1 00:00:08,520 --> 00:00:12,400 S1: A single opportunity can change the trajectory of a child's life. 2 00:00:12,560 --> 00:00:17,160 S1: For girls in Uganda, that opportunity often begins with education. Hi, 3 00:00:17,160 --> 00:00:20,760 S1: I'm Rob West. Around the world, poverty creates barriers to 4 00:00:20,800 --> 00:00:24,560 S1: learning that shape a child's future. But in Uganda, ministries 5 00:00:24,560 --> 00:00:28,400 S1: are helping rewrite those stories today. Erin Griggs joins us 6 00:00:28,400 --> 00:00:31,480 S1: to share how Cross International is helping young women stay 7 00:00:31,480 --> 00:00:34,599 S1: in school and pursue their God given calling. And then 8 00:00:34,600 --> 00:00:38,760 S1: it's on to your calls at 800 525 7000. This 9 00:00:38,760 --> 00:00:42,800 S1: is faith and finance. Live biblical wisdom for your financial journey. 10 00:00:45,960 --> 00:00:48,839 S1: Our guest today is Erin Griggs from Cross International, a 11 00:00:48,840 --> 00:00:53,360 S1: Christian humanitarian and development ministry were honored to partner with. Erin. 12 00:00:53,360 --> 00:00:54,680 S1: Great to have you back with us. 13 00:00:54,720 --> 00:00:55,920 S2: Hey, great to be here, Rob. 14 00:00:56,320 --> 00:00:59,680 S1: Erin, for listeners who may be hearing about Cross International 15 00:00:59,680 --> 00:01:02,459 S1: for the first time. Help us understand the mission of 16 00:01:02,460 --> 00:01:05,500 S1: the ministry and how you're serving communities around the world. 17 00:01:05,860 --> 00:01:09,180 S2: Well, Across international exists to serve some of the world's 18 00:01:09,180 --> 00:01:12,899 S2: poorest and most vulnerable children and families. For the glory 19 00:01:12,900 --> 00:01:16,660 S2: of God. And our work is made possible by people 20 00:01:16,660 --> 00:01:18,980 S2: just like you who are listening. You're the ones that 21 00:01:18,980 --> 00:01:22,940 S2: fuel our mission through your compassion and generosity. And when 22 00:01:22,940 --> 00:01:26,220 S2: you partner with Cross International, you're also partnering with local 23 00:01:26,220 --> 00:01:30,179 S2: Christian ministries in Africa and other places where we serve 24 00:01:30,420 --> 00:01:33,420 S2: from bustling urban settings all the way out to remote 25 00:01:33,459 --> 00:01:38,340 S2: rural villages. We work closely alongside these local ministries and 26 00:01:38,340 --> 00:01:41,220 S2: churches as they're the ones who live in those communities. 27 00:01:41,220 --> 00:01:44,540 S2: They have a deep understanding of both the physical and 28 00:01:44,540 --> 00:01:49,100 S2: spiritual needs, and we aim to provide immediate help while 29 00:01:49,100 --> 00:01:52,300 S2: also creating sustainable change over the long term. 30 00:01:52,580 --> 00:01:55,580 S1: I think that's such a differentiator here. I love that 31 00:01:55,580 --> 00:01:58,380 S1: you partnered with these local ministries on the ground that 32 00:01:58,380 --> 00:02:01,360 S1: are there for the long haul, so you're not dropping in, 33 00:02:01,400 --> 00:02:05,920 S1: providing assistance and taking off. But there's an ongoing relationship 34 00:02:05,920 --> 00:02:09,320 S1: there that's incredible. Aaron, when we talk about poverty in 35 00:02:09,320 --> 00:02:12,919 S1: places like Uganda and Malawi and Zambia, what are the 36 00:02:12,960 --> 00:02:17,119 S1: everyday challenges children and families face that most of us 37 00:02:17,120 --> 00:02:18,040 S1: never witness? 38 00:02:18,080 --> 00:02:21,079 S2: Certainly, we all face challenges and trials, and that's not 39 00:02:21,080 --> 00:02:24,440 S2: to minimize what anyone here faces, but to put it bluntly, 40 00:02:24,440 --> 00:02:27,920 S2: in those places, their challenges are really a matter of 41 00:02:27,919 --> 00:02:30,520 S2: life and death. And in fact, for many of the 42 00:02:30,520 --> 00:02:33,880 S2: children in our programs, the daily meal that they receive 43 00:02:33,880 --> 00:02:37,320 S2: from Cross International is actually their only meal of the day. 44 00:02:37,880 --> 00:02:40,200 S2: And then when there's no clean water in the community, 45 00:02:40,240 --> 00:02:43,280 S2: women and girls are spending hours a day walking long 46 00:02:43,280 --> 00:02:48,000 S2: distances to gather water from open sources that's contaminated. And 47 00:02:48,000 --> 00:02:50,320 S2: they know it's likely going to make their families sick, 48 00:02:50,480 --> 00:02:53,160 S2: but they have no choice because it's the only water 49 00:02:53,160 --> 00:02:58,000 S2: that's available. And within these communities, preventable diseases spread quickly. 50 00:02:58,460 --> 00:03:01,579 S2: They wreak havoc because there's no access to medical treatment. 51 00:03:02,100 --> 00:03:05,380 S2: But then, beyond physical health, kids are unable to attend 52 00:03:05,419 --> 00:03:09,220 S2: school as parents and caretakers simply can't afford to send 53 00:03:09,220 --> 00:03:14,140 S2: them when education is interrupted. Girls, in particular in these areas, 54 00:03:14,139 --> 00:03:18,220 S2: face heightened vulnerability. And we know that without education, kids 55 00:03:18,220 --> 00:03:22,419 S2: then grow into adults with very little opportunity. And this 56 00:03:22,419 --> 00:03:25,540 S2: is how the cycle of poverty continues from one generation 57 00:03:25,540 --> 00:03:28,540 S2: to the next. So it's kind of a cruel irony 58 00:03:28,580 --> 00:03:32,500 S2: where the one thing that could help release kids from 59 00:03:32,500 --> 00:03:35,660 S2: poverty education is not available. 60 00:03:36,260 --> 00:03:39,460 S1: Yeah. Aaron, that is heartbreaking. And I'm so delighted about 61 00:03:39,460 --> 00:03:43,100 S1: the work that you're doing to break this cycle. You 62 00:03:43,100 --> 00:03:46,740 S1: talked about the unique pressures girls encounter in these settings. 63 00:03:46,780 --> 00:03:49,820 S1: Can you describe what that vulnerability means for them day 64 00:03:49,820 --> 00:03:50,260 S1: to day? 65 00:03:50,300 --> 00:03:53,380 S2: Yeah. When resources are limited, girls are often the first 66 00:03:53,380 --> 00:03:56,300 S2: ones to be pulled out of school, sadly. And in 67 00:03:56,300 --> 00:03:59,480 S2: some communities, they face pressure to marry at a very 68 00:03:59,480 --> 00:04:03,240 S2: young age. So what does this look like? Well, sometimes 69 00:04:03,240 --> 00:04:07,280 S2: parents are so desperate for income that they will actually 70 00:04:07,280 --> 00:04:10,000 S2: give away their daughters. And we're talking as young as 71 00:04:10,000 --> 00:04:13,120 S2: 11 or 12 years old to be married so that 72 00:04:13,120 --> 00:04:16,680 S2: the family can collect the marriage dowry. It's an impossible 73 00:04:16,680 --> 00:04:20,000 S2: choice they face between feeding their family, providing for their 74 00:04:20,000 --> 00:04:23,720 S2: other kids, or sending their oldest daughter away. And then 75 00:04:23,720 --> 00:04:27,960 S2: other girls are orphaned or abandoned, and leaving school. Getting 76 00:04:27,960 --> 00:04:30,880 S2: married at an early age often leads to early motherhood. 77 00:04:31,200 --> 00:04:33,880 S2: And then these teen moms are at high risk of 78 00:04:33,880 --> 00:04:38,000 S2: becoming victims of gender based violence and abuse. So these 79 00:04:38,000 --> 00:04:41,400 S2: girls face a hopeless future, and then their children grow 80 00:04:41,400 --> 00:04:44,120 S2: up with next to nothing. And again, it just perpetuates 81 00:04:44,120 --> 00:04:45,400 S2: the cycle of poverty. 82 00:04:45,880 --> 00:04:49,440 S1: Wow. Well, we're going to continue to talk about this, folks. 83 00:04:49,440 --> 00:04:53,280 S1: This is why we're partnering this quarter with Cross International. 84 00:04:53,279 --> 00:04:57,340 S1: So as you manage God's money according to biblical principles, 85 00:04:57,339 --> 00:05:00,300 S1: and you have capacity to give, and you want to 86 00:05:00,300 --> 00:05:03,460 S1: prioritize that giving toward real needs that are being met 87 00:05:03,460 --> 00:05:05,539 S1: in the name of Jesus. We want to shine a 88 00:05:05,540 --> 00:05:09,979 S1: light on Cross International. Every $62 given helps one of 89 00:05:09,980 --> 00:05:13,900 S1: these vulnerable children for a year, and you can go 90 00:05:13,900 --> 00:05:17,180 S1: to Faith cross to do that. Now back with Aaron 91 00:05:17,180 --> 00:05:31,900 S1: Griggs after this. Stay with us. You know, when a 92 00:05:31,900 --> 00:05:35,500 S1: child is given education, love and the hope of the gospel, 93 00:05:35,500 --> 00:05:39,380 S1: everything can change. And that's certainly true for a child 94 00:05:39,380 --> 00:05:42,420 S1: in Uganda today we're joined by Aaron Griggs. He's with 95 00:05:42,420 --> 00:05:45,740 S1: Cross International, and we're shining a light on the incredible 96 00:05:45,740 --> 00:05:49,020 S1: work that cross is doing around the world to provide food, 97 00:05:49,020 --> 00:05:53,020 S1: clean water and education, along with essential care for those 98 00:05:53,020 --> 00:05:57,390 S1: in need in Malawi, Zambia, Uganda and other countries where 99 00:05:57,390 --> 00:06:01,110 S1: Cross International is at work. They provide these children with 100 00:06:01,110 --> 00:06:06,390 S1: prepacked vitamin fortified rice, as well as meeting their needs 101 00:06:06,390 --> 00:06:09,469 S1: and sharing the gospel with them throughout the year. Partnering 102 00:06:09,470 --> 00:06:13,990 S1: with local ministries every $62 given helps one child and 103 00:06:13,990 --> 00:06:17,750 S1: one of these vulnerable places in the world. We've set 104 00:06:17,750 --> 00:06:22,990 S1: a goal this quarter to help 250 children, and every 105 00:06:22,990 --> 00:06:27,470 S1: $62 given helps one child for 12 months. So if 106 00:06:27,510 --> 00:06:31,630 S1: you'll head to Faith B-complex, you can help us. This 107 00:06:31,630 --> 00:06:34,950 S1: isn't an ongoing sponsorship. It's a one time gift. And again, 108 00:06:35,150 --> 00:06:37,630 S1: whatever you can do, we'd be grateful we're not quite 109 00:06:37,630 --> 00:06:39,510 S1: to our goal yet. We still have a ways to go, 110 00:06:39,510 --> 00:06:41,870 S1: but you can help us get there again. You can 111 00:06:41,870 --> 00:06:45,870 S1: make your gift at Faith B-complex Aaron, before the break, 112 00:06:45,870 --> 00:06:48,510 S1: you were describing how this work is done, and you 113 00:06:48,510 --> 00:06:53,310 S1: mentioned the critical role of the local partners, these trusted 114 00:06:53,310 --> 00:06:57,169 S1: local partners on the ground who know their communities best. 115 00:06:57,170 --> 00:07:00,130 S1: I want to unpack that a bit more and specifically 116 00:07:00,130 --> 00:07:06,410 S1: highlight one of those local partners in Uganda, Project Princess Initiative. 117 00:07:06,850 --> 00:07:09,650 S1: Share that with us. What does that collaboration look like? 118 00:07:10,490 --> 00:07:14,450 S2: Yeah, Rob, like all of Cross International's ministry partners, Project 119 00:07:14,450 --> 00:07:18,650 S2: Princess Initiative is a Christ centered local ministry. And they're 120 00:07:18,650 --> 00:07:23,090 S2: located in Kampala, the capital city, large capital city of Uganda. 121 00:07:23,730 --> 00:07:26,970 S2: So together with them, we walk alongside vulnerable girls. We 122 00:07:26,970 --> 00:07:29,930 S2: mentor them, help them to stay in school, provide the 123 00:07:29,930 --> 00:07:34,410 S2: resources they need to do that, teach them practical career skills, 124 00:07:34,410 --> 00:07:38,490 S2: and all the while instilling confidence as they recognize their 125 00:07:38,490 --> 00:07:42,490 S2: value and worth in Christ. The result, then, is that 126 00:07:42,490 --> 00:07:45,650 S2: these girls are empowered. They experience growth in their walk 127 00:07:45,650 --> 00:07:48,450 S2: with the Lord, and doors are opened for their future 128 00:07:48,450 --> 00:07:52,570 S2: that otherwise would not have existed. And something that's really 129 00:07:52,570 --> 00:07:54,870 S2: cool with the program. A lot of times as these 130 00:07:54,870 --> 00:07:59,310 S2: girls grow older, having found restored identity and hope in Christ, 131 00:07:59,350 --> 00:08:02,910 S2: they then will seek to give back and bless others 132 00:08:02,910 --> 00:08:04,430 S2: the way that they have been blessed. 133 00:08:04,830 --> 00:08:08,150 S1: Incredible. I love that. Well, I know you brought some 134 00:08:08,150 --> 00:08:11,510 S1: audio from Uganda that puts a face to this story. 135 00:08:11,750 --> 00:08:14,710 S1: We're about to hear from a young woman named Karen. 136 00:08:14,750 --> 00:08:18,790 S3: Hey everyone. My name is Karen and I'm a girl 137 00:08:18,790 --> 00:08:23,110 S3: from Uganda. And I am a princess from the Project 138 00:08:23,110 --> 00:08:27,190 S3: Princess initiative. I've been with them for eight years. Glory 139 00:08:27,190 --> 00:08:30,070 S3: to God and I thank you all for partnering with 140 00:08:30,110 --> 00:08:35,110 S3: Cross International. Well, eight years ago it was dark. Real dark. 141 00:08:35,510 --> 00:08:38,990 S3: My dad had abandoned me, told me I'm no longer 142 00:08:38,990 --> 00:08:42,510 S3: going to facilitate your education. And the problem is that 143 00:08:42,670 --> 00:08:45,550 S3: I had this first tuition that I wanted to study. 144 00:08:45,790 --> 00:08:48,670 S3: I had the ambition to study, but I did not 145 00:08:48,670 --> 00:08:53,270 S3: have the opportunity. So with that, I had depression. I 146 00:08:53,490 --> 00:08:56,929 S3: was hopeless and I was staying in the ghetto, in 147 00:08:56,929 --> 00:09:00,370 S3: the slums. And as I was there, there were my friends. 148 00:09:00,370 --> 00:09:04,010 S3: And there is drugs, there is sex, there is alcohol. 149 00:09:04,330 --> 00:09:07,810 S3: I was there contemplating what should I do? Most of 150 00:09:07,809 --> 00:09:10,850 S3: my friends, the ones I left there, they have about 151 00:09:10,850 --> 00:09:15,210 S3: five children. They are into the black market doing alcohol 152 00:09:15,210 --> 00:09:17,850 S3: and doing drugs. And some have even died at a 153 00:09:17,850 --> 00:09:21,250 S3: very young age. So that was my life. Today is 154 00:09:21,370 --> 00:09:24,290 S3: a bright day. It's a day full of opportunities. Full 155 00:09:24,290 --> 00:09:25,970 S3: of another chance. 156 00:09:26,010 --> 00:09:29,530 S1: Wow. Aaron. Hearing Karen tell her story from where she 157 00:09:29,530 --> 00:09:32,089 S1: started to where she is now. I'd love to know 158 00:09:32,090 --> 00:09:33,610 S1: what really stands out to you. 159 00:09:33,650 --> 00:09:36,210 S2: Well, I wish you all had the opportunity to meet Karen, 160 00:09:36,210 --> 00:09:39,929 S2: to see her smile. Her story is amazing and her 161 00:09:39,929 --> 00:09:44,530 S2: passion for following Christ and helping others is contagious. The 162 00:09:44,530 --> 00:09:48,410 S2: turnaround that Karen experienced was dramatic because of the support 163 00:09:48,410 --> 00:09:51,770 S2: and the guidance she received through Project Princess, made possible 164 00:09:51,770 --> 00:09:55,550 S2: by people like you. Partnering with Cross International. Not only 165 00:09:55,550 --> 00:09:57,830 S2: was she able to return to school, but she went 166 00:09:57,830 --> 00:10:01,630 S2: on to attend college where she studied economics. And this 167 00:10:01,630 --> 00:10:03,830 S2: just doesn't happen for girls that grew up in the 168 00:10:03,830 --> 00:10:07,870 S2: situation she was in without intervention. And Karen was deeply 169 00:10:07,870 --> 00:10:11,550 S2: impacted spiritually through the program as she was mentored by 170 00:10:11,590 --> 00:10:14,670 S2: caring and compassionate Christian women. They met her right where 171 00:10:14,670 --> 00:10:17,309 S2: she was and helped her realize how much she is 172 00:10:17,309 --> 00:10:20,110 S2: loved and valued by God, the one who will never 173 00:10:20,110 --> 00:10:23,270 S2: abandon her. And to think that Karen may never have 174 00:10:23,270 --> 00:10:26,589 S2: even heard about Jesus were it not for this program. 175 00:10:26,910 --> 00:10:30,750 S2: And today, it's come full circle for Karen as she 176 00:10:30,750 --> 00:10:34,110 S2: pursues a promising career. She also now takes time to 177 00:10:34,150 --> 00:10:38,350 S2: mentor girls at Project Princess in situations similar to what 178 00:10:38,350 --> 00:10:41,350 S2: she faced, wanting them to experience the same kind of 179 00:10:41,350 --> 00:10:42,950 S2: transformation that she did. 180 00:10:43,350 --> 00:10:46,910 S1: Wow. Well, I know she also emphasizes the importance of 181 00:10:46,910 --> 00:10:49,550 S1: keeping Christ at the center of this work. Listen to 182 00:10:49,550 --> 00:10:50,350 S1: this short clip. 183 00:10:50,390 --> 00:10:53,689 S3: There is nothing, no system in the world that really 184 00:10:53,690 --> 00:10:58,050 S3: stands without God. So that's why I loved Project Princess Initiative, 185 00:10:58,050 --> 00:11:01,530 S3: because it has the God aspect. It's actually the nucleus 186 00:11:01,530 --> 00:11:04,970 S3: of the organization. We just we just do not come 187 00:11:04,970 --> 00:11:09,130 S3: and learn how to make, um, biscuits and bake and 188 00:11:09,130 --> 00:11:13,570 S3: bake cakes and make jewelry. We actually have circles. We 189 00:11:13,610 --> 00:11:17,370 S3: come hold hands and pray with the girls, because a 190 00:11:17,370 --> 00:11:21,690 S3: family that prays together always sticks together. Through the project, 191 00:11:21,690 --> 00:11:25,050 S3: we see the love of Christ coming through us. Because 192 00:11:25,090 --> 00:11:28,050 S3: love is not love. And unless I see the actions. 193 00:11:28,330 --> 00:11:30,449 S3: So it has taught us to be selfless. 194 00:11:30,690 --> 00:11:33,370 S1: I absolutely love that. And it reminds me of first 195 00:11:33,370 --> 00:11:36,770 S1: John 318 where we're called not to love with just 196 00:11:36,770 --> 00:11:40,449 S1: words and speech, but with actions and truth. And when 197 00:11:40,450 --> 00:11:43,490 S1: we look at Karen's story, we see that clear as day. 198 00:11:43,530 --> 00:11:47,170 S1: It doesn't merely stop at survival. She's now looking to 199 00:11:47,210 --> 00:11:50,210 S1: the future to see how she can best serve others. 200 00:11:50,410 --> 00:11:52,830 S1: Let's listen to one more clip from her. 201 00:11:52,870 --> 00:11:56,110 S3: I feel God was leading me to do economics. Why? 202 00:11:56,150 --> 00:11:59,750 S3: Because I have a passion for change. So I did 203 00:11:59,750 --> 00:12:04,390 S3: economics because I was aiming at the policy aspect. You 204 00:12:04,390 --> 00:12:08,150 S3: learn economics not just to learn and be an intellectual, 205 00:12:08,150 --> 00:12:10,309 S3: but I had this in mind that I wanted to 206 00:12:10,309 --> 00:12:13,950 S3: change Uganda. I wanted to change Africa. And I also 207 00:12:13,990 --> 00:12:17,230 S3: wanted to extend this change to the world. 208 00:12:17,429 --> 00:12:21,830 S1: Wow, that is powerful. Aaron, how does faith shape the 209 00:12:21,830 --> 00:12:25,750 S1: way cross and your local partners approach education and empowerment? 210 00:12:25,790 --> 00:12:28,910 S2: Yeah, faith is central to all we do. Of course, 211 00:12:28,910 --> 00:12:32,030 S2: many people around the world are extremely well educated, and 212 00:12:32,030 --> 00:12:35,230 S2: yet they're empty inside. So we know that education alone 213 00:12:35,230 --> 00:12:39,350 S2: is not enough. Only Jesus Christ can transform people's hearts. 214 00:12:39,350 --> 00:12:41,870 S2: And so that's why we focus on the whole person 215 00:12:42,270 --> 00:12:47,670 S2: aiming for physical, spiritual, emotional, and practical growth. Education plays 216 00:12:47,670 --> 00:12:50,730 S2: a vital role in empowering girls to use their God 217 00:12:50,730 --> 00:12:55,929 S2: given talents and abilities while also creating future opportunities. And ultimately, 218 00:12:55,929 --> 00:12:58,130 S2: the goal is for each girl to grow into the 219 00:12:58,130 --> 00:13:01,089 S2: woman God has called her to be. And so we 220 00:13:01,090 --> 00:13:03,850 S2: invite you to join with us in our local ministry partners, 221 00:13:03,850 --> 00:13:07,170 S2: through prayer and support to brighten the future of girls 222 00:13:07,170 --> 00:13:07,969 S2: like Karen. 223 00:13:08,570 --> 00:13:11,090 S1: We're about out of time, Aaron, for listeners who want 224 00:13:11,090 --> 00:13:13,569 S1: to be involved, want to come alongside this work? What 225 00:13:13,570 --> 00:13:14,450 S1: can they do today? 226 00:13:14,490 --> 00:13:18,250 S2: Yeah. So faithful listeners are partnering with Cross International to 227 00:13:18,290 --> 00:13:24,170 S2: help serve 250 children across Uganda, Malawi and Zambia, and 228 00:13:24,170 --> 00:13:27,209 S2: a gift of just $62 helps reach one child with 229 00:13:27,250 --> 00:13:31,290 S2: up to a year's worth of life saving resources like education, food, 230 00:13:31,610 --> 00:13:35,530 S2: the hope of the gospel. You can help ten with $620. 231 00:13:36,250 --> 00:13:39,530 S2: We're told in Psalm 82 three to defend the weak 232 00:13:39,530 --> 00:13:42,329 S2: and the fatherless, uphold the cause of the poor and 233 00:13:42,330 --> 00:13:45,089 S2: the oppressed, and you have an opportunity to do just 234 00:13:45,090 --> 00:13:49,830 S2: that by partnering with us today at Faith. Slash cross. 235 00:13:50,270 --> 00:13:53,510 S1: Incredible folks, as you manage God's money wisely and you 236 00:13:53,510 --> 00:13:56,470 S1: want to give to the causes on the heart of God, 237 00:13:56,470 --> 00:13:59,470 S1: we want to shine a light on incredible ministries. Doing 238 00:13:59,470 --> 00:14:02,189 S1: incredible work in the name of Jesus. Cross international is 239 00:14:02,190 --> 00:14:04,790 S1: one of those. Would you help us reach our goal? 240 00:14:04,950 --> 00:14:08,429 S1: Helping 250 children and one of these vulnerable places in 241 00:14:08,429 --> 00:14:14,390 S1: the world just go to faith.com/every $62 helps a child. Erin, 242 00:14:14,390 --> 00:14:15,270 S1: thanks for being here. 243 00:14:15,790 --> 00:14:16,910 S2: Thanks for having me. Rob. 244 00:14:17,190 --> 00:14:20,030 S1: We'll be right back with your questions after this. Stick around. 245 00:14:26,670 --> 00:14:29,910 S4: The opinions offered during this program represent the personal or 246 00:14:29,910 --> 00:14:34,310 S4: professional opinions of the participants, given for informational purposes only. 247 00:14:34,630 --> 00:14:38,070 S4: Any information provided is not intended to replace advice from 248 00:14:38,070 --> 00:14:42,270 S4: a financial, medical, legal, or other professional who understands your 249 00:14:42,270 --> 00:14:43,830 S4: specific situation. 250 00:14:51,810 --> 00:14:54,130 S1: Thanks for joining us today on Faith and Finance Live 251 00:14:54,130 --> 00:14:57,170 S1: I'm Rob West. Hey, are you in the Cleveland area? Well, 252 00:14:57,170 --> 00:15:01,490 S1: I'm coming your way tomorrow. That's right. You are invited 253 00:15:01,490 --> 00:15:04,970 S1: to join us at Cuyahoga Valley Christian Academy. We will 254 00:15:04,970 --> 00:15:10,610 S1: be doing this broadcast live from CV, CVC. That's right. 255 00:15:10,610 --> 00:15:15,530 S1: Cuyahoga Valley tomorrow, 4 p.m. eastern. And we'll be coming 256 00:15:15,570 --> 00:15:18,210 S1: to you live from Cleveland. And we'd love for you 257 00:15:18,210 --> 00:15:20,770 S1: to be there. So if you're in the area, head out. 258 00:15:20,890 --> 00:15:24,610 S1: Join us there. Get there around 330, if you will. 259 00:15:24,610 --> 00:15:27,050 S1: We'd love for you to be there for the live broadcast. 260 00:15:27,050 --> 00:15:29,730 S1: I'd love to meet you. Some students are going to 261 00:15:29,730 --> 00:15:33,170 S1: be there from Cuyahoga Valley as well. They're going to 262 00:15:33,170 --> 00:15:35,770 S1: be a part of the show asking some great questions. 263 00:15:35,770 --> 00:15:38,410 S1: Dave Szafranski is going to be there if you're in 264 00:15:38,450 --> 00:15:42,410 S1: that area. You know Dave well, but our national audience 265 00:15:42,410 --> 00:15:46,290 S1: will hear us broadcasting live from there tomorrow and our 266 00:15:46,290 --> 00:15:49,350 S1: opening segments with Dave. We're going to be talking about 267 00:15:49,350 --> 00:15:52,790 S1: a biblical approach to retirement, and then we'll be taking 268 00:15:52,790 --> 00:15:56,070 S1: some really thoughtful questions from the students in the live 269 00:15:56,070 --> 00:15:58,670 S1: studio audience. It's going to be a lot of fun. 270 00:15:58,830 --> 00:16:03,510 S1: It's tomorrow, February 26th, Cuyahoga Valley Christian Academy, if you're 271 00:16:03,510 --> 00:16:05,870 S1: in the Cleveland area, come out and join us. Get 272 00:16:05,870 --> 00:16:08,109 S1: there a few minutes early and be ready for the broadcast. 273 00:16:08,110 --> 00:16:12,270 S1: If you want more details, go to Moody Radio.com. That's 274 00:16:12,310 --> 00:16:17,750 S1: Moody Radio.com. Just click on the community calendar. Well, in 275 00:16:17,750 --> 00:16:19,630 S1: a few moments, we're going to begin taking your calls 276 00:16:19,630 --> 00:16:22,710 S1: and questions. The way to get in on today's broadcast 277 00:16:22,710 --> 00:16:28,390 S1: is to call right now 800 525 7000. That's 800 278 00:16:28,470 --> 00:16:32,510 S1: 525 7000. You know, I love where we started today, 279 00:16:32,670 --> 00:16:36,350 S1: this idea that we can align our resources with something 280 00:16:36,350 --> 00:16:38,710 S1: on the heart of God, and that is to serve 281 00:16:38,710 --> 00:16:42,070 S1: the poor and the vulnerable with a portion of what 282 00:16:42,110 --> 00:16:44,910 S1: God has entrusted to us. And you know, when we 283 00:16:44,950 --> 00:16:49,160 S1: give as Christ followers The grace that has been extended 284 00:16:49,160 --> 00:16:54,359 S1: to us moves giving from pressure to privilege. Think about that. 285 00:16:54,360 --> 00:16:57,200 S1: Our giving is an overflow of the grace that God 286 00:16:57,200 --> 00:16:59,520 S1: has shown to us. It's not an I have to, 287 00:16:59,960 --> 00:17:04,000 S1: it's an I get to. And that understanding widens the 288 00:17:04,000 --> 00:17:08,520 S1: field beyond money. You see, this means generosity isn't limited 289 00:17:08,520 --> 00:17:12,240 S1: to the financial wealthy. Every believer, regardless of our income, 290 00:17:12,280 --> 00:17:15,200 S1: have received the riches of Christ in which that we 291 00:17:15,200 --> 00:17:18,280 S1: have something to offer. A word of encouragement, a shared meal, 292 00:17:18,320 --> 00:17:21,840 S1: an open door, an extra hour to serve, a gift, 293 00:17:22,040 --> 00:17:26,880 S1: a step of sacrificial giving that reflects the gospel we profess. 294 00:17:27,119 --> 00:17:31,159 S1: Because when grace takes root, open hands follow. And so 295 00:17:31,160 --> 00:17:34,200 S1: we want to challenge you to think about how, as 296 00:17:34,200 --> 00:17:37,160 S1: a response to the grace that you have been received. 297 00:17:37,240 --> 00:17:39,679 S1: Remember Ephesians two eight and nine by grace you have 298 00:17:39,680 --> 00:17:42,600 S1: been saved through faith. It is the gift of God. 299 00:17:42,840 --> 00:17:45,840 S1: And then this just powerful picture that we see that 300 00:17:45,840 --> 00:17:49,100 S1: the Apostle Paul writes to the church in Corinth, second 301 00:17:49,100 --> 00:17:51,460 S1: Corinthians eight nine, you know the grace of our Lord 302 00:17:51,460 --> 00:17:54,820 S1: Jesus Christ, that though he was rich, yet for your 303 00:17:54,859 --> 00:17:58,740 S1: sake he became poor, so that you by his poverty 304 00:17:58,940 --> 00:18:04,180 S1: might become rich. That powerful picture of divine generosity. You see, 305 00:18:04,220 --> 00:18:07,580 S1: Jesus didn't cling to his status or wealth or glory. 306 00:18:07,740 --> 00:18:12,580 S1: He poured himself out. Entering into our poverty so that 307 00:18:12,580 --> 00:18:15,660 S1: we might share in his riches. This is the heart 308 00:18:15,660 --> 00:18:18,740 S1: of the gospel. It's not just forgiveness from sin, but 309 00:18:18,740 --> 00:18:23,020 S1: transformation into a generous people. And so our giving then, 310 00:18:23,060 --> 00:18:26,020 S1: is not in an effort to earn God's favor. Rather, 311 00:18:26,220 --> 00:18:29,859 S1: it's a response to the favor we have already been given. Remember, 312 00:18:29,900 --> 00:18:33,540 S1: first John 419, we have loved or we love because 313 00:18:33,540 --> 00:18:37,500 S1: he first loved us. So that's why each quarter we 314 00:18:37,540 --> 00:18:40,980 S1: shine a light on an incredible ministry beyond Faith VI, 315 00:18:41,020 --> 00:18:44,500 S1: beyond Moody Radio and the Moody Bible Institute to some 316 00:18:44,500 --> 00:18:49,360 S1: amazing organizations doing work alongside us in the name of Jesus. 317 00:18:49,359 --> 00:18:52,560 S1: This quarter happens to be Cross International, but regardless of 318 00:18:52,560 --> 00:18:55,160 S1: where you give, starting with your local church and to 319 00:18:55,200 --> 00:18:58,040 S1: those ministries God has placed on your heart, think about 320 00:18:58,040 --> 00:19:01,200 S1: your giving not as a have to, but I get 321 00:19:01,200 --> 00:19:04,320 S1: to be a part of God's activity. What a privilege 322 00:19:04,320 --> 00:19:06,600 S1: that is. All right. We want to take your calls 323 00:19:06,600 --> 00:19:09,159 S1: and questions today. Those things you're wrestling with in your 324 00:19:09,160 --> 00:19:11,960 S1: financial life. So if you've got a question call right now, 325 00:19:11,960 --> 00:19:15,280 S1: our team is standing by. We're ready for you. 800 326 00:19:15,480 --> 00:19:19,600 S1: 525 7000. Let's begin in Illinois today. Gwendolyn. Go ahead. 327 00:19:19,640 --> 00:19:21,399 S5: Hi. Good afternoon. Can you hear. 328 00:19:21,400 --> 00:19:22,639 S1: Me? Thanks for calling. Yes, ma'am. 329 00:19:22,680 --> 00:19:28,160 S5: Yes. Um, my question is, I'm, um, recent retiree, and 330 00:19:28,160 --> 00:19:31,040 S5: I have not quite hit 65, but soon will be. 331 00:19:31,400 --> 00:19:34,159 S5: I'd like to know what's the best plan of action 332 00:19:34,160 --> 00:19:38,760 S5: to protect my home, which I still have about $78,000, uh, 333 00:19:39,320 --> 00:19:44,000 S5: for mortgage debt and, uh, my investments for one, not 334 00:19:44,000 --> 00:19:46,780 S5: for one. Now they are rolled over into an IRA. 335 00:19:46,980 --> 00:19:51,420 S5: And I also have 529 plans for grandkids. So I'm wondering, 336 00:19:51,420 --> 00:19:54,500 S5: is it better to do an estate plan so that 337 00:19:54,500 --> 00:19:58,780 S5: I can continue to make decisions on these investments? Or 338 00:19:58,820 --> 00:20:01,580 S5: should I put them into a trust to protect them? 339 00:20:01,619 --> 00:20:05,540 S5: Should I have an untimely death or I need long 340 00:20:05,580 --> 00:20:07,300 S5: term medical care in the future? 341 00:20:07,340 --> 00:20:10,260 S1: Yeah. Very good. Gwendolyn. Well, I would say above all 342 00:20:10,260 --> 00:20:13,420 S1: of that and these are really well thought out questions, 343 00:20:13,619 --> 00:20:16,979 S1: I would be walking with an estate planning attorney to 344 00:20:17,020 --> 00:20:19,260 S1: help guide you, to make sure you have the right 345 00:20:19,260 --> 00:20:22,940 S1: pieces in place. And that's going to include certainly a will, 346 00:20:23,100 --> 00:20:26,859 S1: maybe a trust. We'll talk about that. A health care surrogate, 347 00:20:26,900 --> 00:20:29,980 S1: a durable power of attorney and a living will at 348 00:20:29,980 --> 00:20:34,060 S1: a minimum. Now it's always important to clarify the goal. 349 00:20:34,300 --> 00:20:37,940 S1: So before we even would consider a trust, you want 350 00:20:37,980 --> 00:20:40,100 S1: to try to define what you're trying to accomplish. Are 351 00:20:40,100 --> 00:20:43,260 S1: you trying to avoid probate to make things simpler, less 352 00:20:43,260 --> 00:20:47,399 S1: cost effective, or more cost effective, perhaps. Are you trying 353 00:20:47,400 --> 00:20:50,399 S1: to protect assets from long term care costs? Are you 354 00:20:50,400 --> 00:20:53,320 S1: trying to make things simple for your heirs? Are you 355 00:20:53,320 --> 00:20:57,520 S1: trying to control how the money is used after you pass? 356 00:20:57,680 --> 00:20:59,560 S1: You know all of those, and you may say yes 357 00:20:59,560 --> 00:21:02,200 S1: to every one of them. But we've got to clarify 358 00:21:02,200 --> 00:21:06,160 S1: what we're we're trying to accomplish. Step one is usually 359 00:21:06,160 --> 00:21:09,640 S1: to start with a basic estate plan. So those are 360 00:21:09,640 --> 00:21:12,680 S1: the options that I mentioned. The will, the financial power 361 00:21:12,680 --> 00:21:16,640 S1: of attorney, the healthcare directive, those types of things. Then 362 00:21:16,640 --> 00:21:20,200 S1: we want to understand whether a trust is necessary. And 363 00:21:20,200 --> 00:21:22,679 S1: that's going to come down to whether you're trying to 364 00:21:22,720 --> 00:21:27,520 S1: avoid probate, keep things private, and whether you want somebody 365 00:21:27,520 --> 00:21:30,240 S1: to be able to control your affairs and your assets 366 00:21:30,240 --> 00:21:34,560 S1: if you're incapacitated prior to death. If so, that's where 367 00:21:34,560 --> 00:21:37,960 S1: a living trust really shines. Now, after the break, we'll 368 00:21:37,960 --> 00:21:41,800 S1: talk about asset protection. So stay right there. More to come. 369 00:21:41,840 --> 00:21:44,100 S1: Just around the corner. Stay with us on Faith and 370 00:21:44,100 --> 00:21:52,379 S1: finance live. Great to have you with us on Faith 371 00:21:52,380 --> 00:21:54,820 S1: and finance live. I'm Rob West. Before the break we 372 00:21:54,820 --> 00:21:58,740 S1: were talking to Gwendolyn in Illinois. She's 64, retired, wants 373 00:21:58,740 --> 00:22:03,060 S1: to protect her assets. She has 78,000 remaining on her mortgage, 374 00:22:03,060 --> 00:22:06,100 S1: wondering how she should think about her estate plan and 375 00:22:06,100 --> 00:22:09,780 S1: possibly a a trust to protect her home and other assets. 376 00:22:09,820 --> 00:22:12,179 S1: And I was saying the first step is a basic 377 00:22:12,180 --> 00:22:15,540 S1: estate plan will durable power of attorney health care directive 378 00:22:15,540 --> 00:22:18,980 S1: living will. Step two is to decide what trust you 379 00:22:18,980 --> 00:22:22,780 S1: actually need. Most folks start with a revocable living trust 380 00:22:22,820 --> 00:22:26,379 S1: to avoid probate, which saves time and money at death. 381 00:22:26,500 --> 00:22:30,460 S1: It keeps things private, makes sure they pass efficiently to 382 00:22:30,500 --> 00:22:33,860 S1: your heirs or wherever you'd like them, the assets to 383 00:22:33,859 --> 00:22:37,100 S1: end up, and it allows the management of those assets 384 00:22:37,100 --> 00:22:40,420 S1: if you're incapacitated prior to death, or if you want 385 00:22:40,460 --> 00:22:44,600 S1: to control when your heirs receive certain assets. So you 386 00:22:44,600 --> 00:22:48,840 S1: might say at certain ages or when certain triggering events occur. 387 00:22:49,560 --> 00:22:54,040 S1: But the revocable living trust does not protect from creditors. 388 00:22:54,040 --> 00:22:58,280 S1: It also does not shield assets from Medicaid for regard 389 00:22:58,320 --> 00:23:02,159 S1: regarding a long term care spend down. If you wanted 390 00:23:02,160 --> 00:23:04,800 S1: to do that, and most people don't because it's it's 391 00:23:04,800 --> 00:23:07,880 S1: costly and time consuming, uh, you would need to look 392 00:23:07,880 --> 00:23:13,520 S1: at what's called an irrevocable trust or a medicaid asset 393 00:23:13,520 --> 00:23:18,160 S1: protection trust. And you would want to talk to an 394 00:23:18,160 --> 00:23:21,640 S1: elder care attorney about that, just to weigh the cost, 395 00:23:21,680 --> 00:23:24,240 S1: the pros and the cons of what that might look 396 00:23:24,240 --> 00:23:27,200 S1: like for you to do that. Most people end up 397 00:23:27,200 --> 00:23:30,639 S1: just spending down their assets and then either covering it 398 00:23:30,640 --> 00:23:34,280 S1: with a long term care insurance policy or relying on 399 00:23:34,280 --> 00:23:37,960 S1: Medicaid assistance once they deplete all of their own assets. 400 00:23:37,960 --> 00:23:39,600 S1: But give me your thoughts on all that. 401 00:23:39,640 --> 00:23:43,260 S5: Okay, that sounds okay. It sounds logical, and it sounds 402 00:23:43,260 --> 00:23:47,219 S5: in line with what I was thinking. I'm my primary concern. 403 00:23:47,260 --> 00:23:50,219 S5: You've already hit upon that is, uh, what do I 404 00:23:50,220 --> 00:23:53,140 S5: do with my assets while I'm living? So that's where 405 00:23:53,140 --> 00:23:56,980 S5: the revocable living trust comes into play. But in the 406 00:23:56,980 --> 00:24:01,620 S5: event I have, um, need for long term care in 407 00:24:01,619 --> 00:24:06,660 S5: order for my assets not to be vanquished or touched. 408 00:24:06,940 --> 00:24:11,100 S5: That's another concern. So you're you're saying those would have 409 00:24:11,100 --> 00:24:13,659 S5: to be in an irrevocable trust, which is kind of 410 00:24:13,700 --> 00:24:17,740 S5: difficult to navigate. However, I would like to have some 411 00:24:17,740 --> 00:24:22,660 S5: measure of, um, protection so that they aren't just taken away. 412 00:24:22,700 --> 00:24:26,020 S1: Yeah. Yeah. Well, it's a good question. And I think, 413 00:24:26,060 --> 00:24:29,180 S1: you know, often, uh, what folks will do is they'll 414 00:24:29,380 --> 00:24:32,900 S1: get long term care insurance, either a straight long term 415 00:24:32,900 --> 00:24:36,260 S1: care insurance policy or a hybrid where it's coupled with 416 00:24:36,260 --> 00:24:40,340 S1: life insurance for that purpose to either cover or offset 417 00:24:40,480 --> 00:24:45,240 S1: the cost of long term care because generally, even though 70% 418 00:24:45,240 --> 00:24:48,440 S1: of Americans 65 and older will need it at some point, 419 00:24:48,640 --> 00:24:52,560 S1: generally it only lasts 18 months to three years. And so, 420 00:24:52,760 --> 00:24:55,199 S1: you know, by having a policy that can help to 421 00:24:55,240 --> 00:24:57,880 S1: offset some of those costs, might allow you through the 422 00:24:57,880 --> 00:25:01,160 S1: combination of the proceeds of the policy and your own 423 00:25:01,160 --> 00:25:04,320 S1: assets to cover that yourself. And then if you got 424 00:25:04,320 --> 00:25:07,000 S1: to the end of those assets, you'd rely on Medicaid 425 00:25:07,000 --> 00:25:10,120 S1: for that. Um, you know, when you're talking about an 426 00:25:10,119 --> 00:25:14,200 S1: irrevocable trust, you're actually giving up control of these assets. 427 00:25:14,400 --> 00:25:17,160 S1: And so that's something that creates a lot of complexity 428 00:25:17,160 --> 00:25:19,159 S1: and cost. And then a lot of folks just wrestle 429 00:25:19,160 --> 00:25:21,800 S1: with the idea that, wait a minute, you know, shouldn't 430 00:25:22,040 --> 00:25:24,879 S1: I deplete my assets first before I would expect the 431 00:25:24,880 --> 00:25:28,040 S1: government to step in and pay those bills? And that's 432 00:25:28,040 --> 00:25:31,160 S1: something I would work through with an elder care attorney. Um, 433 00:25:31,160 --> 00:25:33,119 S1: but this may be a time, and I would do 434 00:25:33,119 --> 00:25:35,800 S1: it sooner rather than later because once you get, you know, 435 00:25:35,840 --> 00:25:40,140 S1: beyond 65, it does get become cost prohibitive. This might 436 00:25:40,140 --> 00:25:41,859 S1: be the time to look at a long term care 437 00:25:41,859 --> 00:25:45,820 S1: insurance policy to help cover those costs, alongside what you've 438 00:25:45,820 --> 00:25:49,380 S1: accumulated in terms of your own assets, whether that's home 439 00:25:49,380 --> 00:25:51,060 S1: equity or other assets. 440 00:25:51,100 --> 00:25:55,740 S5: I see. So long term care insurance only lasts three years. 441 00:25:55,740 --> 00:25:58,900 S5: Or you. I'm not clear on how that works. 442 00:25:58,940 --> 00:26:01,340 S1: Yeah. What I was saying is the average person who 443 00:26:01,340 --> 00:26:04,660 S1: needs long term care generally only needs it for 18 444 00:26:04,660 --> 00:26:07,260 S1: months to three years because they, you know, you eventually 445 00:26:07,260 --> 00:26:10,139 S1: pass away. If you get to a place where you 446 00:26:10,140 --> 00:26:13,899 S1: know you need that type of skilled care, but your 447 00:26:13,900 --> 00:26:18,060 S1: policy would have a daily benefit, and the amount of 448 00:26:18,060 --> 00:26:21,500 S1: daily benefit is what drives the premium. It could have 449 00:26:21,500 --> 00:26:25,580 S1: an inflation rider and it has a benefit period as well. 450 00:26:26,020 --> 00:26:28,700 S1: And this is all unique to each policy. So you'd 451 00:26:28,700 --> 00:26:31,340 S1: build the policy the way you want it. It may 452 00:26:31,340 --> 00:26:34,899 S1: have a two, three, five year benefit period where it 453 00:26:34,900 --> 00:26:38,580 S1: would pay out for as long as the policy allows 454 00:26:38,580 --> 00:26:41,470 S1: and the longer the benefit period, as you might imagine, 455 00:26:41,510 --> 00:26:43,550 S1: the higher the premium. And so it's really just a 456 00:26:43,550 --> 00:26:47,750 S1: finding a balance between getting the most benefit period, the 457 00:26:47,750 --> 00:26:52,510 S1: highest daily benefit, an inflation rider and the smallest waiting period, 458 00:26:52,510 --> 00:26:55,990 S1: which is like a deductible and not having a premium 459 00:26:55,990 --> 00:26:59,870 S1: that exceeds your budget. And that's where a professional who 460 00:26:59,869 --> 00:27:02,870 S1: works with long term care insurance policies could help you 461 00:27:02,910 --> 00:27:03,870 S1: navigate that. 462 00:27:03,910 --> 00:27:05,590 S5: I see. All right. Well thank. 463 00:27:05,630 --> 00:27:07,790 S1: You. Okay. You're very welcome. Thanks for your call today. 464 00:27:07,790 --> 00:27:11,030 S1: Lord bless you. Cleveland, Ohio, where I'm going to be tomorrow. Kathy. 465 00:27:11,070 --> 00:27:11,630 S1: Go ahead. 466 00:27:12,550 --> 00:27:16,310 S6: Hi, Rob. Thanks for taking my call. So last night 467 00:27:16,310 --> 00:27:20,230 S6: during the state of the Union address, President Trump mentioned 468 00:27:20,230 --> 00:27:25,389 S6: how he is establishing a savings plan on July 4th 469 00:27:25,590 --> 00:27:30,310 S6: for children under 18 called Trump accounts. And then he 470 00:27:30,310 --> 00:27:34,910 S6: also mentioned Michael Dell of Dell Computer, pledging $250 per 471 00:27:34,950 --> 00:27:39,730 S6: child under ten to these Trump accounts. So I'm currently 472 00:27:39,730 --> 00:27:45,530 S6: contributing to my grandchildren's 529 plan. So my question is 473 00:27:45,530 --> 00:27:49,850 S6: what is the difference between now the 529 plan and 474 00:27:49,850 --> 00:27:53,450 S6: the new Trump account? And so should I hold off 475 00:27:53,450 --> 00:27:58,130 S6: now contributing to the 529 and start with the Trump account? Uh, 476 00:27:58,130 --> 00:28:00,730 S6: I plan on starting in July. 477 00:28:00,930 --> 00:28:03,889 S1: Yeah, it's a good question. So it's a great question. 478 00:28:03,890 --> 00:28:06,410 S1: So what is a Trump account? It's a new tax 479 00:28:06,410 --> 00:28:10,169 S1: advantaged investment account for kids that was created in the 480 00:28:10,170 --> 00:28:14,090 S1: 2025 tax law. The one big beautiful bill. The key 481 00:28:14,090 --> 00:28:19,850 S1: features are the government. The Treasury is going to deposit $1,000, 482 00:28:19,850 --> 00:28:24,290 S1: but only for babies born between 2025 and 2028. If 483 00:28:24,290 --> 00:28:27,730 S1: that doesn't apply, if you're not eligible for that, a 484 00:28:27,730 --> 00:28:31,090 S1: family can open a Trump account as a part of 485 00:28:31,090 --> 00:28:34,530 S1: their 2025 tax return. You would just need to file 486 00:28:34,530 --> 00:28:37,710 S1: the form and open the account. And then a family 487 00:28:37,710 --> 00:28:40,550 S1: like you as a grandparent could put in up to 488 00:28:40,590 --> 00:28:47,750 S1: $5,000 per year per child between 2025 and 2028. And 489 00:28:47,790 --> 00:28:52,190 S1: those get that gets invested mainly in US stock index funds. 490 00:28:52,310 --> 00:28:55,790 S1: The money's generally locked up until age 18, similar to 491 00:28:55,870 --> 00:28:59,710 S1: the the 529. And then it rolls into an IRA 492 00:28:59,750 --> 00:29:04,430 S1: style account, not tax free like the Roth tax deferred, 493 00:29:04,430 --> 00:29:09,230 S1: like the traditional IRA. Okay, now, how is it different 494 00:29:09,230 --> 00:29:14,710 S1: from the 529? If your goal is college savings, the 495 00:29:14,710 --> 00:29:18,670 S1: 529 is going to be the stronger option. Because if 496 00:29:18,710 --> 00:29:21,430 S1: you use that money that you're putting in the 529 497 00:29:21,430 --> 00:29:26,910 S1: for your grandchild for qualified educational expenses, the growth that 498 00:29:26,910 --> 00:29:30,750 S1: comes from the mutual fund investments inside the 529 is 499 00:29:30,750 --> 00:29:34,270 S1: tax free. And so you have the ability to get 500 00:29:34,270 --> 00:29:36,350 S1: all that gain and never pay any tax on it 501 00:29:36,450 --> 00:29:39,890 S1: like a Roth IRA that's not available in the Trump accounts. 502 00:29:39,890 --> 00:29:42,970 S1: There's also a much larger contribution limits. Remember I said 503 00:29:42,970 --> 00:29:46,610 S1: the Trump account is capped at 5000 a year. You 504 00:29:46,610 --> 00:29:49,410 S1: can put in much more than that with the 529. 505 00:29:49,730 --> 00:29:52,810 S1: And it's more flexible in terms of how it's used. Plus, 506 00:29:52,810 --> 00:29:55,850 S1: anything that's left over can eventually be rolled out to 507 00:29:55,890 --> 00:29:59,450 S1: a Roth IRA, which would continue to grow tax free. 508 00:29:59,450 --> 00:30:03,650 S1: So I think from that standpoint, uh, the Trump account 509 00:30:03,650 --> 00:30:07,490 S1: is is not superior to the 529 for the reasons 510 00:30:07,490 --> 00:30:10,450 S1: I mentioned. The only reason you may want it is 511 00:30:10,450 --> 00:30:13,650 S1: if you want the money to, to be, uh, not 512 00:30:13,650 --> 00:30:17,370 S1: limited to education. And if you have the ability to 513 00:30:17,410 --> 00:30:20,250 S1: access some of the seed money, even though he can't 514 00:30:20,250 --> 00:30:23,850 S1: get the $1,000 because he's older. Um, you know, he 515 00:30:23,850 --> 00:30:26,930 S1: could get the private money like the the Michael Dell 516 00:30:26,970 --> 00:30:30,490 S1: money by opening a Trump account. So I would say 517 00:30:30,490 --> 00:30:34,170 S1: the 529 wins if it's for college, stay on the line. 518 00:30:34,170 --> 00:30:41,430 S1: We'll talk a bit more. We'll be right back. Great 519 00:30:41,430 --> 00:30:43,070 S1: to have you with us today on Faith and finance 520 00:30:43,070 --> 00:30:45,070 S1: live here in the final segment, I've got room for 521 00:30:45,070 --> 00:30:47,310 S1: a couple of additional questions you can call right now 522 00:30:47,310 --> 00:30:53,710 S1: 800 525 7000. That's 800 525 7000. Before the break, 523 00:30:53,710 --> 00:30:56,270 S1: we were talking to Cathy in Cleveland. She listened to 524 00:30:56,270 --> 00:30:59,469 S1: the president's state of the Union address last night and 525 00:30:59,790 --> 00:31:03,229 S1: heard him mention the Trump accounts, not only the accounts 526 00:31:03,230 --> 00:31:06,110 S1: that are being created this summer, uh, that can be 527 00:31:06,110 --> 00:31:11,030 S1: opened with your tax return, but also the government funding 528 00:31:11,190 --> 00:31:15,469 S1: for children born between 2025 and 2028 and some of 529 00:31:15,470 --> 00:31:20,350 S1: the private funding, most notably the Dell Foundation, has committed 530 00:31:20,350 --> 00:31:25,510 S1: to put about $6.25 billion routed through the Trump account 531 00:31:25,510 --> 00:31:29,590 S1: program infrastructure coordinated with the Treasury. Now, it's not going 532 00:31:29,630 --> 00:31:32,110 S1: to go into every account, but it will go on 533 00:31:32,110 --> 00:31:36,010 S1: a wide basis. We're we're understanding that it's probably going 534 00:31:36,050 --> 00:31:40,450 S1: to be seeded into accounts that are either middle income 535 00:31:40,450 --> 00:31:44,610 S1: or lower income zip codes. So there is going to 536 00:31:44,610 --> 00:31:49,050 S1: be certain eligibility requirements, but it's basically a supplemental layer 537 00:31:49,290 --> 00:31:53,170 S1: that automatically goes into accounts I'm hearing for children ten 538 00:31:53,170 --> 00:31:57,650 S1: and under. But again, not everyone, only in certain parts 539 00:31:57,650 --> 00:31:59,850 S1: of the country. But give me your thoughts on all 540 00:31:59,890 --> 00:32:01,290 S1: that Kathy. Is that helpful? 541 00:32:02,490 --> 00:32:05,729 S6: Yes. So in both cases, you have to wait until 542 00:32:05,730 --> 00:32:08,450 S6: the child is 18 to withdraw. Correct. 543 00:32:08,810 --> 00:32:12,970 S1: That's right. And there's the additional requirement for the 529 544 00:32:12,970 --> 00:32:15,290 S1: that if you wanted to come out tax free, it 545 00:32:15,290 --> 00:32:18,930 S1: has to be used for qualified educational expenses or come 546 00:32:18,970 --> 00:32:22,570 S1: out on a pro rata basis to scholarship awards or grants. 547 00:32:23,850 --> 00:32:26,130 S6: Now, can you keep in both cases, can you keep 548 00:32:26,170 --> 00:32:28,130 S6: if they don't want to take it out at 18, 549 00:32:28,170 --> 00:32:30,330 S6: they are not going to college right at 18. Can 550 00:32:30,330 --> 00:32:33,410 S6: you keep it in there and continue the account? 551 00:32:33,470 --> 00:32:36,870 S1: Absolutely. Yes, absolutely. And then the question is how do 552 00:32:36,870 --> 00:32:39,670 S1: you get it out? And in the Trump account. Yeah. 553 00:32:39,670 --> 00:32:41,630 S1: You could just let it continue to grow and it 554 00:32:41,630 --> 00:32:45,350 S1: would eventually convert to a something similar to a traditional 555 00:32:45,350 --> 00:32:48,150 S1: IRA where it grows tax deferred. And then when it 556 00:32:48,150 --> 00:32:50,710 S1: comes out down the road it would be taxable as 557 00:32:50,710 --> 00:32:55,630 S1: income or in the 529 it could eventually roll into 558 00:32:55,670 --> 00:33:00,390 S1: a Roth IRA and continue growing tax free. It would 559 00:33:00,390 --> 00:33:03,990 S1: take multiple years to do it, and you would only 560 00:33:03,990 --> 00:33:07,430 S1: be able to put in a max of $35,000. So 561 00:33:07,710 --> 00:33:09,470 S1: you would either want to try to get it out 562 00:33:09,470 --> 00:33:12,270 S1: by using it up for college, or it could be 563 00:33:12,270 --> 00:33:15,670 S1: transferred to another beneficiary to be used for college, like 564 00:33:15,710 --> 00:33:17,590 S1: a a sibling or something like that. 565 00:33:17,630 --> 00:33:22,110 S6: Right. Great. Okay, great. Thanks for clarifying. I really appreciate it. 566 00:33:22,110 --> 00:33:22,430 S6: That's a. 567 00:33:22,430 --> 00:33:22,990 S1: Great. 568 00:33:23,030 --> 00:33:24,150 S6: It's a great program. 569 00:33:24,430 --> 00:33:26,670 S1: It sure is. Yeah. There's a lot to that. Hey, Kathy, 570 00:33:26,790 --> 00:33:28,670 S1: if you've got time tomorrow come out and join us 571 00:33:28,710 --> 00:33:30,270 S1: at Cuyahoga Valley. Okay? 572 00:33:30,310 --> 00:33:32,350 S6: I think I'm going to look for me. 573 00:33:32,710 --> 00:33:35,210 S1: All right, I'll bring you one of my new devotionals. 574 00:33:35,210 --> 00:33:37,290 S1: Come say hello, okay, I will. 575 00:33:37,330 --> 00:33:37,690 S6: Okay. 576 00:33:37,730 --> 00:33:41,090 S1: All right. Lord bless you as well. I am going 577 00:33:41,090 --> 00:33:43,410 S1: to be in Cleveland tomorrow where Cathy is. Will be 578 00:33:43,410 --> 00:33:47,810 S1: doing this broadcast live from Cuyahoga Valley Christian Academy in 579 00:33:47,810 --> 00:33:50,450 S1: Cuyahoga Falls. We're going to have a live studio audience 580 00:33:50,450 --> 00:33:53,810 S1: of students. Plus, perhaps you from the community. I'd love 581 00:33:53,810 --> 00:33:56,450 S1: to meet you. Come join us. We'll kick off the 582 00:33:56,450 --> 00:33:59,210 S1: broadcast at 4:00 eastern, and we'd love for you to 583 00:33:59,250 --> 00:34:00,810 S1: be there. Be sure to get a get there a 584 00:34:00,810 --> 00:34:03,050 S1: few minutes early to get your seat. All right, let's 585 00:34:03,050 --> 00:34:05,810 S1: go to Tennessee. Monroe, how can I help? 586 00:34:06,890 --> 00:34:10,049 S7: Yes. Thank you, Rob, for taking my call. Uh, I've 587 00:34:10,050 --> 00:34:14,690 S7: got about $25,000 in CDs with Edward Jones. Okay. And 588 00:34:14,690 --> 00:34:17,730 S7: it seems that the interest that I gain from them 589 00:34:17,850 --> 00:34:21,330 S7: is absorbed by the fees that they charge. And I'm 590 00:34:21,330 --> 00:34:23,569 S7: pretty dependent upon this money. I want it for my 591 00:34:23,570 --> 00:34:25,850 S7: emergency fund. And I'm just wondering what else I could 592 00:34:25,850 --> 00:34:28,210 S7: do with it, where it might gain a little something 593 00:34:28,250 --> 00:34:30,810 S7: other than just giving it away like that. 594 00:34:31,130 --> 00:34:34,310 S1: Yeah, well, I like Edward Jones a lot. In fact, 595 00:34:34,350 --> 00:34:37,710 S1: they have more cars than any of the major firms 596 00:34:37,710 --> 00:34:39,870 S1: across the country. And so there's a lot of certified 597 00:34:39,870 --> 00:34:43,350 S1: Kingdom advisors at Edward Jones. I will say, though, you know, 598 00:34:43,390 --> 00:34:46,509 S1: if the account only has CDs, I don't know that 599 00:34:46,510 --> 00:34:49,469 S1: you need to have it there. Now, you may be 600 00:34:49,469 --> 00:34:52,630 S1: paying for other services. Maybe you have an advisor relationship 601 00:34:52,630 --> 00:34:55,550 S1: who's doing, you know, planning and you check in with 602 00:34:55,550 --> 00:34:58,630 S1: regularly that type of thing. But if it's purely for 603 00:34:58,630 --> 00:35:02,190 S1: the CDs, obviously you can purchase those bank products on 604 00:35:02,190 --> 00:35:04,989 S1: your own. You could, you know, look at something locally. 605 00:35:04,989 --> 00:35:09,150 S1: You could connect with our friends at Christian Community Credit Union. Um, 606 00:35:09,550 --> 00:35:12,590 S1: you know, but but you don't need to necessarily pay fees, 607 00:35:12,590 --> 00:35:16,630 S1: if you will, to an advisor to have CDs. Um, 608 00:35:16,670 --> 00:35:19,029 S1: so I think, you know, the key is always to, 609 00:35:19,070 --> 00:35:23,550 S1: to clarify the real issue, which is, you know, most 610 00:35:23,550 --> 00:35:27,430 S1: bank CDs don't have ongoing fees. Some brokerage or advisory 611 00:35:27,430 --> 00:35:31,390 S1: accounts add those fees. And so if your goal is 612 00:35:31,530 --> 00:35:36,009 S1: safety and yield, meaning the best rate of return on 613 00:35:36,010 --> 00:35:39,770 S1: your money. Then you could probably avoid those advisory fees 614 00:35:39,770 --> 00:35:43,850 S1: by just moving that money elsewhere and going into another 615 00:35:43,850 --> 00:35:47,650 S1: single CD or laddering a couple of CDs. If you're, 616 00:35:47,690 --> 00:35:51,049 S1: you know, wanting to have more regular liquidity. But I 617 00:35:51,050 --> 00:35:53,570 S1: would just talk to your advisor if you have one there, 618 00:35:53,570 --> 00:35:55,170 S1: unless you're on the retail side. 619 00:35:55,210 --> 00:35:59,890 S7: Okay, that sounds good. I was considering my local bank, 620 00:35:59,890 --> 00:36:02,050 S7: but I just didn't know if there would be the 621 00:36:02,050 --> 00:36:05,649 S7: same situation there or not. But that sounds good. That's 622 00:36:05,650 --> 00:36:06,250 S7: good advice. 623 00:36:06,650 --> 00:36:09,970 S1: All right. Yes, sir. Thank you for calling, I appreciate it. 624 00:36:10,010 --> 00:36:11,810 S1: We may have room to sneak one more call in 625 00:36:11,810 --> 00:36:15,770 S1: here today at 800 525 7000. Uh, before we wrap 626 00:36:15,770 --> 00:36:17,890 S1: up today, uh, let me mention, you know, more and 627 00:36:17,890 --> 00:36:20,530 S1: more of our listeners are wanting to line up their 628 00:36:20,730 --> 00:36:25,330 S1: investments and their banking with their values. And one of 629 00:36:25,330 --> 00:36:28,330 S1: the ways to do that on the banking side is 630 00:36:28,330 --> 00:36:31,190 S1: through a partnership we have with our friends at Christian 631 00:36:31,190 --> 00:36:34,830 S1: Community Credit Union. Uh, so if you're looking for a 632 00:36:34,870 --> 00:36:41,189 S1: high yield and a Christian, uh, lined organization, that's where 633 00:36:41,230 --> 00:36:44,710 S1: Kcu can be a great option. They're offering to faith 634 00:36:44,710 --> 00:36:49,070 S1: fi listeners, uh, 4% up to $100,000 on their money 635 00:36:49,070 --> 00:36:51,589 S1: market for up to a year, which is great. And 636 00:36:51,590 --> 00:36:53,830 S1: then they'll add to it with the code Faith fi 637 00:36:53,989 --> 00:36:56,230 S1: up to $400 as a bonus when you open a 638 00:36:56,230 --> 00:36:58,310 S1: new account. So if you'd like to check that out 639 00:36:58,310 --> 00:37:06,469 S1: or learn more, just head to faith. Com that's faith. Uh, 640 00:37:06,469 --> 00:37:09,029 S1: you know, as we think about applying God's wisdom to 641 00:37:09,070 --> 00:37:12,109 S1: our financial decisions each day, a lot of times I 642 00:37:12,110 --> 00:37:15,029 S1: get the question, what does this look like in terms 643 00:37:15,030 --> 00:37:17,509 S1: of the practical advice? Can you boil it down to 644 00:37:17,550 --> 00:37:22,029 S1: those most basic principles? Yes, I understand God owns it all, 645 00:37:22,030 --> 00:37:24,750 S1: and that's a game changer. And that money is a tool. 646 00:37:24,750 --> 00:37:27,230 S1: But in terms of the day to day money management, 647 00:37:27,230 --> 00:37:30,239 S1: it really does come down to these five. and they 648 00:37:30,239 --> 00:37:33,719 S1: find their roots in Scripture. First of all, spending less 649 00:37:33,719 --> 00:37:37,080 S1: than you earn. Which sounds simple. I realize it's harder 650 00:37:37,080 --> 00:37:39,640 S1: to do than it sounds, but it is the key 651 00:37:39,640 --> 00:37:43,719 S1: to every financial success living within your means. Second is 652 00:37:43,719 --> 00:37:47,800 S1: avoiding debt, making sure we don't take debt and use 653 00:37:47,800 --> 00:37:51,560 S1: it for consumer spending. For lifestyle spending, you know, debt 654 00:37:51,560 --> 00:37:54,640 S1: should really only be used where the economic cost is 655 00:37:54,640 --> 00:37:57,520 S1: lower than the economic gain. So we're borrowing for things 656 00:37:57,520 --> 00:38:01,080 S1: like an appreciating asset, like a home or a business, 657 00:38:01,239 --> 00:38:06,279 S1: always with spousal unity, never denying God an opportunity to work. Third, 658 00:38:06,320 --> 00:38:10,600 S1: set long term goals. The longer term your decision or 659 00:38:10,719 --> 00:38:14,040 S1: your perspective, the better the decision you're going to make today. 660 00:38:14,360 --> 00:38:17,120 S1: Fourth would be to have some liquidity. You need to 661 00:38:17,120 --> 00:38:19,800 S1: have margin. You know, I talk a lot about margin. 662 00:38:19,800 --> 00:38:22,520 S1: We have a whole day dedicated to it in my 663 00:38:22,520 --> 00:38:26,560 S1: new devotional, Our Ultimate Treasure. And we talk about how 664 00:38:26,600 --> 00:38:31,580 S1: margin is really just so key to our financial management 665 00:38:31,620 --> 00:38:35,460 S1: not living right up to the edge. Having something left 666 00:38:35,460 --> 00:38:39,540 S1: over is so essential for our ability to manage God's 667 00:38:39,540 --> 00:38:43,540 S1: money wisely. It applies to our schedules. It also applies 668 00:38:43,540 --> 00:38:47,660 S1: to our money management. And then five. Give generously. That 669 00:38:47,660 --> 00:38:52,100 S1: is so key. Giving is should be that overflow of 670 00:38:52,300 --> 00:38:57,020 S1: God's grace extended to us and our participation in God's activity. 671 00:38:57,020 --> 00:38:59,540 S1: So those are the five, the big ideas that when 672 00:38:59,540 --> 00:39:02,180 S1: you apply those and remember, they do find their roots 673 00:39:02,180 --> 00:39:04,580 S1: in God's Word, you're at least putting yourself in a 674 00:39:04,580 --> 00:39:07,980 S1: position to experience God's best. All right, let's finish out 675 00:39:07,980 --> 00:39:10,340 S1: the broadcast today with Nancy in Florida. Go ahead. 676 00:39:10,380 --> 00:39:13,859 S8: Hi. Thank you so much for calling. Taking my call. Sure. 677 00:39:13,900 --> 00:39:16,980 S8: I would like to know how can I transfer my 678 00:39:17,020 --> 00:39:21,700 S8: 401 K money to a Roth IRA without, you know, 679 00:39:21,739 --> 00:39:25,820 S8: paying panels or how how would that work? 680 00:39:25,860 --> 00:39:29,080 S1: Got it. Yeah, it's a good question. So, you know, 681 00:39:29,120 --> 00:39:33,120 S1: ultimately when we think about a 401 K, you can't 682 00:39:33,120 --> 00:39:37,760 S1: do a transfer technically 401 K to Roth. Uh, you 683 00:39:37,760 --> 00:39:42,120 S1: could do what's called a Roth conversion. Um, but that's 684 00:39:42,120 --> 00:39:46,080 S1: a taxable event. Let me clarify though. There are two 685 00:39:46,080 --> 00:39:49,960 S1: types of 401 s. There is the traditional 401 K 686 00:39:50,320 --> 00:39:54,359 S1: which is a pre-tax 401 K, meaning you already got 687 00:39:54,360 --> 00:39:57,680 S1: the deduction when the money went in. But there's also 688 00:39:57,680 --> 00:40:01,560 S1: a Roth 401 K. Do you know which kind you have? 689 00:40:02,080 --> 00:40:03,840 S8: I have the traditional okay. 690 00:40:03,880 --> 00:40:07,319 S1: Very good. So if you're doing uh, you have a 691 00:40:07,320 --> 00:40:10,839 S1: traditional 401 K, what you would need to do is 692 00:40:10,840 --> 00:40:16,319 S1: you would roll that traditional 401 K to a traditional IRA, 693 00:40:16,840 --> 00:40:19,399 S1: and you generally would do that after you separate from 694 00:40:19,400 --> 00:40:23,080 S1: employment with the company that sponsored the 401 K, and 695 00:40:23,080 --> 00:40:26,480 S1: then you would have the option to convert that traditional 696 00:40:26,480 --> 00:40:30,739 S1: IRA to a Roth. Now, that would mean that you 697 00:40:30,739 --> 00:40:33,900 S1: would have to go ahead and pay the taxes on 698 00:40:33,900 --> 00:40:37,740 S1: the money as you convert it. So whatever you convert 699 00:40:37,739 --> 00:40:42,900 S1: from that traditional IRA to Roth in that calendar year, 700 00:40:42,900 --> 00:40:46,140 S1: you would add that amount to your taxable income and 701 00:40:46,140 --> 00:40:48,980 S1: you'd pay tax on that. Now, where that can be 702 00:40:48,980 --> 00:40:52,300 S1: effective is if we're in a low interest, low tax 703 00:40:52,300 --> 00:40:56,100 S1: rate environment, which we are. If you have the ability 704 00:40:56,100 --> 00:40:59,259 S1: to pay the taxes out of savings, and you don't 705 00:40:59,260 --> 00:41:03,219 S1: have to take a portion of your IRA money to 706 00:41:03,260 --> 00:41:06,660 S1: pay that tax. And third, you have a long time 707 00:41:06,660 --> 00:41:09,540 S1: to let it grow. And if all these all three 708 00:41:09,540 --> 00:41:12,859 S1: of those things line up low tax environment check, you 709 00:41:12,860 --> 00:41:14,899 S1: have the ability to pay the taxes that you would 710 00:41:14,900 --> 00:41:18,940 S1: generate through the conversion out of your checking or savings account. 711 00:41:18,940 --> 00:41:21,819 S1: You'd have to answer that. And then thirdly, we've still 712 00:41:21,860 --> 00:41:24,260 S1: got a long time horizon for this money to grow. 713 00:41:24,540 --> 00:41:26,339 S1: Then it could make a lot of sense to go 714 00:41:26,480 --> 00:41:29,279 S1: ahead and convert that to Roth, which means from that 715 00:41:29,280 --> 00:41:32,320 S1: point forward it would grow tax free. If the answer 716 00:41:32,320 --> 00:41:35,320 S1: is no, then you may be better off just leaving 717 00:41:35,320 --> 00:41:40,480 S1: it in the in the pre-tax traditional IRA and 401 K. 718 00:41:40,520 --> 00:41:41,480 S1: Does that make sense? 719 00:41:42,480 --> 00:41:45,920 S8: It does. I mean, I'm at 62 years old, so 720 00:41:45,960 --> 00:41:48,080 S8: I don't know when I'm going to retire, to be 721 00:41:48,080 --> 00:41:52,359 S8: honest with you. But I'm I'm worried about paying so 722 00:41:52,360 --> 00:41:54,880 S8: much taxes, but I don't think I have that much time, 723 00:41:54,880 --> 00:41:55,479 S8: I don't know. 724 00:41:55,920 --> 00:41:58,360 S1: Yeah. Are you still working right now? 725 00:41:59,200 --> 00:42:01,920 S8: I am a realtor, so. Yeah, I work from the house. 726 00:42:02,280 --> 00:42:04,640 S1: So it's probably not the best time to convert it. 727 00:42:04,680 --> 00:42:06,920 S1: While you have other income, you may want to relook 728 00:42:06,960 --> 00:42:09,600 S1: at this once you retire and your income is lower. 729 00:42:09,719 --> 00:42:11,359 S1: But I think for the meantime, I'd leave it in 730 00:42:11,360 --> 00:42:14,400 S1: the traditional. Thanks for your call, Nancy. Faith and Finance 731 00:42:14,440 --> 00:42:17,960 S1: Live is a partnership between Moody Radio and Faith by Josh, Tara, 732 00:42:17,960 --> 00:42:20,560 S1: Taylor and Omar, the amazing team today. Hey, come out 733 00:42:20,560 --> 00:42:22,640 S1: and join me tomorrow if you're in the Cleveland area. 734 00:42:22,640 --> 00:42:26,200 S1: 4:00 Cuyahoga Valley Christian Academy. We'll see you then.