1 00:00:08,360 --> 00:00:11,240 S1: God's word doesn't just tell us how to manage our money. 2 00:00:11,280 --> 00:00:14,960 S1: It completely changes how we see it. Are you experiencing 3 00:00:14,960 --> 00:00:18,959 S1: that life giving wisdom? Hi, I'm Rob West. Scripture offers 4 00:00:18,960 --> 00:00:23,480 S1: a profound, transformative perspective on everything we own. Sharon Epps 5 00:00:23,480 --> 00:00:27,480 S1: joins us today to talk about these powerful biblical principles. Some, 6 00:00:27,480 --> 00:00:30,400 S1: you know, but some may surprise you. Then it's on 7 00:00:30,400 --> 00:00:34,840 S1: to your calls at 800 525 7000. This is faith 8 00:00:34,840 --> 00:00:42,400 S1: and finance. Live. Biblical wisdom for your financial decisions. While 9 00:00:42,400 --> 00:00:44,960 S1: Sharon Epps is in the co-pilot seat today, and that 10 00:00:44,960 --> 00:00:48,479 S1: always makes for a smooth and informative flight. She's the 11 00:00:48,479 --> 00:00:53,040 S1: president of Kingdom Advisors, our parent organization. And Sharon, we're 12 00:00:53,040 --> 00:00:56,000 S1: delighted to have you back. You have had a long 13 00:00:56,040 --> 00:00:59,400 S1: tenure in this space, and some of our listeners may 14 00:00:59,400 --> 00:01:01,080 S1: not know that that goes all the way back to 15 00:01:01,120 --> 00:01:01,760 S1: Larry Burkett. 16 00:01:01,800 --> 00:01:04,959 S2: It does. I had the privilege of being on the 17 00:01:04,959 --> 00:01:08,000 S2: program from time to time, even back then. So it's 18 00:01:08,000 --> 00:01:09,399 S2: such a joy to be here today. 19 00:01:09,520 --> 00:01:11,760 S1: Well, we're always thrilled. All right. I know it's on 20 00:01:11,760 --> 00:01:14,760 S1: your heart today to talk about how God's Word contains 21 00:01:14,760 --> 00:01:19,160 S1: powerful financial teaching that can have a dramatic impact in 22 00:01:19,160 --> 00:01:21,640 S1: our lives. And we're going to talk about some of 23 00:01:21,640 --> 00:01:25,240 S1: these powerful attributes we find in Scripture, and give you 24 00:01:25,240 --> 00:01:28,759 S1: some practical handles on how you can manage God's money well. 25 00:01:28,760 --> 00:01:32,800 S1: And we'll begin today with the power of trust. What 26 00:01:32,800 --> 00:01:33,840 S1: would you have us know here? 27 00:01:33,880 --> 00:01:37,200 S2: Well, you might be surprised that trust is the first 28 00:01:37,200 --> 00:01:41,240 S2: financial tip. You might be expecting me to talk about money, 29 00:01:41,240 --> 00:01:44,240 S2: first of all. Sure. But let's just go straight to 30 00:01:44,280 --> 00:01:48,120 S2: the word. Proverbs three five through six tells us to 31 00:01:48,160 --> 00:01:50,960 S2: trust in the Lord with all your heart, and lean 32 00:01:50,960 --> 00:01:54,800 S2: not on your own understanding. In all your ways submit 33 00:01:54,800 --> 00:01:58,680 S2: to him, and he will make your paths straight. And 34 00:01:58,680 --> 00:02:02,760 S2: I think actually this is the most powerful tip of all. 35 00:02:03,000 --> 00:02:06,640 S2: And that is to understand our role and that we 36 00:02:06,640 --> 00:02:09,320 S2: can trust him to be our leader. And so as 37 00:02:09,320 --> 00:02:12,080 S2: we talk about very often here on faith and finance, 38 00:02:12,320 --> 00:02:16,399 S2: our role is that of steward. And he's the owner. 39 00:02:16,400 --> 00:02:20,519 S2: And the implications of that are enormous. It means that 40 00:02:20,520 --> 00:02:24,440 S2: we've got freedom. We can look to him related to 41 00:02:24,480 --> 00:02:27,680 S2: his plans for our money, and we don't have to 42 00:02:27,720 --> 00:02:30,760 S2: worry about our own plans, because he's the one to 43 00:02:30,800 --> 00:02:31,480 S2: be the guide. 44 00:02:31,480 --> 00:02:34,040 S1: It's not dependent on me. It's not dependent on the 45 00:02:34,040 --> 00:02:37,440 S1: government or even my employer, because God is my provider. 46 00:02:37,480 --> 00:02:38,359 S2: Absolutely. 47 00:02:38,400 --> 00:02:42,079 S1: Yeah. Well, Sharon, what are the practical implications to that 48 00:02:42,080 --> 00:02:46,400 S1: as we make daily spending decisions in this role of manager? 49 00:02:46,600 --> 00:02:50,360 S2: Well, I think the practical implications are we're freed up 50 00:02:50,360 --> 00:02:54,040 S2: to focus on what he would have for us. And 51 00:02:54,040 --> 00:02:56,790 S2: in fact, that's actually the next powerful tip. Let's go. 52 00:02:56,830 --> 00:02:59,910 S2: There is that we want to be able to focus 53 00:02:59,910 --> 00:03:03,709 S2: on one major goal at a time. I think a 54 00:03:03,710 --> 00:03:08,070 S2: couple of proverbs that help us there. Proverbs 425 says, 55 00:03:08,110 --> 00:03:10,869 S2: let your eyes look directly forward and your gaze be 56 00:03:10,870 --> 00:03:14,350 S2: straight before you. Proverbs 16 three says, commit your work 57 00:03:14,350 --> 00:03:17,790 S2: to the Lord, and your plans will be established. And 58 00:03:17,790 --> 00:03:21,030 S2: so this power of focus. I know we talk a 59 00:03:21,030 --> 00:03:24,710 S2: lot about multitasking, but research has proven that none of 60 00:03:24,710 --> 00:03:27,870 S2: us can really multitask. We have to focus on one 61 00:03:27,870 --> 00:03:30,390 S2: thing at a time. And any time that I've talked 62 00:03:30,389 --> 00:03:33,870 S2: with families who feel a little bit stuck in their finances, 63 00:03:34,030 --> 00:03:37,790 S2: it's often because they're trying to accomplish so many goals 64 00:03:37,790 --> 00:03:41,310 S2: at one time. And so the power of focus is 65 00:03:41,310 --> 00:03:44,390 S2: to ask God, what's the next thing you would have 66 00:03:44,390 --> 00:03:47,670 S2: me to do and focus on that until you've made 67 00:03:47,670 --> 00:03:49,990 S2: progress on it, to the point that you feel like 68 00:03:50,030 --> 00:03:53,230 S2: you're released to go to your next thing. We just 69 00:03:53,230 --> 00:03:55,070 S2: can't spread ourselves too thin. 70 00:03:55,110 --> 00:03:59,350 S1: I love that the power of focus is certainly underutilized 71 00:03:59,350 --> 00:04:04,350 S1: in our lives, and even breaking those singular goals down 72 00:04:04,350 --> 00:04:06,910 S1: into bite sized pieces can often be helpful as well. 73 00:04:06,950 --> 00:04:10,390 S2: And absolutely can, because sometimes it just feels like we're 74 00:04:10,430 --> 00:04:13,030 S2: eating an elephant. Yeah. And so if we take it 75 00:04:13,070 --> 00:04:16,669 S2: one step at a time, it's not so overwhelming. And 76 00:04:16,670 --> 00:04:19,110 S2: I can begin to do that today. I don't have 77 00:04:19,110 --> 00:04:22,590 S2: to wait until next month when I have 12 hours 78 00:04:22,589 --> 00:04:23,910 S2: to dedicate to it. 79 00:04:23,950 --> 00:04:26,550 S1: We've got about 45 seconds until our break. Let's get 80 00:04:26,550 --> 00:04:29,750 S1: one more of those powerful financial principles in. 81 00:04:29,750 --> 00:04:32,910 S2: Well, it's the power of priorities and you won't be surprised. 82 00:04:32,910 --> 00:04:35,830 S2: I'm going to mention live, give, owe, grow and the 83 00:04:35,830 --> 00:04:38,830 S2: pie there because as we set our priorities, we need 84 00:04:38,830 --> 00:04:43,510 S2: to remember that the pie is limited. And one decision 85 00:04:43,510 --> 00:04:45,750 S2: I make to spend in one area is going to 86 00:04:45,790 --> 00:04:50,070 S2: impact the other area. And I think the order matters 87 00:04:50,070 --> 00:04:52,229 S2: as well. We always want to make sure that we 88 00:04:52,310 --> 00:04:57,390 S2: start with give first, then we want to grow and 89 00:04:57,390 --> 00:04:59,989 S2: then we look at. Oh and live. 90 00:05:00,029 --> 00:05:03,630 S1: I love that the power of trust, the power of focus, 91 00:05:03,830 --> 00:05:06,790 S1: the power of priorities. We're looking at God's Word today 92 00:05:06,790 --> 00:05:11,150 S1: with Sharon Epps and pulling out the powerful financial teaching 93 00:05:11,150 --> 00:05:13,950 S1: that can be applied in your life as a steward 94 00:05:13,950 --> 00:05:16,510 S1: of the King of Kings resources. When we come back, 95 00:05:16,550 --> 00:05:19,830 S1: Sharon will have more of those powerful principles just around 96 00:05:19,830 --> 00:05:22,710 S1: the corner. This is faith and finance live. We'll be 97 00:05:22,710 --> 00:05:38,030 S1: right back. God is the owner. We're the steward, the 98 00:05:38,029 --> 00:05:41,030 S1: manager of all that he's entrusted to us. And God's 99 00:05:41,029 --> 00:05:44,870 S1: Word is our source, our wisdom for managing that money. 100 00:05:44,870 --> 00:05:47,710 S1: This is faith and finance live. I'm Rob West with 101 00:05:47,710 --> 00:05:51,229 S1: me today, Sharon Epps, president of Kingdom Advisors, and we're 102 00:05:51,230 --> 00:05:54,710 S1: talking about some of the powerful financial teaching that we 103 00:05:54,750 --> 00:05:57,590 S1: find in God's Word. And Sharon, just before the break, 104 00:05:57,630 --> 00:06:00,950 S1: you were talking about the power of priorities. And we 105 00:06:00,950 --> 00:06:03,870 S1: can look at those priorities in light of a simple 106 00:06:03,870 --> 00:06:08,150 S1: pie chart around living, giving, owing, and growing God's money. 107 00:06:08,150 --> 00:06:12,029 S1: But we can break some of those priorities down even further, right? 108 00:06:12,070 --> 00:06:14,470 S2: We can't. So I'm often asked, well, if we have 109 00:06:14,470 --> 00:06:17,790 S2: the live give ogro pie, how do I know where 110 00:06:17,790 --> 00:06:21,469 S2: my pieces should be? And the answer is ask God 111 00:06:21,870 --> 00:06:24,270 S2: because he has a different pie for each of us. 112 00:06:24,550 --> 00:06:28,029 S2: At the same time, it's helpful to have a few 113 00:06:28,070 --> 00:06:33,230 S2: templates or a few examples to know how. People's pies 114 00:06:33,270 --> 00:06:35,950 S2: often work well. And so what we're about to talk 115 00:06:35,950 --> 00:06:39,230 S2: about in these priorities are by no means boundary lines 116 00:06:39,230 --> 00:06:42,670 S2: or fences that are set up for you. They are 117 00:06:42,670 --> 00:06:46,190 S2: more stories or examples of what has worked well for others. 118 00:06:46,350 --> 00:06:48,150 S2: So the first thing I would say in the big 119 00:06:48,150 --> 00:06:51,580 S2: overall py. I would encourage you to at least start 120 00:06:51,580 --> 00:06:55,900 S2: with what we call the ten 1080 principle. And basically 121 00:06:55,900 --> 00:07:01,140 S2: that is give first 10%, set aside 10% for grow, 122 00:07:01,700 --> 00:07:05,739 S2: and then use the remaining 80 for the oh and live. 123 00:07:05,740 --> 00:07:09,540 S2: So give first. Then to grow and then oh and live. 124 00:07:09,540 --> 00:07:12,540 S2: So 1010, 80 is just a quick reminder if I 125 00:07:12,580 --> 00:07:15,260 S2: don't even know where to begin with my Pi. That's 126 00:07:15,260 --> 00:07:17,900 S2: a good place to start to split it up that way. 127 00:07:18,220 --> 00:07:22,780 S2: I think also that the live category often is where 128 00:07:23,060 --> 00:07:26,940 S2: people get tripped up because it's the 80 after the debt. 129 00:07:27,060 --> 00:07:30,900 S2: And so what we see is that there are basically 130 00:07:30,900 --> 00:07:35,060 S2: three big categories within that overall live slice of the 131 00:07:35,100 --> 00:07:40,380 S2: pie that make the biggest difference to your budget. Housing, transportation, 132 00:07:40,380 --> 00:07:44,260 S2: and food. And the bottom line is that if we 133 00:07:44,380 --> 00:07:47,500 S2: have more than half of our take home pay in 134 00:07:47,540 --> 00:07:51,980 S2: those three parts of the live pie. It's very difficult 135 00:07:51,980 --> 00:07:55,740 S2: to have a spending plan that's balanced. And so the 136 00:07:55,740 --> 00:07:59,020 S2: thing that is a little bit troublesome in that is 137 00:07:59,020 --> 00:08:03,340 S2: our housing and transportation decisions are usually longer term decisions. 138 00:08:03,340 --> 00:08:05,900 S2: When I buy a home, I'm typically not going to 139 00:08:05,900 --> 00:08:06,980 S2: change that in a year. 140 00:08:06,980 --> 00:08:09,780 S1: That's right. Yeah. And those big three we often talk 141 00:08:09,780 --> 00:08:13,580 S1: about can often derail you. And if those get out 142 00:08:13,620 --> 00:08:15,900 S1: of line, it's just so much more difficult to make 143 00:08:15,900 --> 00:08:16,980 S1: everything else balanced. 144 00:08:17,020 --> 00:08:21,580 S2: It absolutely is. And so Proverbs 2723 there. No. Well, 145 00:08:21,580 --> 00:08:24,540 S2: the condition of your flocks give attention to your herds 146 00:08:24,620 --> 00:08:27,620 S2: tells us. Let's look at where we are in each 147 00:08:27,620 --> 00:08:30,820 S2: of these areas and make sure that those big three 148 00:08:30,820 --> 00:08:34,420 S2: aren't tripping us up, because when those are out of sync, 149 00:08:34,980 --> 00:08:37,260 S2: you can try to save money on going out to 150 00:08:37,300 --> 00:08:39,219 S2: coffee or those kinds of things, but it's going to 151 00:08:39,220 --> 00:08:41,540 S2: be hard to make a difference if you don't look 152 00:08:41,540 --> 00:08:42,380 S2: at the big three. 153 00:08:42,420 --> 00:08:46,140 S1: Yeah, lifestyle is the biggest determinant of whether you will 154 00:08:46,179 --> 00:08:49,420 S1: be able to accomplish those other goals in the long term. 155 00:08:49,460 --> 00:08:51,819 S1: All right, Sharon, what's the next powerful principle? 156 00:08:51,940 --> 00:08:55,179 S2: Well, it's the power of planning. We want to encourage 157 00:08:55,179 --> 00:08:57,140 S2: you and you hear this from us on faith and 158 00:08:57,140 --> 00:08:59,500 S2: finance all the time. We want you to spend your 159 00:08:59,500 --> 00:09:03,540 S2: money on purpose by making a plan on paper or 160 00:09:03,540 --> 00:09:08,300 S2: digitally before each month begins. And I just have to say, Rob, 161 00:09:08,300 --> 00:09:11,900 S2: for our family personally and others that I talk to 162 00:09:11,940 --> 00:09:15,179 S2: and counsel with, the Faith V app comes in so 163 00:09:15,220 --> 00:09:19,179 S2: handy here because you can put your money in digital 164 00:09:19,179 --> 00:09:23,380 S2: envelopes each month to make your plan before the expenses occur. 165 00:09:23,660 --> 00:09:26,219 S1: We mentioned Larry Burkett in the first segment. You had 166 00:09:26,220 --> 00:09:28,860 S1: the opportunity to work alongside Larry, and he was the 167 00:09:28,860 --> 00:09:32,980 S1: one who really popularized this envelope approach to managing money. 168 00:09:33,020 --> 00:09:36,220 S2: He did, and I think it still applies today. In fact, 169 00:09:36,220 --> 00:09:38,780 S2: I was talking with a young couple just this last week, 170 00:09:38,980 --> 00:09:43,220 S2: and they are very digitally savvy and really love. In fact, 171 00:09:43,220 --> 00:09:45,780 S2: the faith app. And they said, you know, there are 172 00:09:45,780 --> 00:09:48,260 S2: several of our categories that we've decided we're just going 173 00:09:48,300 --> 00:09:50,620 S2: to go to cash because we just aren't keeping up 174 00:09:50,620 --> 00:09:52,820 S2: with them very well. And we've decided we're going to 175 00:09:52,820 --> 00:09:55,939 S2: put them in a cash envelope and do our spending 176 00:09:55,940 --> 00:09:58,260 S2: that way for a few months to get back in control. 177 00:09:58,300 --> 00:10:01,260 S1: It's so helpful. Julie and I use it literally every day, 178 00:10:01,260 --> 00:10:04,020 S1: and we can see exactly what's left in each envelope 179 00:10:04,140 --> 00:10:05,740 S1: when we open the Faith VI app. If you want 180 00:10:05,780 --> 00:10:07,780 S1: to check it out and download it today, just head 181 00:10:07,780 --> 00:10:11,460 S1: to faith fi.com and click app. All right, Sharon, there's 182 00:10:11,500 --> 00:10:14,300 S1: actually power in cash. Tell us about that. 183 00:10:14,500 --> 00:10:17,260 S2: There is. And I think that's one of the best 184 00:10:17,260 --> 00:10:21,179 S2: keys for making sure you know what you're spending, especially 185 00:10:21,179 --> 00:10:23,140 S2: if you don't like to do a lot of record keeping. 186 00:10:23,140 --> 00:10:26,339 S2: If I have cash in my hand, then I know 187 00:10:26,340 --> 00:10:28,940 S2: what I have left over after I get changed when 188 00:10:28,940 --> 00:10:32,460 S2: I check out. And I also say that research actually 189 00:10:32,460 --> 00:10:37,699 S2: proves that the more we're aware. It's called saliency, the 190 00:10:37,700 --> 00:10:41,819 S2: more we're aware of what we're spending. We actually spend less, 191 00:10:41,820 --> 00:10:44,330 S2: which is why the credit card companies want us to 192 00:10:44,330 --> 00:10:47,290 S2: put everything on the credit cards because we'll spend more. 193 00:10:47,330 --> 00:10:49,850 S1: Yeah. I mean, the data I've seen says we'll actually spend, 194 00:10:49,850 --> 00:10:53,090 S1: in some cases, up to 30% more when we're not 195 00:10:53,090 --> 00:10:56,570 S1: parting with that physical cash. So certainly be on your 196 00:10:56,570 --> 00:11:01,010 S1: guard there. All right. Sharon, what is that last powerful principle? 197 00:11:01,170 --> 00:11:05,130 S2: Well, it's the power of decision making. God's word teaches 198 00:11:05,130 --> 00:11:07,530 S2: us we can always go to him when we're not 199 00:11:07,530 --> 00:11:10,170 S2: sure what to do. I'm looping right back to the beginning. 200 00:11:10,450 --> 00:11:14,410 S2: Looking to God. I love this verse. James one five 201 00:11:14,570 --> 00:11:17,770 S2: if any of you lacks wisdom, let him ask God, 202 00:11:17,770 --> 00:11:21,329 S2: who gives generously to all without reproach, and it will 203 00:11:21,330 --> 00:11:24,370 S2: be given him. So I thought, as we close out, 204 00:11:24,370 --> 00:11:27,609 S2: I might give you a flow chart kind of idea 205 00:11:27,610 --> 00:11:30,730 S2: for this decision making. And these are just some key 206 00:11:30,730 --> 00:11:35,329 S2: questions you can ask before you make decisions about your expenses. 207 00:11:35,570 --> 00:11:39,609 S2: So first, is the expense essential for the family's survival? 208 00:11:40,290 --> 00:11:44,530 S2: Will the purchase help my financial situation or will the 209 00:11:44,530 --> 00:11:49,370 S2: purchase hurt my financial situation? Will this purchase move me 210 00:11:49,410 --> 00:11:53,370 S2: toward meeting my financial goals or perhaps set me back? 211 00:11:53,770 --> 00:11:57,610 S2: Can we wait to incur this expense? And is there 212 00:11:57,610 --> 00:12:01,130 S2: a less expensive alternative? And if you picture that sort 213 00:12:01,130 --> 00:12:03,810 S2: of like a flowchart as you go down that list 214 00:12:03,809 --> 00:12:07,170 S2: of questions, if you answer no to any of those, 215 00:12:07,170 --> 00:12:10,370 S2: you might just want to stop and reconsider and think 216 00:12:10,370 --> 00:12:14,570 S2: about what I might do differently than make this intended 217 00:12:14,570 --> 00:12:15,569 S2: upcoming purchase. 218 00:12:15,610 --> 00:12:17,370 S1: Yeah. And it means in some cases we have to 219 00:12:17,410 --> 00:12:19,929 S1: slow down. I mean, in an age where, you know, 220 00:12:19,970 --> 00:12:22,450 S1: this weekend we were in the kitchen, Julie and I, 221 00:12:22,490 --> 00:12:25,130 S1: we knew we needed an item for the house. And 222 00:12:25,130 --> 00:12:27,689 S1: by the afternoon it was on the front porch. I mean, 223 00:12:27,730 --> 00:12:30,530 S1: in that age, we can just operate so quickly. And 224 00:12:30,530 --> 00:12:33,170 S1: that robs us of the opportunity to ask these questions. 225 00:12:33,210 --> 00:12:35,330 S2: Well, it does, and I'm sure you all have never 226 00:12:35,330 --> 00:12:37,809 S2: done what we've done. But sometimes we've gotten it off 227 00:12:37,809 --> 00:12:40,130 S2: the front porch and then gone to a closet and 228 00:12:40,130 --> 00:12:43,210 S2: realized we had something that would. Have met the need already. 229 00:12:43,450 --> 00:12:47,330 S1: That's so true. Hey, let's finish with financial decision making 230 00:12:47,330 --> 00:12:49,850 S1: as a couple. So how do we make sure we're 231 00:12:49,890 --> 00:12:52,490 S1: on the same page as we're thinking about these? 232 00:12:52,530 --> 00:12:54,770 S2: Well, you know, the most powerful tip I could give 233 00:12:54,770 --> 00:12:58,370 S2: there is make sure you have intentional conversations. I even 234 00:12:58,370 --> 00:13:02,250 S2: recommend a monthly money date night. And that's a night 235 00:13:02,250 --> 00:13:05,329 S2: that you literally go out as a couple and your 236 00:13:05,330 --> 00:13:08,170 S2: focus is on how did you do with your finances 237 00:13:08,170 --> 00:13:10,449 S2: the past month? And then what do you have coming 238 00:13:10,450 --> 00:13:12,370 S2: up the next month that you might need to be 239 00:13:12,370 --> 00:13:16,650 S2: thinking about? And that intentional conversation away from the kids, 240 00:13:16,650 --> 00:13:19,890 S2: away from distractions, gives you the opportunity to make sure 241 00:13:19,890 --> 00:13:23,090 S2: that you're on the same page with your goals. And 242 00:13:23,090 --> 00:13:27,530 S2: unity is way more important than the actual decision itself. 243 00:13:27,570 --> 00:13:29,530 S1: That's so good. And you said a moment ago, we 244 00:13:29,530 --> 00:13:32,370 S1: want to spend money on purpose, but as a part 245 00:13:32,370 --> 00:13:34,490 S1: of that, we want to have purpose at the core. 246 00:13:34,530 --> 00:13:38,200 S1: What are our values that ultimately drive those decisions, right? 247 00:13:38,240 --> 00:13:40,200 S2: Absolutely. And I think when we ask the Lord to 248 00:13:40,240 --> 00:13:43,520 S2: direct us on those, the decision making becomes more clear. 249 00:13:43,559 --> 00:13:46,480 S1: Oh, that's so good. Well, Sharon, this was so helpful today. 250 00:13:46,480 --> 00:13:49,640 S1: I appreciate you taking us back to God's Word, to 251 00:13:49,720 --> 00:13:51,960 S1: look deeply into Scripture, to pull out maybe some of 252 00:13:51,960 --> 00:13:55,199 S1: the principles we haven't seen along the way. But I 253 00:13:55,200 --> 00:13:57,320 S1: know these will be really helpful for our listeners. So 254 00:13:57,320 --> 00:13:58,439 S1: thanks for stopping by. 255 00:13:58,480 --> 00:13:59,280 S2: Glad to be here. 256 00:13:59,720 --> 00:14:02,960 S1: That's Sharon Epps, president of Kingdom Advisors. If you'd like 257 00:14:02,960 --> 00:14:06,520 S1: to work with a financial professional who integrates biblical wisdom 258 00:14:06,520 --> 00:14:10,080 S1: into their advice, find a certified Kingdom advisor near you 259 00:14:10,080 --> 00:14:15,640 S1: at find a.com. Alright, your calls are next at 800 260 00:14:15,640 --> 00:14:21,880 S1: 525 7000. That's 800 525 7000. I'm Rob West and 261 00:14:21,880 --> 00:14:25,080 S1: this is Faith and finance live. Biblical wisdom for your 262 00:14:25,080 --> 00:14:27,160 S1: financial journey. Stick around. 263 00:14:32,920 --> 00:14:36,240 S3: The opinions offered during this program represent the personal or 264 00:14:36,240 --> 00:14:40,600 S3: professional opinions of the participants given for informational purposes only. 265 00:14:40,920 --> 00:14:44,320 S3: Any information provided is not intended to replace advice from 266 00:14:44,320 --> 00:14:48,600 S3: a financial, medical, legal or other professional who understands your 267 00:14:48,600 --> 00:14:50,080 S3: specific situation. 268 00:14:57,120 --> 00:14:59,880 S1: Hey, thanks for joining us today on Faith and finance 269 00:15:00,640 --> 00:15:03,280 S1: live here on Moody Radio. We're taking your calls and 270 00:15:03,280 --> 00:15:05,360 S1: questions here in just a moment. That number to call 271 00:15:05,400 --> 00:15:10,240 S1: to get in on the conversation 800 525 7000 again, 272 00:15:10,240 --> 00:15:14,080 S1: that's 800 525 7000. We want to be able to 273 00:15:14,080 --> 00:15:16,920 S1: tackle whatever's on your mind today and be able to 274 00:15:16,960 --> 00:15:20,760 S1: apply biblical wisdom to what you're considering, so you can 275 00:15:20,760 --> 00:15:24,520 S1: make a confident financial decision. We've got a few lines 276 00:15:24,520 --> 00:15:27,360 S1: open still, even though the calls have begun coming in. 277 00:15:27,560 --> 00:15:32,520 S1: That number 805 two, five, 7000. In the news today, 278 00:15:32,520 --> 00:15:36,600 S1: a massive wave of airstrikes across Lebanon struck over 100 279 00:15:36,600 --> 00:15:40,320 S1: sites in minutes, killing at least 182 people and wounding 280 00:15:40,360 --> 00:15:44,480 S1: hundreds of hundreds of others, with casualties expected to rise. 281 00:15:44,520 --> 00:15:49,560 S1: Entire neighborhoods in Beirut, southern Lebanon and the Bekaa Valley 282 00:15:49,600 --> 00:15:54,400 S1: were devastated, leaving families displaced and emergency workers searching through 283 00:15:54,400 --> 00:15:58,800 S1: the rubble filled with remnants of everyday life. The escalation 284 00:15:58,800 --> 00:16:04,440 S1: continues despite broader regional ceasefire, as the conflict between Israel 285 00:16:04,440 --> 00:16:08,650 S1: and Hezbollah persists. Over 1.2 million people. About 1 in 286 00:16:08,650 --> 00:16:13,080 S1: 5 Lebanese citizens have been displaced, with many living in 287 00:16:13,080 --> 00:16:19,000 S1: overcrowded shelters, tents or cars. The crisis has deepened humanitarian needs. 288 00:16:19,240 --> 00:16:24,680 S1: It's strained communities. It's heightened fears about long term displacement 289 00:16:24,680 --> 00:16:28,960 S1: and instability. You know, this kind of devastation highlights why 290 00:16:28,960 --> 00:16:33,440 S1: the work of Hartford, Lebanon, is so critical. As families 291 00:16:33,440 --> 00:16:38,400 S1: lose homes, stability and livelihoods, Hartford, Lebanon steps in with 292 00:16:38,440 --> 00:16:44,080 S1: gospel centered aid, providing emergency survival items and compassionate care 293 00:16:44,080 --> 00:16:48,480 S1: to those newly displaced families in this critical moment. Faith 294 00:16:48,480 --> 00:16:52,160 S1: and finance is partnering with Hartford, Lebanon to meet urgent 295 00:16:52,200 --> 00:16:55,240 S1: needs on the ground at this time, and we want 296 00:16:55,280 --> 00:16:58,400 S1: to invite you to join with us as we shine 297 00:16:58,400 --> 00:17:01,040 S1: a light on their great work in this critical time 298 00:17:01,080 --> 00:17:04,720 S1: of need. You can learn more and give today directly 299 00:17:04,720 --> 00:17:12,960 S1: to this need. When you go to faith.com/lebanon, that's faith fi.com/lebanon. 300 00:17:12,960 --> 00:17:18,480 S1: Or you can text the word faith to 98656. Let 301 00:17:18,480 --> 00:17:20,760 S1: me say that again. If you've got your smartphone handy, 302 00:17:20,960 --> 00:17:26,320 S1: just send a text to 98656 and you're going to 303 00:17:26,320 --> 00:17:30,919 S1: want to send the word faith to that number. Um, 304 00:17:30,920 --> 00:17:33,960 S1: and you can learn more about what Hartford, Lebanon is 305 00:17:33,960 --> 00:17:38,480 S1: doing to respond right now in the midst of the devastation, again, 306 00:17:38,520 --> 00:17:42,280 S1: providing much needed aid, but leading with the gospel in 307 00:17:42,280 --> 00:17:47,359 S1: every situation. We're so honored about our partnership with Hartford, Lebanon. And, 308 00:17:47,400 --> 00:17:49,840 S1: you know, this was planned months and months ago. And 309 00:17:49,840 --> 00:17:53,240 S1: for this to be happening as we partner together at 310 00:17:53,240 --> 00:17:56,399 S1: this critical moment, we believe is God ordained. Again, if 311 00:17:56,400 --> 00:18:00,440 S1: you want to learn more, just go to faith.com/lebanon. Alright, 312 00:18:00,440 --> 00:18:02,320 S1: we want to dive into your questions today. We've got 313 00:18:02,320 --> 00:18:05,080 S1: some lines open. So if you've got a financial question, 314 00:18:05,080 --> 00:18:11,119 S1: call right now 800 525 7000. Let's begin today in Pennsylvania. Uh, 315 00:18:11,119 --> 00:18:12,800 S1: Joe Lynn, thanks for calling. Go ahead. 316 00:18:14,640 --> 00:18:20,320 S4: Um, well, I'm retired about two years. Um, and I 317 00:18:20,680 --> 00:18:25,520 S4: have Social Security as my income. Plus I do have 318 00:18:25,520 --> 00:18:30,750 S4: 401 that's been invested through financial advisor and I draw 319 00:18:30,790 --> 00:18:35,149 S4: like 4% of that a month. Um, any debt is 320 00:18:35,150 --> 00:18:39,149 S4: my mortgage and my car payment and I'm trying to 321 00:18:39,190 --> 00:18:45,510 S4: get my car paid off. So that that's a $367 322 00:18:45,550 --> 00:18:51,909 S4: a month to my budget. Um, so I did get 323 00:18:52,470 --> 00:18:57,230 S4: a small or passed away at the end of January 324 00:18:57,710 --> 00:19:03,230 S4: and about 6 or $7000. And I have it all 325 00:19:03,230 --> 00:19:07,710 S4: sitting in the bank right now. Um, I'm trying to 326 00:19:07,710 --> 00:19:12,669 S4: decide what's the best feasibility. My situation is that if 327 00:19:12,670 --> 00:19:16,390 S4: I don't pay off my mortgage sooner, I'll be in 328 00:19:16,390 --> 00:19:19,310 S4: my 80s. And I really would love to be able 329 00:19:19,310 --> 00:19:23,790 S4: to use my full social Security. Um, because it's half 330 00:19:23,790 --> 00:19:27,510 S4: of my mortgage. Um, I am blessed. I do know 331 00:19:27,510 --> 00:19:30,350 S4: that because sometimes when I look at my numbers, I 332 00:19:30,350 --> 00:19:35,030 S4: don't really know how I make it. But God has 333 00:19:35,070 --> 00:19:37,709 S4: been good to me, so I don't know. Is it 334 00:19:37,710 --> 00:19:39,910 S4: better for me to take that money and just pay 335 00:19:39,910 --> 00:19:45,109 S4: off my car? Um, that I can put extra on 336 00:19:45,150 --> 00:19:50,430 S4: my morph? Um, I just kind of, I don't want 337 00:19:50,470 --> 00:19:54,630 S4: to just use that money frivolously and want to get 338 00:19:54,630 --> 00:19:56,110 S4: the best out of it. 339 00:19:56,150 --> 00:19:59,030 S1: Yeah. Yeah. Well, I appreciate that. It's a great question. 340 00:19:59,350 --> 00:20:01,910 S1: And here's a maybe a way to think about this. 341 00:20:01,910 --> 00:20:05,189 S1: And I appreciate your transparency and your desire to honor 342 00:20:05,230 --> 00:20:08,030 S1: the Lord with what he's entrusted to you. We always 343 00:20:08,030 --> 00:20:12,149 S1: want to start with a safety foundation. So before investing 344 00:20:12,150 --> 00:20:14,629 S1: or paying extra on debt, we really want to make 345 00:20:14,670 --> 00:20:17,390 S1: sure we have an emergency fund of 3 to 6 346 00:20:17,390 --> 00:20:20,950 S1: months of expenses in a savings account. If you don't 347 00:20:20,950 --> 00:20:23,909 S1: have that, I would say that's priority number one. Uh, 348 00:20:23,910 --> 00:20:27,110 S1: it keeps you from going into debt again. When something 349 00:20:27,150 --> 00:20:32,710 S1: unexpected happens. Second, let's evaluate the debt. Usually the car 350 00:20:32,710 --> 00:20:34,870 S1: loan is going to be at a higher interest rate. 351 00:20:35,150 --> 00:20:38,110 S1: I would imagine it's somewhere between 5 and 8%, perhaps 352 00:20:38,109 --> 00:20:42,230 S1: even higher. And so I would consider paying it off 353 00:20:42,230 --> 00:20:46,590 S1: or down assuming you had a fully funded emergency fund. 354 00:20:46,990 --> 00:20:50,910 S1: Even though I understand your desire to get that house payment, uh, 355 00:20:50,910 --> 00:20:53,670 S1: you know, taken care of. Um, if it does have 356 00:20:53,670 --> 00:20:55,950 S1: a lower interest rate and, you know, it's not going 357 00:20:55,990 --> 00:20:58,990 S1: to benefit you in terms of monthly cash flow until 358 00:20:58,990 --> 00:21:01,429 S1: you pay it off in full, because that amortized mortgage 359 00:21:01,430 --> 00:21:04,830 S1: doesn't change on a monthly basis. Even as you pay 360 00:21:04,830 --> 00:21:08,670 S1: down principal, I really do like paying off the car first. 361 00:21:08,710 --> 00:21:11,149 S1: It's going to give you a guaranteed return equal to 362 00:21:11,150 --> 00:21:14,150 S1: the interest rate. And if it's 7 or 8%, you're 363 00:21:14,150 --> 00:21:17,909 S1: not going to get that anywhere else on a guaranteed basis. 364 00:21:18,430 --> 00:21:21,910 S1: And then I would say, you know, beyond that, we 365 00:21:21,910 --> 00:21:25,310 S1: could look at maybe trying to make one extra house 366 00:21:25,350 --> 00:21:28,830 S1: payment a year, maybe a couple. If you can. Just 367 00:21:28,830 --> 00:21:32,669 S1: by limiting your lifestyle and, and trying to, uh, you know, 368 00:21:32,710 --> 00:21:35,950 S1: just save and, and put some money toward the principal 369 00:21:35,950 --> 00:21:39,350 S1: as you're able to. So I would say emergency fund, 370 00:21:39,390 --> 00:21:43,030 S1: eliminating the car loan and then setting aside for future 371 00:21:43,030 --> 00:21:46,870 S1: expenses and then ultimately prepaying that mortgage would be the 372 00:21:46,869 --> 00:21:48,470 S1: way I would go with this. But I want to 373 00:21:48,470 --> 00:21:50,950 S1: get your thoughts. We'll do that after the break. Jolynn. 374 00:21:50,950 --> 00:22:00,389 S1: Stay right there. We'll be right back. Thanks for joining 375 00:22:00,390 --> 00:22:02,950 S1: us today on Faith and Finance Live. I'm Rob West. 376 00:22:02,990 --> 00:22:05,270 S1: We've got a few lines open for your questions today. 377 00:22:05,310 --> 00:22:10,230 S1: On anything financial 800 525 7000. Call right now. Before 378 00:22:10,230 --> 00:22:14,070 S1: the break, we were talking to Jolynn. She's retired. Limited income, 379 00:22:14,070 --> 00:22:18,830 S1: working part time, drawing from her 401 K. She's recently 380 00:22:18,830 --> 00:22:24,300 S1: received between 6 and $7,000 a small inheritance and wondering 381 00:22:24,300 --> 00:22:29,340 S1: how to best use that for her, you know, debt reduction. 382 00:22:29,340 --> 00:22:32,580 S1: And she's got a car loan, she's got a mortgage. 383 00:22:32,580 --> 00:22:34,899 S1: She would like to get rid of that mortgage as 384 00:22:34,900 --> 00:22:37,219 S1: soon as she can. And just wondering the best way 385 00:22:37,220 --> 00:22:40,060 S1: to proceed. And I was sharing before the break that 386 00:22:40,060 --> 00:22:43,260 S1: my priority as a starting point at least, would be 387 00:22:43,460 --> 00:22:46,980 S1: emergency fund first fully funded, 3 to 6 months, and 388 00:22:46,980 --> 00:22:51,379 S1: then perhaps looking toward the car because that's generally at 389 00:22:51,380 --> 00:22:54,620 S1: a higher interest rate and then the home after that. 390 00:22:54,619 --> 00:22:56,180 S1: But give me your thoughts on all that. 391 00:22:57,260 --> 00:23:02,580 S4: Um, no, it makes sense. My car, um, interest rate 392 00:23:02,580 --> 00:23:10,100 S4: is about 4.5%. Okay. And um, I, I did have 393 00:23:10,140 --> 00:23:15,170 S4: about $2,500 as my emergency fund, which isn't 3 to 394 00:23:15,170 --> 00:23:19,220 S4: 6 months. Um, but I, you know, I do need 395 00:23:19,220 --> 00:23:26,620 S4: to look at that. I also have 7000 in a 396 00:23:26,619 --> 00:23:29,740 S4: money market that I'm not touching because I know I'm 397 00:23:29,740 --> 00:23:35,699 S4: going to need a furnace. So okay, I want to 398 00:23:35,740 --> 00:23:38,780 S4: use that. I'm just trying to kind of get myself 399 00:23:38,780 --> 00:23:44,580 S4: in line for for living here in my house. Yeah. 400 00:23:44,619 --> 00:23:48,740 S4: Until I have to leave or I die. 401 00:23:49,100 --> 00:23:49,699 S1: Yes. 402 00:23:51,180 --> 00:23:54,660 S5: Yes. It's always different things that. 403 00:23:54,820 --> 00:23:56,180 S4: I'm like, do I do this? 404 00:23:56,580 --> 00:23:57,020 S5: Yeah. 405 00:23:57,300 --> 00:24:00,020 S1: But and what are the balances on the car and 406 00:24:00,060 --> 00:24:00,899 S1: the mortgage? 407 00:24:02,220 --> 00:24:10,060 S4: Um, on the, on the mortgage. I owe 93,000 and 408 00:24:10,100 --> 00:24:13,860 S4: on the car I owe 6000. 409 00:24:13,900 --> 00:24:16,300 S1: Okay. Yeah. I mean, that would be the other benefit. 410 00:24:16,300 --> 00:24:20,020 S1: Even though the interest rate is, is pretty attractive. Um, 411 00:24:20,500 --> 00:24:23,100 S1: but I think the other benefit of paying off the 412 00:24:23,100 --> 00:24:25,500 S1: car would be that, you know, once you pay it 413 00:24:25,500 --> 00:24:27,859 S1: in full, now all of a sudden you recapture that 414 00:24:27,859 --> 00:24:31,060 S1: full monthly payment every month that you could use to 415 00:24:31,100 --> 00:24:35,140 S1: continue to shore up specific savings accounts or just apply 416 00:24:35,140 --> 00:24:38,939 S1: that on a monthly basis to your mortgage and, and 417 00:24:38,940 --> 00:24:42,860 S1: more aggressively pay that down toward principal because, you know, 418 00:24:42,900 --> 00:24:46,459 S1: you putting 6000 on the house, although it's going to 419 00:24:46,460 --> 00:24:48,939 S1: feel better to see a lower balance, it really doesn't 420 00:24:48,940 --> 00:24:52,100 S1: do anything to help improve your monthly cash flow. Whereas 421 00:24:52,140 --> 00:24:54,260 S1: paying off that car loan, as soon as you pay 422 00:24:54,260 --> 00:24:56,700 S1: it in full. Now, you could just pretend like you 423 00:24:56,700 --> 00:24:59,020 S1: still have a car payment, but pay it to yourself. 424 00:24:59,420 --> 00:25:01,820 S1: So I, I kind of like that option better just 425 00:25:01,820 --> 00:25:03,580 S1: because I think that does a couple of things. It 426 00:25:03,580 --> 00:25:07,219 S1: saves you the interest, but it also causes, you know, 427 00:25:07,260 --> 00:25:09,739 S1: your budget to be a little leaner, which as long 428 00:25:09,740 --> 00:25:12,540 S1: as you're still working part time, gives you the ability 429 00:25:12,580 --> 00:25:16,860 S1: hopefully to redirect that toward either additional savings or principal 430 00:25:16,859 --> 00:25:19,860 S1: reduction on the mortgage so that, you know, you're putting 431 00:25:19,859 --> 00:25:23,580 S1: yourself in a stronger position when you do ultimately retire fully. 432 00:25:24,380 --> 00:25:26,460 S4: Yeah, I didn't really think that I would put all 433 00:25:26,460 --> 00:25:30,219 S4: that money on the mortgage, but okay. My thought was 434 00:25:30,220 --> 00:25:33,260 S4: if I get rid of the car payment, then I 435 00:25:33,260 --> 00:25:37,260 S4: already do pay an additional amount every month on my mortgage, 436 00:25:37,619 --> 00:25:40,300 S4: but I would be able to increase that amount. 437 00:25:40,340 --> 00:25:41,140 S1: Yeah, yeah. 438 00:25:41,260 --> 00:25:45,430 S4: Um, and even if I could get to ten, 9 439 00:25:45,430 --> 00:25:48,580 S4: or 10 years, which I think is doable. 440 00:25:48,619 --> 00:25:51,980 S1: I think that's right. And perhaps go tonight onto one 441 00:25:51,980 --> 00:25:56,300 S1: of the free mortgage amortization calculators, you'll find 100 of 442 00:25:56,300 --> 00:25:59,140 S1: them online and you could put in your balance, your 443 00:25:59,140 --> 00:26:02,180 S1: interest rate, your scheduled monthly payment, and then you can 444 00:26:02,180 --> 00:26:04,500 S1: start to play around with, you know, what? If I 445 00:26:04,500 --> 00:26:07,260 S1: put 500 a month, what if I put 700 a month? 446 00:26:07,260 --> 00:26:10,100 S1: And it will tell you exactly, you know, how quickly 447 00:26:10,100 --> 00:26:13,100 S1: you will cut down your payoff and you can kind 448 00:26:13,100 --> 00:26:15,730 S1: of figure out what is my ideal target to when 449 00:26:15,730 --> 00:26:18,690 S1: I want to have this paid off so that it's gone? 450 00:26:18,690 --> 00:26:22,210 S1: When I'm transitioning into this next season of life, and 451 00:26:22,210 --> 00:26:24,330 S1: it'll tell you exactly how much you need to set 452 00:26:24,369 --> 00:26:26,690 S1: as your goal to put toward principal every month in 453 00:26:26,690 --> 00:26:29,850 S1: order to achieve that. And you knowing that and then, 454 00:26:29,890 --> 00:26:31,889 S1: you know, going ahead and paying off the car and 455 00:26:31,890 --> 00:26:34,050 S1: really going after that goal, I think might give you 456 00:26:34,050 --> 00:26:37,050 S1: something to really work toward and help you to, to 457 00:26:37,090 --> 00:26:41,530 S1: meet that objective as you're heading into retirement fully. So, Jolene, 458 00:26:41,530 --> 00:26:43,250 S1: I hope that helps. Thanks for your call today. We 459 00:26:43,250 --> 00:26:46,330 S1: appreciate it. Let's go to Indiana. Timothy, how can I help? 460 00:26:47,530 --> 00:26:51,210 S6: Hi, Rob. Um, I just wanted to ask you about 461 00:26:51,210 --> 00:26:55,250 S6: how I should be investing my inheritance. Um, I've been 462 00:26:55,250 --> 00:26:58,890 S6: really blessed, and the Lord has given me a lot 463 00:26:58,890 --> 00:27:02,250 S6: of money, uh, from my mom and my dad. My 464 00:27:02,250 --> 00:27:06,330 S6: mom just passed about two weeks ago now. Uh, she's, 465 00:27:06,330 --> 00:27:11,050 S6: she's with the Lord, I'm thankful to say. But, uh, 466 00:27:11,050 --> 00:27:14,410 S6: another thing is I don't have any debt. So she 467 00:27:14,410 --> 00:27:16,810 S6: left me with a with a home that's paid off. 468 00:27:17,410 --> 00:27:21,570 S6: And so I'm very thankful for that. However, I do 469 00:27:21,570 --> 00:27:30,850 S6: have Parkinson's disease, so I'm, uh, medically retired. Um, uh, disabled. So, um, my, 470 00:27:30,850 --> 00:27:34,409 S6: my question is she she left me between her and 471 00:27:34,410 --> 00:27:37,449 S6: my dad. They left me, uh, quite a, quite a 472 00:27:37,450 --> 00:27:40,970 S6: good amount of money. And it's mostly all in cash 473 00:27:40,970 --> 00:27:44,770 S6: or CDs right now, you know? Um, I don't have 474 00:27:44,770 --> 00:27:47,649 S6: anything invested. They didn't have anything invested with the, with 475 00:27:47,690 --> 00:27:50,130 S6: the broker in the market or anything like that. But 476 00:27:50,530 --> 00:27:53,130 S6: my concern is that I want to first of all, 477 00:27:53,130 --> 00:27:56,369 S6: I want to honor God. I want to be faithful 478 00:27:56,369 --> 00:28:01,490 S6: in my giving and how I invest. And, um, secondly, 479 00:28:01,530 --> 00:28:04,330 S6: of course, I want to make sure that I have 480 00:28:04,330 --> 00:28:08,290 S6: enough money coming in so that I can keep all 481 00:28:08,290 --> 00:28:11,330 S6: my bills paid and be able to stay in the 482 00:28:11,330 --> 00:28:13,729 S6: house that that my mom and dad left me? 483 00:28:15,050 --> 00:28:18,209 S1: Yeah, well, I appreciate that background. I'm sorry to hear 484 00:28:18,210 --> 00:28:21,370 S1: about your mom's passing and your health, but I think 485 00:28:21,410 --> 00:28:24,409 S1: you've got the right approach here, which is really to 486 00:28:24,450 --> 00:28:27,010 S1: think about not how do I grow this aggressively, but 487 00:28:27,010 --> 00:28:30,649 S1: how do I protect it, generate income and maintain peace 488 00:28:30,650 --> 00:28:32,890 S1: of mind. And I think I would add to that 489 00:28:33,130 --> 00:28:36,969 S1: honor your desire to really, uh, treat it through a 490 00:28:36,970 --> 00:28:39,410 S1: stewardship lens and just say, how do I honor God 491 00:28:39,410 --> 00:28:42,370 S1: even with the investments that I make? And there's a 492 00:28:42,370 --> 00:28:44,610 S1: way to do that in a very effective way to 493 00:28:44,650 --> 00:28:46,930 S1: do that, where you can make sure that you're owning 494 00:28:46,930 --> 00:28:49,050 S1: companies that would be aligned with your values as a 495 00:28:49,050 --> 00:28:52,850 S1: Christ follower. Um, this just really feels like something that 496 00:28:52,850 --> 00:28:56,850 S1: would be ripe for a godly financial advisor to journey 497 00:28:56,850 --> 00:29:00,770 S1: alongside you both to help you plan for making sure 498 00:29:00,770 --> 00:29:03,450 S1: your income, you know, we understand what your monthly income 499 00:29:03,450 --> 00:29:07,610 S1: needs are and your lifestyle. Um, and then, you know, 500 00:29:07,650 --> 00:29:10,250 S1: investing this in a way that's appropriate for your age 501 00:29:10,250 --> 00:29:14,690 S1: and risk tolerance and investments that align with your Christian values. 502 00:29:14,690 --> 00:29:18,490 S1: But also, you know where you're not taking unnecessary risk. 503 00:29:19,010 --> 00:29:21,930 S1: Trying to generate income to cover the needs that you 504 00:29:21,930 --> 00:29:24,850 S1: have and you maintain the home and so forth, and 505 00:29:24,850 --> 00:29:27,930 S1: grow it over time, outpace inflation, and then do the 506 00:29:27,930 --> 00:29:29,729 S1: giving that you want to do both now and in 507 00:29:29,730 --> 00:29:31,970 S1: the future. Because I think to the extent this is 508 00:29:32,210 --> 00:29:35,490 S1: a sum that's that's more than you need to reasonably 509 00:29:35,490 --> 00:29:39,170 S1: maintain your lifestyle for the rest of your life, then 510 00:29:39,210 --> 00:29:42,330 S1: maybe you have the ability to set a financial finish 511 00:29:42,330 --> 00:29:46,010 S1: line and start giving more aggressively now. Uh, I love 512 00:29:46,010 --> 00:29:48,170 S1: what Ron Blue says in his book, Splitting Heirs do 513 00:29:48,210 --> 00:29:50,610 S1: your given while you're Living, so you're knowing where it's going. 514 00:29:50,650 --> 00:29:52,890 S1: And I think that might be something with the right 515 00:29:52,890 --> 00:29:57,090 S1: advisor who can help you plan appropriately for whatever enough 516 00:29:57,090 --> 00:30:01,010 S1: is based on your lifestyle finish line, and then the 517 00:30:01,010 --> 00:30:05,690 S1: resulting amount you need to have in, you know, investments. 518 00:30:06,050 --> 00:30:08,360 S1: It could give you the ability to start giving more 519 00:30:08,360 --> 00:30:11,200 S1: dramatically right now. Do you have an advisor or have 520 00:30:11,200 --> 00:30:12,600 S1: you worked with someone in the past? 521 00:30:13,440 --> 00:30:16,720 S6: Well, I started to work with someone. I don't know 522 00:30:16,720 --> 00:30:19,280 S6: if it's okay to say the company's name. Sure. 523 00:30:19,720 --> 00:30:20,960 S1: Yeah, it's fine if. 524 00:30:21,680 --> 00:30:25,280 S6: Um. Edward Jones, I started to work with them. Uh, 525 00:30:25,360 --> 00:30:29,720 S6: the rep was, uh, recommended to me by a good friend. 526 00:30:29,760 --> 00:30:33,560 S6: A long time friend who was our State farm insurance agent. Okay, 527 00:30:33,600 --> 00:30:36,120 S6: so I trust his advisement, but. 528 00:30:36,160 --> 00:30:39,120 S1: Yeah, well, I will say, uh, yeah, Edward Jones is 529 00:30:39,120 --> 00:30:42,520 S1: a great firm. They have more certified Kingdom advisors than 530 00:30:42,520 --> 00:30:46,200 S1: any firm in the country. Uh, let's talk a bit more, uh, off, 531 00:30:46,240 --> 00:30:55,480 S1: off the air, and we'll be right back. Hey, thanks 532 00:30:55,480 --> 00:30:57,720 S1: for joining us today on Faith and Finance Live. I'm 533 00:30:57,720 --> 00:31:00,400 S1: Rob West. We're taking your calls. We've got room for 534 00:31:00,440 --> 00:31:03,320 S1: perhaps 1 to 2 more questions before we round out 535 00:31:03,320 --> 00:31:05,800 S1: the broadcast today. So if you've got a financial question, 536 00:31:05,920 --> 00:31:11,120 S1: Something you're wrestling with. Call right now 800 525 7000. 537 00:31:11,160 --> 00:31:15,160 S1: That's 800 525 7000. We'd love to hear from you. 538 00:31:15,440 --> 00:31:19,000 S1: Let's go to Hanover Park, Illinois. Roland. Go ahead. 539 00:31:21,360 --> 00:31:24,840 S7: Hi. I am, uh, thank you for taking my call. 540 00:31:24,880 --> 00:31:25,320 S1: Sure. 541 00:31:25,480 --> 00:31:30,440 S7: I would like to. Let's say the situation is I'm 542 00:31:30,440 --> 00:31:37,760 S7: a Medicaid recipient. I have been taken care of. Um, but, uh, 543 00:31:37,800 --> 00:31:43,240 S7: I have a checking account that my money goes into, but, um, 544 00:31:44,360 --> 00:31:51,080 S7: I can only have $2,000 in it. And, uh, I 545 00:31:51,120 --> 00:31:53,680 S7: don't want to go about buying things. I don't need 546 00:31:53,680 --> 00:31:58,480 S7: to go by, but, um, have you any suggestions? 547 00:31:58,920 --> 00:32:02,360 S1: Yeah. Let me ask you a question. Are you, um, 548 00:32:02,400 --> 00:32:07,800 S1: the $2,000 limit? Are you on SSI Supplemental Security Income 549 00:32:07,840 --> 00:32:12,520 S1: or are you on SSDI for the disability insurance. 550 00:32:13,400 --> 00:32:14,960 S7: SSDI and Medicaid? 551 00:32:15,280 --> 00:32:21,640 S1: Okay. Yeah, because SSDI does not have the same $2,000 552 00:32:21,680 --> 00:32:26,400 S1: asset limit. Um, there is no asset limit for SSDI 553 00:32:27,440 --> 00:32:32,360 S1: versus supplemental Social security, Supplemental security income, SSI, which does 554 00:32:32,360 --> 00:32:36,320 S1: have that asset limit. So I think that's key. Now 555 00:32:36,360 --> 00:32:40,880 S1: Medicaid though, is a key clue here because, um, you know, 556 00:32:40,920 --> 00:32:46,080 S1: Medicaid is often tied to SSI, which does have the 557 00:32:46,080 --> 00:32:52,160 S1: $2,000 limit. Some states will allow Medicaid with SSDI, but 558 00:32:52,160 --> 00:32:56,520 S1: asset limits, you know, can still apply depending on the program. 559 00:32:56,520 --> 00:32:59,880 S1: So you're, you've looked into this and believe you do 560 00:32:59,880 --> 00:33:03,360 S1: have that $2,000 rule in your case? Yes. 561 00:33:03,640 --> 00:33:04,200 S7: Yes. 562 00:33:04,240 --> 00:33:07,920 S1: Okay. Got it. All right. So what can you do? Well, um, 563 00:33:07,960 --> 00:33:11,360 S1: one option would be, uh, what's called an able account 564 00:33:11,400 --> 00:33:13,600 S1: a b l e. Are you familiar with that term? 565 00:33:14,360 --> 00:33:15,400 S7: Yes I am. 566 00:33:15,560 --> 00:33:22,720 S1: Okay. So that lets you save beyond the $2,000 doesn't count, uh, toward, um, 567 00:33:23,160 --> 00:33:27,480 S1: you know, SSI or Medicaid limits up to certain thresholds. 568 00:33:27,640 --> 00:33:31,000 S1: And it's pretty easy to set up through your state. Um, 569 00:33:31,000 --> 00:33:35,000 S1: the key would be, you know, if you qualify, uh, 570 00:33:35,040 --> 00:33:39,320 S1: for the able account. Um, have you looked into that before? 571 00:33:39,960 --> 00:33:47,520 S7: Yes. Uh, I, uh, I did not like the, the 572 00:33:47,560 --> 00:33:51,640 S7: fees in the able account kind of tells me that, uh, 573 00:33:51,640 --> 00:33:55,360 S7: I wanted to go through a private investment firm. 574 00:33:55,880 --> 00:33:59,440 S1: Okay. Yeah. So the, the other option then if you 575 00:33:59,440 --> 00:34:01,270 S1: wanted to stay away from the able account. And I 576 00:34:01,270 --> 00:34:02,830 S1: would take a look at that because I think, you know, 577 00:34:02,870 --> 00:34:05,390 S1: those the ones I've seen are pretty cost effective. And 578 00:34:05,390 --> 00:34:07,950 S1: it's a state program and you can choose any state. 579 00:34:08,150 --> 00:34:11,350 S1: So you don't have to use your state if you qualify. 580 00:34:11,350 --> 00:34:14,149 S1: And that would be key. Um, you know, to make 581 00:34:14,190 --> 00:34:17,390 S1: sure that that's something that, uh, you know, in terms 582 00:34:17,390 --> 00:34:23,790 S1: of having a significant physical or mental, uh, disability, um, and, 583 00:34:23,950 --> 00:34:26,710 S1: you know, it has to, uh, last or be expected 584 00:34:26,710 --> 00:34:29,469 S1: to last at least 12 months. It has to have 585 00:34:29,469 --> 00:34:33,430 S1: started before age 46, which is new in 2026. It 586 00:34:33,430 --> 00:34:36,390 S1: used to be age 26. Uh, but you may want 587 00:34:36,430 --> 00:34:38,430 S1: to look around to some other states if you qualify. 588 00:34:38,469 --> 00:34:43,270 S1: Now in terms of what other options you have, um, 589 00:34:43,270 --> 00:34:45,549 S1: if you want a little more flexibility in terms of 590 00:34:45,550 --> 00:34:49,910 S1: the investments, um, you could look at a special needs trust. 591 00:34:49,910 --> 00:34:51,350 S1: Are you familiar with that term? 592 00:34:52,070 --> 00:34:55,270 S7: Yes, I already have one set up, but I cannot 593 00:34:55,270 --> 00:35:01,270 S7: put my Social Security into a special needs trust. I 594 00:35:01,270 --> 00:35:04,230 S7: have to get from. It has to be. Come to me. 595 00:35:04,230 --> 00:35:07,310 S7: Like through wills or some gifts or something like that. 596 00:35:07,310 --> 00:35:10,509 S7: I can put in a special needs trust, but I can't. Um. 597 00:35:12,190 --> 00:35:16,950 S1: Yeah, that is correct. Um, yeah. So you can't, um, 598 00:35:17,310 --> 00:35:21,430 S1: take your SSDI, you know, payments, that's income to him. 599 00:35:21,790 --> 00:35:27,310 S1: And once it's deposited, it would be considered a personal asset. Uh, 600 00:35:27,310 --> 00:35:29,230 S1: so if you transfer it into the trust, then that 601 00:35:29,230 --> 00:35:32,469 S1: would trigger penalties. Um, but again, I think this is 602 00:35:32,469 --> 00:35:35,710 S1: where using the able account alongside the trust is the 603 00:35:35,710 --> 00:35:40,549 S1: best solution because you can deposit monthly social security funds 604 00:35:40,670 --> 00:35:44,750 S1: into an able account. And, you know, it's specifically designed 605 00:35:44,750 --> 00:35:47,430 S1: to hold your own money and it doesn't count toward 606 00:35:47,430 --> 00:35:52,390 S1: that $2,000 limit. So using these together, uh, could allow 607 00:35:52,390 --> 00:35:55,190 S1: the trust to hold the inherited or third party money. 608 00:35:55,190 --> 00:35:58,830 S1: The able account holds your monthly income and then you 609 00:35:58,830 --> 00:36:02,790 S1: spend it strategically within the month. Um, because I would 610 00:36:02,790 --> 00:36:05,069 S1: agree with you don't you don't want to, you know, 611 00:36:05,110 --> 00:36:08,510 S1: buy things you don't need just to stay under the limit. Um, 612 00:36:08,510 --> 00:36:12,310 S1: and I think that's where these two tools working alongside 613 00:36:12,310 --> 00:36:15,390 S1: one another could be ultimately what you're looking for. But, 614 00:36:15,390 --> 00:36:16,430 S1: but what are your thoughts? 615 00:36:17,590 --> 00:36:21,310 S7: Uh, it's something to look into again. Um, yeah, it's 616 00:36:21,310 --> 00:36:22,670 S7: something to look into again. 617 00:36:22,750 --> 00:36:25,190 S1: Okay. Yeah, I think that could be what you need 618 00:36:25,190 --> 00:36:28,029 S1: because that, that could, uh, help you, you know, to 619 00:36:28,070 --> 00:36:30,750 S1: continue to have what you need to spend for your 620 00:36:30,750 --> 00:36:35,549 S1: lifestyle spending, not spend unnecessarily, but have the flexibility to 621 00:36:35,590 --> 00:36:38,670 S1: choose between both the special needs trust, which you've already 622 00:36:38,670 --> 00:36:41,950 S1: got the money put into drafting that that's great. And 623 00:36:41,950 --> 00:36:45,350 S1: then the able account for kind of the monthly income. So, uh, 624 00:36:45,350 --> 00:36:47,989 S1: I hope that helps. Roland, we appreciate your call today, sir. 625 00:36:48,030 --> 00:36:50,550 S1: Lord bless you. Let's go down to Florida. Uh, Eugenia. 626 00:36:50,550 --> 00:36:51,070 S1: Go ahead. 627 00:36:52,670 --> 00:36:54,830 S8: Hi, Ron. Thank you for taking my call. 628 00:36:54,870 --> 00:36:55,350 S1: Sure. 629 00:36:56,110 --> 00:37:00,310 S8: Um. Um, I I'm a widow. Um, I just signed 630 00:37:00,310 --> 00:37:05,189 S8: up for Social Security. I'm 69 years young. I'm still employed, 631 00:37:05,590 --> 00:37:07,989 S8: and I wanted to know, what do you think it 632 00:37:07,989 --> 00:37:11,230 S8: would be wise. I think Jo Lynn's question earlier is 633 00:37:11,230 --> 00:37:14,629 S8: sort of like my question, um, wise for me to 634 00:37:14,670 --> 00:37:18,350 S8: use um, half of that Social Security to pay my 635 00:37:18,350 --> 00:37:22,149 S8: mortgage down, which I owe 189,000. And I know I'm 636 00:37:22,150 --> 00:37:24,790 S8: going to be retiring soon. I don't I'm thankful that 637 00:37:24,790 --> 00:37:27,030 S8: God has given me good health to go this far. 638 00:37:27,550 --> 00:37:30,230 S1: Yes, ma'am. That's great. And what is the, uh, the 639 00:37:30,230 --> 00:37:31,870 S1: interest rate on that mortgage? 640 00:37:33,350 --> 00:37:35,030 S8: Um, 4.75. 641 00:37:35,270 --> 00:37:38,390 S1: Okay. And do you already have an emergency fund? Do 642 00:37:38,390 --> 00:37:39,790 S1: you have some liquid savings? 643 00:37:40,390 --> 00:37:42,070 S8: I have three months. 644 00:37:42,390 --> 00:37:47,230 S1: Okay. Yeah. Um, great. And so the Social Security. 645 00:37:47,310 --> 00:37:50,589 S8: At least, at least my car and I don't, I 646 00:37:50,630 --> 00:37:54,660 S8: have about $7,000 in debt and credit cards. That's it. 647 00:37:54,940 --> 00:37:55,820 S8: And my home. 648 00:37:56,660 --> 00:38:00,900 S1: Okay. Got it. Uh, yeah. And so you are. Your 649 00:38:00,900 --> 00:38:03,100 S1: bills are covered from your work. You're not having to 650 00:38:03,140 --> 00:38:04,900 S1: spend any of the Social Security. 651 00:38:05,420 --> 00:38:06,340 S8: Right? 652 00:38:06,580 --> 00:38:07,060 S1: Okay. 653 00:38:07,100 --> 00:38:07,420 S5: Got it. 654 00:38:07,820 --> 00:38:11,379 S1: Yeah. I wouldn't pay down that mortgage right now. I 655 00:38:11,380 --> 00:38:14,060 S1: think you have some other priorities that would come first. 656 00:38:14,060 --> 00:38:18,020 S1: First would be I would eliminate that credit card debt because, 657 00:38:18,180 --> 00:38:22,419 S1: you know, that's likely between 15 and 25% interest. So 658 00:38:22,420 --> 00:38:25,779 S1: that's a guaranteed high return. That's going to be the 659 00:38:25,780 --> 00:38:30,980 S1: most compelling use of that money that is now extra income. Um, 660 00:38:30,980 --> 00:38:33,340 S1: so I would say do that immediately. Second, as I 661 00:38:33,340 --> 00:38:36,060 S1: would strengthen that emergency fund to ensure that we don't 662 00:38:36,060 --> 00:38:38,820 S1: ever go back to having high interest credit card debt 663 00:38:39,020 --> 00:38:41,180 S1: and build that up once the credit card debt is 664 00:38:41,180 --> 00:38:44,339 S1: gone from 3 to 6 months expenses, especially since you're 665 00:38:44,340 --> 00:38:47,980 S1: about to retire. We want six months expenses at a minimum, 666 00:38:47,980 --> 00:38:51,620 S1: because you have less flexibility in retirement and more need 667 00:38:51,620 --> 00:38:55,460 S1: for reserves. Once those two things are in place, then 668 00:38:55,460 --> 00:39:00,020 S1: I think we could evaluate the mortgage and either, um, 669 00:39:00,100 --> 00:39:04,020 S1: you know, just start paying extra toward the interest to 670 00:39:04,060 --> 00:39:06,339 S1: try to pay it down as you're able to on 671 00:39:06,340 --> 00:39:09,700 S1: a monthly basis. I think that would be great. Um, 672 00:39:09,940 --> 00:39:12,420 S1: you know, or you could, uh, because it's a fairly 673 00:39:12,420 --> 00:39:14,739 S1: low interest rate, you know, turn around and, and just 674 00:39:14,739 --> 00:39:18,379 S1: start investing this to build up something else. Um, but 675 00:39:18,380 --> 00:39:21,660 S1: I think in the meantime, while you're still working, I 676 00:39:21,660 --> 00:39:23,980 S1: would really prioritize getting rid of that credit card debt, 677 00:39:24,020 --> 00:39:27,260 S1: getting that emergency fund up. And then if you're wanting 678 00:39:27,300 --> 00:39:30,300 S1: to try to, you know, pay down that mortgage balance, 679 00:39:30,300 --> 00:39:31,819 S1: I would say that would come next. 680 00:39:32,300 --> 00:39:34,940 S8: Oh, thank you so much. All right. For you. 681 00:39:35,140 --> 00:39:37,500 S1: You're welcome. Thanks for your call today. Lord bless you. 682 00:39:37,540 --> 00:39:37,940 S5: Okay. 683 00:39:38,180 --> 00:39:41,620 S1: Alrighty. Let's go to Michigan. Hi, Sandy. How can I help? 684 00:39:42,780 --> 00:39:45,219 S9: Hi. Thank you for taking my call. This is my 685 00:39:45,219 --> 00:39:48,060 S9: first time, so I probably have a stupid question. 686 00:39:48,100 --> 00:39:50,780 S1: No problem. There are no stupid questions. How can I help? 687 00:39:51,900 --> 00:39:57,459 S9: So, um, I have enough money in my checking, uh, 688 00:39:57,700 --> 00:40:02,540 S9: about 17,000. But I always hear that it's not safe 689 00:40:02,540 --> 00:40:05,180 S9: to keep that kind of money. That much money in 690 00:40:05,180 --> 00:40:09,060 S9: your checking. Is that is that true or should I 691 00:40:09,219 --> 00:40:10,380 S9: put it somewhere else? 692 00:40:10,940 --> 00:40:16,100 S1: Yeah. Yeah. It's really about, um, efficiency versus accessibility. There's 693 00:40:16,100 --> 00:40:18,700 S1: not a hard rule here. I think it's wise to 694 00:40:18,739 --> 00:40:21,660 S1: keep a few thousand dollars in checking, but anything beyond 695 00:40:21,660 --> 00:40:24,819 S1: what you need for your monthly cash flow and a 696 00:40:24,820 --> 00:40:27,060 S1: little bit of a buffer so you're not drawing it, 697 00:40:27,100 --> 00:40:29,900 S1: you know, down to zero. And you could ever, you know, 698 00:40:30,140 --> 00:40:32,259 S1: overdraw it or something. You don't want to get in 699 00:40:32,300 --> 00:40:36,540 S1: that position. But checking is really for paying bills, covering 700 00:40:36,540 --> 00:40:40,819 S1: monthly expenses and handling short term cash needs. So it's 701 00:40:40,820 --> 00:40:44,740 S1: not storage, it's money that's moving in and out. And 702 00:40:44,739 --> 00:40:48,259 S1: so I would say up to two months of expenses. 703 00:40:48,739 --> 00:40:52,420 S1: And then beyond that, I would say, let's move that 704 00:40:52,420 --> 00:40:56,739 S1: money over to a high yield savings account that's perhaps 705 00:40:56,739 --> 00:41:01,260 S1: linked to your checking account. Reason being, you're probably getting 706 00:41:01,260 --> 00:41:05,460 S1: less than 1%. You know, maybe even 0.1% interest on 707 00:41:05,460 --> 00:41:09,500 S1: your checking account. And you could be getting upwards of 4% 708 00:41:09,500 --> 00:41:12,660 S1: on savings. And it's a little harder to get to it. 709 00:41:12,700 --> 00:41:14,980 S1: It takes a, you know, an extra couple of days 710 00:41:14,980 --> 00:41:17,620 S1: through the ACH system to transfer it back and forth. 711 00:41:17,620 --> 00:41:20,460 S1: And that's not a bad thing because you don't want 712 00:41:20,460 --> 00:41:22,660 S1: to spend your surplus. You want to hang on to 713 00:41:22,660 --> 00:41:25,460 S1: it for the unexpected. Does that make sense? 714 00:41:26,620 --> 00:41:29,700 S9: Yes. But I am getting that, you know, they give 715 00:41:29,700 --> 00:41:36,739 S9: the checking for 4%, 3.7%, okay. In in the credit union. 716 00:41:37,100 --> 00:41:40,500 S9: So they're giving that, you know, obviously a year, I 717 00:41:40,500 --> 00:41:45,340 S9: think I get about 400 something dollars. I don't know 718 00:41:45,940 --> 00:41:48,090 S9: if you're aware of those. A lot of checking accounts 719 00:41:48,130 --> 00:41:51,490 S9: have that person, you know. Yes. Money. If you spend 720 00:41:51,489 --> 00:41:52,850 S9: ten times or something. 721 00:41:53,330 --> 00:41:56,130 S1: Yeah. I mean, that's if in fact, you're getting a 722 00:41:56,130 --> 00:42:00,650 S1: true 3.7%. That's great. That's very good. And so then 723 00:42:00,690 --> 00:42:03,810 S1: what is the downside? The only downside at that point 724 00:42:04,010 --> 00:42:09,410 S1: would just be separation. Because you don't want accidental overspending 725 00:42:09,410 --> 00:42:12,569 S1: or lose track of what's available for spending and what's 726 00:42:12,610 --> 00:42:17,850 S1: really reserved for emergencies or specific savings goals. So that's 727 00:42:17,850 --> 00:42:21,410 S1: why I think, you know, you separating out anything beyond 728 00:42:21,410 --> 00:42:24,609 S1: 1 to 2 months expenses and a buffer to a 729 00:42:24,610 --> 00:42:27,250 S1: true savings account where you're getting the same or higher 730 00:42:27,250 --> 00:42:31,370 S1: interest rate might be helpful over time. And there's even 731 00:42:31,370 --> 00:42:34,850 S1: a mental kind of protection there to not spend that money. 732 00:42:35,050 --> 00:42:37,009 S1: Thanks for your call, Sandy. We appreciate you being a 733 00:42:37,010 --> 00:42:40,770 S1: first time caller. Tara, Taylor, Josh and Omar, my amazing 734 00:42:40,810 --> 00:42:43,130 S1: team today. Come back and join us tomorrow. We'll see 735 00:42:43,130 --> 00:42:44,050 S1: you then. Bye bye.