Money Issues Are Heart Issues

Managing money doesn't have to feel overwhelming or disconnected from your faith. The Faithfi app helps you budget with purpose, combining easy-to-use tools like digital envelopes with biblical wisdom in a Christ-centered community. Whether you're new to stewardship or looking to grow in generosity, the Faithfi app equips you to honor God in every financial decision.

Join over 70,000 others and start today by downloading the app from your app store or by visiting faithfi.com and clicking app. When Jesus said where your treasure is, there your heart will be also in Matthew 6 21. He wasn't just talking about money. He was exposing something deeper about us all.

Hi, I'm Rob West. Our financial decisions, priorities, and fears don't merely reflect our budgets. They expose the condition of our hearts. Today we'll discuss how our money issues are really heart issues. And then it's on to your calls at 800-525-7000.

That's 800-525-7000. This is faith and finance, biblical wisdom for your financial decisions. Many see money as just a neutral tool to earn, spend, save, or give. But scripture shows that money has far more power than we realize.

It can shape our desires, test our trust, and reveal what we truly worship. This is why financial struggles, whether greed, debt, anxiety, or even generosity are ultimately heart struggles. When we overspend to maintain a certain lifestyle, is it because we find our identity and our possessions? When we obsess over financial security, is it because we trust our bank account more than we trust God?

When we hesitate to be generous, is it because we're driven by fear, believing there won't be enough? Money acts as a spiritual thermometer, revealing our faith and priorities. Jesus spoke so often about wealth, not to condemn it, but to caution us against its deceptive power. He knew that money has a unique way of drawing our hearts away from God. One of the clearest biblical examples of money as a heart issue is the story of the rich young ruler in Mark 10. This man approached Jesus with great enthusiasm, asking what he must do to inherit eternal life. Outwardly, he had claimed to have kept all of the commandments, but Jesus saw his heart. Go, sell everything you have and give to the poor, and you will have treasure in heaven.

Then come follow me. The young man walked away in sorrow because his wealth owned his heart. He wanted eternal life, but not at the cost of his riches. His struggle wasn't financial, it was a matter of worship, revealing which God he had chosen to serve. John Calvin once wrote, the human heart is an idol factory.

We all have things we cling to, believing they will provide life, security, or happiness. The rich young ruler's story forces us to ask, what would make us walk away from Jesus? If money is that thing, then our money isn't just a resource, it's a rival to God. For some, the battle isn't greed, but fear. Many of Jesus' teachings on money are directed at those who worry about having enough. In Matthew 6, 25 through 34, he tells his followers not to be anxious about food, drink, or clothing, reminding them that God cares for the birds and the flowers, and he will certainly provide for his children. Worrying about money isn't just a financial issue, it's a matter of trust. When we believe our well-being depends entirely on our ability to earn, save, or invest, we carry a weight we were never meant to bear. Jesus calls us to trust God's provision and seek his kingdom first.

This doesn't mean we shouldn't budget or plan wisely, but it does mean that financial anxiety often reveals a deeper struggle with trusting God. If money is a heart issue, then generosity, or the lack of it, reveals what's inside. The early church in Acts was marked by radical generosity, with believers selling possessions to meet each other's needs.

Why? Because their because their hearts had been transformed by the gospel. C.S. Lewis wrote, You see, true generosity flows not from obligation, but from a heart that recognizes everything belongs to God. Do we see money as ours to control, or as God's to steward?

Do we give joyfully, or do we resent it? Our attitudes toward generosity reflect what we truly believe about God's provision. Since money issues are heart issues, the solution isn't just financial literacy, as important as that is, it's heart transformation. If we want our hearts to align with God's when it comes to money, here are a few truths to remember. Recognize that money is a test of trust.

Do we truly believe God will provide? Practice gratitude. Discontentment fuels financial anxiety, while gratitude shifts our focus to what God has already provided. Give generously. The act of giving loosens money's grip on our hearts and reorients our trust toward God. And seek first the kingdom. When we prioritize God's purposes over financial gain, we experience the peace money can never provide. In the end, how we handle money reveals what we treasure most. All right, your calls are next, 800-525-7000.

We'll be right back. We're grateful for support from Movement Mortgage, who provides residential home loans in all 50 states. Guided by a mission to love and value people and a goal to redefine the mortgage process, Movement seeks to help others achieve their financial goals.

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For licensing information, please visit NMLSconsumeraccess.org. Faith and Finance is grateful for support from Soundmind Investing. For more than 30 years, they've offered financial wisdom for living well. SMI provides step-by-step guidance for do-it-yourself investors, from those just getting started to those getting ready for retirement. More information, including a short video webinar on profit and peace of mind, no matter what's happening in the market, is available at soundmindinvesting.org. Great to have you with us today on Faith and Finance.

I'm Rob West. Looking forward to taking your calls and questions today. That number 800-525-7000.

Again, that's 800-525-7000. Before we head to the phones and the news today, with tax season in full swing, you may be looking for ways to reduce your 2024 taxes or boost your refund. However, for W-2 employees, options are limited once the year ends. By December 31st, it's too late to lower your taxes through 401k contributions or charitable donations or even something called tax loss harvesting, where you sell your loser investments and use the losses to offset your gains.

However, there are still a few tax savings moves available before you file your tax return or April 15th, whichever comes first. First would be maxing out your health savings account, your HSA. If you have a high deductible health plan, you can contribute to an HSA until April 15th and claim a tax break. The 2024 limits are $4,150 for individuals.

It's going to be $8,300 for families. Second, you could contribute to a traditional IRA. So although the 401k option is off the table, the IRA option goes until you file your return or April 15th.

As a reminder, the 2024 IRA contribution limit is up to $7,000, $8,000 if you're 50 or older. Pre-tax IRA contributions would reduce your adjusted gross income. The withdrawals, of course, down the road in retirement would be taxed at that point. And then thirdly, you could take advantage of what's called a spousal IRA. And now married couples filing jointly can contribute to a separate IRA for a non-working spouse, provided the working spouse earns enough to cover both contributions.

The earned income needs to equal the total of both contributions for the year. This strategy will, of course, boost retirement savings while offering that immediate tax deduction. Before making last minute contributions, you always want to consider how these strategies align with your long-term financial and tax planning goals. You want to consider them in light of your overall plan and values as a Christ follower.

And remember, money is a tool to accomplish God's purposes. We don't want to pay any more taxes than we should, and therefore take advantage fully of every opportunity available to you. Hopefully these provide some last minute considerations. All right, we're going to dive into your questions today. Our lines are open. We're ready for you. You can call right now.

The lines will fill up, but right now you can get right through. 800-525-7000. Call with any financial question today. Let's begin in North Carolina. Hi, Yvonne.

How can we help? Yes, I'm calling about my Social Security. For other words, I retired in 2021. And, you know, I had an income coming in, a good income. And I was in the 401k, you know, but I depleted debt. And I had many bills before I retired. And now I'm struggling, you know, just to pay my bills.

And I do have a few dollars left over. And I want to know, am I required to pay my tithe, our debt, which I get now? Yeah. Yeah, it's a good question, Yvonne. And I appreciate you wanting to honor the Lord with what he's entrusted to you.

I wouldn't use the word required. I mean, I appreciate what you're saying. But here's my point in saying that is, you know, I want this to be, you know, just an expression of your gratitude to the Lord, any giving that you do. God is not an accountant. He doesn't need our money.

He wants our hearts. I will say, though, that I want to affirm the idea that you're prioritizing giving, including starting with the tithe where we give on of our, on our increase. Now, if you have been as we just kind of evaluate the principle of the tithe in relation to social security, you know, somewhere between 50 and 75% of your social security income, you know, you could easily consider a return of what you've already paid in to social security.

So I would say somewhere between 25 and 50% of what you're getting would be considered the increase. Because remember, you and your employer have been paying into social security during your working years. And you know, if you were tithing on the gross income, you've already tithed on that money that went into social security over all those working years. And now you can apply a basic percentage that that looks at, okay, if you live, you know, from whatever your age is today, let's say full retirement age until your life expectancy for a woman in the United States. And we look at the total payout of social security that you'll receive for the rest of your life based on the averages. We know that, you know, somewhere around 50 to 75% of every check is them just giving back to you what you've already paid in.

And then the other 25 to 50% is considered the increase. So I think if you truly wanted to give on the increase, I would say, you know, you could take every check and somewhere between 25 or 50%, it's between you and the Lord of that check, you could consider that what you want to tithe on and then you'd give a 10th. But listen, at the end of the day, I would say, you know, if it were me, I would want to be consistent in my giving, we want to continue to demonstrate our trust in the Lord, through our giving, we want to check our hearts and make sure we're giving for the right reasons. But at the end of the day, that's between you and the Lord.

And and I don't think it's a requirement, you know, like it was under the Old Testament law, Jesus fulfilled the law with his death on the cross. And so now it's an offering that is, I think, proportionate, and out of a recognition that God owns everything, but it should be an overflow of our gratitude for what God's done on our behalf, most notably, and first on the cross. Does that make sense though, Yvonne?

Okay, I'm giving you, man. Okay, yeah, this does make sense. Yeah, if you tithed on your full amount of your income before taxes, then a good portion, a half or more of what you're getting every month, is just returning to you what you already paid in.

Now, if you were tithing on the net amount after taxes and other deductions, then I would say you should consider the full amount of social security your increase. But at the end of the day, this is not about being legalistic. I think it's between you and the Lord on your knees saying, God, everything is yours. It all belongs to you. I'm your steward. And I want to give as you lead me, and you make that decision. We appreciate your call. Let's go to Texas.

Hi, Cindy. How can we help? Yes, our little church has outgrown our current building, and it's actually an old, old building that's kind of fallen down around our ears. But we wish to build a new building, and our estimate is we're probably going to have to have like a million dollars to be able to do that. What would be your recommendation for the best type of financial institution to give us?

Yeah, it's a great question. I would probably start with our friends at Christian Community Credit Union. You know, they offer church loans.

And there's several advantages, I think, of working with CCCU. Number one is just the faith driven mission, because their whole cooperative is focused on serving Christ followers and ministries. And it supports a broader purpose because the funds are reinvested to help other churches and Christian causes grow. So there's a kingdom impact there. They have a ministry expertise. So they've got nearly 70 years of serving churches, and they understand the unique needs of ministries, whether you're building or remodeling or whatever it is. I think you'll find they're competitive and affordable as well, and just great customer service.

So I would say that would be my first place. The website is joinchristiancommunity.com. You could set up a phone call, and I would probably start there.

How does that sound, though? Yes, thank you so much. All right, excellent. Listen, all the best to you, Cindy.

I know this can be a big project, but I'm confident if you all have a clear vision and communication to the church and you kind of take them on the journey with you as to how you connect this to real ministry, they'll go along with you. We'll be right back. . Have you downloaded the Faith Buy app yet? You need to do that today because this is going to make your life easier. Yes, you can manage your money through the in-app envelope feature, but also plan out future goals. I want to buy a house in five years, and I'm on track to do that.

Here's also what I like. You can connect with people around the country. It's like social media, but better. Ask a question, get an answer, and share what you're learning about money and investing. So why don't you grab your phone right now and download the Faith Buy app? We're grateful for support from Timothy Plan. For more than 30 years, they've served clients on a biblically responsible journey to invest in a way that honors God and gives dignity to people's lives. More information is at timothyplan.com. The investment objectives, risks, charges, and expenses are contained in the prospectus and summary prospectus available at timothyplan.com. Mutual funds distributed by Timothy Partners Ltd and ETFs distributed by Foresight Fund Services LLC. I'm so glad you've joined us today on Faith in Finance.

I'm Rob West. This is where we apply God's wisdom to your financial decisions and choices. You can call right now with your questions. 800-525-7000.

Chicago is where we're headed next. Hi Sharon, go ahead. Thank you for taking my call. So my daughter gave me $2,000. She's a student and she works part-time. I'd like to invest that money for her so it grows. Do you have any advice to give me as to how to invest that money for her? Yeah, it's a great question and I love that you want to help her with that.

What is the time horizon on this money? Do you think she wants to kind of lock it away and forget about it and just let it grow? Or could you see her needing to tap into it, you know, in less than 10 years? I already told her I wanted to be locked away.

All right, very good. What is her age? She'll be 28 in June. Okay, so she has earned income, correct?

Yes. Okay, so I would think about opening a Roth IRA. Do you know if she has one? She doesn't have any form of savings. That's the reason why I'm thinking this.

I'm approaching it this way. She has no savings. Okay, yeah, so I mean if she were to take $2,000 and put it into a Roth IRA, R-O-T-H, she would not get a deduction for it, but that money would grow over the next, so she's 28. So let's call it the next, you know, 40 years, you know, and if we look at the average return of just say, let's say 8% a year over the next 40 years, even if she didn't add anything to it, you know, it would grow into a substantial nest egg, you know, at 8%. I think she'd have about $50,000. And again, that's if she adds nothing to it when she gets to retirement. Well, all of that money would then come out tax-free. So all the growth, anything beyond the $2,000, because she's already paid tax on that, would come out tax-free in retirement. It'd be a wonderful addition to whatever other retirement assets she would have at that point.

So I love the idea. What I would recommend is she open a Roth IRA, either Fidelity or Schwab. She's got a couple of options, or you do, in terms of how to invest it.

One would be kind of a turnkey solution. It's called the Schwab Intelligent Portfolios. You could search for that in your search engine, Schwab Intelligent Portfolios. And basically, it's what's called a robo advisor. So you'd answer a series of questions about her age and risk tolerance and time horizon. And then it would automatically take the $2,000 and invest it in what are called index funds. So basically, she'd capture the broad moves of the stock market in a variety of indexes, large cap and small cap and international and domestic and growth and income all across the market. And basically, she could forget about it. It's very low cost. And if she wanted to add something to it over time, that would be even better. Because, you know, instead of having $50,000, when she gets to retirement, she may have $100,000 or $200,000 or $300,000 just by making small systematic investments.

But it really takes a lot of the guesswork out of it. How does that sound? That sounds very, very good. Yes.

I will definitely look into this for her. But I do have another question. Do you have time for another question? Yes, ma'am.

Go ahead. So Quicken, I think it's Quicken Will, I think it is. It's an app where you can download and create a will and age or trust or power of attorney.

Have you heard of this? Yes, it's called Quicken Willmaker. That's it. Yes.

Yeah. Yeah, there's a number of online tools. There's the Quicken Willmaker, another one that's done a lot of marketing lately, and they get pretty good reviews is called trustandwill.com.

That's another one. And you know, it's these basically online low cost or even free solutions that allow you to put a simple will or a power of attorney or even a trust in kind of a DIY format. Is that my preferred option? No, I would rather for something that important, you go to a state of planning attorney, make sure you're doing something that, you know, is consistent with the laws of your state. Somebody can help you, you know, think through the decisions you need to make.

But you know, if it's the Willmaker or trustandwill.com versus not having anything at all, then by all means use the online solution because you need a will, you know, to determine first of all, if you have minor children, you absolutely need it because that's where you name your guardian. But beyond that, you just want to make sure that your wishes are carried out to death with regard to your assets and personal effects. But then beyond that, you know, giving somebody power of attorney and a healthcare surrogate, if you're incapacitated, you know, making sure through a living will that your end of life decisions have been laid out.

I mean, all of these things are very important. And you want to make sure that they're valid, and they're, you know, in line with your wishes. And that's where an attorney I think is the better option. It's going to cost you something, probably a few hundred dollars, you know, and if you wanted to trust maybe a few thousand dollars, whereas these online solutions are a lot less expensive.

I just think for a decision that important, I'd rather professional advice. All right, thank you so much. I appreciate your advice. All right. You're welcome. Thanks for calling, Sharon. Let's see.

Benel is in Illinois. Go ahead. Thank you. And my question is, how would I vet or how would I verify an opportunity to make a $10,000 investment and get 250% back on it? Well, after you run away from that as quickly as you can, and then you stop and look back, tell me a little bit more. You know, my philosophy is, if it sounds too good to be true, it probably almost certainly is.

And this would fit into that category. But what else do you know, Benel? Well, we know the person individually, but we have paperwork and attorneys that would verify the information. So how can I have somebody look a little deeper into it? Yeah, what how is it being explained to you? What type of investment is it? It's an investment in real estate where the gentleman has a company and a team of lawyers and accountants and other professional people that invest with him.

And he's been doing it for about 20 years. We've been acquainted with him for about three years. But we need to talk to somebody, I guess, in a deeper way, not just over a conversation, as a general question. Yeah.

Well, you certainly do. And I would encourage you to get some wise counsel. You could reach out to a certified kingdom advisor there in Illinois to take a look at it. It's probably what's called a private placement, which is only for qualified investors. So you have to meet an income or a net worth requirement. The problem with these deals is you tend to be very highly concentrated. So you don't have a lot of diversification. Everything's at the risk of one deal. They're very illiquid, meaning that you can't get your money back until there's a liquidity event that may be years down the road. But the bigger red flag is the way that it was communicated to you is, if the word guarantee wasn't used, it sounds like it was pretty close to it, that you're going to get 250% on your money. That just doesn't exist, except in a very high risk environment where the reward is massive, but the risk has to be massive with it.

And if that's not present, if it's low risk and ultra high reward, something is wrong. So I would go very slow and get some wise counsel. Big thanks to my team today, Jim, Devin, and Sandy. We'll see you next time. Bye-bye. Faith and Finance is provided by Faith Buy and listeners like you.