Ask almost any divorced couple what the number one reason for their divorce was and more than 65% of the time you will hear – money. Financial troubles are a major problem for many families. These financial problems can be addressed and fixed using the four steps for financial freedom listed below. Money is an integral part of life and should be used to enhance our life experiences, not make them stressful
Before applying these steps to financial freedom there are a few roles that need to be filled by you or your spouse. These roles are important and their responsibilities respect by the opposite spouse. These means that you are agreeing to not, put down or ignore the execution of these roles. You agree to respect the decision of the spouse who has taken on the particular responsibility.
Who will handle the money?
Write down the skills, talents, and pros and cons of both spouses. Together you must decide who will be responsible for the money handling. This person will have the responsibility of keeping track of deposits, withdrawals, and keeping the checkbook balanced.
Who will pay the bills?
In many families this will be the same person who handles the money. However, I recommend that the opposite spouse takes on the bill paying responsibility. Why? By paying the bills the opposite spouse will see where the money is going and how much is going where. In this way each spouse will be consistently reminded of the bills that need to be paid and can use this information to decide whether a purchase is truly necessary.
Set a budget and stick to it!
Decide together what is important and where your families money should go. Remember to add in savings and charitable donations. Live within or under your means and you will soon discover financial freedom for your family.
Step One to Financial Freedom
“The earth is the Lord’s and the fullness thereof.” Psalms 24:1
The first step to financial freedom is recognizing that nothing is really ours, it all belongs to God. There is nothing that we can take with us when our lives end, just like we are born with nothing. By keeping in mind that “our money” is not ours you will find yourself and your family making better decisions. Suddenly, the new skirt is not that important. By thinking of the money as God’s money a weight will be lifted off your shoulders.
Step Two to Financial Freedom
Accept where you are at financially and spend accordingly. It has taken many families years to get into the debt that you have and those debts will not disappear over night. You must accept this truth and from today forward budget and spend accordingly. Decide today to live within your means, even if that means eating out less and not buying the newest fashions. Never charge another item again, you now rule your finances, instead of your finances ruling you.
So how will your family have fun without eating out? Start a new family tradition and enjoy weekly game or movie nights together. Visit local museums and zoos on their free days or just go to the park and have an old fashion picnic.
Step Three to Financial Freedom
“Bring the whole tithe into the storehouse, that there may be food in my house. Test me in this,” says the LORD Almighty, “and see if I will not throw open the floodgates of heaven and pour out so much blessing that you will not have room enough for it.” Malachi 3:10
Pay your tithes and you will be blessed with more. The key to step three is paying your tithes regularly. Tithing is how the church receives its finances to pay the church’s bills. How much do you tithe to the church? Your tithe should be ten percent of any increase that you receive. Even if you do not attend church you can still abide by step thee to financial freedom.
Step Four to Financial Freedom
Save, save, save. Every finance guru, every finance book, will all tell you the same thing. You must save for the future. Even if all you can save at first is $5, that is $5 more than you would have saved. At the very minimum your savings should be in a savings account earning interest, however there are other safe ways to increase your savings at a higher interest rate. If you do not trust yourself or your spouse to not spend the savings be sure to invest the savings into an account that cannot be accessed early.
When setting your budget, budget in 1-10% of your earnings. Start at the 1% if you must, but the goal is to be saving 10% of your income within the first year of your financial freedom plan.
Decide today to not be a slave to your finances!
