Joseph Kenny asked:




Foremost among the reasons that lead to marital discord are financial issues. Most couples are unable to or find it extremely difficult to broach the topic openly and honestly. Although the reasons may be different for each couple, being disorganized and unable to communicate are common.

In order to avoid serious consequences it is necessary to for couples to implement the art of budgeting and money management. Couples should avoid conflict over purchases made by each other and learn to respect each other’s opinions.

The initial step is to sit down and discuss the income and expenditure. If there is a lack of communication, which is the case most of the time, this discussion could end in a heated argument. It is important to decide on a strategy before hand, to prevent an ugly situation. For example, get up and drink a glass of water, take a few deep breaths and go for a short walk and then resume the dialogue or invite a friend to be a part of the discussion.

Make a list of all the bills that are pending and the amounts, highlighting the dates on which they need to be paid. Compare this with the joint income and in case of inadequate funds, try to find ways to reduce expenditure or increase income.

Document all facts and figures so that they are easily available to your partner. Make a separate file for documents and papers related to insurance payments, credit card statements, car installments, monthly mortgage, utility bills and expenses. Remove them from the file only when they are paid. Decide on a common place accessible to both, to keep checkbooks, receipts and all relevant financial information. If there have been withdrawals from the joint account, each partner should let the other know the reason.

Such discussions should be scheduled regularly. Financial planning should be an essential part of the discussions. Financial issues become stressful if not handled with care. Make a plan to ensure that both of you take turns to maintain checkbooks, file taxes and track investments. This will allow each partner to be aware of the financial details. Discuss and create a budget to suit both of you.

Try to visualize finances for the next five or ten years. Large amounts of money are required for buying a house or a new car. The different ways in which you could save for these purchases should be discussed openly.

When you set your goals, devise a strategy to achieve them. The plans would mainly comprise of eliminating debt and setting up a savings plan. One excellent way would be to save a certain percentage of the monthly income in a tax deferred account. You can also save and invest in securities and bonds.

Financial mismanagement is generally a key factor in wrecking a happy marriage. In order to keep finances on the right track, proper communication is essential. Regular discussions and mutual decisions on the family budget and savings are sure ways to maintain the harmony among couples.

Tyrone

Rod Rogers asked:


When you preach on stewardship you should make sure to include teaching on wise money management. Most people around the world violate these principles and suffer the consequences. To help you in the preaching task, I’m including the first two points from the second sermon in the stewardship series presented in Pastor Driven Stewardship: 10 Steps to Lead Your Church to Biblical Giving.

I. Use a Budget (Prov. 21:5a).

A. “The plans of the diligent lead surely to advantage”

1. The plans that the “diligent” (determined, steady worker) make lead to financial prosperity.

2. The verse doesn’t say, “Use a budget,” but the principle of diligent planning implies the need for a budget.

B. A budget is simply a way of planning your financial life.

ILLUSTRATION: The late Larry Burkett was a Christian financial planner. He made a wonderful contribution to the church with his books and tapes on biblical principles of money management. In his book, Answers to Your Family’s Financial Questions, he writes about the purpose and value of a budget:

A budget is nothing more than a short-range plan for how you will spend your money during the coming year. A budget should not restrict your freedom to enjoy life; it should expand it.

“How,” you say, “can living on a budget expand my freedom?” By helping you live within your means and not go into debt. If you’re already in debt, a budget will help you out of it.

A budget is not magical, and living on one won’t permit you to spend more than you make and avoid debt. But a budget will tell you when you have spent all you can afford to each month in each category, such as entertainment, food, and gasoline.

A budget also tells you how much you must save each month for one-time annual expenses, such as car insurance, property taxes, and clothing.

ILLUSTRATION: My wife is wonderful at handling money and she takes the responsibility for planning our budget. We have lived on a budget since the first day we were married and the careful planning involved has enabled us to avoid financial trouble.

1. If you are not using some kind of budget in your family, you cannot be obeying God’s word, which teaches us to carefully plan our lives.

2. There are many fine resources in Christian bookstores about how to make a budget for your family.

(The second principle of wise money management is to. . .)

II. Have a Savings Plan (Prov. 21:20).

A. The footnote on this verse in the Ryrie Study Bible makes this comment: “The wise man plans and saves for the future, but the foolish person squanders what he has.”

1. A wise man doesn’t spend everything he makes.

2. He saves some of it for unforeseen emergencies and for future anticipated needs.

ILLUSTRATION: Again, Larry Burkett gives sound advice: “I believe that every family should allocate a percentage of its income to savings. If you don’t have any savings and your car breaks down, or the washing machine goes out, or the refrigerator quits, then you’ll have to rely on credit and ultimately end up deeper in debt.”

ILLUSTRATION: We have always tried to save something on a regular basis. For several years we were saving for a future car purchase. Then, one year I had a major surgery. Our insurance covered most of the bills but we did owe a significant amount. We were able to pay those unexpected costs out of our car savings. By enabling us to save that money, God had provided for our medical bills in advance. We are now going to trust God to meet our need for cars when our present ones quit working.

B. If you spend everything you make and never save anything, you are not being a wise manager of God’s money.

1. Save something, no matter how small, out of every paycheck.

2. It will add up over time and it is a good habit to develop.



Ann