Finding Peace in Finances God's Way
Roger’s Notes:
Financial Peace
Introduction:
Roger Goble. Married to Susan 39 years, 3 adult kids, 5 Grand Kids.
I’m not a Financial Advisor.
Not a Financial Professional.
Physical Therapist 30 years, private practice
Managing Partner 2012 Legacy Center Sports Complex Franchise Owner Linex Protective Coatings
I’ve been Teaching Financial Principles through Ramsey Institute for several years now.
In general 3 groups represented here tonight.
1. Doing “Okay” group.
2. On the “Edge” group
3. Financial “Crisis” group
Financial Peace is a process and Life Long Pursuit you will constantly be working at this.
Challenge. Present ideas that are counter cultural and contrasting to preconceived ideas of what sound financial principles look like.
Three Foundational Truths:
1. Every financial decision is a Spiritual decision.
Colossians 1:9-10. Paul writing to Colosse, these people are flat getting things done for the Kingdom, they have received the “Good News” in their own lives and are sharing that with others and lives are being changed, fruit is being seen and they are in good favor…so Paul is reaching out to encourage them.
WILL and WALK
1:9-10. So 2 key elements that I want us to take from this specific passage “We continually ask God to fill you with the knowledge of his WILL through all the wisdom and understanding the Spirit gives.”
These people are rock stars for the Kingdom, but what does Paul communicate he is praying for them about?? That they would seek his will… Seeking the Will of God should be our lifelong pursuit…
If that is the case does it not make sense that we should seek the Will of God as it relates to our finances?
Let me make this practical; READ v 10 again. “So that…life pleasing…bearing good fruit. May I call this our WALK challenge from Paul. Seek his Will so that our Walk is worthy of the Lord
Walk is metaphor for Lifestyle. Your Walk should be consistent with your knowledge of the Lord. As we seek his Will we gain knowledge from the Spirit as we grow in that knowledge (Consuming the Word) our Walk looks different. We look at our lives differently…we look at our finances differently.
Can we agree that our finances can give a glimpse into the condition of our Hearts.
Financial Decisions are Spiritual Decisions
2. It all belongs to him
Psalm 50:10. Psalm 24:1
-If he owns it all our perspective should change shouldn’t it. -We move into a Stewardship mindset…God has entrusted us with his resources
Titus 1:7 ESV. For an overseer, as God's steward, must be above reproach. He must not be arrogant or quick-tempered or a drunkard or violent or greedy for gain, but hospitable, a lover of good, self-controlled, upright, holy, and disciplined.
Stewardship=Responsibility
Colossians 3:23-24. What ever you do work at it with all your heart, as working for the Lord….
3. Normal is not the objective
-Wall Street Journal- 70% Americans live paycheck to paycheck
-52% of marriages fail…of those that fail in first 7 years over 80% claim money was a primary issue
-Forbes Magazine-average CC interest rate was 16.6% as of September 2022
-Consumer finance.gov Americans paid over $120 Billion in CC interest last year
-Average car payment in America last year was $644 per mo
Normal in America is looking good with nothing in the bank.
As Dave Ramsey points out.. “The thing about Personal Finance is that it is more Personal than Finance. 80% behavior and 20% knowledge.”
There is a Better way
System.
-Financial Peace is a system coming from the Ramsey Institute out of Nashville TN,
Financial Peace University
Zero Based Budget
Created at beginning of the month. Every Dollar is spent a head of time in your budget on “paper”.
Several apps out there, Bank, Every Dollar Budget App from Ramsey Institute. Lots of great tools to help you with a budget and spending activities.
Where are those 100 dollar bills.
Here is what is interesting about this activity of budgeting, just because you are now paying attention, your spending decreases.
You begin to control your money. Awareness = Control
Baby Steps
Those of you familiar with Dave Ramsey will know that one of the hallmark elements to the System is understanding the Baby Steps. Baby Steps are a way of identifying where you are in the process of Financial Peace by knowing where you are in the Baby Step continuum.
I would like to introduce you to the Baby Steps and spend some time unpacking them
1. $1000 Starter Emergency Fund- Purpose is to avoid an unexpected expense that derails your plan
2. Pay off your Debt
- Look to pay off everything except the mortgage on your home
- Debt Snowball:
a. List debts according to balance (smallest to largest).
b. Pay aggressively on the first item pay minimal payments on the other items
c. Once first item is paid off put all the money you were paying on the first plus the extra and put it towards the second item
d. Continue until all items have been paid off.
Where do you find the extra money to aggressively pay these down? You are looking for 100 dollar bills in you budget. What am I spending money on? Where is there waste? You will see this from your Zero Based Budget.
3. Complete Emergency Fund: 3-6 months of living expenses - You now have a much better idea of what those are
because you have been budgeting every month - Essential expenses, survival for 3-6 months
4. Maximize your contributions, 15% of Income, to a Qualified Tax Favorable Plan: 401k, Simple IRA, Roth IRA
5. Open Contribute to a College or Educational Fund if you have kids.
6. Pay off Mortgage
7. Build Wealth and Give lots away
You can get anywhere if you simply go one step at a time
My recommendation is that you sign up for a 9 week FPU Course near you.
FPU Link: https://www.ramseyplus.com/app/classes/guide There are virtual options as well as classes in person
Every Dollar App: https://www.ramseysolutions.com/store/ digital-products/everydollar-budget-app?snid=tools-and-apps.tools-and-apps.everydollar-budget-app