Which financial Tool is THE most important for your financial success?
Is is tithing? ( giving 10% of your income to church or charity)
Is it saving? (taking a preset portion of your income and hiding it away where you won't use it for other purposes other than savings and/or investing for the purpose of securing a future income streams)
Is it investing?(And no, investing is not necessarily the same as saving....but the two are very much connected)
It is reducing your personal COST of LIVING? ( mastering how to lower your monthly bills such as housing, utilities, insurance and food costs )
Is it paying off and down all debt? ( for this illustration I am lumping together all kinds of debt....both mortgage debt as well as consumer debt)
Is it putting aside funds for your own, your spouse's and your children's education?
Is it about "Asset Allocation" .....( deciding precisely where and what investment product you put your money into)
Is is about having sufficient funds set aside separately just for emergencies?
Is it about saving cash to finance a prepaid vacation, so that you won't be tempted to use debt to pay for a vacation?
Is it about delaying the purchase of a home and renting for more years so that you may build up a greater nest egg?
Is it about refusing to finance a car by saving up and paying cash for a second hand modest vehicle?
It is about learning to live without credit cards?
Is it about learning to live without the trendy "stuff" that your friends and neighbors seem to say are "sooooo important for appearances"?
Is is about being aggressive in business opportunities/investment opportunities when we find them?
Do we work hard to make our money work hard?
How much risk is reasonable?
Have your given someone else control over your finances? How trustworthy is that person or organization? Can that person or organization be trusted to protect your best interests?
Are we investing in ways that limit and/or reduce our taxes?
Have we done a will to protect our assets for future generations after our passing?
Are we reading something daily/weekly/monthly which will add to our personal arsenal of accurate financial information?
Are we getting to know people who have succeeded financially and humbling ourselves to learn and listen from their example?
Are we reading books or listening to audio books regularly written/recorded by those who are well respected in the arena of personal finance and/or investing?
When we come up with "unknowns" do we write down our questions and seek out the answers? Or are we content to live in ignorance because we have become comfortable with living passively?
Are we teachable......or do we live as if we have "arrived" and no longer need to learn more about personal finance?
Or is it all of the above? Who is going to lead us into wisdom in these arenas of life?
It is possible to get God's wisdom, as He gives wisdom to those who ask it of Him, according to the scriptures "who giveth to all men liberally".
May God's Spirit use these questions to stir up some good and important discussions in your home and family.
The more you talk and read about personal finance, the more questions you may have. But don't get overwhelmed.... Don't get discouraged. Becoming educated about personal finance is a journey......not a one stop destination.It is going to bear great rewards for you and for your future descendants who may, depending upon your choices, be able to learn simply by following your excellent example.