To Budget or Not To Budget?

Have you ever debated as to whether or not budgets are biblical? Here's my point of view.

God told us to owe no man anything but to love him. That means we should not be in debt. If we need to use a budget as a practical way to manage our money then that is great. God tells us time and time again to seek wisdom and use wisdom. I believe that when we are good stewards with our money that is being wise and proving ourselves obedient to God.

God also tells us that He will supply all of our needs. Therefore, we don't need to worry about tomorrow. As long as we are seeking God, putting God first, and being obedient, we will see the Blessing manifest in our lives. Once we start seeing the results of faith, we aren't so dependent on the natural around us. We aren't so concerned about what the budget looks like on paper because we know God will supply our needs. This doesn't give us a license to overspend but it does mean we aren't tied to this world's system.

God also tells us that we are to walk by faith and not by sight. This means that we can believe God to provide the money for that item we want to buy. It doesn't mean we go out and buy it before we have the money in hand because that would be incurring debt. However, it does mean that we have a bigger source than our job. God will supply our needs. We stand on God's Word that He will come through on His promises and we will see the money we need. That's called walking by faith.

If you have been challenged in the area of spending money wisely, I encourage you to set up a budget so that you can see on paper where your money is going. However, this doesn't mean that you can't continue to build up your faith and stand on God's Word. Once we prove ourselves with the little things God will bless us with more. Commit today to making wise decisions with your money and watch God bless your obedience and dedication.

Below is a link to my other site which is full of free tips and forms to help you live a debt free lifestyle.
http://debtfreeliving.synthasite.com/

Family Budgeting Part 3

While we are on the topic of expenses, I thought I would share another important tip.



Avoid using estimates in your budgets whenever possible.


For example, let’s say that I think I spend about $100 a month on groceries. But, if I was to pull out my checkbook, credit card statements and receipts, I would know that I actually spend $800 a month. If I was to build my budget based on my “gut feel” or what I think, I am going to be way off. And what is the result of such a big miscalculation? Well, it may mean that I spend too much in another area and then find I don’t have enough to pay for food that month. Some of you may have even found yourself in this exact situation which can be very scary and frustrating.


I know it isn’t fun to gather up all of your exact expenses for an entire year. However, the extra effort is going to pay off in the end because you are going to have a much clearer picture of where your money is being spent. In turn, this knowledge is going to help you to make better financial decisions and good decisions are what will put you onto the path of financial freedom!

Family Budgeting Part 2

So, how did you do on your list of expenses? Did you get everything?


I realize your instinct may be to exclude certain things because “they don’t count.” (That’s how I always feel when I list how much I spend on clothes. Yikes!) However, you are only hurting yourself if you do this.



In order to figure out how to get out of a debt situation, you need an accurate and realistic picture of where your money is spent. If you leave things out you will get frustrated in the end when you are still spending more than you make.


Here are a few more items that I forgot to include that you’ll want to put in your list.

• All outstanding loans including second mortgages, home loans, tuition loans, loans to family members, etc.


• Trash Removal


• Home Maintenance (painting, furnance filters, salt, etc.)


• Furniture and Decorations


• Life Insurance


• Disability Insurance


• Veterinarian


• Pet Food & Toys


• Attorney Fees


• Child Support


• Payments on Liens or Judgements


• Dry Cleaners


• More Supplies (Detergent, Fabric Softener, Stain Remover)


• Charities and Donations


• Postage


• Health Club


• Child Care

Please feel free to share any other expenses I may have left out.

Family Budgeting Part 1

So what is the definition of debt? I would say that debt is the result of spending more money than what you have on hand.



Being debt free could therefore be defined as not owing anyone money because you have paid for everything in your possession.


One of the first steps in becoming debt free is to determine what you spend money on. I encourage you to make a list of all of your expenses for the past year. To help you make your list, below are some categories to keep in mind:

• MortgageCar


• Payment 1


• Car Payment 2


• House Insurance


• Car Insurance


• Health Insurance


• Doctor Visits


• Prescription Medicine


• Over the counter medicine


• Groceries


• “Eating out” Expenses


• Education Expenses (tuition, books, supplies, fees)


• Gas for Cars, Lawn Mowers, Snow Blowers


• Car Maintenance (i.e. Oil Changes, tune ups, etc)


• Parking Expenses


• Clothing & Accessories


• All Cards & Gifts (Birthdays, Christmas, Valentine’s Day, Just Because, etc.)


• Household Supplies (paper towels, napkins, food containers, foils and wraps, plastic bags, cleaning supplies, large storage containers, gift wrap containers, etc.)


• Personal Supplies (bar soap, shampoo, conditioner, hair products, feminine hygiene, lotion, deoderant, makeup, toothpaste, tooth brush, etc.)


• Vacations (Airfare, airplane food, hotel, rental car, luggage, gifts, momentos, etc.)


• Utilities (water, gas, electric)


• Phones (landlines and cell phones)


• Cable TV


• Internet


• Purchasing Checks from Bank


• Haircuts, Manicures, Pedicures


• Tithes and Offerings


• Subscriptions (magazines, newspaper, internet)


• Entertainment (movie theater visits, movie rentals, car shows, museums, concerts, special events, concession purchases, books, CD’s, DVD’s, etc.)


• Recreational Toys (motor homes, snowmobiles, sleds, skis, four wheelers, motorcycles, campers, boats, trailers, maintenance fees, storage fees, etc)

Please note that the little things add up and can really put you over the edge so don’t forget items such as your morning coffee from Starbucks, the daily newspaper you grab from the checkout lane, and your afternoon snack at the vending machine.