Financial Solution News

This is a reprint of an article I wrote for MinTheGap…
This world is backwards. Everyone loves to talk about using OPM (other people’s money) to purchase things or to gain wealth. I just don’t get it. Mathematically I understand the advantages of leveraging debt, but math cannot be used to understand every situation. As emotional creatures we were not designed to function as walking calculators making every decision based solely on the numbers.
While math plays a role in our financial lives, there are far more powerful truths, like discipline for example. The thing is that most of us know mathematically what we should do with our finances, yet because of a lack of discipline we don’t do it. So, what then needs fixing - the math or the discipline?
Another truth that really clarified to me why I needed to get out of debt is because the Bible says, “the borrower […]

Original post by bob

Ok, if you have made it this far in the series, you are doing great. But this one is where the rubber meets the road. This is where we see how bad you want to be out of debt.
The sacrifice is only temporary!
The most important thing to remember as you are reading this is that it is ONLY TEMPORARY. By making a sacrifice you are not condemning yourself to that for the rest of your life. You just need to make up for all the overspending that has taken place in the past
If you have done some of the things mentioned in the last few articles, you are on a better financial footing than you were. But, if you expenses are still greater than your income, then we are going to have to take a few more steps.
Sacrifice your stuff and sell it!
Like we mentioned before, your balance sheet is […]

Original post by bob

Save money on your car
1. Car Insurance (Don’t skip this)
Believe me, if you haven’t shopped around for car insurance in a couple years - it is worth your while. I really was sure that I had the lowest rates I could get, but then I checked out Geico and found that I could save $330 a year for the same coverage. I was so blown away that they could save me $330 that I didn’t shop anywhere else.
Six months later my old insurance broker called trying to get me back and she had found another insurance company (America First) who was $250 cheaper than Geico. And again it was for the same coverage. So just to repeat - I thought I was paying a good rate, but by shopping around I was able to knock almost $600 off my car insurance bill.
2. Save money on gas
While everyone wants gas prices […]

Original post by bob

While I think few would argue that paying off debts is a good thing, there is a better way to accurately see the big picture of your finances. It is called your NET WORTH.
And no it is not just a number that rich people talk about at cocktail parties. It is what financially saavy people use to track their progress.
The simple definition of it is:
Assets(stuff you own) - Liabilities(debts) = Net Worth
It is simple to calculate and I will get to that shortly, but first…
Why Net Worth rather than just debt?
Your Net Worth is more encouraging
The primary reason for using your Net Worth as a gauge of your financial progress rather than the amount of debt you have is because it is more encouraging. When you look at your amount of debt to track progress you are only seeing the fruit of paying down those debts. On the other hand, […]

Original post by bob

Our greatest battles as Christians are in our minds.

I have noticed in my life that whenever I face a challenging situation (aka opportunity for growth) I almost always have to go through the same three steps…

I have to open my mind to a new way of thinking or doing something
I have to make a decision to do it
Then I can take action

I have found that when I am challenged by something, I either open my mind to the possibility of it or I don’t. If I do open my mind to it, then I have to count the cost to decide if I want to do it. If so, the last and often easiest step is to just do it.
For example: Before I started walking with God and even a couple years after, if I thought about sharing the Gospel with someone, I would not have opened my mind to […]

Original post by bob

Why get out of debt?
God didn’t create us so that we could seek our own satisfaction.
I believe that God put each person down here for a reason and that reason is to bless others. In doing so, we will be blessed.
I have found in my own life that my most joyful moments often revolved around me helping or doing something to benefit another person. This was the reason for starting Free Stuff Friday. Meanwhile, my most painful, sorrowful, and sad moments were taking place when I was thinking about myself. Often times one of the quickest remedies to a struggle that we are having is to get our minds off ourselves and go do something for someone else.
So what does this have to do with getting out of debt? A whole lot actually. Your motivation for wanting to get out of debt should go beyond yourself. Sure, it will be […]

Original post by bob

Are you looking for help getting out of debt?

Great, I think you have come to the right place. At the time of this writing, I am right there with you on this journey to break free from the “slavery” that the Bible calls debt (Proverbs 22:7). It is not easy, but it also isn’t that difficult either. Over the last two years my wife and I have paid off nearly $30,000 in consumer debts from some mistakes that we made in the past.
The 7 steps that I am going to take you through are things that we did to pay down our debt or we would have done if we had the opportunity. Each article is fairly long, so you can feel free to bookmark it and come back later or use the print button towards the bottom of each article to print them out.
If you are serious about getting […]

Original post by bob

Let me preface this by saying, while I have been in deep debt, I have never been to the point where I couldn’t pay my bills. I have had some people really close to me go through it and I have seen how scary it can be. Just remember that you always have hope in God. He said that He will never leave you or forsake you - ask Him for help.
What does the Bible say about bankruptcy?
God’s laws supercede national and local laws. Just because you can go to Las Vegas and legally get a hooker, doesn’t mean that it is okay with God. The tough truth is that bankruptcy seems to work the same way. Just because it is legal, doesn’t mean that God approves of it.

Psalm 37:21
The wicked borrows and does not pay back, but the righteous is gracious and gives.

Ecclesiastes 5:5
It is better that you should […]

Original post by bob

Before you begin your journey to get out of debt, it is important to know what the Bible says about debt. You can then use these truths to build your faith since faith comes by hearing the word. Once you have a solid understanding of what God has to say about the issue, then you can boldly pray about your debt in faith.
What does the Bible say about Debt?
The borrower is slave to the lender. When you are in debt to another, you enter into a slave/master relationship with your creditor. (Proverbs 22:7)
God wants us to lend to others. Obviously, this is difficult if you don’t have anything to lend. (Deuteronomy 15:6, 28:12, Matthew 5:24)
We are required to pay back what we borrowed. It is easy to take this lightly, but if we borrowed it, we should pay it back. (Psalm 37:21, Ecclesiastes 5:4).
What the Bible does NOT say […]

Original post by bob

I was just pondering on how anything worth getting requires a fight.
I am saddened when I hear people concede to a debt-ridden life. Freedom is attainable, but they aren’t willing to pay the price for it because they are comfortable. Spending money is comfortable. Not spending it when you want to can be very painful, but it gets easier.
Getting out of debt and being a good steward of your finances is not easy - but it is worth it. Remember, if it is worth having, it is worth fighting for.
_______________________
Here is a little bit of what I have been reading the last week…

Warren Buffett pays attention to every detail of his finances and that is part of his success.
A graph showing the vast difference between CEO pay and everyone else
This article talks about how 60% of todays oil price is based on speculation
BoltBus and MegaBus are offering $1 fares from […]

Original post by bob