These are the money management principles that we see in the Bible. It starts with generosity. We are to give our first and best. For most of us, this means giving a part of our gross (before tax) income away.
After we give, we save. We set aside some money for future emergencies or needs. Saving helps us remain generous, even when we get hit by an unexpected car repair. We save to give.
The Bible teaches us that setting aside money for the future is wise. In fact, the Bible has several verses that encourage us to save. Here are six of them:
- Idle hands make one poor, but diligent hands bring riches. The son who gathers during summer is prudent; the son who sleeps during harvest is disgraceful. – Proverbs 10:4-5
- Go to the ant, you slacker! Observe its ways and become wise. Without leader, administrator, or ruler, it prepares its provisions in summer; it gathers its food during harvest. – Proverbs 6:6-8
- Precious treasure and oil are in the dwelling of a wise person, but a fool consumes them. – Proverbs 21:20
- Wealth obtained by fraud will dwindle, but whoever earns it through labor will multiply it. – Proverbs 13:11
- For which of you, wanting to build a tower, doesn’t first sit down and calculate the cost to see if he has enough to complete it? – Luke 14:28
- A good man leaves an inheritance to his grandchildren, but the sinner’s wealth is stored up for the righteous. – Proverbs 13:22
God wants us to be wise savers. In The Money Challenge, eight money milestones are identified:
- Milestone 1: Start giving,
- Milestone 2: Save $1,500 for a minor emergency.
- Milestone 3: max out your 401(k) or 403(b) match.
- Milestone 4: Pay off all debt except your mortgage.
- Milestone 5: Save 3-6 months of living expenses for a job-loss level emergency.
- Milestone 6: Put 15% of your gross income to retirement.
- Milestone 7: Save for college or pay off your mortgage.
- Milestone 8: Live generously.
Five of the eight Milestones encourage some type of savings, both for the present and some for the future.
Determine what Milestone you need to chase next. Go ahead and start to save wisely.