Did you make it rain in 2013 but couldn’t afford to make it drizzle? 3 Financial Tips for the New Year!

6679444993Hey, listen! Making it rain doesn’t necessarily have to be in the club! It could be at Macy’s One Day Sale, impressing your friends, or simply spending money that should have been set aside for bills.

One of my favorite passages in the Bible reminds us to consider our ways! Haggai 1:6-7 reminds us that although we make a lot, we are unable to keep any of it.

So, if in 2013 you found yourself “making it rain” in all the wrong places, here are a few tips to get a handle on your finances for 2014. [Read more…]

How much money should you save?

5408163923No matter where you turn, there will be advice regarding the amount of money you should save. Some financial experts would insist using a simple rule of thumb of saving 10% when it comes to saving. But the key to determining how much you should save will depend on your personal financial situation.

What are your financial goals?
Before creating your savings plan, the first questions you must ask, “What are my financial goals and what am I saving for?” Then and only then will you be able to know how much you will need to save.

Make a list of financial goals. Next to each goal, indicate the amount of money needed, target date, and how much you can allocate to each savings goal to make it a reality.

Get to work

Simply creating a plan on paper is nothing without a plan of action. I think the Bible sums it up best, “Faith without works is dead” (James 2:14-26). After you have created your plan, next you need to get to work! Ask yourself, “how are you going to reach your goals or where can you cut expenses to help save more.”

The key to saving more is really keeping an eye on your money. Just as successful companies are profitable because they look at cost, this is no different from your personal financial situation. The only way to save more is simply to spend less. Take time to review your monthly expenses and see what areas you can spend less.

Also, just as important as it is to spend less, it is also important to increase more income. If you are really serious about saving, not only should you look at cutting expenses, but exploring options to increase your income. Consider part time opportunities, starting the business you always wanted to or exploring new job opportunities.

Remember: your choice, your future!

Kemberley Washington is a CPA and professor. Visit her blog at Kemberley.com. Follow her on FaceBook or connect with her Twitter. Like, Love, Tweet or Share this post!

Are you wearing the BADGE for your finances?

badge picture

My personal finance blog, Kemberley.com, is based on five principles I believe are necessary to obtain a financial healing. These five principles have not only been a blessing to others, but have also been a blessing to myself to get my own personal finances in order. I refer to these principles as the B-A-D-G-E!

A badge is defined as a means of identification. As you travel your financial journey and have to make difficult financial decisions, you have to be certain you are wearing the BADGE of God!

So, let us look at what the B-A-D-G-E stands for!

B – Budget 

In order to get the most out of your finances, you have to create and stick to a budget. And not just every now and then, you must budget consistently. Budgeting provides an understanding the purpose of every dollar that comes into your possession!  Not only does budgeting give you an understanding of how to use your money, but it also provides a blueprint of what you can or cannot afford.

For which of you, intending to build a tower, does not sit down first and count the cost, whether he has enough to finish it—lest, after he has laid the foundation, and is not able to finish, all who see it begin to mock him, saying, ‘This man began to build and was not able to finish’?

(Luke 14:28-30 NKJ)

This scripture tells us the importance of budgeting. Without a plan, we may only lead to a life of financial lack.

A- Assets

Everyone has the ability to earn money, but increasing your wealth is true financial freedom. Wealth, which is defined as your assets minus your liabilities, thus the more assets the better! Building wealth is the gateway to opportunities. Wealth allows for creating entrepreneurship, funding your children’s education, purchasing a home and leaving an inheritance for your children’s children!

A good man leaves an inheritance to his children’s children.
 But the wealth of the sinner is stored up for the righteous.

(Proverbs 13:22 NKV)

 

D – Debt

Debt is the enemy of financial freedom.  Having too much debt or using debt unwisely can cost more than you bargained for.  There is some debt you should simply stay away from. Using debt can either enhance your financial life or destroy it.  Be mindful of every loan, credit card, or mortgage you obtain. Determine whether the debt will move you closer to your financial healing or further away.

 

The Lord will open to you His good treasure, the heavens, to give the rain to your land in its season, and to bless all the work of your hand. You shall lend to many nations, but you shall not borrow. (Deuteronomy 28:12 NKJV)

G – Goals

If you don’t know where you are going you won’t know how to get there. Many people do not use a holistic approach when it comes to finances as a result they have investments or assets that do not align with their goals. Each and every dollar has a purpose! Know both your short term and long-term goals and identify how you will get there.  Simply put, create a plan for your money!

The plans of the diligent lead surely to plenty,
 But those of everyone who is hasty, surely to poverty. (Proverbs 21:5)

E – Earnings

You can’t expect a blessing from God without living by His principles. His key financial principle is tithing. The great thing about tithing is He promises He will open the windows of heavens and your fruit will be fruitful. But first, you have to trust Him.

Bring all the tithes into the storehouse,
 that there may be food in My house,
 And try Me now in this, ”
Says the Lord of hosts,
 “If I will not open for you the windows of heaven
. And pour out for you such blessing
 that there will not be room enough to receive it.”

(Malachi 3:10)

So what Badge are you wearing? Will you wear God’s badge and be identified as a person of God? Or will the world not recognize your financial stewardship because of the financial mistakes you are making.

Remember: your choice, your future!

Kemberley Washington is a CPA and professor. Visit her blog at Kemberley.com. Follow her on FaceBook or connect with her Twitter. Like, Love, Tweet or Share this post!

 

Getting Started in the Market – Investing 101 (Pt.1)

investing, jars of moneyBefore creating your investment plan, there are some things you simply need to know. Many people express a desire to invest and often seek investments which they believe could bring about the largest returns.  But prior to investing, you have to first identify your purpose for investing, understand how much risk you are willing to take, and then and only then, you would be able to identify the right investments for you. [Read more…]