This episode of Faith and Finance is brought to you by Adelphi Christian Banking, the trusted team you've known as Christian Community Credit Union. Hey, everyone, Rob West here. A common question I get is, "How can I align my faith with my banking?" Well, we recommend Adelphi Christian Banking for services rooted in biblical values and a commitment to helping you steward your finances with purpose. Faithfy listeners can earn up to a four hundred dollar bonus when opening a qualifying. High yield checking, savings, or Visa Cash Back card using code Faithfi.
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This institution. Is not federally insured. One of the simplest ways to stay out of credit card debt is to save up for major purchases before you make them. Hi, I'm Rob West. When you plan ahead for expenses you know are coming, you can pay with money you already have instead of borrowing from tomorrow's income.
Today, we'll look at a simple way to do that, and then it's on to your calls at eight hundred five two five seven thousand. This is Faith in Finance: Biblical Wisdom for Your Financial Journey.
Now you may be thinking, isn't that what my emergency fund is for? Not exactly. Your emergency fund is there for the unexpected, the transmission that suddenly goes out, an unplanned medical bill, or a temporary loss of income. What we're talking about today is different. It's intentionally setting money aside for a larger expense you can reasonably anticipate, replacing a roof, buying.
Your next vehicle, taking a vacation, or making a major home repair, you'll sometimes hear this called a sinking fund. But whatever you call it, the principle is simple: save a little at a time now, so you don't have to borrow later. That takes patience, and in a culture built around instant gratification, patience can be a powerful financial habit. It can also be an important part of faithful stewardship. Proverbs twenty one twenty says, "Precious treasure and oil are in a wise man's dwelling, but a foolish man devours it." Wisdom doesn't require us to spend everything available to us today.
Sometimes wisdom means looking ahead, preparing patiently, and allowing time to work in our favor.
So, how do you get started?
Well, first you need to define the goal. Let's say you expect to need a new roof and estimate the cost at seventy-five hundred dollars.
Now you have a specific target.
Next, determine how much you can realistically save each month. If you can set aside $500, you'll reach $7,500 in 15 months. If $500 isn't realistic, that's okay. Maybe you start with $100 or $200 and look for opportunities to increase it over time. The important thing is to begin.
You might redirect money from another spending category, put part of a bonus or tax refund toward the goal, or send some of the savings from a canceled subscription into the account. Each deposit represents progress toward greater financial freedom. Instead of wondering how you'll pay for a major expense when it arrives, you're gradually preparing for it. That can reduce financial stress and give you more flexibility when the time comes to make the purchase.
Next, keep this money separate. Consider opening a dedicated savings account rather than mixing the money with your everyday checking, emergency savings, or other financial goals. When the dollars have a clearly defined purpose, you're less likely to spend them somewhere else. Then automate the process if you can. You might schedule a transfer every payday or once a month.
That turns saving from something you have to remember into part of your normal financial rhythm. And remember, your emergency fund and retirement accounts have different jobs. Using retirement money for a purchase today can trigger taxes, and depending on your age and circumstances, possibly penalties. Not to mention the loss of future. Growth.
Your retirement savings are meant to provide for a future season, so whenever possible, let them keep doing that job. As you plan, it can also help you make your goal smart, specific, measurable, attainable, relevant, and timely. Be specific about what you're saving for and how much you'll need. Make it measurable by tracking your progress. Keep it attainable so you don't become discouraged.
Make sure the purchase is. Truly relevant to your priorities, and give yourself a reasonable target date. If you miss the date, that doesn't mean you failed. Adjust the plan and keep going. The larger lesson is that good stewardship often happens long before the purchase itself.
It happens when we patiently prepare, exercise self-control, and make intentional decisions with what God has entrusted to us. And if you're looking for a place to save toward those. Future expenses. Adelphi Christian Banking is our recommended banking partner here at Faith and Finance, along with checking, savings, and credit card options. Adelphi offers a high yield money market account with an exceptional rate of four percent on balances up to one hundred thousand dollars for the first year.
It's another opportunity to consider not only how you manage your money, but also the financial institutions you choose to work with. You can learn more. At faithfi. dot com slash banking, as you consider whether a Delphi is right for you, here's what you need to know. Membership eligibility is required, and while this institution is not federally insured, each account is privately insured up to two hundred fifty thousand dollars with American Share Insurance.
If you want to learn more, go to faithfi. dot com slash banking. We'll be right back. If budgeting feels like a second job, the new FaithFi Pro was built just for you. It learns your spending patterns, categorizes your transactions, and helps you build a budget based on your real life.
Plus, scripture readings and biblical devotionals help you manage God's money, God's way. Try FaithFi Pro free for 30 days and lock in 25 off a pro subscription. Download the FaithFi app from your app store or at faithfi. dot.com/app. That's faithfi.com/app.
Wondering who Faith and Finance recommends as a banking partner that aligns with Christian values? It's Adelphi Christian Banking, the trusted team you've known as Christian Community Credit Union. With high yield checking, savings, Visa Cash Back cards, and a competitive money market account, your everyday banking helps advance the gospel. Visit faithfi.com/banking and use the code Faithfi. Membership eligibility required.
Accounts are privately insured up to two hundred and fifty thousand dollars. This institution is member FDIC. Is not federally insured. Great to have you with us today on Faith and Finance. All right, we're ready to dive into your questions today.
We've got a few lines open; calls are coming in, but we've got room for you at the moment. That number eight hundred five two five seven thousand. You can call right now. Let's head to Louisiana, Thomas. You'll be first up, sir.
Go ahead. I really enjoy your program. There was a question you had on transfer of death on deed, and sparked some interest in our situation. We live in Louisiana, and my wife's parents live in Texas. They're both in their mid nineties.
They get around pretty good, I guess, for that age. But they have their heels dug in; they're not going anywhere.
So we go up once, we go up once a month, and I take care of the yard, and we do take them to doctor's appointments and things of that nature. But anyway, so they really need a car there because their car is really accessible for them.
So whenever we go, we take their car.
So it's driven once a month.
Now they don't have a driver's license. And that is where the problem comes in, because we we've already done the transfer of death on deed, but you have to. We found out that they they have to have a driver's license in order to have it registered each year. Which, first of all, we don't want them to have a driver's license, and second of all, they can't. They probably wouldn't be able to get one.
Yeah, yeah.
So. What do you think about that? Yeah.
So, what is the main issue you're solving for, though? What is it you're trying to figure out?
Well, we can't. We can't get it registered. We can't get it registered because they don't have a driver's license. Got it. Yeah.
If it remains in their name, we've already done the transfer of death on deed. Yeah.
But. We can't get it. They now they did it this this year this past well this year they did it and they said they're not going to do it again. They just kind of did out of courtesy, I think. But that's the DMV I'm talking about.
Yeah, yeah.
You know, my understanding is, and you may want to look into this: is you don't have to have a driver's license to own a car and. Both own and insure a vehicle, and so you know perhaps it's an online renewal system that won't process it without the Texas driver's license. But I think in many cases, at least I would give this a shot. You could go down to the county tax assessor's office and process that renewal in in person with another form of you know government issued photo ID rather than a driver's license.
So I would really. Press into that a bit more, just to make sure.
Now, if in fact the county says no, absolutely not, you can't renew the registration under your parents' circumstances. Then I think the practical solution would be to go ahead and transfer the title now, rather than the TOD to take effect at death to the family member, and maybe that's you or your wife, you know, who is going to receive it and who's actually maintaining and using the vehicle. And then you could, of course, register it and insure it in your own name, and then continue to use it for their care, as you said, once a month as you arrive in town. But I would, you know, press into that and just see if it's possible in person with an explanation to keep it in their name without that active driver's license, and go ahead and get it registered. Yeah, we tried that.
So I didn't know if you knew of another way, but.
So you went in and tried to use another form of ID, and they well shut it down. No, we actually didn't go in in person. We called, we called the DMV, okay, and and and asked that question, and and it it just doesn't make much sense to me. I mean, it does in a way, but you know, it kind of. Just in a situation, but that's okay.
But anyway, hey, I appreciate your your input on it. Yeah, absolutely. I mean, I think it it might be worth just because of the hassle factor, it might be worth just showing up in the office and walking up to the terminal and just having a conversation and seeing if if it could be processed in person. A lot of times, you know, you can have a little more leverage or somebody who's willing to work with you, you know, face to face.
So I might give that a shot. But then I think, of course, the next option would be just to go ahead and. And get it transferred. You know you're using it. You're the one maintaining it.
It sounds like and and keeping it in good working order and and using it for their benefit. But obviously, it's got to be registered in order to do that.
So, but I appreciate your call, Thomas. Hopefully, that's given you a few things to think about. And if we can help further along the way, don't hesitate to reach out.
Okay. Thank you, sir. All right. Lord bless you. Let's go to Texas.
Hi, Lisette. How can I help? My husband and I we have a whole life insurance policy. We've been paying it for about ten years, and we only have nineteen thousand. We should have twenty four thousand, but that's what it shows.
I and we what we were thinking if we should cancel, they would only get sixteen thousand. Yes.
Okay. What is the death benefit on that Lisette? Do you know? I believe it's a hundred and fifty thousand.
Okay, and do you all need that death benefit? I mean, if if something well, first of all, whose life is insured? Is it your husband's? For my husband.
Okay, payable to you. Yeah, and we have two children, so we're all in there.
Okay, but you're the beneficiary, so if he passed away, the hundred and fifty thousand would come to you, right? Yes.
Okay. And if he passed away, would that create a hardship for you because you lose income? Uh, yeah. He's the one that provides mostly for our home. Yeah, I work part time.
Got it, yeah.
So that's the real purpose of this, and and that you know I would prefer you see this life insurance as offsetting that risk that exists. That if he were to be called home by the Lord and he passes away, that would you know create a challenge for you because his income is gone. But the most cost effective way to get that life insurance is not through a whole life policy where it's combined with a savings vehicle. It's through what's called term insurance, which is. Pure insurance.
You're simply paying the cost every month for the mortality expense, what it actually costs based on the actuarial tables to insure his life for a set period of time, based on his health and the amount of coverage that you want. But I suspect that 150 thousand wouldn't be enough. But the nice thing about term insurance is, you know, maybe you get a 10 year policy on his life, so that between now and when you all retire, where At that point, hopefully, you've got enough in the way of assets and income sources like social security, where you no longer need his income. He wouldn't have it anyway if he's retired, and then you don't need that insurance anymore. You drop it, but while he's still working, you've got plenty of insurance so that if he passes away, you've got enough to be able to, you know, fund your lifestyle for the rest of your life.
Well, the the most cost effective way for that insurance is. Term insurance.
So here's what I would consider doing, and you know, remember, we only have a couple of minutes together on the air here.
So if you want to get an advisor to get in the middle of this, that would always be the better option. But just my kind of high level thoughts are: let's determine how much insurance you need. You know, what would it take for you to replace his income? At least between now and when you know he was planning to retire, instead of 150, you may decide that's three or four or five hundred thousand dollars, and then let's go see what it would cost to get a ten-year term policy for that amount on his life, payable to you. And then I suspect it's going to be perhaps less than the policy you're already paying.
And once it's in force, and that's the key, we wouldn't want to do anything until that policy is in force. But at that point, then you could cancel.
Sold a whole life, reclaim the nineteen thousand. Maybe use that to shore up your emergency fund. And now you're no longer paying for the whole life policy. You've got the cash value to do something else with, and you have more life insurance for the next decade.
So that if something happens to him, you're good. And then once you all get to retirement, you don't need that policy anyway, and you drop it. Does that make sense? Yes, thank you. Thank you so much for your advice.
All right, you're welcome, Lisa. Thanks for calling today. We appreciate you very much. Back with more after this. We are grateful for support from Timothy Plan.
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Slash Chm. Thanks for joining us today on Faith and Finance. We're taking your calls and questions eight hundred five two five seven thousand. We do have some lines open today, so if you've got a question, anything going on in your financial life, maybe you're just starting out as a young couple and wanting to think about how do we put all the the building blocks in place. Maybe you're looking to pay off some student loan debt, or you're in the fourth quarter of life, just wanting to manage your income streams, or Ah, give wisely or stay on budget.
Maybe it's paying off debt or getting that credit score up. Whatever's going on in your life today, call right now. We've got a a line ready for you. It's eight hundred five two five seven thousand. Again, that number with lines available: eight hundred five two five seven thousand.
Let's go to Ohio, Mini. You've been waiting patiently there. How can I help? Hi, I have a F ten that is not in my name. It's my mother's name.
She bought it with a credit card, was zero percent financing for a year, so I paid it off in four months. And she ended up getting cancer, and she fell before she knew had she had cancer. She fell off the porch, one of the steps, and she broke her back, so she couldn't get out of bed. And she kept saying, "I need to get that put in my name." I go, "I know, but I don't know how to do this because you have to be up there to change it." So now I don't know what to do. I Want to sell it?
Somebody blew up the engine. They dribble about oil at the mechanics.
So now I can't drive it anymore.
So I want to sell it, but I don't know what to do. How can I get my name again? Yeah, yeah.
So who legally owns the car? It's still in your mom's name. Still in her name. But she passed away. Yeah, yeah.
So essentially, if there is a will, the executor, the personal representative, would typically transfer the title according to the will. Was there a will in place? Yeah, I was the executor.
Okay, yeah. And so, did you have you already gone through, or are you currently working through the estate process? We've already done it.
Okay, you've already done it. I talked to probate, and they said if I want to put it my name, I have to go through probate again and pay a thousand dollars to probate court. Not worth it. Yes, yeah, yeah. That's a challenge because you've already completed that process, and I can understand as it was missed, it was never transferred.
You know, there's a couple of options here. I guess you know, many states have a simplified process for transferring a vehicle after death, especially if probate. Has already been established, even though it was wrapped up. They may accept the probate paperwork, the death certificate, and the you know testamentary letters, the will, to issue a new title. Have you attempted to go down and and work directly with the DMV on this?
No, I just went to probate to find out what I could do to get my name, and I haven't talked to you. They just want my. I have to have my title and my name, but I don't have it that way. Yeah, yeah.
Well, I mean, if the estate has already been closed and the vehicle wasn't included, they're going to require it be reopened or a supplemental order entered before the title can be transferred. You know, I would ask whether there's a less expensive option. But even before I do that, I would go down to the DMV or to the title office and just explain the situation and show them all the paperwork. You can show them the probate paperwork, the death certificate, the will. And just say, you know, can I use this information to establish title in my name?
You know, given what I've got here, unfortunately, if that you know is not an option, I think then we've got to look for a less expensive option for that supplemental order on the estate because you know the there's not going to be the ability to resolve the title and legally sign it over to another buyer until that ownership. Is properly transferred, and so we just need to find somebody who's willing to work with you, you know, on a on a more cost effective basis. And I think you're really your only two steps are see if the title office or DMV will work off of all the documentation you have and help you get it done, or see if an attorney or the probate court directly would be willing to give you a route that would be a little bit more cost effective than what they originally described. All right. Thank you.
Okay. Sorry, Minnie. I know this is a lot and it's a hassle, but I'm confident you'll get to the end of it here. At the end of the day, thanks for your call. Let's go to Louisiana.
Hi, Steve. Go ahead. Hi, Rob. Thanks for taking my call. Sure.
My wife and I are both turning sixty-two this year, and I thought about maybe either one of us starting Social Security. And then just reinvesting that money to grow while the other one continues to work. We have a business that we're working in. I can move either pay myself or my wife income off of that. Just wanted to see if that makes sense.
Yeah, you know I don't love that option just because you know it's not a great strategy because every year you delay claiming Social Security, your benefit increases by about eight percent per year through the delayed retirement credits, and that increase is guaranteed by the government. And it's difficult to consistently earn a better risk adjusted return by taking benefits early and investing them. Could you? Sure. But is it guaranteed?
No, not at all. And so your ability to just let that grow, especially when you don't need the money, and get that guaranteed increase. Which, by the way, that guaranteed increase—you know—by getting that check up as high as you can, it means not only do you get larger guaranteed monthly income for life, but future cost of living increases are going to be on that high. Amount, and so you know. Generally speaking, for somebody in your situation where you are saying, "Listen, we're covering our bills, everything's working well, and you know we really don't need this money," I kind of like the idea of you just leaving it there and maximizing that benefit down the road, so that when you do need it, your kind of starting point is as high as possible.
Does that make sense? Oh yes, that makes sense. I just never look at it as far as The increase is going to be. You're going to be more percentage on the increase too. I didn't look at that that way.
Yeah, I mean, you you certainly could make the case.
Well, wait a minute. You know, look at what the market's been doing, and you know, we could take this money and put it away, and we'd rather have control over it rather than leaving it with the government. And I get that, especially given recent rises in the in the stock market. But again, none of that's guaranteed, and you know, we could hit a recession here. We're certainly overdue for one, even though I think you know the the U.S.
economy looks pretty strong right now for a lot of reasons, despite our challenges. But there are no guarantees, and so I think you've just got to decide: would we rather just let that money grow automatically by leaving it there and delaying it, or would we rather assume the risk? You know, it's one thing if if that increase was five percent a year. I think it's another thing with it up being up around eight percent a year that just tips the scale, at least in my mind, toward not taking it early. But hopefully that helps, Steve.
I appreciate your call, and if I can help further along the Don't hesitate to reach out. Lord bless you, my friend. Big thanks to my team today; they are amazing. Devin Patrick, my producer, Taylor Stanrich, providing me great research and support today, and handling our phones today was Sandy Dickinson. Plus, the entire cast of characters here at FaithFi and amazing team from Afton on content to Kevin on all of our production and logistics to Chad on our technology, and everybody else here at FaithFi that makes this possible.
So thankful for what God has provided here, folks. If you'd like to support our work, go to faithfi dot com to learn more, and you'll find a CKA there as well. Faithfi dot com. Enjoy the rest of your day, and come back and join us tomorrow. We'll see you then.
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