As you study the material, each student is urged to develop his/her personal economic empowerment goals and plans as well as be open to developing an accountability partnership with a fellow student. There will be a quiz at the end to insure students have grasped some of the basic concepts being discussed.
Summary Highlights -
1. Money is a key issue to be agree upon before marriage. Men tend to take more risks and avoid the emergency fund. Women tend to want the security of the emergency fund. On page 197 there is a good contrast between men and women - facts vs. feelings; doing vs. talking; compete vs. cooperate; control vs. agree; independence vs. interdependence. In a nerd and free spirit relationship, the nerd needs to listen, take input, and keep it brief. The free spirit needs to show up, give input, and be realistic.
2. See Proverbs 22:6. Fifty nine percent of men between ages 18-25 live at home with parents and 48% of women, in the same age range. Work on teaching the young people to work, save, spend wisely, and give.
3. Work on establishing healthy boundaries. Ask are you really helping or giving a drunk another drink. Give, don’t lend, to loved ones. If you really feel there is a problem, give the person permission to advice you, hoping they would do the same, and go from there. Don’t allow guilt to lead to your tearing down boundaries. Give thought to the medical needs of aging parents along with the children’s college. Try to help aging parents with long-term care insurances and estate planning. See Proverbs 12:15. Parents, Pastors, and experts can be a great source of advice.
4. Ninety to ninety five percent of American households operate without a detailed written budget. Work on gathering, organizing, categorizing, and analyzing the needed data. Keep your check registry up to date. Use the envelope system as needed. Review your will and insurance coverage annually, and make sure significant people know where the documents are.
5. Seven baby steps - 1. Save $1,000. 2. Kill all debt except house. 3. Develop a three to six month emergency fund. 4. Save 15% of gross income for retirement (i.e., Roth IRA and then 401 k or 403 b, if there is no match for 401 k or 403 b) and make sure you have ample insurances. 5. Start the college fund. 6. Pay off the house. 7. Invest for wealth accumulation and giving it away. No one is perfect. Do what you can to move in the right direction. There are helpful forms in the back of the book - commitment, balance sheet, budget, debt reduction, and retirement documents. Credit bureaus contacts and sample letters.
Christian Personal Financial Management Discussion Questions (use extra paper as needed):
1. Do you agree that men and women tend to deal with money differently? Explain.
2. Do you agree that there needs to be some healthy boundaries between you and your loved one’s financial affairs? Explain.
3. Do you agree that a written budget, an envelop system, and estate plan review can be helpful? Explain.
4. What are the seven baby steps and do you agree with them? Explain.
5. What else would you like to share (e.g., goals, accountability partnership, etc.)?
Conclusion: Let’s work on being better stewards of our finances and helping others do the same. God has much for those who obey His will, regarding Christian personal financial management.
(((Make sure you have your quiz, which is due by our next class.)))
Please click here to let us know, if this has been quality and helpful information for you (i.e., make sure you let us know the name of the article). Feel free to share your questions and comments about the article as well.