Hope for your financial life and beyond

6 Shocking Things Your Broke Friends Need to Hear You Say

June 24, 2020 by 17 Comments

If you’ve ever gotten into conversations with broke friends about money, you know how hard it is to determine if they actually want your help. There are several ways to figure that out and perhaps lead your discussion to a deeper level. If that happens, you’ll learn more about your friend’s financial struggles and perhaps be able to offer some counsel.

However, the counsel part is when it gets really tough. If you’ve had success with money, the answers seem obvious. You know what must be done.

Change your habits.

Spend less and save more by following a budget.

Get out of debt.

Invest, invest, and invest some more.

The sad thing is your broke friends might not want to hear any of that. They are in financial trouble for a whole host of diverse reasons. And those reasons have a grip on their life that will make it hard to break free.

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Filed Under: Friendships, Vices Tagged With: , ,

Teaching Kids About Money to Get the Best Results

June 3, 2020 by 27 Comments

A major role of parenting (and one that is often neglected) should be teaching kids about money. For many reasons, parents drop the ball in this area and raise children who carry an improper understanding of money into college and adulthood. Unfortunately, these children then face challenges when they go to seek employment, earn an income and determine how to manage their financial lives.

But what is a parent to do? How do you go about helping kids develop a proper understanding of how to relate to and handle money? It seems like such an overwhelming process, especially for those parents who don’t handle money well themselves.

The good news is that it’s not as difficult as you might think. For starters, what children should learn about money varies depending on their age. A five year old needs to hear different messages from the parents than does a teenager. However, there are three fundamental money lessons that every child needs to learn no matter what the age:

1) to save money for future needs,

2) to spend money wisely and

3) to give generously.

These three principles serve as the foundation upon which other money lessons build. Stick with these and you will see the best results when they are consistently applied over time. Let’s see what that practically looks like.

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Filed Under: Kids and Money, Managing Money Tagged With: , ,

Life Insurance: The Most Important Things You Need to Know

May 31, 2020 by 29 Comments

The topic of life insurance is one that many do not like to discuss. The reason is simple - it involves death, most notably our own. And since death routinely shows up on lists of common fears, its obviously something we choose not to think about.

Next to purchasing quality health insurance, I believe this is the second most important insurance a person should buy.This is because there is nothing you can do about it once you are gone. You can’t buy a life insurance policy after you are dead. You can’t provide any financial comfort to those left behind once you are in the ground.

See what I mean about life insurance? Even writing those sentences brought a tinge of emotion I’d rather not feel. That’s what makes it so easy to avoid dealing with this.

But we have to. Life insurance is a big piece of the puzzle to our financial lives - even if we, as the deceased, will never see any of the money.

What is Life Insurance?

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Filed Under: Insurance, Marriage Tagged With: ,

Interview with a Centenarian: At 100, My Grandfather Reflects on Life, Faith and Finding Purpose

February 10, 2020 by 40 Comments

Oh, to be a centenarian - 100 years of living. It’s simply amazing! Most of us would settle for 80% of that. It’s hard to fathom the changes and life events someone born in 1914 has experienced.

centenarian

Byron Miller - Preaching at 100 years of age

What will you be up to at 100 years of age? My grandfather, as shown in the picture, preached a sermon the day after he turned 100. His challenge to those who listened:

1. Practice Gratitude (be thankful)

2. Express Certitude (in the things of your faith)

3. Develop Fortitude (build the power to endure)

And he played his guitar and sang a short chorus at the end. The song’s message - “Just a little bit longer Lord…just a little bit longer.”

Not a dry eye in the house.

In the weeks leading up to his 100th birthday, my grandfather was kind enough to answer some questions about his life. I’d encourage you to take five minutes to enjoy this thought provoking read about a man who has experienced the Depression, the loss of siblings, financial challenges, joys and regrets and 60+ years of ministry.

Q & A With a Centenarian

1. What is the most amazing thing you have seen in your lifetime? Why did that stand out?

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Filed Under: Faith, God's Provision, Lifestyle, Marriage Tagged With: , , , ,

How to Be Sure Children Should Get Your Inheritance Money

January 6, 2020 by 57 Comments

The question comes at some point in everyone’s life - “Who will I leave my inheritance too?” If you are in your 20s, the thought probably hasn’t crossed your mind yet. But it’s most definitely been thought of by people in their 40s, 50s and beyond, especially those who have a family, money and other assets.

We all hope to live as long as possible. With modern science advancing at leaps and bounds, life spans are being extended to 100 and beyond more and more often. But, in the end, we all know these two realities of life to be true:

1. Our death will occur at a fixed moment in time.

2. Nobody knows exactly when that moment will be.

How interesting that death brings with it aspects of certainty (we will die) and uncertainty (when?). That dualistic nature of death is fascinating. Perhaps that’s why issues surrounding death and what will happen after we are gone remain difficult to discuss. We simply don’t like thinking about anything that relates to the end of us.

But we have to think about it for there is so much at stake. Mess up our death and it could impact those left behind for generations to come. Today we will look at one aspect of death you need to consider - whether or not to leave an inheritance to your children.

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Filed Under: Kids and Money, Planning Tagged With: , ,

How to Invest 1,000 Dollars at Age 18

November 4, 2019 by 27 Comments

A while back, I had a conversation with a former student of mine who is looking to invest in the stock market. He was in college and had some money sitting around that he didn’t need for school. He wanted to know how to invest 1,000 dollars and whether it was realistic or not at this time of his life.

how to invest 1,000 dollarsHis situation was similar to what many 18-year-olds face. They’ve worked full-time summer jobs since they were 16 and maybe even part-time ones during the school year. Their college expenses are taken care of either through scholarships or the bank of mom and dad. The money they have earned is just sitting in their savings account drawing little to no interest. Does it make sense for them to do something else with it, like beginning to invest?

The answer is “YES…it absolutely makes sense” but with a very big “BUT…”.

Before I get to the “BUT…” though, lets look at some assumptions about 18-year-olds that are going to impact how they invest and where they put their money.

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Filed Under: Investing, Kids and Money Tagged With: , ,

How Much We Pay Our Kids For Chores

September 19, 2019 by 43 Comments

If you’ve ever wondered how much to pay kids for chores you are not alone. It’s a question my wife and I have wrestled with again and again. I’ve mentioned before why we don’t give our kids allowances. I’m not giving them money just for existing. It seems like that is what an allowance implies. Kids need to feel the burden of work so they can experience the joy of its rewards.

how much to pay kids for choresIn addition to earning some money, doing chores around the house is teaching them responsibility. The home is where they should begin to learn basic life skills. When I was in school, I knew some college freshman who couldn’t do their own laundry. All four of my children have been doing their laundry since they were nine.

Over the years my wife and I have adjusted how much we pay our kids for chores. The amounts started out small and increased as they got older. And then when we started having teenagers, specifically when they turned 16, we made another radical turn. Before I get to that though, here is some background information that helped us decide on how much to pay kids for chores.

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Filed Under: Kids and Money, Work Tagged With: , , ,

3 Reasons A Good Name Is Better Than Riches (Proverbs 22:1)

September 9, 2019 by 25 Comments

“A good name is to be chosen rather than great riches, Loving favor rather than silver and gold.” - Proverbs 22:1

Have you ever thought about the status of your name? Would you say it is good? Do you even care how those around you view your name?

a good name is better than richesJust to clear up any confusion, I’m not talking about your actual name. Mine is Brian. There is nothing fancy or unique about that as over 1.2 million people in the U.S. share it. It’s statistically the 29th most popular first name as of the time of this writing.

I’m talking about what your name implies. When people hear your name mentioned, what do they immediately think about you?

In this context, a “good name” really speaks to your integrity. It’s about your reputation and the character you possess inside. It identifies who you are from a moral and ethical standpoint. Essentially it is what you are all about.

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Filed Under: Friendships, Hidden Nuggets Series Tagged With: , , ,

Kids, Money and High School Graduation Day

May 17, 2019 by Leave a Comment

 

In a few hours, my firstborn child will walk across a stage and receive her high school diploma. It’s been 18 years in the making and now we are here. One of the milestone days any parent looks forward to.

It seems like only yesterday.

You hear people say this phrase all the time, “It seems like only yesterday.” Well, it’s true. Mom and dad are really feeling that today. I was just talking with a friend this morning about how quickly time passes. And I can vividly remember the day my daughter Kelly came into this world.

What a joy it’s been to raise this child. She’s been obedient…kind to her siblings…dependable and reliable…driven…generous…sweet.

And I’ll tell you something else she has been…costly. (Hey, this is a personal finance blog…what did you expect me to talk about.)

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Filed Under: Kids and Money, Spending

How to Make a Will and Protect Those You Love

February 6, 2018 by Leave a Comment

Today I’m going to talk about a personal finance related topic that many people ignore – how to make a will. In fact, this topic is more avoided than you think. A recent survey at Caring.com showed that only 42% of Americans have estate planning documents. What’s even worse is that for those with children under the age of 18, the number drops to 36%. Yikes!

It’s not surprising a large number of people avoid making a will. Making a will requires a person to think about one very uncomfortable event – their death. I don’t think anyone of us is looking with anticipation towards that specific day.

However, the reality is this - that day WILL come. It is unavoidable. And the real truth of the matter is, we don’t know when it’s going to be. Not all of us are guaranteed to live to 100.

So before I get to how to make a will, I want to show you why it’s important and how it helps protect your family.

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Filed Under: Planning, Relationships Tagged With: , ,