1 00:00:03,080 --> 00:00:07,320 S1: This faith and finance live is actually prerecorded, so please 2 00:00:07,320 --> 00:00:11,879 S1: don't call in. Discipleship often sounds like a big program, 3 00:00:11,880 --> 00:00:15,280 S1: but what if it really begins with one faithful conversation 4 00:00:15,280 --> 00:00:19,000 S1: at a time? I am Rob West. Sometimes a single 5 00:00:19,000 --> 00:00:21,960 S1: intentional relationship is all it takes to shape the way 6 00:00:21,960 --> 00:00:26,680 S1: we follow Christ in both our finances and everyday decisions. Today, 7 00:00:26,680 --> 00:00:29,680 S1: Brian Holtz joins us to share how a simple commitment 8 00:00:29,680 --> 00:00:34,280 S1: to walk with someone spiritually can create lasting, eternal impact. 9 00:00:34,440 --> 00:00:36,640 S1: Then we have some great calls lined up, but we 10 00:00:36,640 --> 00:00:40,080 S1: won't be taking your live calls today because we're prerecorded. 11 00:00:40,440 --> 00:00:43,720 S1: This is faith and finance. Live biblical wisdom for your 12 00:00:43,720 --> 00:00:49,879 S1: financial journey. Our guest today is Brian Holt, CEO of 13 00:00:49,880 --> 00:00:55,000 S1: Compass Financial Ministry, an organization dedicated to helping people worldwide 14 00:00:55,000 --> 00:00:58,360 S1: know Christ more intimately in one of the most personal 15 00:00:58,360 --> 00:01:01,990 S1: arenas of life finances. Brian, it's always a joy to 16 00:01:01,990 --> 00:01:03,590 S1: have you with us. Great to have you back. 17 00:01:03,950 --> 00:01:05,150 S2: Always good to be here, Rob. 18 00:01:05,470 --> 00:01:08,630 S1: Brian. When we talk about discipleship, it's easy to picture 19 00:01:08,670 --> 00:01:13,789 S1: large programs or big initiatives. But this vision really began 20 00:01:13,790 --> 00:01:16,670 S1: in a much more personal way. So how did that 21 00:01:16,670 --> 00:01:20,910 S1: focus on 1 to 1 discipleship first take root for you? 22 00:01:21,310 --> 00:01:24,509 S2: It really started with our founder, Howard Dayton. While many 23 00:01:24,510 --> 00:01:27,309 S2: of your audience know him through the radio program, his 24 00:01:27,310 --> 00:01:31,709 S2: heart has always been for small group discipleship. So years ago, 25 00:01:31,709 --> 00:01:35,069 S2: he committed to walking alongside one person each year. That's 26 00:01:35,069 --> 00:01:38,270 S2: all one person reading a few Christian books and scripture 27 00:01:38,270 --> 00:01:42,709 S2: together and talking about what God was teaching them in return. 28 00:01:42,830 --> 00:01:46,950 S2: That person made one little tiny commitment to repeat the 29 00:01:46,950 --> 00:01:51,790 S2: process with someone else every year. That simple idea is 30 00:01:51,790 --> 00:01:54,190 S2: now what we call the One More Program. 31 00:01:54,470 --> 00:01:57,990 S1: HMM. Yeah, that sounds just like Howard. So what kinds 32 00:01:57,990 --> 00:02:01,660 S1: of resources or books did he typically use in those conversations? 33 00:02:01,660 --> 00:02:03,180 S1: And I love this model, by the way. 34 00:02:03,420 --> 00:02:05,900 S2: Yeah, the titles have changed over time. Right now, they 35 00:02:05,900 --> 00:02:10,419 S2: include Humility by Andrew Murray, Trusting God by Jerry bridges, 36 00:02:10,419 --> 00:02:13,900 S2: financial Discipleship by Peter Briscoe, and the Master Plan of 37 00:02:13,900 --> 00:02:18,019 S2: Evangelism by Robert Coleman. Along with those books will read 38 00:02:18,020 --> 00:02:20,420 S2: Scripture together, following wherever the Lord leads. 39 00:02:20,660 --> 00:02:22,579 S1: Yeah. And we'll have the list of those titles in 40 00:02:22,580 --> 00:02:25,300 S1: our show notes. That is a fabulous list of books. 41 00:02:25,660 --> 00:02:29,060 S1: Why do you think those particular books stood out to him, Brian? 42 00:02:29,419 --> 00:02:32,540 S2: Well, yeah, with discipleship, it's not necessarily a prescribed list, 43 00:02:32,540 --> 00:02:36,300 S2: but these books in particular are deeply formative and invite 44 00:02:36,340 --> 00:02:39,660 S2: a lot of reflection. Humility convicts us and puts us 45 00:02:39,660 --> 00:02:43,220 S2: in our proper place relative to our creator. Then trusting 46 00:02:43,220 --> 00:02:45,700 S2: God invites us to be vulnerable as we learn to 47 00:02:45,740 --> 00:02:48,620 S2: truly rely on him for both the big and small 48 00:02:48,620 --> 00:02:52,420 S2: pieces of our life. Financial discipleship helps us apply that 49 00:02:52,419 --> 00:02:56,020 S2: vulnerability to our finances, and then master plan teaches us 50 00:02:56,020 --> 00:02:58,660 S2: how to share it, to grow God's kingdom the way 51 00:02:58,700 --> 00:03:02,619 S2: Jesus instructed. But more than a great reading list, the 52 00:03:02,620 --> 00:03:07,020 S2: shared discussions matter most. The relationship you build, discussing what 53 00:03:07,020 --> 00:03:09,340 S2: you've learned from the reading and how those things are 54 00:03:09,340 --> 00:03:12,380 S2: playing out in your life today. Become the real treasure 55 00:03:12,380 --> 00:03:13,380 S2: of discipleship. 56 00:03:13,740 --> 00:03:17,180 S1: Yeah, no doubt about that. Now, I know you experienced 57 00:03:17,180 --> 00:03:20,820 S1: that season firsthand, Brian. So share just a bit about 58 00:03:20,820 --> 00:03:24,300 S1: how that year of intentional discipleship shaped you personally. 59 00:03:24,580 --> 00:03:26,500 S2: Yeah, it's hard to believe, but it was nearly ten 60 00:03:26,500 --> 00:03:29,579 S2: years ago now. My family had just relocated for work 61 00:03:29,620 --> 00:03:33,780 S2: across state lines and everything just felt unsettled work. Church, 62 00:03:33,820 --> 00:03:36,620 S2: our kids, nothing was falling into place. And then I 63 00:03:36,620 --> 00:03:38,780 S2: was invited to just read some books with a friend 64 00:03:38,780 --> 00:03:41,300 S2: and a colleague who had just finished the program with 65 00:03:41,300 --> 00:03:45,180 S2: Howard himself. Well, during that year of discipleship, my view 66 00:03:45,180 --> 00:03:48,180 S2: of money changed. So did my relationship with the Lord, 67 00:03:48,180 --> 00:03:51,780 S2: my marriage, my parenting, and eventually even my career. As 68 00:03:51,780 --> 00:03:55,340 S2: I ended up following that friend over to compass. God 69 00:03:55,410 --> 00:03:59,730 S2: used that simple, faithful investment to reshape my life in 70 00:03:59,730 --> 00:04:02,410 S2: lasting ways. And I've had the joy of walking many 71 00:04:02,410 --> 00:04:03,970 S2: others through the same process. 72 00:04:04,330 --> 00:04:06,530 S1: HMM. This could be a game changer for so many 73 00:04:06,530 --> 00:04:09,810 S1: of our listeners today. So if someone is listening right now, Brian, 74 00:04:09,810 --> 00:04:13,130 S1: and they feel called to disciple others, but they're not 75 00:04:13,130 --> 00:04:16,529 S1: sure where to begin, what first step might you encourage? 76 00:04:16,650 --> 00:04:19,770 S2: Yeah, I think the easiest first step is to decide 77 00:04:19,770 --> 00:04:23,010 S2: to not read books alone anymore. I know that sounds simple, 78 00:04:23,010 --> 00:04:26,290 S2: but it really does work. Whether it's scripture, a devotional, 79 00:04:26,290 --> 00:04:29,930 S2: or a Christian book. Invite someone to read with you. 80 00:04:30,250 --> 00:04:32,729 S2: Meet regularly to talk about what you're learning, and then 81 00:04:32,730 --> 00:04:34,770 S2: you do it again. And if you do want to 82 00:04:34,770 --> 00:04:37,810 S2: follow Howard's One More Plan, we've got free study guides 83 00:04:37,810 --> 00:04:42,370 S2: available at compass financial ministry.org/1 more. 84 00:04:42,890 --> 00:04:46,410 S1: Oh, that is so good. And honestly, much simpler than 85 00:04:46,450 --> 00:04:49,850 S1: most of us expect financial discipleship to be. So I 86 00:04:49,890 --> 00:04:52,729 S1: have to ask, is he still walking people through it today? 87 00:04:53,089 --> 00:04:56,839 S2: He absolutely is. One every year until the Lord takes 88 00:04:56,839 --> 00:04:57,880 S2: him home is what he says. 89 00:04:58,360 --> 00:05:02,880 S1: Incredible, folks. Financial discipleship doesn't start with a program. It 90 00:05:02,880 --> 00:05:07,400 S1: starts with one intentional relationship, faithfully walking with someone toward 91 00:05:07,400 --> 00:05:11,320 S1: Christ and trusting God to multiply the impact. Brian, thanks 92 00:05:11,320 --> 00:05:12,280 S1: for being here today. 93 00:05:12,400 --> 00:05:13,520 S2: Thanks for having me, Rob. 94 00:05:13,560 --> 00:05:16,360 S1: That was Brian Holtz with Compass Financial Ministry. To learn 95 00:05:16,360 --> 00:05:20,240 S1: more about this simple relational approach to discipleship, go to 96 00:05:20,279 --> 00:05:35,440 S1: Compass financial ministry.org/1 more. We'll be right back. So glad 97 00:05:35,440 --> 00:05:38,120 S1: to have you with us today on faith and Finance Live. 98 00:05:38,160 --> 00:05:40,960 S1: Our team is away today, so don't call in. But 99 00:05:40,960 --> 00:05:43,720 S1: we lined up some great questions in advance and we'll 100 00:05:43,720 --> 00:05:45,920 S1: be going to those here in just a moment. Let 101 00:05:45,920 --> 00:05:48,440 S1: me also remind you that the advice that I give 102 00:05:48,480 --> 00:05:52,040 S1: each day on this program is general in nature. We 103 00:05:52,350 --> 00:05:56,190 S1: offer principles and ideas that apply at a high level. 104 00:05:56,190 --> 00:05:59,590 S1: They are not personalized. So that's why you should always 105 00:05:59,630 --> 00:06:03,070 S1: seek professional financial advice. And if you'd like to find 106 00:06:03,070 --> 00:06:06,350 S1: a professional who shares your values, we of course here 107 00:06:06,350 --> 00:06:10,710 S1: at Faith and Finance Live recommend the Certified Kingdom Advisor designation. 108 00:06:10,710 --> 00:06:13,270 S1: These are men and women who've met high standards, and 109 00:06:13,270 --> 00:06:16,230 S1: they've been trained to bring a biblical worldview of financial 110 00:06:16,230 --> 00:06:19,590 S1: decision making. You can find one at faith fi.com. Now 111 00:06:19,589 --> 00:06:21,910 S1: let's head to the phone calls we have lined up 112 00:06:22,110 --> 00:06:25,029 S1: to Virginia. We go. P.V. thanks for calling. Go ahead. 113 00:06:26,070 --> 00:06:30,470 S3: Thank you so much for answering my call. I'm asking 114 00:06:30,470 --> 00:06:35,990 S3: a question concerning equity. I'm getting ready to sell the house. 115 00:06:35,990 --> 00:06:38,710 S3: I do have a small mortgage left on the house. 116 00:06:39,430 --> 00:06:42,550 S3: What part does this equity? Maybe I need to understand 117 00:06:42,550 --> 00:06:45,470 S3: what equity is. First of all. Sure. Do I carry 118 00:06:45,470 --> 00:06:47,989 S3: the equity with me to the next house I'm about 119 00:06:47,990 --> 00:06:52,870 S3: to purchase? Or how does the equity part. Work in 120 00:06:52,870 --> 00:06:53,270 S3: the house. 121 00:06:53,550 --> 00:06:57,310 S1: Of course. PV it's a great question. So simply speaking, 122 00:06:57,589 --> 00:07:01,710 S1: equity is what you walk away with after the sale. 123 00:07:02,350 --> 00:07:08,229 S1: So you you take the home sale price and you 124 00:07:08,230 --> 00:07:16,590 S1: subtract the mortgage payoff. Any realtor commissions, any closing costs, 125 00:07:16,870 --> 00:07:22,869 S1: repairs or concessions. And then the remaining number is what's 126 00:07:22,870 --> 00:07:26,110 S1: called your equity or your net proceeds. So it's the 127 00:07:26,110 --> 00:07:29,670 S1: selling price minus the mortgage minus any real estate commissions 128 00:07:29,670 --> 00:07:33,630 S1: or closing costs. That's your equity. And yes, that amount 129 00:07:33,670 --> 00:07:37,590 S1: remaining is the check you would receive at the closing table. 130 00:07:38,110 --> 00:07:41,990 S1: And you would take the equity with you because you 131 00:07:42,030 --> 00:07:45,070 S1: now have a check for that amount, which would allow 132 00:07:45,070 --> 00:07:47,030 S1: you to then use it to put as a down 133 00:07:47,070 --> 00:07:49,110 S1: payment for your next home. 134 00:07:50,060 --> 00:07:54,220 S3: All right. Good. Well, age. Does that have a barrier 135 00:07:54,420 --> 00:07:57,540 S3: in purchasing because I'll be 79 this year. 136 00:07:57,860 --> 00:08:01,420 S1: Okay. Uh, is there any kind of barrier to purchasing 137 00:08:01,420 --> 00:08:03,060 S1: a new home at age 79? 138 00:08:03,660 --> 00:08:04,140 S3: Mhm. 139 00:08:04,420 --> 00:08:06,420 S1: There isn't. No. Are you going to be getting a 140 00:08:06,420 --> 00:08:08,580 S1: mortgage or will you have enough equity to buy the 141 00:08:08,580 --> 00:08:09,900 S1: next home with cash? 142 00:08:10,420 --> 00:08:12,500 S3: I would probably be getting a mortgage. 143 00:08:12,700 --> 00:08:16,020 S1: Okay. Yeah. So because I would imagine because of the 144 00:08:16,020 --> 00:08:18,260 S1: equity you've accumulated in your current home, you'd have a 145 00:08:18,260 --> 00:08:21,300 S1: pretty significant down payment. You probably, you know, shouldn't have 146 00:08:21,300 --> 00:08:24,500 S1: any trouble there. Just going to want to see that. Uh, 147 00:08:24,740 --> 00:08:28,020 S1: you have, uh, income that they can verify, which may 148 00:08:28,060 --> 00:08:31,540 S1: be Social Security. It may be other sources. Um, but 149 00:08:31,540 --> 00:08:35,420 S1: there's no age barrier to a mortgage so long as 150 00:08:35,620 --> 00:08:37,140 S1: they can pull your credit and you have a good 151 00:08:37,140 --> 00:08:40,620 S1: credit score and they can document the income that you have, 152 00:08:40,820 --> 00:08:43,700 S1: that's going to give them confidence that you can make 153 00:08:43,700 --> 00:08:45,900 S1: the payment. But as long as you do that, there's 154 00:08:45,900 --> 00:08:50,410 S1: no issue with regard to age. And again, whatever is left, 155 00:08:50,450 --> 00:08:53,850 S1: the proceeds or the equity after everything's paid, including the 156 00:08:53,850 --> 00:08:57,250 S1: mortgage on your current home would be available to put 157 00:08:57,250 --> 00:09:00,370 S1: into that next home. And if you've lived in this 158 00:09:00,370 --> 00:09:03,930 S1: home that you're about to sell for two out of 159 00:09:03,970 --> 00:09:07,090 S1: the last five years, going back from the selling date, 160 00:09:07,610 --> 00:09:12,929 S1: then you could set aside up to $250,000 in gains, 161 00:09:12,929 --> 00:09:16,170 S1: not the selling price. This is how much it's appreciated. 162 00:09:16,929 --> 00:09:19,650 S1: You can set aside up to 250,000 of that, and 163 00:09:19,650 --> 00:09:21,849 S1: you wouldn't have to pay any tax whatsoever. 164 00:09:22,610 --> 00:09:25,290 S3: Oh yes, I've been here 20 years. Good. Thank you 165 00:09:25,570 --> 00:09:26,370 S3: so much. 166 00:09:26,410 --> 00:09:29,209 S1: All right. You're very welcome. PV, call any time if 167 00:09:29,210 --> 00:09:31,410 S1: I can help further. Thanks for being on the program 168 00:09:31,650 --> 00:09:33,490 S1: to Arkansas. Hi, Cindy. Go ahead. 169 00:09:34,090 --> 00:09:38,050 S4: Hey. Thank you so much for all you do. Of course. 170 00:09:38,090 --> 00:09:40,730 S4: I'll try to make it quick. First of all, some 171 00:09:40,730 --> 00:09:42,970 S4: of the terms that you use. I feel like I'm 172 00:09:42,970 --> 00:09:47,600 S4: a kindergartener. So even though I'm 63, I don't understand 173 00:09:47,600 --> 00:09:51,040 S4: a lot about financial stuff. I was married for 30 years. 174 00:09:51,080 --> 00:09:56,000 S4: I'm divorced now for ten. Um, during our marriage, we 175 00:09:56,040 --> 00:09:59,640 S4: had a home business, a mobile DJ business, which I 176 00:09:59,640 --> 00:10:03,360 S4: worked for but did not receive any income. So there 177 00:10:03,360 --> 00:10:07,760 S4: was no taxes or social security or anything coming for me. Um, 178 00:10:07,760 --> 00:10:11,080 S4: I do work full time now. My question is, my 179 00:10:11,080 --> 00:10:15,720 S4: ex husband is retired military and he is now receiving 180 00:10:15,720 --> 00:10:19,480 S4: his retirement. I know that there is funds for me. 181 00:10:19,520 --> 00:10:22,880 S4: I don't have any plans of getting remarried for as 182 00:10:22,880 --> 00:10:26,000 S4: far as retirement goes. I'm like I said, I'm 63. 183 00:10:26,040 --> 00:10:28,520 S4: I still plan to work for a while because I 184 00:10:28,520 --> 00:10:33,600 S4: like working. Yes. But my question is, whenever it's time 185 00:10:33,600 --> 00:10:37,480 S4: for me to retire. Um, how do I go about 186 00:10:37,480 --> 00:10:40,760 S4: getting the funds from his retirement? I mean, that feels 187 00:10:40,760 --> 00:10:43,120 S4: like I'm taking something from him, but I've heard that 188 00:10:43,120 --> 00:10:44,760 S4: that doesn't hurt him at all. 189 00:10:44,910 --> 00:10:49,470 S1: Yes. Yeah. And you're probably talking about Social Security, which 190 00:10:49,470 --> 00:10:53,630 S1: is what's most likely available. So because you were married 191 00:10:53,630 --> 00:10:57,750 S1: 30 years, you've been divorced for ten, currently unmarried. Uh, 192 00:10:57,750 --> 00:11:04,030 S1: you're very likely eligible for divorced spousal Social Security benefits. 193 00:11:04,350 --> 00:11:07,790 S1: And that has nothing has no bearing on your ex-husband's 194 00:11:07,790 --> 00:11:12,550 S1: ability to collect his own Social Security benefits. So you 195 00:11:12,550 --> 00:11:17,309 S1: can claim benefits based on his record through the Social 196 00:11:17,309 --> 00:11:20,830 S1: Security Administration. So long as you were married, at least 197 00:11:20,830 --> 00:11:25,150 S1: ten years, which you were. You're currently unmarried, you're 62 198 00:11:25,150 --> 00:11:29,110 S1: or older, and your own benefit would be smaller than 199 00:11:29,110 --> 00:11:32,630 S1: the spousal benefit, which it likely would be if you 200 00:11:32,630 --> 00:11:35,430 S1: even have one at all, given the fact that you 201 00:11:35,470 --> 00:11:39,270 S1: were working, you know, in the business and not getting paid. Um, 202 00:11:39,270 --> 00:11:41,190 S1: so what that would mean is that if you don't 203 00:11:41,190 --> 00:11:43,470 S1: have your own work record, which means you'd have to 204 00:11:43,470 --> 00:11:47,150 S1: have at least ten quarters of paying into Social Security 205 00:11:47,150 --> 00:11:49,790 S1: in order to have any benefit on your own. Then 206 00:11:49,830 --> 00:11:54,550 S1: you would be better off taking the spousal benefit, and 207 00:11:54,550 --> 00:11:57,630 S1: you would be able to get up to 50% of 208 00:11:57,630 --> 00:12:02,030 S1: his full retirement age benefit. And this does not reduce 209 00:12:02,110 --> 00:12:05,949 S1: his benefit whatsoever. He doesn't need to prove it. He 210 00:12:05,950 --> 00:12:08,829 S1: may not even know you're getting it and doesn't need to. 211 00:12:09,150 --> 00:12:12,910 S1: Now you're going to want to wait until your full 212 00:12:12,910 --> 00:12:16,589 S1: retirement age, if at all possible, which is probably going 213 00:12:16,630 --> 00:12:20,070 S1: to be around 67 years old. If you want to 214 00:12:20,070 --> 00:12:22,790 S1: be able to get the full amount and again, the 215 00:12:22,790 --> 00:12:25,830 S1: full amount, the most you can get is 50% of 216 00:12:25,830 --> 00:12:28,710 S1: his full retirement age benefit. But if you take it 217 00:12:28,710 --> 00:12:32,710 S1: before 67, it's going to it's going to be reduced 218 00:12:32,710 --> 00:12:36,790 S1: below the maximum you can earn, which is that 50%. 219 00:12:36,950 --> 00:12:39,189 S1: So for instance, if you took it at age 62, 220 00:12:39,230 --> 00:12:44,900 S1: you might only get, you know, 30% or something around there. Um, 221 00:12:44,940 --> 00:12:49,140 S1: versus waiting until 67 and getting a full 50%. Uh, 222 00:12:49,140 --> 00:12:53,500 S1: with regard to the military pension, those are completely different rules. Um, 223 00:12:53,820 --> 00:12:56,740 S1: you know, military retirement, retirement is treated often as a 224 00:12:56,740 --> 00:13:01,300 S1: marital asset, not an automatic spousal benefit. So you'd only 225 00:13:01,300 --> 00:13:03,340 S1: receive part of it if it was awarded in a 226 00:13:03,340 --> 00:13:06,420 S1: divorce decree. There's not an automatic right there. But give 227 00:13:06,460 --> 00:13:07,740 S1: me your thoughts on all that. 228 00:13:08,380 --> 00:13:11,179 S4: You know, I am a Christian, and so I didn't 229 00:13:11,179 --> 00:13:13,820 S4: want to do anything that would hurt him. We did 230 00:13:13,820 --> 00:13:17,940 S4: not go through, um, any kind of format to where 231 00:13:18,100 --> 00:13:20,900 S4: you get this, we get this, you know, split this 232 00:13:20,900 --> 00:13:23,620 S4: up or anything like that. Um, we didn't talk about 233 00:13:23,620 --> 00:13:26,220 S4: any kind of retirement or anything like that. I was 234 00:13:26,220 --> 00:13:31,300 S4: trying to be the, the most helpful towards him because 235 00:13:31,300 --> 00:13:34,420 S4: he was going through a really hard time during the divorce. 236 00:13:34,780 --> 00:13:38,100 S4: And so, uh, I mean, I do plan on working 237 00:13:38,100 --> 00:13:43,010 S4: at least to 67. I do have some work history, 238 00:13:43,010 --> 00:13:44,930 S4: but I know like right now, if I was going 239 00:13:44,929 --> 00:13:47,010 S4: to retire, I think Social Security said I would get 240 00:13:47,050 --> 00:13:50,970 S4: like $800 a month, which, you know, you can't live 241 00:13:50,970 --> 00:13:51,970 S4: off that. So. 242 00:13:52,010 --> 00:13:55,170 S1: Sure. Yeah, exactly. Right. So I think the key is 243 00:13:55,170 --> 00:13:57,570 S1: if you can wait as long as possible to take that, 244 00:13:57,570 --> 00:14:00,290 S1: that's going to be helpful. Uh, you know, at least 245 00:14:00,290 --> 00:14:04,250 S1: until full retirement age. And, you know, you would, uh, 246 00:14:04,250 --> 00:14:07,090 S1: if you didn't have a divorce decree and you may 247 00:14:07,090 --> 00:14:10,170 S1: want to check, you know, with an attorney on this, 248 00:14:10,450 --> 00:14:14,810 S1: you likely would not, uh, have been awarded anything. Um, 249 00:14:14,850 --> 00:14:17,610 S1: now you could check with the Defense Finance and Accounting 250 00:14:17,610 --> 00:14:19,930 S1: service and see if there's any kind of payments that 251 00:14:19,930 --> 00:14:22,810 S1: you're eligible for, but that would likely come through a 252 00:14:22,810 --> 00:14:25,450 S1: divorce decree, which it doesn't sound like you have. I 253 00:14:25,490 --> 00:14:28,010 S1: hope that's helpful. Thanks for calling. We'll be right back. 254 00:14:33,610 --> 00:14:36,250 S1: Grateful you've tuned in to Faith and Finance Live. I'm 255 00:14:36,250 --> 00:14:38,890 S1: Rob West, your host. This is where we recognize that 256 00:14:38,890 --> 00:14:41,560 S1: God owns it all. You're a steward or a manager 257 00:14:41,560 --> 00:14:44,600 S1: of God's resources and money is a tool to accomplish 258 00:14:44,600 --> 00:14:47,800 S1: God's purposes. Hey, we're away from the studio today, so 259 00:14:47,800 --> 00:14:50,480 S1: don't call in. But we lined up some great questions 260 00:14:50,480 --> 00:14:54,000 S1: in advance that I know you will enjoy. In fact, 261 00:14:54,320 --> 00:14:56,640 S1: let's go ahead and take one of those right now 262 00:14:57,040 --> 00:14:59,520 S1: in North Carolina. Kathy, how can I serve you today? 263 00:15:00,440 --> 00:15:01,160 S5: Well, hi. 264 00:15:01,640 --> 00:15:04,240 S4: Um, I am deep in debt. 265 00:15:04,400 --> 00:15:09,880 S5: I have $37,000 in credit card debt. Uh, not that 266 00:15:09,880 --> 00:15:13,520 S5: I like to shop a lot. I'm 72 years old. 267 00:15:13,520 --> 00:15:18,640 S5: I've been widowed for over 20 years, and I am disabled. 268 00:15:19,000 --> 00:15:23,160 S5: And the sad part is that I don't have a 269 00:15:23,160 --> 00:15:27,080 S5: disability insurance. So any time I have been injured or 270 00:15:27,080 --> 00:15:31,560 S5: very ill, I've had to just languish about the house 271 00:15:31,560 --> 00:15:36,080 S5: and live on credit cards. And I'm having trouble paying 272 00:15:36,080 --> 00:15:37,120 S5: off that debt. 273 00:15:37,480 --> 00:15:41,200 S1: Yeah, yeah. What do you have besides the 37,000 in 274 00:15:41,200 --> 00:15:42,040 S1: credit card debt? 275 00:15:42,640 --> 00:15:47,360 S5: Well, on the plus side, I paid cash for my 276 00:15:47,480 --> 00:15:51,720 S5: car 20 years ago. And that old Honda is still 277 00:15:51,720 --> 00:15:52,640 S5: running great. 278 00:15:52,960 --> 00:15:53,240 S1: Great. 279 00:15:53,280 --> 00:15:58,040 S5: And I paid. Yeah. It is. And I paid cash 280 00:15:58,280 --> 00:16:01,880 S5: for my townhouse when I moved to North Carolina. 281 00:16:01,920 --> 00:16:02,320 S1: Okay. 282 00:16:02,360 --> 00:16:09,760 S5: Using the proceeds from the sale of my former home. Yeah. Um, but, uh, 283 00:16:09,880 --> 00:16:15,160 S5: I can't qualify for a HELOC because at this time, 284 00:16:15,160 --> 00:16:18,080 S5: I am unemployed. I lost my job a year and 285 00:16:18,080 --> 00:16:24,280 S5: a half ago. And sincerely, I am bumping into disability 286 00:16:24,320 --> 00:16:30,160 S5: discrimination and age discrimination. I walk with a cane. I 287 00:16:30,200 --> 00:16:34,960 S5: walk a little bit slowly, you know, and and I'm 288 00:16:35,000 --> 00:16:39,790 S5: trying to give a fair, you know, evaluation of the circumstances. 289 00:16:39,990 --> 00:16:43,670 S5: Many of these jobs, I think that I am very 290 00:16:43,670 --> 00:16:47,390 S5: qualified to work. And, you know, I have a good 291 00:16:47,390 --> 00:16:50,870 S5: work history. So the only thing I can come up 292 00:16:50,870 --> 00:16:54,950 S5: with is it must be age discrimination. There have even 293 00:16:54,950 --> 00:16:58,110 S5: been times when I go to a job interview and 294 00:16:58,110 --> 00:17:01,710 S5: people will look at me and go, oh, well, why 295 00:17:01,710 --> 00:17:04,150 S5: would you want to work at this age? This is 296 00:17:04,150 --> 00:17:08,750 S5: the fun time for retirement. Yes. I'm not exactly having fun. 297 00:17:08,950 --> 00:17:11,630 S1: Yeah, well, I know this is a heavy weight that 298 00:17:11,630 --> 00:17:14,669 S1: you're carrying. And the good news is God is your provider. 299 00:17:14,670 --> 00:17:17,670 S1: And we're going to trust him for the provision that 300 00:17:17,670 --> 00:17:20,990 S1: you need. Uh, I'm. I'm glad you haven't gone down 301 00:17:20,990 --> 00:17:24,030 S1: the route of a home equity loan, because as much 302 00:17:24,030 --> 00:17:26,550 S1: as I don't want this credit card balance to continue 303 00:17:26,550 --> 00:17:29,550 S1: to grow, we need to get that going the other direction. 304 00:17:29,590 --> 00:17:32,830 S1: You know, that can't be the lever that we pull 305 00:17:32,869 --> 00:17:38,340 S1: to fund your, you know, uh, expenses on a daily basis. Um, 306 00:17:38,340 --> 00:17:40,940 S1: I certainly don't want that going against your home because 307 00:17:40,940 --> 00:17:43,500 S1: if you're unable to pay, I mean, there is recourse 308 00:17:43,500 --> 00:17:46,740 S1: with unsecured debt, like credit cards, but it's not like 309 00:17:46,780 --> 00:17:50,500 S1: you losing your townhouse. And so I wouldn't want that 310 00:17:50,500 --> 00:17:54,419 S1: to go against, uh, your, your primary residence. Um, so, 311 00:17:54,460 --> 00:17:57,140 S1: you know, obviously the key here is for you to 312 00:17:57,380 --> 00:18:00,460 S1: try to dial spending down as much as possible. Are 313 00:18:00,460 --> 00:18:02,459 S1: you are you bringing Social Security in? 314 00:18:03,060 --> 00:18:06,900 S5: Oh, yeah. And it's almost to the penny. What I 315 00:18:06,940 --> 00:18:11,620 S5: get in Social Security after they deduct part D for 316 00:18:11,619 --> 00:18:15,220 S5: the prescriptions or part B, you know, to pay doctors 317 00:18:15,500 --> 00:18:21,970 S5: after all those deductions. Uh, I probably have 50 or 318 00:18:21,970 --> 00:18:25,419 S5: $60 left over after paying the credit card bills. 319 00:18:25,460 --> 00:18:26,220 S6: Yeah, yeah. 320 00:18:26,260 --> 00:18:29,220 S5: And and and that's just not enough. I mean, the 321 00:18:29,260 --> 00:18:34,220 S5: HOA dues alone are 235. The water and sewage is 322 00:18:34,330 --> 00:18:36,970 S5: on a separate bill from electric. I could go on 323 00:18:36,970 --> 00:18:37,330 S5: and on. 324 00:18:37,369 --> 00:18:37,810 S6: Sure. 325 00:18:38,010 --> 00:18:41,129 S5: When you say reduce spending, the past year and a 326 00:18:41,130 --> 00:18:44,969 S5: half I've been living. Uh, by the grace of God. 327 00:18:45,010 --> 00:18:45,290 S6: Yeah. 328 00:18:45,330 --> 00:18:48,929 S5: Off of food donated by churches. 329 00:18:49,050 --> 00:18:49,850 S6: Yeah. You know. 330 00:18:49,930 --> 00:18:54,530 S5: Uh, there there really is, in my opinion, no excess 331 00:18:54,530 --> 00:18:57,889 S5: spending happening in my life. And the reason I can't 332 00:18:57,890 --> 00:19:01,690 S5: get the credit card bills to go down is because 333 00:19:01,730 --> 00:19:05,690 S5: once I make the monthly payment, any credit that is 334 00:19:05,690 --> 00:19:08,169 S5: made available to me and I'm at the top of 335 00:19:08,170 --> 00:19:10,410 S5: the limit on each one. Credit cards. 336 00:19:10,450 --> 00:19:10,930 S6: Yeah, but. 337 00:19:10,930 --> 00:19:14,090 S5: The credit that is then made available to me, I 338 00:19:14,130 --> 00:19:15,610 S5: have to use that. 339 00:19:16,210 --> 00:19:16,330 S6: To. 340 00:19:16,369 --> 00:19:17,889 S5: Pay bills. 341 00:19:17,930 --> 00:19:18,409 S6: Just to. 342 00:19:18,450 --> 00:19:19,609 S5: Basically live. 343 00:19:19,810 --> 00:19:23,330 S1: Yeah. Well, I hear you and I know this is challenging, 344 00:19:23,330 --> 00:19:25,290 S1: so I think we've got to just take it one 345 00:19:25,290 --> 00:19:27,930 S1: step at a time here. Uh, you know, first is 346 00:19:27,930 --> 00:19:32,130 S1: let's make sure you're maximizing government and non-profit assistance. I'm 347 00:19:32,130 --> 00:19:34,810 S1: delighted to hear the body of Christ is rallying around you. 348 00:19:34,850 --> 00:19:37,730 S1: That's great. That's the way it should be. Uh, you know, 349 00:19:37,770 --> 00:19:41,210 S1: there there is food assistance through programs like snap where 350 00:19:41,210 --> 00:19:45,530 S1: you could get a monthly benefit for groceries. Uh, you know, you, 351 00:19:45,570 --> 00:19:49,210 S1: even if you own a home, you can still qualify. Uh, 352 00:19:49,210 --> 00:19:54,490 S1: there's utility assistance from low income home energy assistance programs. Um, 353 00:19:54,490 --> 00:19:58,810 S1: there's even a Medicare savings program that could help as well. 354 00:19:58,850 --> 00:20:02,730 S1: And extra, perhaps even a subsidy for part D. So 355 00:20:02,770 --> 00:20:05,690 S1: I think you need to look into each of those. Um, 356 00:20:05,690 --> 00:20:08,570 S1: you probably want to call 211 just to see if 357 00:20:08,570 --> 00:20:12,450 S1: there's any government programs that you're not taking advantage of, 358 00:20:12,450 --> 00:20:15,610 S1: because they can help you navigate the medical aid, the housing, 359 00:20:15,810 --> 00:20:18,930 S1: the utility and the local food. Um, and so that 360 00:20:18,930 --> 00:20:22,129 S1: would be key, I think. Continue to the extent you're able, 361 00:20:22,330 --> 00:20:24,290 S1: you know, the good news is we are still in 362 00:20:24,290 --> 00:20:27,890 S1: a pretty solid and robust job market. Unemployment is very low. 363 00:20:27,930 --> 00:20:30,689 S1: I realize you've got some things working against you, but 364 00:20:30,690 --> 00:20:33,560 S1: let's just trust the Lord that he's got something in mind. 365 00:20:33,600 --> 00:20:35,560 S1: Maybe it's something you're able to do from your home. 366 00:20:35,600 --> 00:20:39,040 S1: You know, more work. Remote options exist now than ever 367 00:20:39,440 --> 00:20:43,200 S1: post Covid. And so perhaps there's an option there that 368 00:20:43,200 --> 00:20:45,320 S1: would allow you to stay right at home and bring 369 00:20:45,320 --> 00:20:47,680 S1: in some more income. I also want you to reach 370 00:20:47,680 --> 00:20:50,119 S1: out to our friends in addition to 211 for the 371 00:20:50,119 --> 00:20:54,000 S1: government assistance, reach out to our friends at Christian Credit Counselors. 372 00:20:54,000 --> 00:20:56,120 S1: Let's see if they can help you get that monthly 373 00:20:56,119 --> 00:20:59,160 S1: payment down. But more important than that, get those interest 374 00:20:59,200 --> 00:21:01,120 S1: rates down on those credit cards so we could get 375 00:21:01,119 --> 00:21:04,960 S1: that actually going somewhere so that you're not just basically 376 00:21:04,960 --> 00:21:08,119 S1: covering the interest every month and treading water. We're actually 377 00:21:08,119 --> 00:21:11,240 S1: making progress on those credit cards. And if we can 378 00:21:11,240 --> 00:21:13,760 S1: get some income going, get some more assistance to take 379 00:21:13,760 --> 00:21:16,200 S1: some of the pressure off some of the spending, and 380 00:21:16,200 --> 00:21:18,639 S1: then get those interest rates dropped on the credit cards 381 00:21:18,640 --> 00:21:21,399 S1: with our friends at Christian credit counselors. Let's just see 382 00:21:21,400 --> 00:21:23,640 S1: if we can't get this moving in the right direction. 383 00:21:23,960 --> 00:21:29,280 S1: The number to call is 800 557 1985. That's Christian 384 00:21:29,280 --> 00:21:35,670 S1: Credit counselors (800) 557-1985. Kathy, I'm going to ask the faith 385 00:21:35,670 --> 00:21:38,149 S1: and finance community to be praying for you. I'll certainly 386 00:21:38,150 --> 00:21:40,590 S1: do that and to keep us posted along the way. 387 00:21:40,590 --> 00:21:42,790 S1: Thanks for your call today. Well, folks, we're going to 388 00:21:42,790 --> 00:21:44,790 S1: head to a break. But let me remind you, we're 389 00:21:44,830 --> 00:21:47,510 S1: out of the studio today. Our team is not here, 390 00:21:47,510 --> 00:21:50,149 S1: so don't call in, but much more to come. Just 391 00:21:50,150 --> 00:21:53,430 S1: around the corner on faith and finance live. Stick around. 392 00:22:05,990 --> 00:22:09,870 S7: You're listening to Faith and finance Live. This program is prerecorded, 393 00:22:09,869 --> 00:22:12,710 S7: so we're not available to answer your calls, but you 394 00:22:12,710 --> 00:22:17,550 S7: can email us your questions at at free.com. 395 00:22:20,550 --> 00:22:24,350 S1: Well, the new Faith 55.0, our app is out. It's 396 00:22:24,350 --> 00:22:28,230 S1: better than ever. It's actually incredible. It'll help you set 397 00:22:28,270 --> 00:22:31,619 S1: up daily, weekly and monthly rhythms. For instance, the daily 398 00:22:31,619 --> 00:22:35,260 S1: rhythm in three minutes helps you review yesterday's activity and 399 00:22:35,260 --> 00:22:38,939 S1: then just shapes your heart alongside your money with a 400 00:22:38,940 --> 00:22:42,419 S1: verse of the day. A very short thought of the 401 00:22:42,420 --> 00:22:46,540 S1: day as we bring Scripture around money rhythms into your life, 402 00:22:46,540 --> 00:22:50,060 S1: and it can really set you up for financial success. Also, 403 00:22:50,460 --> 00:22:54,659 S1: the smart budgeting functions in there saves you time, reduces 404 00:22:54,660 --> 00:22:58,420 S1: the busy work so you spend less energy managing your 405 00:22:58,420 --> 00:23:01,540 S1: finances and more time living with clarity and purpose as 406 00:23:01,540 --> 00:23:04,380 S1: you make financial decisions. When you become a Pro subscriber 407 00:23:04,380 --> 00:23:06,820 S1: in the app, you'll get all of this and more. 408 00:23:07,060 --> 00:23:13,219 S1: Check it out today faith.com/app. That's faith fi.com/app. Maybe you 409 00:23:13,220 --> 00:23:16,340 S1: can get on a budget and stay on your plan 410 00:23:16,740 --> 00:23:18,580 S1: for the first time. I think we can help you 411 00:23:18,580 --> 00:23:20,740 S1: do that. Check it out. It's brand new and we're 412 00:23:20,780 --> 00:23:24,979 S1: getting rave reviews from users that are already on the 413 00:23:24,980 --> 00:23:26,820 S1: new app. All right, we're gonna head back to the 414 00:23:26,820 --> 00:23:29,330 S1: phones here. Let's go over to Ohio. Larry. Go ahead. 415 00:23:30,369 --> 00:23:31,010 S8: Hey, Rob. 416 00:23:31,530 --> 00:23:32,090 S1: Hi, there. 417 00:23:32,530 --> 00:23:37,010 S8: Uh, my son's planning on building a home, and, uh, 418 00:23:37,050 --> 00:23:41,850 S8: he bought property. He owns the property, and, uh, we've 419 00:23:41,850 --> 00:23:43,889 S8: got it all prepared for the home build, and now 420 00:23:43,890 --> 00:23:47,530 S8: he's ready to break ground. So he's been pretty diligent 421 00:23:47,530 --> 00:23:50,969 S8: in this since high school saving. And he has. We've 422 00:23:50,970 --> 00:23:54,610 S8: already got the house plans and I've been doing some 423 00:23:54,609 --> 00:23:58,609 S8: material takeoff on that. And we have some, uh, some 424 00:23:58,609 --> 00:24:03,170 S8: figures involved here. Also, we got figures for the contractor, 425 00:24:03,410 --> 00:24:05,530 S8: so we know about where it's going to end up at. 426 00:24:05,810 --> 00:24:08,050 S8: And he's going to end up with about a half 427 00:24:08,050 --> 00:24:09,970 S8: of a down payment of the cost of this home. 428 00:24:10,330 --> 00:24:10,770 S6: Okay. 429 00:24:10,930 --> 00:24:14,610 S8: So I was looking for a little direction from you. 430 00:24:14,650 --> 00:24:17,770 S8: There is what you call a construction loan. 431 00:24:17,850 --> 00:24:18,290 S6: Yeah. 432 00:24:18,609 --> 00:24:21,850 S8: Versus a regular mortgage. And, uh, can you give me 433 00:24:21,850 --> 00:24:22,930 S8: some advice on that? 434 00:24:23,090 --> 00:24:25,609 S1: Yeah, I'd be happy to. So the half that's going 435 00:24:25,810 --> 00:24:28,890 S1: against the house that's been saved. Are you giving that 436 00:24:28,890 --> 00:24:30,570 S1: to him as a gift, or did he save that 437 00:24:30,570 --> 00:24:31,250 S1: on his own? 438 00:24:32,369 --> 00:24:33,730 S8: No, he saved us. 439 00:24:33,770 --> 00:24:38,170 S1: Okay. Yeah. Great. And, uh, are you hiring a general contractor, 440 00:24:38,170 --> 00:24:40,770 S1: or are you guys, you know, doing the construction yourself? 441 00:24:41,369 --> 00:24:43,570 S8: Well, I got the prints, and I did the material 442 00:24:43,609 --> 00:24:45,929 S8: take off on it and got the pricing for all 443 00:24:45,930 --> 00:24:49,290 S8: the material based on what his wants were. And we've 444 00:24:49,290 --> 00:24:51,770 S8: got a good, solid figure there. And then we have a, 445 00:24:51,770 --> 00:24:54,730 S8: a general contractor that will build the house. 446 00:24:54,770 --> 00:24:55,290 S1: Got it. 447 00:24:55,410 --> 00:24:59,970 S8: Uh, we know personally and trust him. So, uh, all 448 00:25:00,010 --> 00:25:01,490 S8: that's been done. 449 00:25:01,770 --> 00:25:04,930 S1: Yeah. Very good. Uh, yeah. Typically what you would do 450 00:25:04,970 --> 00:25:08,090 S1: here is you'd get what's called a construction to permanent loan. 451 00:25:08,090 --> 00:25:10,290 S1: That's going to be the most common where it's one loan, 452 00:25:10,290 --> 00:25:13,530 S1: one closing. It starts as a construction loan, which the 453 00:25:13,530 --> 00:25:16,290 S1: benefit of that is, you know, it's a short term loan. 454 00:25:16,290 --> 00:25:21,570 S1: The money's released in stages or draws as the construction progresses, 455 00:25:21,810 --> 00:25:26,639 S1: you typically pay interest only during construction rates, usually slightly 456 00:25:26,640 --> 00:25:30,040 S1: higher than a regular mortgage. Um, and it requires the, 457 00:25:30,040 --> 00:25:32,800 S1: an approved builder and detailed plans and a budget and 458 00:25:32,800 --> 00:25:36,359 S1: so forth. Um, and, and so that's typically the way 459 00:25:36,400 --> 00:25:42,160 S1: folks go. And then it converts, uh, to a permanent loan. Um, 460 00:25:42,240 --> 00:25:45,920 S1: you know, the rate is often locked early and you 461 00:25:45,920 --> 00:25:48,280 S1: only have one set of closing costs there. And then 462 00:25:48,280 --> 00:25:51,840 S1: that regular mortgage would be amortized at 15 or 30 463 00:25:51,840 --> 00:25:55,560 S1: years with a fixed or adjustable rate. And then whatever 464 00:25:55,560 --> 00:25:58,679 S1: that mortgage ends up being, you know, you have, um, 465 00:25:58,680 --> 00:26:01,760 S1: you know, that number locked in there. So the benefit 466 00:26:01,760 --> 00:26:04,399 S1: of the construction loan is not only the interest only, 467 00:26:04,400 --> 00:26:07,480 S1: which just, you know, helps with cash flow, but, you know, 468 00:26:07,520 --> 00:26:10,800 S1: you realize that despite your best effort to get a 469 00:26:10,840 --> 00:26:13,760 S1: solid bid on this thing, you know, you don't totally 470 00:26:13,760 --> 00:26:16,720 S1: know what's going to be needed to build the house. 471 00:26:16,720 --> 00:26:19,880 S1: And so it gives you some flexibility there, but also 472 00:26:19,880 --> 00:26:22,760 S1: it just allows the money to come as you need it. 473 00:26:22,760 --> 00:26:25,710 S1: So you're not paying interest on it the whole, you know, 474 00:26:25,750 --> 00:26:27,910 S1: time you're building, if it takes, you know, 18 months 475 00:26:27,910 --> 00:26:30,590 S1: or whatever it is. So that'd be, you know, typically 476 00:26:30,590 --> 00:26:33,469 S1: the way that would happen. And, um, you know, I 477 00:26:33,470 --> 00:26:35,790 S1: think that would be the direction that I would go. 478 00:26:36,310 --> 00:26:38,910 S8: Okay. Now my question, I have a question on that. 479 00:26:38,950 --> 00:26:43,470 S8: If the House is going to be $300,000, okay. And 480 00:26:43,470 --> 00:26:47,510 S8: he has $150,000, we give that. Do we just write 481 00:26:47,510 --> 00:26:49,510 S8: that to the bank and let them take the whole 482 00:26:49,510 --> 00:26:52,390 S8: thing and then do our our drawers out of our 483 00:26:52,390 --> 00:26:54,230 S8: money first? Is that how that works? 484 00:26:54,590 --> 00:26:58,270 S1: Yeah, exactly. So you would get the, the loan for, 485 00:26:58,310 --> 00:27:00,750 S1: you know, whatever amount you feel like you need. And 486 00:27:00,750 --> 00:27:03,429 S1: then you would just set up the drawers to sync 487 00:27:03,430 --> 00:27:05,830 S1: up with when you feel like the money's available. And 488 00:27:05,830 --> 00:27:08,110 S1: given that, you know, you're going to be paying more, 489 00:27:08,230 --> 00:27:11,350 S1: a higher interest rate on the loan than you'd be 490 00:27:11,350 --> 00:27:13,950 S1: getting in, let's say, money market or high yield savings, 491 00:27:13,950 --> 00:27:16,470 S1: there'd be no reason for you to draw the loan 492 00:27:16,510 --> 00:27:18,950 S1: until you need it. So I would say you spend 493 00:27:18,950 --> 00:27:22,659 S1: down your cash that he's saved or or he does. 494 00:27:22,940 --> 00:27:24,940 S1: And then once you, you know, get to a place 495 00:27:24,940 --> 00:27:27,619 S1: where that's been exhausted, then you would start taking the 496 00:27:27,619 --> 00:27:29,260 S1: draws from the construction loan. 497 00:27:30,180 --> 00:27:33,780 S8: Yeah. Well, he worked with a banker and she told 498 00:27:33,780 --> 00:27:37,859 S8: him that, you know, the property is worth probably $150,000. 499 00:27:38,540 --> 00:27:42,060 S8: And then. So they have no risk really at all. 500 00:27:42,380 --> 00:27:42,580 S6: Yeah. 501 00:27:42,619 --> 00:27:46,580 S8: So will they write that in to the loan, the 502 00:27:46,580 --> 00:27:51,820 S8: $150,000 worth of property and then his $150,000, and then 503 00:27:51,820 --> 00:27:55,020 S8: they'll spend out of that 150, they'll go ahead and 504 00:27:55,020 --> 00:27:57,660 S8: write them a check for the down payment, and then 505 00:27:57,660 --> 00:27:59,540 S8: they'll work out of that first automatically. 506 00:28:00,140 --> 00:28:03,619 S1: Yeah. Typically what would happen is they would encumber the property. 507 00:28:03,660 --> 00:28:06,460 S1: You know, you already own the parcel. Correct. Or are 508 00:28:06,460 --> 00:28:07,940 S1: you buying it as a part of this? 509 00:28:08,380 --> 00:28:09,220 S8: No, he owns it. 510 00:28:09,260 --> 00:28:12,060 S1: Okay. So he owns the parcel. So they would encumber 511 00:28:12,060 --> 00:28:14,419 S1: the property. You wouldn't write a check to anybody. You 512 00:28:14,420 --> 00:28:17,580 S1: would just, you know, secure the loan based on the 513 00:28:17,580 --> 00:28:21,300 S1: construction bid, minus, you know, the cash that you have 514 00:28:21,340 --> 00:28:23,939 S1: on hand, and then you would set up the draw 515 00:28:23,940 --> 00:28:27,739 S1: schedule to sync up with when you're actually going to 516 00:28:27,780 --> 00:28:29,900 S1: be to a place where you've exhausted the funds that 517 00:28:29,900 --> 00:28:32,899 S1: he's saved. So you don't need to write them a check, 518 00:28:33,300 --> 00:28:35,620 S1: you know, they would have a lien against the property 519 00:28:35,660 --> 00:28:38,660 S1: for the construction loan. But again, you wouldn't borrow any 520 00:28:38,660 --> 00:28:39,940 S1: money until you needed it. 521 00:28:40,460 --> 00:28:45,380 S8: Okay. So if the house is 300,000 and he has 150, 522 00:28:45,580 --> 00:28:48,180 S8: he's only going to ask for $150,000 loan. 523 00:28:48,220 --> 00:28:50,780 S1: That's right. Yeah, he would, uh, you know, give them 524 00:28:50,780 --> 00:28:53,940 S1: the plans and, you know, the construction bid. And as 525 00:28:53,940 --> 00:28:56,220 S1: long as they're an approved lender and, you know, the, 526 00:28:56,220 --> 00:28:59,260 S1: the banker would work with you to determine based on 527 00:28:59,260 --> 00:29:01,219 S1: the amount that was going to be needed to, to 528 00:29:01,220 --> 00:29:04,740 S1: be financed related to construction, uh, how much to approve 529 00:29:04,740 --> 00:29:06,940 S1: him for? And then you'd set up the draw schedule 530 00:29:06,980 --> 00:29:08,460 S1: to sync up with when it's needed. 531 00:29:09,100 --> 00:29:12,140 S8: Okay, so we'll, we'll control his half. 532 00:29:12,580 --> 00:29:14,980 S1: That's right. Yeah. The bank will have no part in that. 533 00:29:14,980 --> 00:29:17,460 S1: They're going to get, uh, you know, their lien against 534 00:29:17,460 --> 00:29:21,450 S1: the property so that once they start loaning money, you know, they, 535 00:29:21,450 --> 00:29:23,770 S1: they've got plenty of collateral that they could make sure 536 00:29:23,770 --> 00:29:26,610 S1: that they're made whole. For some reason you didn't pay, 537 00:29:26,850 --> 00:29:28,810 S1: but there's no reason you'd have to, you know, give 538 00:29:28,810 --> 00:29:31,930 S1: them any part of that money that you've saved that's going, uh, 539 00:29:32,050 --> 00:29:34,650 S1: you know, to construction until it's gone. 540 00:29:35,730 --> 00:29:38,250 S8: Yeah. So we pay the contractor when he digs a hole, 541 00:29:38,690 --> 00:29:40,690 S8: we pay him when he sets up the block and 542 00:29:40,690 --> 00:29:43,010 S8: we pay him when he does the framing, all that. 543 00:29:43,010 --> 00:29:45,090 S8: And then we can go go into the loan, then 544 00:29:45,090 --> 00:29:45,770 S8: at that point in time. 545 00:29:45,770 --> 00:29:48,090 S1: Yeah. And that approval gives you the confidence to know 546 00:29:48,090 --> 00:29:50,010 S1: that you can go ahead with it, because you're going 547 00:29:50,050 --> 00:29:51,610 S1: to be able to have the funds you need to 548 00:29:51,610 --> 00:29:53,450 S1: get this all the way over the finish line. 549 00:29:54,530 --> 00:29:55,890 S8: Right? Exactly. 550 00:29:55,890 --> 00:29:56,130 S6: Yeah. 551 00:29:56,170 --> 00:29:58,610 S8: Okay. Rob, there again, you've been helpful to me, pal. 552 00:29:58,650 --> 00:30:00,570 S1: Happy to do it, my friend. Thanks for being on 553 00:30:00,570 --> 00:30:03,610 S1: the program today. Lord bless you. Let's head to Virginia, Brian. 554 00:30:03,610 --> 00:30:04,170 S1: Go ahead. 555 00:30:04,650 --> 00:30:08,130 S9: Hey, Rob. Um, I'm a 53 year old federal employee. 556 00:30:08,490 --> 00:30:11,850 S9: And hopefully, good Lord willing, looking at retiring in the 557 00:30:11,850 --> 00:30:15,010 S9: next four years or should be able to. Um, my 558 00:30:15,010 --> 00:30:18,520 S9: concern is this. So I don't work with a financial 559 00:30:18,520 --> 00:30:22,840 S9: advisor currently. I don't have a will. Um, I've done 560 00:30:23,000 --> 00:30:24,840 S9: a lot of things like I have a budget, an 561 00:30:24,840 --> 00:30:28,479 S9: emergency fund, my pension, a good amount of money in 562 00:30:28,480 --> 00:30:31,280 S9: my retirement and things like that. My only debt is 563 00:30:31,280 --> 00:30:34,280 S9: my mortgage, but I don't have an expert that I'm 564 00:30:34,280 --> 00:30:36,440 S9: working with, and I'm trying to figure out where to 565 00:30:36,480 --> 00:30:39,440 S9: start because I want someone that can advise me on 566 00:30:39,440 --> 00:30:41,800 S9: taxes and the whole nine yards where to invest my 567 00:30:41,800 --> 00:30:43,440 S9: money now and in retirement. 568 00:30:43,480 --> 00:30:43,880 S6: Love it. 569 00:30:43,920 --> 00:30:45,959 S1: Yeah, no, you've done a lot of great work to 570 00:30:46,000 --> 00:30:48,960 S1: get to this place. An advisor could really help you 571 00:30:49,000 --> 00:30:51,400 S1: take it forward. From here. We'll talk about how you 572 00:30:51,440 --> 00:30:54,120 S1: select that person after this break. Stay right there. We'll 573 00:30:54,120 --> 00:31:07,400 S1: be right back. We're so glad you've joined us for 574 00:31:07,400 --> 00:31:10,440 S1: Faith and Finance live today here in our final segment, 575 00:31:10,440 --> 00:31:12,720 S1: let me remind you not to call in because we're 576 00:31:12,720 --> 00:31:15,120 S1: not live today, but we'd love for you to stick 577 00:31:15,120 --> 00:31:18,510 S1: around and enjoy the rest of the program. Before the break, 578 00:31:18,510 --> 00:31:21,870 S1: we were talking to Brian. He's 53, working full time. 579 00:31:21,870 --> 00:31:25,670 S1: He can retire at 57 because he's well planned. He's 580 00:31:25,670 --> 00:31:29,470 S1: got his pension from the federal government. He's got all 581 00:31:29,470 --> 00:31:32,950 S1: the pieces in place, having paid down debt and just 582 00:31:32,950 --> 00:31:37,470 S1: wondering about finding an advisor to help him kind of 583 00:31:37,510 --> 00:31:42,110 S1: put the finer points together around retirement and estate planning 584 00:31:42,270 --> 00:31:45,190 S1: and just wondering, how does he find somebody to trust? And, 585 00:31:45,230 --> 00:31:48,870 S1: you know, Brian, this is why we created more than 586 00:31:48,870 --> 00:31:52,150 S1: a decade ago, it's been approaching 20 years now, the 587 00:31:52,150 --> 00:31:56,030 S1: Certified Kingdom Advisor designation, because we knew that there was, 588 00:31:56,030 --> 00:31:58,270 S1: first of all, a lot of people being taken advantage 589 00:31:58,270 --> 00:32:02,230 S1: of in the name of religion in the financial services industry, 590 00:32:02,230 --> 00:32:05,390 S1: it's called affinity fraud. And we wanted to be able 591 00:32:05,390 --> 00:32:08,310 S1: to protect the public, but also to be able to 592 00:32:08,310 --> 00:32:12,470 S1: help God's people find a financial advisor who is entirely competent, 593 00:32:12,710 --> 00:32:15,310 S1: but who also understood the heart of God in Scripture 594 00:32:15,310 --> 00:32:18,830 S1: and could bring biblically wise financial advice. But we also 595 00:32:18,870 --> 00:32:22,030 S1: wanted there to be really high and rigorous standards. And 596 00:32:22,030 --> 00:32:25,670 S1: so that's why it requires a 50 hour university course 597 00:32:25,670 --> 00:32:29,150 S1: on a biblical worldview. It requires a proctored exam. It 598 00:32:29,150 --> 00:32:31,830 S1: requires a pastor reference and a client reference and a 599 00:32:31,830 --> 00:32:34,110 S1: statement of faith and a code of ethics. And at 600 00:32:34,150 --> 00:32:38,390 S1: least ten years experience and another big C designation, either 601 00:32:38,430 --> 00:32:42,310 S1: CFP or CPA or CFA or a few others. And 602 00:32:42,310 --> 00:32:44,870 S1: so you put all that together and plus ten hours 603 00:32:44,870 --> 00:32:49,190 S1: of annual continuing education. And we've got nearly 2000 certified 604 00:32:49,190 --> 00:32:51,950 S1: Kingdom advisors now across the country. And they don't work 605 00:32:51,950 --> 00:32:55,110 S1: for Faith V we're a ministry just to train and 606 00:32:55,110 --> 00:32:58,550 S1: equip them. We issue the designation out of Kingdom Advisors, 607 00:32:58,990 --> 00:33:03,110 S1: our sister ministry, but they're either independent or they work 608 00:33:03,110 --> 00:33:05,150 S1: at a big firm on Wall Street or, you know, 609 00:33:05,190 --> 00:33:08,229 S1: they're at firms all over the country, but it allows 610 00:33:08,230 --> 00:33:11,550 S1: you to interview and find an advisor. But the starting 611 00:33:11,550 --> 00:33:14,340 S1: place is to know that they've met these high standards. 612 00:33:14,340 --> 00:33:17,780 S1: And so you could go to find a.com and do 613 00:33:17,780 --> 00:33:21,420 S1: a search for a certified Kingdom advisor there in Virginia. 614 00:33:21,460 --> 00:33:24,060 S1: I'd interview 2 or 3. We even provide a list 615 00:33:24,060 --> 00:33:27,260 S1: of questions you could use as you're interviewing them at 616 00:33:27,260 --> 00:33:30,979 S1: find a.com. But I think what you need to start 617 00:33:30,980 --> 00:33:34,740 S1: with is that quarterback that would be probably a financial 618 00:33:34,740 --> 00:33:38,620 S1: planner and a wealth manager, somebody that could help look 619 00:33:38,620 --> 00:33:42,660 S1: over your plan, help you determine based on what lifestyle 620 00:33:42,660 --> 00:33:46,140 S1: you've arrived at your finish line for your spending. What 621 00:33:46,140 --> 00:33:49,220 S1: do you ultimately need for retirement? Are you on track? 622 00:33:49,220 --> 00:33:52,420 S1: Sounds like you probably are. Help you think about you 623 00:33:52,420 --> 00:33:55,340 S1: know how to take advantage of the funds you'll have 624 00:33:55,340 --> 00:33:59,180 S1: coming in in this retirement season, and to use those 625 00:33:59,180 --> 00:34:02,420 S1: in the most tax efficient way possible to the extent 626 00:34:02,420 --> 00:34:07,020 S1: you need wealth management, you know, investment management, this person 627 00:34:07,020 --> 00:34:09,740 S1: could typically serve in that role. Make sure you're not, 628 00:34:09,780 --> 00:34:12,690 S1: you know, spending any more on taxes than you should 629 00:34:13,130 --> 00:34:16,250 S1: also get you connected with a godly estate planning attorney 630 00:34:16,250 --> 00:34:18,370 S1: to make sure you've, you know, the next steward is 631 00:34:18,370 --> 00:34:21,170 S1: chosen and prepared, and you've got a will in force. 632 00:34:21,170 --> 00:34:23,129 S1: And if you need a trust that that's there, not 633 00:34:23,130 --> 00:34:25,370 S1: to mention the power of attorney in the health care 634 00:34:25,370 --> 00:34:28,570 S1: surrogate and the living will and all the other pieces. So, 635 00:34:28,610 --> 00:34:31,370 S1: you know, I think that's probably your next step. And 636 00:34:31,370 --> 00:34:34,089 S1: then you've got that person to kind of journey alongside 637 00:34:34,090 --> 00:34:36,130 S1: you as you head into this next season of life, 638 00:34:36,130 --> 00:34:39,330 S1: just to make sure you're really well planned. Um, but 639 00:34:39,330 --> 00:34:41,129 S1: give me your thoughts on all that and any follow 640 00:34:41,170 --> 00:34:42,170 S1: up questions you have. 641 00:34:43,730 --> 00:34:46,130 S9: That makes complete sense to me. And I appreciate the 642 00:34:46,130 --> 00:34:50,090 S9: input as far as actually what goes into their their certification. 643 00:34:50,250 --> 00:34:53,690 S9: Do you happen to know if they're typically fee based 644 00:34:53,690 --> 00:34:55,650 S9: at this point? Because I don't have a huge amount 645 00:34:55,650 --> 00:34:58,330 S9: to invest with them or how that normally works? 646 00:34:58,370 --> 00:35:02,050 S1: Yeah, it does vary just because again, they're not employed 647 00:35:02,050 --> 00:35:04,609 S1: by us. So there's not kind of one set way 648 00:35:04,610 --> 00:35:07,530 S1: that they get compensated. However, I will tell you many 649 00:35:07,530 --> 00:35:11,200 S1: of them, yes, are uh, you know, in some cases, 650 00:35:11,200 --> 00:35:14,600 S1: even fee only. So if you just need a financial plan, 651 00:35:14,600 --> 00:35:17,000 S1: you can just pay, you know, either by the hour 652 00:35:17,040 --> 00:35:21,520 S1: or by the engagement for financial comprehensive financial planning. And 653 00:35:21,520 --> 00:35:23,239 S1: you'd want to talk about that as a part of 654 00:35:23,239 --> 00:35:27,280 S1: the interview and discovery process as you're talking to these advisors. But, 655 00:35:27,320 --> 00:35:30,080 S1: you know, often the most common way that somebody in 656 00:35:30,080 --> 00:35:32,240 S1: this position would get paid is based on the assets 657 00:35:32,239 --> 00:35:35,080 S1: under management. But in the case where you're not looking 658 00:35:35,080 --> 00:35:38,760 S1: for investment management, you've got these guaranteed income sources and 659 00:35:38,800 --> 00:35:41,000 S1: you just want somebody to be there to give you 660 00:35:41,000 --> 00:35:43,279 S1: the plan and maybe check in with, you know, once 661 00:35:43,280 --> 00:35:45,759 S1: a year or something. You absolutely should be able to 662 00:35:45,760 --> 00:35:47,160 S1: do that on a fee basis. 663 00:35:48,560 --> 00:35:50,520 S9: Oh, that's great, because that gives me the language to 664 00:35:50,520 --> 00:35:52,440 S9: use when I talk to them and ask those questions. 665 00:35:52,440 --> 00:35:54,600 S9: And I guess my last thing is I keep hearing this, 666 00:35:54,600 --> 00:35:57,239 S9: whether someone's a fiduciary or not, is that something that 667 00:35:57,239 --> 00:35:58,040 S9: you recommend? 668 00:35:58,200 --> 00:36:00,600 S1: I would make that as a part of your interview process. 669 00:36:00,600 --> 00:36:03,800 S1: And yes, and that's just a simple term. That means 670 00:36:03,800 --> 00:36:07,920 S1: they are bound by the obligation to put your interests 671 00:36:07,920 --> 00:36:11,350 S1: above their own. Um, it's, it's less of an issue 672 00:36:11,350 --> 00:36:16,150 S1: when we're not talking about products or investments being sold because, 673 00:36:16,190 --> 00:36:18,390 S1: you know, they're not really any way for them to 674 00:36:18,430 --> 00:36:20,910 S1: put their interests above your own. Um, but I think 675 00:36:20,910 --> 00:36:23,390 S1: just as a best practice, I would work with a 676 00:36:23,390 --> 00:36:27,109 S1: fiduciary and you can ask that question as you make 677 00:36:27,110 --> 00:36:28,390 S1: that interview process. 678 00:36:29,190 --> 00:36:31,190 S9: Okay. Thank you so much, Rob. I appreciate it and 679 00:36:31,190 --> 00:36:32,030 S9: God bless you. 680 00:36:32,030 --> 00:36:33,870 S1: And you as well. Brian. All the best to you. 681 00:36:33,910 --> 00:36:36,710 S1: Thanks for calling. Uh, let's go to Missouri guy. Go ahead. 682 00:36:37,430 --> 00:36:43,990 S10: Um, calling about, uh, getting pre-need, uh, things in place, uh, 683 00:36:44,150 --> 00:36:46,670 S10: for me and my wife, uh, to have for our 684 00:36:46,670 --> 00:36:51,350 S10: children later. Um, I've been exploring, uh, through a local 685 00:36:51,390 --> 00:36:56,390 S10: funeral home, uh, their pre needs and it, it sounds 686 00:36:56,390 --> 00:37:01,149 S10: like they're based into an insurance product. Um, do you 687 00:37:01,150 --> 00:37:05,270 S10: suggest that, or do you suggest just talking that money 688 00:37:05,270 --> 00:37:08,629 S10: away somewhere in an invest, you know, a high market 689 00:37:08,830 --> 00:37:12,509 S10: savings or whatever. Yeah. To just set aside, you know, 690 00:37:12,550 --> 00:37:14,830 S10: for our kids to have when the time gets here. 691 00:37:14,989 --> 00:37:15,469 S6: Yeah. 692 00:37:15,750 --> 00:37:18,430 S1: I like that second option. I think it's a practical 693 00:37:18,430 --> 00:37:23,750 S1: middle ground guy where instead of fully prepaying, you pre-plan 694 00:37:23,790 --> 00:37:27,310 S1: the service details. So you, you know, any preferences or 695 00:37:27,310 --> 00:37:30,790 S1: choices you have, those are written down. You set aside 696 00:37:30,790 --> 00:37:34,590 S1: funds in a simple savings account or a pod account 697 00:37:34,590 --> 00:37:37,790 S1: payable on death account. So, you know, is readily available 698 00:37:37,790 --> 00:37:41,150 S1: to whoever would be, you know, making those decisions and, 699 00:37:41,150 --> 00:37:45,350 S1: and paying for, you know, any expenses related to the funeral. Uh, 700 00:37:45,350 --> 00:37:48,310 S1: you would name a trusted person to carry out that plan. 701 00:37:48,350 --> 00:37:51,630 S1: So it gives clarity for the family, flexibility for you 702 00:37:51,989 --> 00:37:55,150 S1: and access to the cash if needs change. Because, you know, 703 00:37:55,270 --> 00:37:58,709 S1: the only downside of prepaying is you lose some flexibility. 704 00:37:58,750 --> 00:38:01,390 S1: It may be hard or costly to change if you 705 00:38:01,390 --> 00:38:03,910 S1: decided you wanted to. If you move to a different 706 00:38:03,910 --> 00:38:06,980 S1: city or state, that complicates it. It ties up the 707 00:38:06,980 --> 00:38:09,940 S1: cash and there's provider risk. You know, if a funeral 708 00:38:09,940 --> 00:38:13,780 S1: home closes or changes ownership, um, that can be messy 709 00:38:13,780 --> 00:38:17,379 S1: and that does happen. Uh, you know, periodically. So it's 710 00:38:17,380 --> 00:38:19,660 S1: not always the best financial move. And so I feel 711 00:38:19,660 --> 00:38:23,380 S1: like that kind of covers both sides, keeps you flexible 712 00:38:23,380 --> 00:38:26,900 S1: and access to the cash, but it takes the pressure 713 00:38:26,900 --> 00:38:29,380 S1: off your family, which is what you're most concerned about 714 00:38:29,420 --> 00:38:31,980 S1: and what would already be a difficult situation. 715 00:38:33,180 --> 00:38:36,380 S10: So, uh, since we have an irrevocable trust set up 716 00:38:36,380 --> 00:38:40,259 S10: with our son as the executor, that would take the 717 00:38:40,260 --> 00:38:43,940 S10: place of actually naming who would carry out the plans. 718 00:38:43,940 --> 00:38:44,740 S10: Is that right? 719 00:38:45,140 --> 00:38:48,580 S1: Yeah, that is right. I mean, you know, the irrevocable 720 00:38:48,580 --> 00:38:52,979 S1: trust has him named as the successor trustee. Um, but 721 00:38:52,980 --> 00:38:56,180 S1: that really is with regard to the, the assets inside 722 00:38:56,180 --> 00:38:58,420 S1: the trust. So you would just want to make sure 723 00:38:58,420 --> 00:39:01,339 S1: that you've, you know, made it known to him that 724 00:39:01,340 --> 00:39:04,260 S1: he's the one to carry it out and then separate 725 00:39:04,260 --> 00:39:07,250 S1: from the trust. Make sure that you give him those 726 00:39:07,250 --> 00:39:10,049 S1: instructions and he understands what your wishes are. But yeah, 727 00:39:10,050 --> 00:39:11,529 S1: he would be the likely person. 728 00:39:12,610 --> 00:39:13,850 S10: Okay. Very good. 729 00:39:13,890 --> 00:39:14,730 S6: Appreciate it. 730 00:39:14,850 --> 00:39:16,930 S1: Alright. God bless you, Guy. Thanks for being on the 731 00:39:16,930 --> 00:39:19,969 S1: program today. Uh, let's head to Texas. Norma, how can 732 00:39:19,969 --> 00:39:20,489 S1: I help you? 733 00:39:21,410 --> 00:39:24,250 S11: Yes. Thank you for taking my call. Of course. I 734 00:39:24,290 --> 00:39:29,290 S11: bought a house back in 2003, paid $129,000 for it, 735 00:39:29,650 --> 00:39:35,090 S11: lived in it until 2006, rented it out in 2008, 736 00:39:35,130 --> 00:39:40,250 S11: until 2022, when I moved back into it. So I 737 00:39:40,290 --> 00:39:43,850 S11: lived there for almost three years, and then I sold it, uh, 738 00:39:43,850 --> 00:39:49,049 S11: this past June for 250,000. I'm wondering if I'm going 739 00:39:49,090 --> 00:39:53,250 S11: to have to pay income tax on that. Uh, roughly 740 00:39:53,250 --> 00:39:58,170 S11: $130,000 that I made, $120,000 that I made profit on it. 741 00:39:58,210 --> 00:40:01,210 S1: Yeah, it's a good question, Norma. And you definitely wouldn't 742 00:40:01,210 --> 00:40:03,560 S1: pay any income tax. If you had tax, you'd have 743 00:40:03,560 --> 00:40:06,360 S1: to pay. It would be capital gains tax on the profit. 744 00:40:06,360 --> 00:40:08,719 S1: But it doesn't sound like based on your description, you'll 745 00:40:08,719 --> 00:40:12,000 S1: have that either. And the reason is you will likely 746 00:40:12,000 --> 00:40:15,759 S1: qualify for the home sale exclusion because as long as 747 00:40:15,760 --> 00:40:19,360 S1: you lived in that home as your primary residence from 748 00:40:19,360 --> 00:40:22,160 S1: the date of sale, going backwards as long as you 749 00:40:22,160 --> 00:40:24,440 S1: live there as your primary residence, two out of the 750 00:40:24,440 --> 00:40:27,760 S1: last five years and it doesn't have to be consecutive, 751 00:40:28,719 --> 00:40:32,680 S1: then you qualify for the home sale exclusion, which will 752 00:40:32,680 --> 00:40:37,240 S1: give you as a single filer up to 250,000 in gain, 753 00:40:37,239 --> 00:40:41,160 S1: not the selling price up to 250,000 in gain. That 754 00:40:41,160 --> 00:40:42,360 S1: would be tax free. 755 00:40:42,640 --> 00:40:45,560 S11: Okay. All right. Well, I appreciate your input then. I'm 756 00:40:45,600 --> 00:40:48,960 S11: 81 years old and on a Social Security only income 757 00:40:49,000 --> 00:40:50,640 S11: other than what I made on the house. So I 758 00:40:50,640 --> 00:40:53,040 S11: was just wondering if I would have to pay a 759 00:40:53,080 --> 00:40:56,200 S11: lot of income tax on that, but I appreciate your help. 760 00:40:56,239 --> 00:40:58,720 S1: Yeah, you should be in great shape. You can take 100% 761 00:40:58,719 --> 00:41:00,799 S1: of that and, uh, you know, put that into your 762 00:41:00,800 --> 00:41:03,680 S1: savings and get that working for you. By the way, 763 00:41:03,719 --> 00:41:07,480 S1: our friends at Christian Community Credit Union have a a 764 00:41:07,600 --> 00:41:11,839 S1: wonderful option right now for faith fi listeners. Uh, they're 765 00:41:11,840 --> 00:41:15,160 S1: paying 4% on their money market. It's the, the largest 766 00:41:15,160 --> 00:41:18,160 S1: and oldest Christian credit union in the country, which a 767 00:41:18,160 --> 00:41:20,960 S1: lot of listeners are taking advantage of. And if you 768 00:41:20,960 --> 00:41:23,319 S1: use the keyword faith fi, uh, they'll put up to 769 00:41:23,360 --> 00:41:26,560 S1: $400 in your account when you open it. So a 770 00:41:26,600 --> 00:41:31,400 S1: lot of folks are taking advantage of that faith fi.com/banking. But. Norma, 771 00:41:31,560 --> 00:41:33,560 S1: well done. It sounds like you're in great shape here 772 00:41:33,560 --> 00:41:35,960 S1: and you shouldn't have any taxes. I would work with 773 00:41:35,960 --> 00:41:38,920 S1: a CPA if you normally file your own taxes. This 774 00:41:38,920 --> 00:41:40,799 S1: is probably the year to do it because you just 775 00:41:40,800 --> 00:41:43,520 S1: want to make sure you document that correctly on the 776 00:41:43,520 --> 00:41:46,959 S1: fact that you qualify for that home sale exclusion. Lord 777 00:41:46,960 --> 00:41:49,279 S1: bless you, Norma. Thanks for being on the program. Uh, 778 00:41:49,280 --> 00:41:52,200 S1: quickly to Chicago. Donna, I've got just about a minute 779 00:41:52,200 --> 00:41:53,600 S1: and a half left. How can I help? 780 00:41:54,000 --> 00:41:57,080 S12: Just wanted you to confirm for me if it's true 781 00:41:57,080 --> 00:41:59,279 S12: that you have to pay interest in the end to 782 00:41:59,280 --> 00:42:02,190 S12: the federal government. If you open up a high yielding 783 00:42:02,190 --> 00:42:03,150 S12: savings account. 784 00:42:03,550 --> 00:42:09,270 S1: Yes, interest is taxable for a savings account for sure. 785 00:42:09,430 --> 00:42:12,669 S1: And so you would pay that at tax time when 786 00:42:12,670 --> 00:42:16,230 S1: you file your taxes. You know, they would send you 787 00:42:16,270 --> 00:42:19,589 S1: the necessary documentation to tell you exactly how much interest 788 00:42:19,630 --> 00:42:22,110 S1: you earned for the year. And then you would include 789 00:42:22,110 --> 00:42:23,350 S1: that on your 1040. 790 00:42:23,750 --> 00:42:26,509 S12: Thank you, I appreciate it. That's all I needed. 791 00:42:26,550 --> 00:42:28,670 S1: Well very good. That was a quick one. Thank you 792 00:42:28,670 --> 00:42:31,069 S1: for being on the program today. Lord bless you. Well, 793 00:42:31,070 --> 00:42:33,469 S1: that's going to do it for us. Really appreciate you 794 00:42:33,469 --> 00:42:35,750 S1: being with us today. I hope you found something helpful 795 00:42:35,750 --> 00:42:38,509 S1: and encouraging. Here's our heart and our goal to help 796 00:42:38,510 --> 00:42:41,390 S1: you live as a faithful steward so you can hear 797 00:42:41,390 --> 00:42:45,630 S1: well done, good and faithful servant. Thanks to my team today, Amy, 798 00:42:45,670 --> 00:42:48,270 S1: Dan and Jim, thank you for being here as well. 799 00:42:48,270 --> 00:42:51,750 S1: Faith and Finance Live is a partnership between Moody Radio 800 00:42:51,750 --> 00:42:53,790 S1: and Faith V. Hope you have a great rest of 801 00:42:53,790 --> 00:42:55,630 S1: your day and come back and join us next time. 802 00:42:55,630 --> 00:42:56,870 S1: We'll see you then. Bye bye.