This week I’m sharing how our family lives on less, the reasoning behind it, how we eat on $40 a week, live without a TV, and today how we live debt free.
photo by iandavid
I drive a pretty hard line when it comes to debt. You can thank my parents for that. The bottom line is debt is no good. We all know that. But the more important thing is what does the Bible say about money?
Owe nothing to no anyone except to love one another; for he who loves his neighbor fulfills the law. Romans 13:8
The wicked borrows and does not pay back, but the righteous is gracious and gives. Psalm 37:21
Do not be among those who give pledges, Among those who become guarantors for debts. If you have nothing with which to pay, Why should he take your bed from under you? Proverbs 22:26-27
He who loves money will not be satisfied with money, nor he who loves abundance with its income. This too is vanity. Ecclesiastes 5:10
But those who want to get rich fall into temptation and a snare and many foolish and harmful desires which plunge men into ruin and destruction. For the love of money is a root of all sorts of evil, and some by longing for it have wandered away from the faith and pierced themselves with many griefs. 1 Timothy 6:9-10
Debt is serious business. When you live in debt “then you’re a slave because you do not have the freedom to use your money to help change your family tree” (Dave Ramsey). I would add to Ramsey’s statement that when you’re in debt you can’t live fully for the Kingdom. Our money is not our own–it belongs to God. We are to spend our money wisely with the ultimate goal of building up the kingdom of God, not ourselves.
Debt inhibits you to be a servant of God. If your money is committed before you receive it, then you have to ask yourself how can it also benefit the Kingdom? Did you know the International Mission Board has debt limitations to serve? Many mission organizations do. If the Lord is calling you to serve can you follow through in obedience? Or will financial obligations hold you back?
This forces us to examine our hearts and the affection we have toward money and “stuff.” If our money is really God’s money, then we should live and spend it as such. We should question the purchases we make, the loans we take out, and the interest rates we agree to.
- Are they necessary for our survival?
- Do they glorify God?
- Do they seek to enlarge the kingdom of God and make His name known?
- Do we need them?
- Through how we spend our money are we seeking to make much of ourselves or much of God?
- Do we spend more on nonessentials than on giving?
In our western culture, we have been conditioned to be comfortable. It makes sense. Who wants to live uncomfortably? Who wants to be inconvenienced? Who wants to have to continue to persevere after a hard day’s work? Shouldn’t we just be able to sit in front of the TV and relax?
The funny thing is God’s economy is so different than the world’s. God cares more about our sanctification than our comfort. He cares more about saving souls than having the newest gadget. He cares more about His glory than how good we measure up to others.
He cares about that which is eternal.
And more often than not how we spend our money doesn’t.
I’m not saying that we all should take a vow of poverty and live on bread and water. What I am saying is that we must, if we say we are Christ followers, spend our money in ways that enhances the Kingdom of God. If you’re not able to give more than your regular tithe, but you have a monthly $400 car payment then there’s something wrong. Your loyalties are not lining up.
I know I may ruffle some feathers with this, but it’s something I feel passionate about. If God is so great and worthy of praise, then we should be spending our money as so. We wouldn’t need the newest HD television, but our joy would be in giving that money to support a missionary going to share the Gospel–the life changing and saving message.
Mother Teresa once said,
Sometimes the rich seem very willing to share in their own way, but it is a pity that they never give to the point of feeling they are in need…I don’t want you to give me what you have left over. I want you to give from your want until you really feel it. No Greater Love (43)
Give to the point it hurts. That’s stuck with me from the first time I heard it. Give to the point it hurts. Give until you feel your own need. That’s my goal. That’s how I want to live.
I don’t want to acquire a bunch of stuff that has no eternal value, that I can’t take with me. I’d rather store up for myself treasures in heaven. I’d rather know my money was spent saving souls through the sharing and preaching of the Word, through willing hands and feet. I don’t need a bunch of things to make me happy. Sometimes I think I do. But “stuff” will never satisfy.
I want to be like Paul and confidently say,
Not that I speak from want, for I have learned to be content in whatever circumstances I am. I know how to get along with humble means, and I also know how to live in prosperity; in any and every circumstance I have learned the secret of being filled and going hungry, both of having abundance and suffering need. Philippians 4:11-12
Jesus really is all we need, whether rich or poor.
How do we live debt free?
photo by xjasonrogersx
- Paid off student loans. This was our first financial goal when we got married. My husband brought about $10,000 in student loans into our marriage. We made a plan and had them payed off within six months. When I graduated high school, I felt the Lord was calling me to not take out loans. I used scholarships, my own savings, as well as an amount my parents had set aside. I didn’t finish college, but I also don’t have tens of thousands of dollars in debt looming over my head. It was a hard decision to make, but God had a plan for my good (that I’ll share at a later time). Going through school debt-free is a real possibility. It may take more time and harder work, but it’s worth the pain.
- Buy with cash. If you can’t pay it in cash, you don’t need it. If your checking account can’t support your purchases, then you don’t need it. End of story.
- Paid for our car up front. I have never had a car payment. Not once. I don’t believe they’re necessary. If you do your research well used cars can treat you well and last a long time. Our current car is seven years old, has great mileage and maintenance records, with all the bells and whistles, and we payed just under Kelley Blue Book value.
- Live within our means. We budget. We don’t buy want we don’t need. From time to time we may drool over something amazing, but we shake it off and move on. It’s not worth sacrificing our sanity.
If you’re in debt I’d highly encourage you to look at Dave Ramsey’s baby steps.
If you feel like you have to take out a mortage to pay for a house, then I’d encourage you to read Crystal from Money Saving Mom’s story (part 1 and part 2). Her and her husband are saving to pay 100% down for their first home.
Living debt free is a very real possibility for everyone. You just have to be willing to commit to it.
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What a beautifully written post. I’m sure you’ll offend lots of people but I’m not one of them! Your post was just what I needed to hear. This is something my husband and I have been convicted of for some time now but haven’t made any steps to moving forward in the direction we know God wants us to go with our finances. I loved the quote from Mother Teresa! And I appreciate all the helpful links. Thanks for taking the time to share what the Lord has taught you in this area.
I’m currently debt-free, and, Lord-willing, I plan to stay that way. I remember many times in Japan, when we were trying to find co-workers to come work with us at the church, the main reason we could never find anyone was because all the seminary graduates were drowning in debt. They wanted to know how much the “job” paid before they’d even consider coming. (“Umm, it doesn’t pay, you have to raise support,” was enough to send running all those who were interested.) That in itself was enough to put me off school debt, even if my parents hadn’t also taught me otherwise.
My “method” for staying out of debt is simple…I don’t spend more than I have. I do have a credit card to help build my credit score, but I use it like a debit card. If there isn’t money in my bank account, I don’t use it. I don’t have a car. I don’t go to Starbucks, or the movies, or buy a new wardrobe every season. Frankly, it’s probably easier for me than most because when I was growing up, I didn’t have the option to spend money on any of those things because they weren’t available. Spending money was never a habit I formed.
This is cool…once again, I am finding I have more things in common with you than I knew about before, Jess!
I love that!
Jiminy Cricket! You paid off $10,000 in student loans in SIX MONTHS??? We were stupid and bought a new car. Dumbest thing EVER. Don’t do it, people, don’t. We’re focusing on getting that out from under us so we can turn to hacking away at those student loans…
Great thoughts!!! My husband and I are working on becoming debt free after realizing the Biblical view of debt, and the fact that we were living contradictory. We aren’t having as much progress as you did (Which was amazing!), but we are finally able to see the end.
Thanks for the great thoughts!
-Ashley