My wife and I have always tithed off our gross income. A few years ago we made the difficult decision to take our Social Security benefits to try and make our mortgage payments every month. Now that we are on a fixed income, I’m wondering if we should continue to tithe off our gross income (which is usually a stretch each month) or tithe off our net income?

Gross or Net

Dear Gross or Net,

Thank you for an excellent question. I wish for two things: 1) that I had more detailed information about your financial picture and 2) that more people had your same concern! Regardless, I will give you a principle-based response and trust that it will guide your decision.

I am sorry to hear that you are having difficulty making your mortgage payments. It is not clear to me if you have other income in addition to your Social Security benefits. God knows your circumstances and your heart. What’s important is that we see giving as a privilege, not a burden or something we must check off before we die. It’s an opportunity to participate in advancing His kingdom.

The word tithe literally means “a tenth”. The Bible describes the giving of a tithe as a testimony to God’s ownership. It was through the tithe that Abraham acknowledged God’s ownership. Abraham had no law – that didn’t come until later with Moses. Abraham gave because he loved God and was convicted that the tithe belonged to Him.

Abraham was a faithful steward, willing to surrender everything, even his precious son, Isaac. When convicted by God, Abraham obediently surrendered a tithe because he understood its significance.

The amount of the tithe is important to us when we acknowledge that God already owns all that we are given, we are just returning a portion to honor Him. Given as a testimony, the tithe reaps a great harvest because it’s the seed we plant for God to multiply.

At Crown, giving is an essential part of our map to finding financial freedom. We encourage everyone to include giving as a financial habit early on in their journey, and it’s included in every Destination on the Money Map.

Please understand that the exact amount you give is not important to God. Paul pointed out in 2 Corinthians 9:7, “Each one must give as he has decided in his heart, not reluctantly or under compulsion, for God loves a cheerful giver.” There is freedom here. God wants a surrendered heart that willingly shares out of love and obedience to Him without expecting something back. After all, He’s blessed us beyond measure already, so our giving should be one of gratitude in His honor.

The Road to Cheerful Giving

It is my personal conviction that the giving of a tenth (10% of our gross income) is the beginning point of learning to be a cheerful giver, it is not the endpoint. As my friend Randy Alcorn says, “I view the tithe of 10% as I view a child’s first steps. His first steps are not his last, neither are they his best, but they are a fine beginning. So is the tithe. Tithing is for many the first toddler’s step of stewardship. It is the training wheels on the bicycle of true giving. It may not be a home-run, but it gets you on base—which is a lot further than the majority of church members ever get.”

Giving with the proper attitude and an eternal perspective opens our hearts to the needs of others. We see the world through God’s eyes. Pay close attention to how personal Jesus makes the issue of generosity in this final parable.

When the Son of Man comes in his glory, and all the angels with him, then he will sit on his glorious throne. Before him will be gathered all the nations, and he will separate people one from another as a shepherd separates the sheep from the goats. And he will place the sheep on his right, but the goats on the left. Then the King will say to those on his right, ‘Come, you who are blessed by my Father, inherit the kingdom prepared for you from the foundation of the world. For I was hungry and you gave me food, I was thirsty and you gave me drink, I was a stranger and you welcomed me,  I was naked and you clothed me, I was sick and you visited me, I was in prison and you came to me.’ Then the righteous will answer him, saying, ‘Lord, when did we see you hungry and feed you, or thirsty and give you drink? And when did we see you a stranger and welcome you, or naked and clothe you? And when did we see you sick or in prison and visit you?’ 40 And the King will answer them, ‘Truly, I say to you, as you did it to one of the least of these my brothers, you did it to me.’ (Matthew 25:31-40 ESV)

Do we trust that God can make better use of our funds than we would? If so, then we can readily sacrifice “our” tithe, recognizing that it is insignificant compared to the promises, blessings, and glory awaiting our obedience. Giving is ultimately between you and God. Pray and ask for confirmation as to the amount, then give regularly and cheerfully.

Some Scenarios

Some argue that they gave God a portion of the paychecks from which their Social Security deductions were taken during their working years. And, that their responsibility to tithe has been satisfied. Let’s examine each of those scenarios to determine what would need to happen if you decide you want to continue to give a full 10% of your gross income.

• If you were self-employed and tithed on your gross income throughout your life, you have, in effect, pre-tithed your Social Security.

• If you worked for someone else and tithed on your gross, you provided half the amount because your employer paid the other half for you. This means you should give on half of your Social Security income covering the additional money that was paid in but not originally tithed upon.
• If you tithed on your net income you should tithe on your entire Social Security income because you did not initially give on it as a part of your income at the time.

Regardless of where you fall in these three categories, I would still encourage you to pray about what God is asking you to give. Like I mentioned before, tithing shouldn’t be a box we check, but an outward reflection of the inward condition of our heart.

More Than Money

Be certain that you don’t use your giving of money to avoid the responsibility of involvement in other expressions of generosity. We can shield ourselves from the needs around us by driving into our gated communities, playing golf, and shopping online, while missing the pain others live in on a daily basis. Retirement years afford the time to give of our experience, our wisdom, and our abundance.

As for the rich in this present age, charge them not to be haughty, nor to set their hopes on the uncertainty of riches, but on God, who richly provides us with everything to enjoy. They are to do good, to be rich in good works, to be generous and ready to share, thus storing up treasure for themselves as a good foundation for the future, so that they may take hold of that which is truly life. (1 Timothy 6:17-19 ESV)

Hope this helps. Whatever you decide to give, you will never regret striving to be as radically generous as possible.

The post Should I Tithe on Gross or Net Income? appeared first on Crown Financial Ministries.

In Proverbs God says that someone who plans well will foresee dangers and avoid them, but the foolish person (a non-planner) will rush ahead, do whatever’s convenient, and end up paying the penalty.

Just as we can’t build a home without blueprints, we can’t have solid financial structure without plans. Being a good and faithful steward means being able to live on a budget – a short-term plan. And then we are to look forward to see eventual needs and try to meet them – a long-term plan.

One of the most noble characteristics of an ant is the way they plan for the future by storing food in good times for use when times are bad. It’s an example we can all follow as well.

The Proverbs 31 woman is an example of someone whose planning is key to good stewardship. We’re told she worked hard, she spent wisely, and she planned ahead.

But God’s word advises us to be planners for reasons beyond building a savings account or avoiding indulgence. When we plan, we experience more margin and freedom in our lives – which means we are freed to further God’s work here on earth.

When you plan ahead, there is money left to give generously.

Today we often feel we can’t give because we have not been faithful stewards in planning, working or spending.Yet, we know that Jesus’ words – that “It is more blessed to give than to receive.”

Good stewards work as unto the Lord.

Good stewards analyze the budget to make sure the needs of the family are covered. They look ahead to anticipate future expenses. Things like new tires, car repairs, appliance replacements, insurance costs for teen drivers, and diapers should be accounted for.

Good stewards decide what to buy every month based on yearly sale trends. They plan ahead for those purchases to get the best deals in order to spend wisely.

Good stewards save and invest by researching and seeking wise counsel.

And, after all that planning, good stewards are able to give generously.

Planning takes time, but it’s a necessary ingredient to successful living. We plan our grocery lists, our vacations, and our kids’ sports schedules….so why not our finances too?

And, I have good news!! There is a guide that can help you accomplish this. Crown’s Money Map is a simple and easy-to-use guide that can help you set and reach financial goals that line up with Scripture. And it doesn’t matter where you’re starting. The Money Map can help you build an emergency savings plan or retirement account.

The post What Does the Bible Say about Planning? appeared first on Crown Financial Ministries.

Trying to find coupons or special deals for items that you either want or need before actually purchasing them can help to ensure that you get the best deal on items and are not paying more than what you have to. Frugality is a mindset, and just like with any other skill, it sometimes takes practice and consistency to implement it into your life.

Applying these five tips to your lifestyle can help you become more frugal with your finances and give you more margin in your finances.

Avoid Impulse Buys

Most of us have probably made an impulse purchase at some point. I don’t know about you, but I can justify about anything -“It’s just such a great deal,” “I have never seen anything like it before,” or, “It won’t be here for long!” Ever told yourself something similar? Maybe you have a case of FOMO – fear of missing out.

Steering clear of impulse buys altogether can really help keep you focused on maintaining and organizing your money. So, the next time those thoughts creep into your mind, ask yourself these three questions:

1. Is this in the budget?
2. Is it a need, want, or desire?
3. Does it honor God?

If you see something that you would really like to have, save up for it or see if you can find it at a better price somewhere else.

Find The Best Deal

After finding something that you have determined you are going to purchase, check everywhere that you can for the best deal. Whether it be looking at a different store, checking online, or using services such as RetailMeNot or Honey to find the best discounts and coupons, making a point to seek out the best price on what you are wanting can have the potential to save you money, even if it’s just a few dollars. If you comparative shop with every purchase that you make, those few dollars can really start to add up and help you save more money.

Take On DIY Projects

It doesn’t always make sense to do a DIY project, but there are some simple projects that can really help you save money. Try things like making your own laundry detergent, growing your own vegetables, changing the oil in your car, and even installing a clothing line. Whether it is for yourself or a gift for someone else, you may surprise yourself at what all you can do yourself! The money that you save from these things can really help with your budget and finances.

Cut Out Unnecessary Payments

According to Pew Research Center, the top bill that Americans pay regularly each month is on cable and satellite tv. With the average amount being about $100 a month for cable alone, it can be difficult at times to allocate funds for it. This can save you up to $1,200 a year just by cutting cable out of your expenses! Try cutting the cord on cable and taking up streaming services such as Netflix, Hulu, and Amazon Prime.

Take a look at your budget and identify other ways you can save. Cut out all subscription services, unsubscribe from marketing emails that tempt you to spend, and unfollow sponsored Instagram accounts. Turn your lights off to cut down your electrical bill and keep your thermostat at a more neutral temperature throughout the year.  

Maximize What You Already Have

Shop your own house before going out to buy something new. Regularly go through your clothing, toys, furniture, and decor. Sell or give away what you haven’t used in the last 6 months and don’t buy anything new until you’ve gotten rid of 2-3 other items.

Repair what you can instead of throwing it out and buying replacements. Repurpose items around your house and become handy at doing your own repairs.

Have fun with this challenge, and try to come up with ways to reuse items that you no longer have a use for and can potentially serve another purpose. Not only will this save you money that would have been spent on other items, but it can be fun and rewarding!

Being frugal with your money takes time and effort, but the payoff at the end is well worth it. Try implementing these tips into your daily life and see how it affects your finances. Having this mentality with every purchase can help us to be better stewards of what God has entrusted to us and help us to find greater value in all that we have.

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