5 Steps to Family Financial Freedom
Do you ever feel like your money controls you instead of the other way around? If you are like most Americans, you probably have felt that way (and many of you probably still do).
Handling money is not easy. Oh, it sounds easy, but actually doing it properly takes both focus and discipline. Trust me, I may be writing this post, but that does not mean I/we are perfect at any of this stuff! This is one of those “I need it as much as anyone else” type articles.
You are not going to read anything in this post that will turn a light bulb on in your head. Everything here you have heard before. However, actually doing these things will help you walk toward real financial freedom. It may take time, and there will certainly be roadblocks along the way, but these 5 steps are necessary if you want to take control of your money, and do so for God’s glory, over time.
1. Have a Detailed Monthly Budget. One of our most-viewed posts ever on this site deals with writing a budget (you can read it here), but those who think about each month and pay attention for that month–every month–are more likely to win over time. Some months will be tight, while others will be easier, but treat each month as a separate entity and you will see some progress over time.
2. Spend Less than You Make. We all know this, but how many of us just do not follow it? There are so many ways to overspend, and many of us figure we can out-earn our spending. Instead, just do what your grandmother said: Live within your means. Then, be wise with the extras!
3. Get Out of Debt. How much money would you have if you weren’t paying a car loan, student loan, home equity loan, and credit cards? Now, is debt sinful? No. But to load yourself down with debt is unwise. The best way to handle debt is to avoid it if at all possible, and to get out of it when you have it as quickly as possible. We recommend Dave Ramsey’s “Debt Snowball,” but the key is to have a plan that frees up those debt payments to do other things, and then to follow that plan relentlessly! (It worked for us!!!)
4. Be a Generous Giver. It seems counterproductive, but those who truly win with money know how to be generous in their giving. If you are generous, you may never be super rich, but you will truly be free with money because you will have the proper attitude toward money. Additionally, it is quite amazing how so many times, those who learn to give also become recipients of more. That should never be our motivation, but it does happen quite often.
5. Save before You Spend. Save for emergencies. Save for big purchases (cars, furniture, vacations, etc.). Save for retirement. Save for college. Before you do any spending with your money, set some aside for the future. This helps you plan for the future while also keeping your spending more in check.
As we said, none of these is all that deep. You know all of them. Doing them over time, though, is what will help you and your family know true financial freedom, whether you ever have a ton of money or not. You see, real financial freedom is not a dollar amount; it is an attitude toward the financial blessings God has given.
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