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Panic Proof Your Investing

MoneyWise / Rob West and Steve Moore
The Truth Network Radio
September 21, 2021 5:15 pm

Panic Proof Your Investing

MoneyWise / Rob West and Steve Moore

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September 21, 2021 5:15 pm

If you’re invested in the stock market, you might be questioning if stocks are overvalued right now.  You may also be wondering if that long expected market correction is now on the not too distant horizon. On today's MoneyWise Live, Rob West will talk with investing expert Mark Biller about the status of the market and how you can panic proof your investing. Then Rob will take your calls and answer your financial questions from a biblical perspective. 

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Rob West and Steve Moore
Finishing Well
Hans Scheil
Rob West and Steve Moore
Rob West and Steve Moore

One listener that stands out, that I work with recently. Was this older couple that was interested in refinancing of the credit wasn't the best. Not everybody has the 780 credit scores and never had any hardships in their life.

I'll walk you through what you have to do. How can you end up being able to do this refinance. Whether it's 236 months from now. We work with them for months and months to improve their credit and we were able to get the loan done. We were saving them hundreds each month thousands of dollars a year and they can start saving money each month, saving for retirement, which just put a huge smile on my face. We like.

It's not a faith mortgage is a DBA of United mortgage Corp. 25 Millville Park Rd., Melville, NY. Licensed mortgage banker for licensing information, go to an MLS consumer corporate MLS number 1330.

Equal housing lender not licensed in Alaska, Hawaii, Georgia, Massachusetts, North Dakota, South Dakota and Utah and saw other drug test would everyone think central bankers, money managers, politicians, and any other group of the smartest guys in the room you're in a bubble, but I am Rob West there is an interesting number that is an interesting quote.

I should say coming from a hedge fund manager are stocks overvalued. Maybe not talk about that first today with investing expert Mark Miller and how you should plan your way. It's all your calls at 800-525-7000 800-525-7000. This is moneywise live wisdom agile decision. Well, it's always a delight to have my good friend Mark Miller back on the program.

Mark is the executive editor of sound mind investing where they been teaching investors how to whether market ups and downs for decades and markets a joy to have you with us or will thanks Rob. Always good to be back. Mark, I'd love for you to begin today by giving us your impression of the market T stays especially the last few days, but look at a little bit longer term than that, how overvalued are stocks in is the stage set for a significant correction anytime soon. All that really is requested, especially after the last few days in couple weeks or it had a little bit of the frost knocked off of this market. I think as we look at this Rob you know if we look at traditional measures that that look at stock valuations in relation to things like corporate earnings or US GDP. All these typical measures in our stocks clearly are expensive today by these historical measures and historically when we've reached these types of valuations we have seen in the stock market run into significant bear markets that readjusted and lowered those valuations significantly. What makes today the situation a little bit harder to interpret the is were obviously in the middle of the central banking experiment that started way back after the financial crisis in 2009 and has never stopped since that is basically what I'm talking about is how the Federal Reserve and other global central banks have taken interest rates down to near zero and held him there. This entire 1012 year period and in addition, they've been using these quantitative easing policies where they're actually buying assets in the open market to stimulate financial asset prices. The covert response that we've had over the last 18 months is just kicked all of this into overdrive, but this is been going on now for many years and the net result of all of that is that asset prices across the board have been driven quite a bit higher skews me so were talking about stocks here in the expensive prices of the stock market and that is certainly true, but you can also look at other asset prices look at home prices. Commodity prices basically any other asset.

And the reason for that is, we've got a situation where the money itself is worth less. So anything that you are measuring pricewise in that money goes. Prices are now higher and we've seen that consistently with stock market and financial assets now for 10 or 12 years but what were now seeing what's new and him and makes a little bit more tangible. I think for for people who don't watch the market super closely is were now seeing that on a more microlevel in the form of consumer inflation. So that's now the hot topic is were seeing the same phenomenon. Starting to be priced through in the everyday type of stuff that we buy and so the question really is, are the stock prices really so absurdly high, or have they just been repriced to reflect a less valuable dollar yeah really interesting because it's a different way to think about it. Certainly lots of this process there about 45 seconds. Here, Mark Tiant, where were going to go next with the big picture implications for investors. Yeah, I think you know big picture. Do we protect against a falling market. Yes, we still need to do that but also there's a risk of our rising market.

If this inflation phenomenon continues very good investing expert Mark Miller joining us today, executive editor of sound mind investing the article that he's describing today is in this interview is called how to panic. Proof your investing you'll find that sound mind your calls from Mark around the corner. 800-525-7000.

If you have an investing question. The first segment of the broadcast is your opportunity 800-525-7000 stay with us. More to come just to let Debbie along with us today is moneywise live joining me for the first broadcasters are good friend Mark Miller.

Mark is executive editor of sound mind investing. You can learn if you have an investing question today for Mark. Perhaps your weighing the risks present in the market right now. Maybe you received an inheritance or you want to start that retirement investing your wondering if now is the time or some other investment related question.

We'd love to hear from you. 800-525-7000.

We got some lines open 800-525-7000 Mark just before the break we were talking about that, of course, investors have always had to prepare for the risk of a falling market.

That's why we have varying asset classes and were properly diversified, but you're describing another risk that we need to think about and that is that we could see the purchasing power of each dollar declining.

While we owned these assets and that currency debasement is another piece of this explain what that means to the average investor yeah Rob, I think the easiest way to think about this. This new risk if you well is we've always had to protect on one side against falling prices of our stocks and bonds and financial assets of always had to keep an eye on this on this particular risk that was on one side of our portfolio and it's not that that risk has diminished. We still have to play defense against the possibility that those prices could decline we could have a bear market. What's new is that were new, at least in the last few decades we we used to have to many many years ago. This was an issue, but it's been a long time since we've had to think about what what happens if this currency debasement continues which continues to push up the prices the than they call it the nominal prices of the inflation of non-inflation adjusted prices of my stocks just keep going up. Even though the purchasing power of those dollars is going down there really treading water. It's not that they're getting more valuable, but the price keeps going up.

The implications that Rob of course are if I'm if I'm too nervous about a falling market and say I pull my money out of stocks and moved to the sidelines or I just get really really conservative because I'm afraid that the market might fall well now that other risk and bite me a little bit where I don't have enough exposure to these rising asset prices just to keep pace with the rising cost-of-living as prices inflate that way. So basically all I'm saying now is we can have to keep an eye on the risks on both sides of the portfolio instead of just on the one side of of potential falling price situation.

Yeah, it's really helpful links will talk specifically about what your portfolio could look like to address. That's just a moment, but Mark first.

The latest SMI newsletter has an article about taking the fear out of our investing is looking to touch on that because that's such a big part of this, especially in a choppy and potentially declining market like we may see in the years ahead. Yeah, absolutely. In just the last week or so even though stocks were only off about 5% off of the all-time highs at the very worst of the declines yesterday where there's a lot of fear, a lot of fear came in real quick into the market.

You can see that an indifferent sentiment measures so that fear is not far away from from many investors today and so what this article is really trying to do is just figure out how do we put ourselves in a position to minimize that type of emotional response because it's almost always counterproductive when the markets act up and that fear starts to rise. That's when people tend to make their worst financial decisions. So this article is looking at four steps that you can take to try to stay calm and steady through these panicky times in the market. Very good.

800 525 7000s will take some closer in just a moment for Mark Miller today on investing 800-525-7000 so Mark help us with that one is the first step to keeping our emotions in check. When there is a market correction yeah will the number one way to fight that panic Rob is to be prepared in advance and that's why we write articles like this and spend a lot of time trying to prepare SMI members mentally and emotionally for downturns because they really are inevitable. They come along a little more often than most people think.

And while that long term trend of the stock market is up word we know that the market regularly hits these these corrections. These 10% reversals. Those sorts of things, and every single time there scary so what we talk about in the article, specifically in this regard is in older investors. One way that they can prepare in advance for these market pullbacks is by using a bucket strategy.

They might build right end of their their process that there setting aside a couple years worth of living expenses in savings type investments like CDs, things that that won't be affected by the ups and downs of the market and knowing they have that cash reserve can really do a lot to help insulate them from that fear because they know they won't have to dip into their stock investments if the stock market does go down temporarily for younger folks that tends to be a little bit more of mental, emotional preparation, where a healthy understanding of the markets rhythms and the ups and downs.

The history of the market and what's what's normal, can give them a little bit more confidence to hold on. During these downturns and not panic and sell really really helpful markings.

Obviously, you know that's so key. Having an advisor can help with that because it allows you to be arms length from your investments, but also you talk about having a plan is being a real key to weathering the market downturn in managing our emotions was that look like yeah will having that written investing plan can be such a lifesaver. Just because staying calm is a lot easier when you can read essentially your own message to yourself that was written when times were calm when your head was clear and you're basically seeing your reminding yourself of what you decided when when times were clear and in your thinking about the exact scenario you now find yourself in, and you're basically giving yourself instructions from the past that when we get here. This is how are going to respond. And that's so helpful just to clear your head and stick with your plan and so that plan needs to spell out those investing objectives and strategies but also what am I going to do what is my process for handling these market downturns when they occur.

It's very good. It's a lot of folks thinking about whether or not they should be investing in the market at this time and where to start Esther's in Chicago were to begin today with you Esther the redhead.

Thank you for taking my call.

Thank you, Mike Dillard, I have a question I'd like to know my nightmare senior and that we do have money and the court. The banks are not paying much filling I came back looking into actually found my right every group.

Great if I'm looking into that right now find a don't know how to go about it.

I mean I've hooked up with Holly now. If I take it you like a little at a time to transfer over the Roth account. A whole large amount fellow that's kind of where Matt is this: jump in here to second Esther. But is this your first time to work or consider working with an advisor. Have you been managing your assets yourself. Prior to this point we normally out of fear. I thought we volleyed down like CDs we have had anything and what have you accumulated in your retirement assets well over 500,000 okay very good so Mark, how would you for a first time investors thinking about delegating this responsibility. How should she be approaching this yeah I think it's a great question, Esther and were thrilled that you've chosen that to check out my advisory and I don't really think that there's a wrong way to do this. To be honest with you because it really boils down to your comfort level and you know for some folks. I think the process of turning over that portfolio manager to an advisor you know it can be like ripping off a Band-Aid where it's just he's here to just go ahead and do that. All at once determine with that advisor. What the plan is and and how they're going to handle that responsibility for you and then just tear the Band-Aid and go, but you know for other folks it is. It's a big decision and it's a big transfer of responsibility, especially if they've been doing it on their own for a long time and so there's nothing wrong with like you suggested maybe doing that an account of the time. Okay, let's start with this Roth IRA were to turn that over and and this is how I want you to manage that piece and then a little while down the line you might turn over, you know another shocker or something like that and there's nothing wrong with either of those approaches, I think you just want to can ask yourself now if I if I like the approach that the advisor is going to take and I trust them to implement that for me. What is the advantage of me holding onto the other piece, or should I just go ahead and put that all in at one way I think will work for Esther. I think you're making a great decision here, Esther.

You know the Lord, to reason your good health. You worked hard to accumulate this money. We want to see it last for decades and yet provide you an income and that's where advisor can really help.

Come on moneywise lives in the article were talking about today with Mark Phillips on my investing is one of our featured articles that moneywise to proof your investing. Check it out today when you visit our website work before the break we were talking about the importance of having a plan is one way to fight to an emotional response to a market downturn and you said we should write that plan down and we might even want to take the bucket approach, but it's really important to have the right stuff in those buckets is absolutely Rob you know were not not just talking happy talk. Here we got actually have the investing side correctly done in the first place. So that's actually the next step we talk about in the article is making sure that your portfolio is suited to both your age and your tolerance for investing risk and that you know if you think about that.

That's pretty obvious.

The 65-year-old investors shouldn't have the same portfolio that a 30-year-old does and that's why you know all of our models on most good advisors are going to have models that gradually reduce your equity holdings and ramp up your bond holdings as an investor moves through the seasons of their life and that is also knowing that you've got that that correct age-appropriate asset allocation is going to help you immensely when you get to these market rough patches because going to help you both of your younger folk to interpret that as haystacks are on sale. This is a good time to buy. If you're an older person knowing you got the right asset mix is going to help you by knowing that you're the ballast of those bond holdings should really keep the the boat. The ship afloat through any rough patches there and smooth out the volatility so it's really important.

You gotta get that investing piece right and if you're not sure how to do that if you're not sure how to create a plan like what were talking about. There a lot of resources and and information that can help you with that process for sure. Check that out market just a couple minutes left before we have to wrap today want to talk about the new SMI handbook.

The new version of it that's out the first as it relates to fighting panic talk for a moment about the spiritual component gathers no better antidote to panic than prayer and prayerfully recalling what God has said in Scripture and promised you can help you remain calm and confident. I think of verses like Isaiah 26 three which says you will keep in perfect peace all who trust in you all whose thoughts are fixed on you, and we've seen this in practice through the bear markets for the last couple of decades are our members really just through prayer and meditating on Scripture being able to follow through on their plans and and really have a a lot of peace in the midst of market storms.

It's great that we covered these four steps that you can read about in the article of sound mind The four steps you need to panic. Proof your investing be prepared write out a plan to build a suitable portfolio and above all, invite God into the process through prayer Mark as we wrap today tell us about the new version of the SMI handbook yeah well it's hard to believe for us, Rob, but this is actually the seventh edition of this handbook.

We've sold over 100,000 copies of this over over many years and it's really just a practical how-to guide that's gonna work. Whether you're a beginner or an investing expert and basically boils all of our wisdom from 30 years down in the one resource for you. Hello give several of those away today for people who call in with your questions.

Working turn to any question on financial matters today from a biblical perspective, just after this break, we got some lines open.

Here's the number 800-525-7000 Mark Miller's bitter guest today. You can find the article we've been discussing how to panic. Proof your investing sound Mark, great to have you with thanks, Rob always my pleasure to see you next with us today on moneywise live around with those stupid talking about panic. Proofing your portfolio to turn the corner. Though start to talk about anything financial applying truth of God's word to what's going on in your financial life you get a few lines open. I love to hear from you. 800-525-7000 will begin today in grand Haven, Michigan hello Julie, how can help you-year-old went out and I am getting from where he worked in the union and just wondering they have been sending their pension plan is and I'm back down are critical. I have my own intent on IRA and I was running early this pension plan, their life planted his input into mine you giving you those options. Yet as to how you now move those funds.

Okay. All right.

Well, there are laws that attempt to keep pensions safe single employer pension plans are in better shape than multi employer plans for union members but you know they can be underfunded, there can be a number of issues, the employer could go bankrupt.

The pension could fall into one of the loopholes so you want to review your records. You want to get some help.

You need to really understand what's going on with your particular plan. And if you have the option to roll it out whatever portion is available to you. I would certainly explore that you'd want to do it into another qualified plan so you don't create a taxable event, but Gil having it out from under a company that's failing or whatever the situation is would certainly be in your benefit to shore up those funds and make sure that you can redeploy them all into a sound investment strategy moving forward. So I would collect all the information you can learn about what's going on and then explore the options that you have and clearly, if you could roll that out. That would be the option I be electing at this point Julie does that make sense all right. Very good.

We appreciate your call today with the Lord bless you on to what Washington state Linda hi there, how can I help hi my are in their late 60s and make better how Brian hearing about the lack of income that is clearly right he'll try to keep it only had going on that our biggest thing is trying to keep down the database that kind man and then got our breakdown truck and were trying to say that we can start to get done here at our small farm. Think about what the Bible that Eric figured out out for a while and I don't there's any encouragement to her. Yeah well and I appreciate your question here so much and I think first of all you done what you needed to do to be at a place where your debt free at this point in life, which is a huge blessing and something you should celebrate that the Lord is alleged to do because that keeps your lifestyle need as low as possible and yet I realize on a limited means no, there is often months where there's more month than money so that can be a challenge as you try to navigate the ebb and flow of the expenses and will manage the emergency fund with the unexpected.

Clearly it's all gonna come down to either number one. Can we generate more income. Is there an opportunity to even work part time or look for an opportunity to supplement while you have the ability to do that number one in and I would love for you if you had that opportunity to take 100% of those resources and suck them away to build up that emergency fund where needs to be the other opportunity, obviously, is to cut your expenses and then once you have that plan. It's critical, as you know, Linda, just to really manage the flow of funds in and out and that means coming up with the spending plan and a control system that works for you. Whether that's a pen and paper, or that the old tried-and-true physical envelope system that Larry Burket used to talk about or a more modern approach are moneywise app which I'd be delighted to give you the Pro subscription for six months. We could connected to your institutions download all your transactions. The key would be you can set up all of your envelopes digitally. The money then comes into your funding account your checking account and you would put it into those envelopes and then you and your husband if if you're adept at that and use smart phones at any time could see what's in that particular envelope and maybe we need to move this out of one and into another. But regardless of the approach you take, because everybody is unique and we need to find something that works for you.

I think you're starting with that budget that has some margin built-in so we can replenish the emergency fund and then having that control system that works for you is so critical.

But tell me what has been tripping you up is largely just the unexpected expenses that come out of left field, or is it something else.

Well call out a couple hundred of the couple thousand back for the harm or we can have some outlying smaller loan really trying to snowball effect on down and my husband is working part time). He loved working pretty help there, but I think you hit on something and didn't let that man an extra to have a bit more relaxed time is maybe constipated and do it 80 2080 babies and 20 to get by on something that's the right approach and being systematic about that. So it never even hits your checking account or there's an automatic transfer out to savings and think those kinds of things automating that so you know it's out of sight out of mind.

And then it's there when you needed for the unexpected. And then of course trying to and anticipate those discretionary nonrecurring expenses like a car or a piece of equipment for the farm that is going to wear out, you know that's gonna happen. Let's start a fund just for that and start sucking some money away. Let's put away 1% of the need of the value of the mortgage on the property. Every year, or one months payment into a fund for just general routine home maintenance of those kinds of things as you're able or going to be critical, but you're obviously sitting in the seat. Trying to manage all that and I know Linda it's not easy.

So, let me offer two things.

Number one is if you all do you smart phones you'd like to try the moneywise app would be delighted to give you a Pro subscription hang on the line will get you the information and then secondly are moneywise coaches might be a real encouragement to you as they just walk alongside you and help you think about perhaps you are some ways to savor ways to cut back that you haven't thought of looking at your spending plan and giving you some ideas just as an encouraging believer that can pray for you and give you some of that assistance may be a real help to you. I just had to our website moneywise you want to connect with the coaches. No cost or that we be happy to assist you. But listen all the best to you Linda. I know you want to be found faithful in honoring the Lord with what he's entrusted to you, and that's an encouragement to me.

I know it's an encouragement to all of those listening so all the best to you in the days ahead will certainly call to pause for a brief break and come back. We talk about timeshares talking about Ross and 401(k)s more in Indianapolis was to talk about annuities that perhaps your question here is the number to call 800-525-7000 800-525-7000 lines open reps once they stay with us much more to come in moneywise live biblical wisdom is joining us today moneywise live around Western hose. Let's go straight back to the phone, St. Louis, Missouri. I'm getting you tell me how to say your name I don't want to tell me how to pronounce it.

I like it. I'm glad I tried you go right ahead. Thank you for your patience. Okay you what, why, what you talk about timeshare and that number that you gave out all pool deck. No happy to get timeshare black I'm corny to get number I'm not likely to give me like information on. That's why I okay well I'm glad you called in an attempt to say your name for luck, I'm glad you called today.

I don't think it was me because here's why.

You know, I've never found someone that can help you unwind these that I'm comfortable with my friend Dave Ramsey does it give out some phone numbers from for folks from time to time day visit is a friend and does great work but you know I have never found that to be very successful. Going about it that way.

So how do I approach getting rid of the timeshare. Well first of all, I called the developer and see if they will resell it for you.

They don't have much incentive to do that. They'd rather sell new ones, but that would be your best bet you could rent it out. That would be another you could try to resell it and I can give you a website not a phone number of somebody who can get you out, but a website for users group. It's called the timeshare users group, you'll find it online it hug to UG in the number that would be a place where you could list in their timeshare marketplace. Your timeshare for sale. I've talked to some folks who have had some success with that. Apart from that, you could try to market it locally find somebody in the area where it where it is and see if they would try to sell it for you or take out an ad in the newspaper or something like that. It's not gonna be easy. I wish I had better news for you. There's just so many of these that folks are trying to unload that there's just generally far more sellers than buyers to make an effective market here but let's ask the Lord to give you some wisdom and some favor and see if you can't to get rid of this thing, but we appreciate your call. I'm sorry I don't have a quick fix for you, but grateful that you took the time to call in today onto Indianapolis, Indiana hi Laura, how can I help out now ready and paid back 5% for five year and it got to sell anything out there when I retire later on I can put it. Is this a qualified annuity. Do you know if this money would in pretax and now that okay so you want to check that out because anything you do may have tax consequences you'd want understand that you know.

I guess the real question Lord is are you willing to take some risk with this, not that you would intend to lose money, but do you want to invested in such a way where it has the potential to get a bit more return, but with that potential also comes the downside risk with that's where you would match the investment strategy with the time horizon and you'd make sure that you are invested let's say and in stocks and bonds you have at least a 10 year time horizon. Would that be something appealing to you or would you rather keep it in more of a guaranteed environment and in this case it's guaranteed by an insurance company that sure okay what's all about risk and reward. So you know in order to get a bit more potential for return which by the way the stock market has been the very best place to build wealth over the last hundred years. It's a passive investment and you can match your investment strategy to your risk tolerance. But if you said you know what I just need to protect this is not about the return on my money. It's about the return of my money that I think at that point you'd want to look at what this currently available. Inside this annuity and just match that against the best high yield savings accounts with. That's an online bank or credit union and over you to get somewhere between the half a .3 quarters of a point in interest now over time as interest rate set up, you could do a little bit better so I did Lee's call and find out what they're paying what the guaranteed rate is on this annuity and at the very least, look at perhaps transferring that to another annuity. You could also connect with one of our certified kingdom advisors there in Indianapolis to evaluate what you have and give you some counsel just had your website moneywise and click find CK. We appreciate your call Latinos in Chicago, Illinois. How can I help now at my age. Should I have already saved my one second question I know it work for company will match up my contribution maybe about a month ago my pretax lot, but before it was delivered pretax rock which in my company bulk about eight what to take what you know in my 401(k) and pretty know a Roth conversion and pay the tax at the time that you moved it into the rock so way that would work as you would want to separate from the company roll the 401(k) to a traditional IRA rollover and then you could converted to a Roth, but that generally doesn't make sense unless you got a lot of time on your side for that to grow on a tax-free basis. You also may be in a higher bracket now during your earning years and you would be if you left it in the tax-deferred environment pulled it out in retirement when you're not working. Let's say down the road so I like the idea Latina of you accumulating your retirement savings into buckets both the tax-deferred and the after-tax with tax-free growth in the Roth option because that gives you options in retirement based on where the tax codes that you do the rates and whether or not you need the money and therefore would or would not be subject to the required minimum distribution. Depending on what types of account you have, so I think that was a good move, especially since there was matching for both but but you would have to converted and pay the tax to get it into the Roth as to the amount you should have. You know the rules of thumb may scare you because you know they they tend to be somewhat high, but the average rule of thumb for a 60-year-old is that you would have seven times your income in your retirement accounts. Now that's a lot of money. I realize, but they're just looking at the fact that Social Security is only intended to come for to cover 40% of your preretirement income and they're looking at what would you need to have so that at a 4% rate of return, you could generate the other 60% of your pre-retirement income unit without impacting the principal and you know that other folks will say want to reduce my lifestyle live on less and you certainly can do that but that somewhere between five and seven times your income would be with the rule of thumb is, I know you also wanted to ask about the book that we mentioned earlier, and I'd be delighted to actually give you a copy. It's the seventh edition of the sound mind in the handbook by Austin prior and that'll be our gift to you today Latina. When you hold the line by producer, get your information.

Thank you for your call. Lorene is in Boardman, Ohio hi Lorraine how are you great to think second have never been taught how to watch or or I'm really good and I get it, and anything else and I'm aware of my I am older and should know these things and I don't know where to start and I finally have a really I have a good job and I'm paying down that I'm doing what I think I know to do, but I feel like I don't know what I'm doing a book like you come to the right place. Lori and be careful and I heard a horn section to limit okay good okay good, to give you some principles and then affords it were about time today. The book is called your money counts by Howard Deighton. It's a great primer on biblical money management, which is my first point, and that is Lorraine, you've gotta start with the recognition that God owns it all.

That what you have is been entrusted to you, and it belongs to him.

You are his money manager and with that comes I think a heightened responsibility for all of us when we realize where the money manager for the creator of the universe and then beyond that, we need a vision for money being a tool, not an end tool to accomplish God's purposes, and then we start to think about our values and where God is leading us and what is he wants to do now and in the future and how how can money be a tool to accomplish that. I think we need to start by building in our giving because that's gonna loosen the grip of money over our lives and calibrate our hearts to the fathers. Then I think the next key piece other than starting with your systematic giving is living within your means and that means you gotta have a spending plan and so in addition to your money counts will get your information and get you a six-month Pro subscription to the moneywise app which will help you build a plan. Download all your transactions daily. Get them into a digital envelope system so your controlling the flow of money so that way when the eating out, the envelope is empty you're done and when the close envelope is empty you're done now. Those may not be the discretionary items that are your budget busters, but whatever they are for you and it's perhaps different for all of us. The key is that you control the money to say when the money is gone for the month. I'm finished spending and when I lived within my means.

That gives me margin to then fund my goals based on where God is leading me and I think that's so critical.

Young giving generously living within your means. You will avoid the use of debt set some long-term goals and I have some margin in your financial life so Lorene I believe you can do this with the Lord's help make it a matter of prayer and hold the line will get you a copy of your money counts in the Pro subscription folks so that's what it's all about God's wisdom for our finances.

This is a partnership between Moody radio and moneywise so thankful for a partner at Moody.

Thank you for listening and tuning in. Today was a thank you, Robert and Gabby as well to do it without a come back and join us tomorrow.

I'll be here willing

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