one credit card to pay the payment on another.
• Worry, envy, resentment, bitterness, pride, rebellion.  Hebrews 12:15 – “See to it that no one misses the grace of God and that no bitter root grows up to cause trouble and defile many.”
• Conflict in relationships.  Proverbs 15:16 – “Better a little with the dear of the LORD than great wealth with turmoil.”
• Lack of sharing.  Ecclesiastes 5:13 – “I have seen a grievous evil under the sun:  wealth hoarded to the harm of its owner.”
• Hasty decisions (not counting the costs; operating without a plan).  Proverbs 21:5 – “The plans of the diligent lead to profit as surely as haste leads to poverty.”
• Result:  unmet needs in the family; overcommitment to work; unplanned emergencies.  Proverbs 21:20 – “In the house of the wise are stores of choice food and oil, but a foolish man devours all he has.”

While writing this article I had to stop and think for a few moments, and come to the conclusion that I AM in financial bondage at this time.  My wife and I are working towards becoming debt free, but somethings have happened recently that have caused a few setbacks and have caused me to display some of these symptoms.

Please let me know if you have recently suffered from any of the above symptoms.  Keep coming back, as we work through this together!

Would you say you are in financial bondage or truly financially free?  Being in debt still, puts me in bondage.  Just how do I define financial bondage?  Financial bondage is the state of being captivated or overwhelmed by money matters, including mental or spiritual concerns.

Some American Financial Statistics

• Almost 1/2 spend more than they earn (52%)
• Bankruptcies are 4 times what they were 20 years ago.
• Money is the #1 cause of marital conflict.
• Average family credit card debt is greater than $9,500.
• Only 1/3 pay their credit cards off each month.
• 1/2 pay only the minimum balance each month.
• Average American uses an ATM every other day.
• 900+ Billion owed on credit cards.

So what do these statistics tell us?  That for most of us money is a big problem in our lives.  If I had to guess why, I would have to say that for the most part it is because of a lack of a solid financial education.  You see, we go through school having never been taught how to handle money.  According to Robert Kiyosaki his rich dad often said “Your banker never asks to see your report card.  A Banker does not care what your grades were.  A banker wants to see your financial statement.  Your financial statement is your report card once you leave school.”

This is just the start to a series of posts I am going to start that talk about and deal with various aspects of financial education.  I hope you will join me on the journey!

Who do you blame for your financial problems?  One of the possible answers is “your parents.”  I wonder how many people really blame their parents for their financial problems.  I do believe parents play an important role in teaching life skills to their children, especially when the public or private education system does such a poor job of preparing students for the real world.  I personally do not blame my parents for my financial problems.  I am a willing and able adult that made my own poor choices.

Lack of Financial Education in Schools

When it comes to “real life” studies, there is a serious void in the education system in this nation.  We continue to teach kids to pass exams, to recite from memory, and to conform to so-called advances in teaching methods.  But I believe our children are being equipped with the wrong skills.  Don’t believe me?  When was the last time you used an algebraic expression to balance your checkbook, or calculus to solve your 1040 tax form?  What do your kids know about a 401k, Roth IRA, stocks, bonds, mutual funds, or credit cards?  I do beleive there is a place for those skills to be taught and that is in college, where it is required of students to indicate a path of studies that may require the knowledge of these higher levels of math and sciences.  For the rest of us, a basic introduction to personal finance topics would be helpful to prepare for the adult financial world.  Once they graduate, and many times before, students will be exposed to credit cards, lenders, car salesman and taxes if they work part time.

Poor Role Models in the Media

The media is full of poor financial role models.  Entertainers and sports celebrities who get paid ridiculous amounts of money and lead lavish lifestyles most of us could never afford.  As a society, we worship these people and further highlight their irresponsible behavior by portraying their lives as something we should all aspire to.

Accountability Crisis

We have an “accountability crisis” in this country.  People refuse to accept responsibility for their own actions.  The fault always belongs to someone else.  Don’t earn enough money?  “Poor man just can’t get ahead.”  Spending too much money?  “Well if the government would bring prices down!”  Can’t afford college?  “College is only for rich people.”  No one ever says, “I’m broke because I want to be.”  Or, “I can’t attend college because I am not willing to work for the money to pay for it.”  Imagine if we all took responsibility for our actions and our destiny and stopped pointing fingers.

So maybe our parents were not the best examples.  We have all made mistakes.  What separates you from serial failures is that you are willing to learn from those mistakes.  You are willing to work extra to dig yourself out of a financial hole.  You are willing to read books and magazines to learn about personal finance.  Quit waiting for someone else to save you, take responsibility for your financial decisions, and start making better ones to provide a better future for yourself and your family.