Start Thinking Like a Millionaire in 2012

You know, it’s funny if you think about millionaires. Did you know that a majority of millionaires literally “thought” their way there by saving and spending less than they earn? It’s easy to come up with excuses for why you can’t earn your first million, but I don’t want you to become part of this crowd in 2012. I want you to break away from the herd and pave your own path toward your first million. 2012 is the year you start getting serious about your finances and achieving your goal of becoming a millionaire.

OK, so you’re excited to become a millionaire, but to get there, you need an action plan! I’m officially challenging you to follow the next few steps in 2012. Write them down if you have to. Read them every day. It’s going to take a 180 in your mind for this to happen. Let’s dig in:

 

Earn more income

It’s not good enough to stick with your current salary or hourly wage in 2012. Shoot for the stars and get yourself a raise. With rising inflation and an uncertain economy, earning more money is now more important than ever! If a raise is out of the question, stop relying on your employer. Make 2012 the year you start your own side business. It could be a simple side gig walking dogs on the weekends and could be as involved as launching a new blog. Whatever your passion is, follow it and the money will follow. Make it your priority to increase your income this year. No excuses, play like a champion.

 

Live within your means

Enough with the “I’ll pay it off next month” mentality! In 2012, you’re going to stop thinking like this. No matter your situation, if you can’t pay cash for something, don’t buy it. What’s the point of trying to look like a millionaire when you’re actually in debt? It’s time to hit the Ross’s and Marshall’s of the world, folks. Check your pride at the door because you’re going on a mission in 2012. Start with the little things in your life. Do you own too many cars or too big of a house? How many credit cards do you have? Perform an inventory and give yourself a grade. Once you have your grade, start taking steps toward an A+ grade. After a while you’ll get into the habit of living within your means. The hardest part is taking the first step. Take that first step in 2012.

 

Diversify your investments

If you want to avoid the financial ruin that so many Americans have gone through in the last couple years, you’re going to need to diversify. Diversification of your assets is essentially reducing your risk, thus creating a better opportunity to reach your first million. If you haven’t already, open a Roth-IRA or invest your money with Betterment. Whatever you choose to do, pick some low cost index funds and start investing for the long haul. Remember to keep a bond percentage that makes sense for your future, keeping in mind the timeline for all of your investing goals. You shouldn’t take any unnecessary risk.

 

Automate everything

Look, part of the problem these days is too much involvement in finances. Instead of wondering if you’re investing enough or covering your bills, why not automate everything so any money left over is spending money? Going into 2012, I want you to think about what you can automate. What about your 401k and Roth-IRA plans? Put those on autopilot so your future million is secured. Assuming this money is being invested in a diversified portfolio, your first million will be easy if you don’t even have to think about it. The same goes with expenses and bills.

 

Ignore the noise

Much of the success of numerous millionaires comes from the habit of ignoring the noise. What do I mean by this? It’s things like business television, avoiding instant gratification in stores, and owning your vehicles instead of taking out loans. In 2012, I want you to ignore CNBC, turn off the news, and focus on increasing your wealth instead. Stop worrying about the day to day market trends and attempting to “strike it rich quick.” Slow and steady wins the race towards a million dollars. Ignore what your neighbors are doing and avoid “following the herd.” Pave your own path to success and go about it quietly. A million bucks is closer than you think.

 

Going into 2012…

Take these steps and start developing your action plan. Stop stalling and following the crowds, it’s time to start thinking long term in 2012 and achieve your dream of becoming a millionaire by retirement. Who’s with me?!

 

Are you Frugal or Cheap? Find Out With This Test

Frugal and cheap. Those are two words that people interchange in daily conversations. Speaking from a general sense, frugal is more respectable than being cheap. When I think of a cheap person I think about someone who takes towels home from hotels. On the other hand, I envision a frugal person buying name brand clothes at discounted retailers.

But what does the Dictionary say about these two types of people?

Frugal- economical in use or expenditure; prudently saving or sparing; not wasteful

Cheap- embarrassingly stingy

I’ll be honest folks, I’ve been called both. And let me tell you, it’s never fun to be considered the “cheap guy.” Thankfully I’ve changed from my cheap ways and I’m much more value focused and not just on the price.

So, how would you know if you are frugal or cheap? Moolanomy came out with a frugal vs. cheap test a while back which inspired this post. Take out a sheet of paper and a pencil and answer these 12 short questions:

 

1- When you fill up for gas, what do you do?

1. I go to the most expensive gas station. Must be better quality right?

2. I shoot for the name brands but look around for the best prices

3. I fill up at the cheapest gas station regardless of brand

4. Why fill up, I can run on fumes for another two days

 

2- What car do you drive?

1. Why buy when you can lease?

2. I’m always on the lookout for next year’s model

3. Used is the only way to go, I never buy brand new

4. I take the bus, it’s better for the environment

 

3- When Christmas rolls around, what do you do for gifts?

1. I want to impress everyone so you get the latest tech toys recommended by MSN

2. I buy reasonably priced gifts from their lists

3. I buy gift cards for everyone

4. I don’t buy anyone anything and hope no one notices

 

4- When you want to update your wardrobe, what do you do?

1. Time to hit good ole’ Nordstroms

2. I buy off-brands and maybe one brand name item

3. I space out the purchasing over a couple months and shop at Ross and TJ MAXX

4. I never shop for new clothes. That’s what Goodwill is for

 

5- When you grocery shop, what do you do?

1. I head to Whole Foods and buy whatever I want. Grass fed beef anyone?

2. I go to one grocery store and bring my coupon book

3. In one trip, I go to multiple discounted grocery stores

4. I take food from work for my meals

 

6- While walking you see a quarter on the ground. What’s your next move?

1. You snicker and keep on walking

2. I pick it up and then toss it because it’s dirty

3. I pick it up and put it in my wallet for later

4. I pick it up and start looking for other coins on the ground

 

7- What do you use for showers?

1. I have designer shampoo and conditioner

2. I buy high quality products but always look for the sale

3. I buy whatever is on sale

4. Who needs product? I use water and a bar of soap

 

8- Where do you invest your money?

1. Uhhh what does the word “invest” mean…

2. I invest in the latest hot stock or mutual fund

3. I invest through a wide range of mutual funds and ETFs

4. I can’t afford to eat because I invest so much

 

9- What do you usually do with your tax refund?

1. I hot the closest casino and lose it all

2. Get the latest and greatest TV of course!

3. I invest it

4. I let is sit in cash gaining zero interest

 

10- What do you usually tip at restaurants?

1. 20% plus, waitresses rely on the tips for income!

2. I tip based on performance

3. Average service gets no more than 15%

4. I don’t tip, that’s just ridiculous

 

11- When it’s time to change your oil, what do you do?

1. Take my car to the nearest dealer

2. I get my oil changed at an independent mechanic shop

3. I change my own oil with the cheapest oil out there

4. I skip oil changes and hope my car keeps running

 

12- A friend asks you to borrow some money. What’s your response?

1. I whip out your wallet and ask your friend how much he/she needs

2. I ask what the money is for and then agree on a payment plan

3. I write down how much I’m lending and make my friend sign a contract

4. I tell my friend to hit the road

 

Drum-roll please! How did you score?

The point system is simple. All you gotta do is give yourself 1 point for a #1 answer, 2 points for a #2 answer, 3 points for a #3 answer and 4 points for a #4 answer.

And here’s a breakdown of your score:

48= You’re cheap and you should be ashamed of yourself!

36-47= Congrats, you’re frugal and should give yourself a pat on the back

24-35= You’ve got some work to do. Time to get back to the basics

12-23= Boy oh boy, you’re not doing too hot. You should shred your credit cards and follow a budget again

 

What did I score?

I scored a 38. What does this mean? I guess this makes me frugal! I probably didn’t need a quiz to tell me that but I always need some affirmation.

Take some time and take this test. When you’re done please comment below and share if you;re frugal or just plain cheap!

Merry Christmas!

To all my fans, Merry Christmas! Today is truly a day to rejoice, for we have a savior!

I love Christmas for multiple reasons, but above the rest it’s that Jesus was born on this day. I encourage you to reflect on the fact that the birth of Jesus Christ changed the world and gave all human beings hope of reaching Heaven and worshiping God for all eternity. We really do worship a loving God and it’s awesome having a relationship with Him!

So that’s my short Christmas note. To celebrate, I found this very cool video that tells the Christmas story through the use of Facebook. Enjoy and have a fantastic Christmas with your family. God Bless everyone!

Click Here to check out the Facebook video

9 Tips to Getting Control of Your Finances

Many people are so intimidated by setting up a budget that they never do it. Setting up a budget is really an easy process. It can be done in nine easy steps.

1. Organize Incoming Funds
The first step is to organize the money coming in. Many people work more than one job. They may work a full time job, but also do several side jobs. The first step in creating a budget is to get a handle on all the ways your family is bringing in money.

2. Journal
For one month record every penny that you spend. If you spend it write it down in a book. Many people are amazed at the money they spend on incidentals each month, because it goes out a little at a time.

3. Organize Outgoing Funds
While the second step may take some time, it is vital to the success of your budget. Now look at the list you created in the second step. Divide the list into categories. List these categories according to their importance.

4. Control the Outgoing Funds
The fourth step is to determine your budget before the month starts. Look at your categories you have set in your organization step. What needs to be changed? Do you need to add savings for your kid’s education or your retirement? Now, determine how you will spend each penny of your earnings.

5. Go Ahead and Pay Yourself First
The fifth step is to pay yourself first. Take the first ten percent and put it aside. You work hard for your money and deserve to have some fun with it. Without rewarding yourself, you will not feel encouraged to keep working. Take that money off the top so that you be encouraged to stick with the program.

6. Giving Money
The sixth step is to give away some money. Give away ten percent of your money. Decide what church or charities deserve your money and give away ten percent. If you are not use to doing this, it may bother you a little to begin with, but you will be amazed at how good you feel. It will also encourage you to work even harder.

7. Save Money
The next category you should include is savings. Put ten percent of your income into a savings account Many people ask how much savings is enough. You should have a minimum of six months of expenses in a savings account.

8. Mortgage or Rent
Your mortgage or rent should be the third thing you pay. It should not exceed 33 percent of your income. If it does, you may need to consider moving. In the first three steps, you have spent 63 percent of your income.

9. Remainder of the Outgoing Funds
The remaining categories are very personal. Look at where you are spending your money now. Take steps to control how much money is going into each of the remaining categories.

Many people find it hard to set up a budget. The hard part is to make it personal. Make sure and reward yourself first. Then, give some money away. Next, save ten percent of your money. Stretch the remainder of your money to cover your bills by using great coupons. Never pay full price for anything.

(Jemma Ryan wrote this article - she loves blogging about her pets, cooking & improving her credit score.)

10 Christian Personal Finance Blogs That Rock!

There are many personal finance blogs out on the web, but which blogs are worth your time if you’re a Christian? No need to go out and research because I have hand picked ten top notch Bible based personal finance blogs. Each of these blogs have epic content that you won’t want to miss. I have a mini review for each blog, enjoy!

 

1- ChristianPF

Bob authors the blog over at Christian personal finance. Christian PF was the first personal finance blog that I read when i first got interested in the subject. He has been a mentor and helper in my journey to make side income from my online endeavors. His content is always top notch and has a wide array of staff writers (I’m one of them). You can always count on a new article each day and know that Bob is always putting the readers first. I highly recommend that you check him out in 2012.

 

2- Faith and Finance

Tim authors a Christian personal finance blog by the name of Faith and Finance. Tim is the man. Not only is he a friend but he is a business partner of mine. We started our blogs at the same time so we have seen each other grow over this last year. Tim writes Bible centered content and never strays from his goal of sharing the good news. He is a Christian first and blogger second. I highly respect Tim for what he has done with his site. It would be a mistake to not check out his site.

 

3- One Money Design

Jason from One Money Design has been around for a while and has been a top Christian personal finance blogger for some time now. His true personality comes out in his articles and it’s always a breath of fresh air to see him relate real life events back into his articles. I also enjoy the fact that he isn’t scared to delve into video. It’s been fun getting to know Jason through his writing! He covers a wealth of topics from retirement to Biblical finance. I hope you enjoy his articles as much as I have.

4- Redeeming Riches

Jason Price has got to have one of the best looking personal finance blogs around! His design has always attracted me and love his down to Earth articles. It’s nice to see a blogger who focuses on getting to the point instead of long winded articles. Redeeming Riches is a blog you don’t want to miss in 2012.

 

 

 

5- Money Help for Christians

Craig is an example of truly living out the Lord’s mission in life. Not only does he author a fantastic personal finance blog at Money Help for Christians but he is a missionary in Papa New Guinea! Talk about multi-tasking! The man is a machine and put a ton of effort into his writing. When you visit his blog you can be confident it’s based on Biblical content. He goes deeper than other PF bloggers and tries to dig deep into portions of the Bible. Check him out!

 

6- The Christian Dollar

John has been writing for the Christian Dollar for quite some time now and it shows. I have seen his writing improve over time and it’s evident he places a high importance on quality content. The Christian Dollar covers everything from blogging to eliminating debt. I love John’t Biblical viewpoint when it comes to money. Don’t miss out on his articles, truly epic content.

 

 

7- Free Money Finance

Free Money Finance is a blogging powerhouse. FMF takes home the bacon in terms of site size and industry influence. Everyone knows about this blog and there is good reason for his. Biblical principles are behind every article and you can be sure there will be a new article posted the next day. Free Money Finance also shares insights into the success behind the blog and how others can do the same. Honesty and transparency are what this Christian blog is about.

 

8- KNS Financial

Faithful With a Few has always had a special place in my heart. Although posting is not as often as other blogs, when articles are posted, it’s always great content. I look forward to reading new posts from this blog and I never regret doing so. With a Christian foundation, Faithful With a Few is a wonderful blog for someone looking for a Gospel centered personal finance site with a touch of “average American.” You need to go check this site out.

 

9- Debt Free Adventure

Matt from Debt Free Adventure is one cool dude. I used to staff write for his site and he has helped me out whenever I have had a question. He has devoted his time to improving people’s financial lives and helping me get out of debt (thus his blog’s title). Matt has a great group of staff writers who are excellent contributors. Matt always puts his personal spin on his articles and makes sure it’s useful content for daily life.

 

 

10- Bible Money Matters

Bible Money Matters is another blog that I staff wrote for. Peter put tons of effort into his design and blog content. Not only does he lay out step by step how to save for retirement and get out of debt but he explains all these topics in video too. Peter loves to cover personal finance topics but also puts in time to research current events and tie them back into our financial lives.

 

 

 

Well, I hope you check these guys out! They are awesome personal finance bloggers who have a heart for the Lord. There may be few of us Christian personal finance bloggers but we make up for it with epic content. I can safely say that you will not be disappointed with any of these big time websites. Good articles, personality, and blunt honesty are what describe each of these bloggers. Do yourself a favor and check them out!

 

Interview with Paula from Afford Anything

There are few blogs out there that catch my attention these days. Paula from Afford Anything is one of the exceptions. Her blog is dedicated to helping you achieve your dreams and finally conquering the things you want without going into debt for them. I love the passion she has in her articles and personality that comes through her writing. After getting to know Paula through this insightful interview, be sure to check out her blog!

1- Hello Paula, it’s a pleasure to interview you! I’ve enjoyed reading your blog Afford-Anything. Tell us about how it started and what your mission is.
In 2008 I quit my job, sold all my possessions – my car, my furniture, my phone – and bought a one-way ticket to Egypt. For the next 2 years, my boyfriend and I traveled across the Middle East, Asia, Europe and Australia. Throughout that time, my friends kept saying: “I’d love to do that, but I can’t afford it.” And yet, not a single one of my friends was working a second job and directing the money towards a travel fund (or towards a fund for any other major goal, like buying a house or a saving for a wedding.)

Instead of taking the steps necessary to achieve their dreams, many friends would “let themselves off the hook” by either assuming that I came from a wealthy family or that I was running up massive credit card debt to fund the trip. That’s not only false, it’s dis-empowering. So I started Afford Anything to show people that whatever you want – world travel, a nice home, a lavish wedding – can be yours. If you utter the words “I can’t afford it,” you’re selling yourself short.

2- Outside of your blog, what is your personal story? Give us a run-down of your life up until this point.
I was born in Nepal, a Himalayan country sandwiched between China and India. My parents and I immigrated to the U.S. when I was a baby. At first we were typical hardworking, low-earning immigrants. Dad rode the bus almost 50 miles roundtrip everyday to get to work. Mom stayed at home to raise me. We ate mostly rice and lentils. Meat was a rarity. We never ate at restaurants or took vacations. We wore cheap clothes.

But as my Dad’s salary increased, our living standards stayed the same. He bought a used car to take himself to work – instead of the bus - because his time was more valuable. But we never took vacations or ate at restaurants. We never bought clothes from “expensive” stores like Old Navy or the Gap – those stores were too far outside our clothing budget. In short: we avoided lifestyle inflation. Now my parents are 70 years old and they’ve just made a $150,000 donation to a charity that helps orphaned children in Nepal. They’re a true personal finance success story.

3- I know that you’re self-employed, how in the world did you do that?
Quite simply, I live below my means. (Far, far below my means). This helps me prepare for the income fluctuations that are incumbent with self-employment. A lot of people live paycheck to paycheck. A guy who works at a car dealership told me that sales at his dealership peak after tax refunds are mailed out. That’s a great example of people spending money as soon as it arrives. If you’re waiting for the next check to arrive in the mail, you’re spending too much.

4- You’ve done some extensive traveling. What countries have you been to and how did you afford these trips?
I’ve been to 27 countries. Here’s the list:
Asia: Cambodia, Vietnam, Laos, Thailand, India, Nepal, Japan, Singapore, Malaysia, Indonesia, Burma/Myanmar
Oceania: Australia, New Zealand
The Americas: Costa Rica, Colombia, Sint Maarten, Canada, Mexico
Middle East: Egypt, Israel
Europe: Czech Republic, Holland, Spain, Italy, Portugal, Austria, Germany

I afford to travel in the same way that anyone affords anything: by prioritizing it. It’s funny that no one ever asks, “How did you afford a car?” or “How did you afford a down payment on a house?” These are big-ticket items that no one questions. People assume that you’ll save for purchases like this. But the moment you start spending on unconventional experiences like world travel, the questions come out of the woodwork. If it’s conceivable that a person might save for the down payment on a house, what’s so different about saving for a two-year trip around the world?

5- What are some of your best articles on Afford Anything? What were your goals when you wrote these?
Here are my four favorites:
If I Had a Million Dollars, I’d Go Into Debt . This was the first post that “put me on the map,” so to speak. It describes my favorite passive income strategy, owning rentals.
Quit Your Job, Travel, and Live Remarkably. I was honestly surprised by how popular this post became – it seems to resonate with a lot of people.
Stop Crying That There Are No Jobs. Create One. This is easily my most popular post, and it describes why I ditched my job as a news reporter for the rough-and-tumble entrepreneurial world.
Find a Niche. Conquer It. Create Something Amazing. The title says it all.

6- What are some personal finance decisions that have kept you out of debt?
Simple: It’s not an option. I won’t consider going into consumer debt. It’s just not a choice that’s on the table. Discussion closed. Once you remove “debt” from your possible choices, you re-arrange your life accordingly. Since going into personal debt isn’t an option, I’ve always learned frugal hacks, worked second jobs, and found joy in the simple things.

7- Do you have some examples of bad financial decisions you’ve made? If so, how did these affect your finances and how did you get out of the mess?
Probably my worst “financial” decision was going into a career that’s not lucrative – my first job was as a newspaper reporter. I’ve always believed that you should work jobs you enjoy, not “golden shackle” jobs that pay well but make you miserable.

But I never realized that there are best-of-both-world careers out there: work that you enjoy that also pays well. Job satisfaction and income are often presented as dichotomous, mutually exclusive options. I also underestimated how being poorly paid for long hours can cause you to dislike a job that you once enjoyed. I’m recovering from this now by focusing my efforts on building my own businesses, but I’m starting at 28 rather than at 22 or younger. That’s going to set me back several years.

8- Tell us about the real estate you own. As a renter, I’m on the fence about this type of investment. What are the benefits and has it worked out for you?
To put it simply: it’s awesome. There are many different real estate investment philosophies out there. To succeed in real estate, you have to choose your strategy.
Some people believe in flipping houses – buy low, sell high. Good for them. But my strategy is specific: buy and hold. I’m the rare real estate buyer who doesn’t care if the market value of my property rises or falls. That’s theoretical. All I care about is the rental income and the operating expense.

The media hype focuses on the market value – the resale value – of property, so that’s what many real estate investors tend to think about. If that’s your strategy, fine. But I ignore all the noise and clatter about resale value, and focus purely on monthly cash flow. Think of flipping houses as “stock picking” and owning rental properties as “buying bonds” or other fixed-income investments. Stocks and flipped houses can make you a millionaire, but they require a much greater risk exposure. Fixed-income investments are a great way to slowly create passive income.

9- As a blogger, what advice would you give someone who is just starting out?
Like with real estate, you have to pick a blogging strategy and stick to it. Some people want to make money through advertising impressions. If that’s your strategy, then page views are your most important metric. Some people want to sell text links and sponsored posts. If that’s your strategy, then page rank (not to be confused with page views) is your most valuable metric. Some want to gain the trust of their readers and sell affiliate products. This will take a lot longer – establishing that trust is an ultra-long-term strategy – but it might (or might not) pay off better in the end. If this is your strategy, then subscribers plus “average time on site” are your most important metrics.

10- We all want to know one last thing, what’s in your wallet?
Loads of receipts that I intend to process – that I intend to check against my credit card statements to make sure my charges are accurate – but that I never, ever get around to processing. They just accumulate into piles of well-intended trash.

The Bible and Finance: The Myth of the Prosperity Gospel

In my last article, I talked about the story of the rich young man and how finances is merely one of many idols people can have in front of God. I also pointed out that the Bible does not condemn wealth, per se, but what is done with it. On the other side of the coin, however, is one of the more subversive beliefs today within the Christian Church: The Prosperity Gospel.

Pure heresy at it’s finest

Make no mistake about it; it is more than a simple misunderstanding or poor reading of Scriptures; it’s pure heresy. The Prosperity Gospel teaches that if you are a “good” Christian, you will be rewarded with success in worldly endeavors, i.e. your wishes and desires, whatever they may be, will be fulfilled.

Christianity, under this Gospel, becomes a mathematical formula in which your righteousness is directly proportional to your worldly blessings. In America and many developed nations, this false Gospel has taken root due to our unparalleled degree of personal and national wealth.

Preachers and followers of this Gospel use examples from the Bible where righteous men such as the patriarchs (Abraham, Isaac, and Jacob) were all wealthy, as were kings such as David and Solomen, under whom gold became so common that it was practically worthless.
One such verse they use to advocate this belief comes from Psalms 37:4

“Delight yourself in the Lord and he will give you the desires of your heart.”

 

False teachers are everywhere

What makes this belief so subversive and destructive is that those who promote it do not do so blatantly, but discreetly. Prosperity Gospel preachers and churches will not state directly that if you are poor or financially struggling that you are somehow less of a Christian than someone who is rich. If you listen to their sermons, however, and listen carefully to what they are actually saying, there is a subtle, yet unmistakable theme that righteousness is connected to worldly success. Their sermons consist of how if you accept God as your savior everything in your life will get better and the things you desire can be gained through “trusting God.”

They will quote Scripture, such as Deuteronomy 30:15-20, where God promises blessings on those who are obedient to his word and trouble on those who do not.
Or they will point out stories such as King Manasseh (2 Chronicles 33:1-20) and King Nebuchadnezzar (Daniel 4:28-36). Both were torn from their throne and riches because of their flagrant disobedience to God. After they turned back to Him, their kingdoms and riches were restored to them.

Yet, the Prosperity Gospel falls apart under the weight of both Scripture and the example Jesus set for Christians. All one need do is point to Jesus’ warning in John 16:33:

“In this world you will have trouble. But take heart! I have overcome the world!”

Yes, there were men in the Bible who were blessed with wealth for their faithfulness. There were also men who were not, and it had nothing to do with their faith.

The Prophet Elijah lived penniless and homeless for years while he prophesied against King Ahab. He was so poor he had to beg a woman, who was on the cusp of starvation, for food.

John the Baptist lived a spartan-like existence in the desert by himself, subsisting off of locust and honey. All he had for clothes was a leather belt and camel hair. He was ultimately was beheaded by King Herod.

Yet, in both instances, these men were praised for their righteousness. Elijah was taken up into Heaven and did not experience death. Jesus called John the greatest man - aside from himself - who ever lived.
It’s absurd that such a belief like the Prosperity Gospel has taken root, since the entire Book of Job is dedicated to squashing this attitude. Unfortunately the sad truth is that it is easy for us to jump to the same conclusion as those who follow the Prosperity Gospel.

 

Bible and modern day

Sometimes it can be hard to understand Biblical stories without giving them a modern comparison. As I pointed out in my previous article, Job was probably the richest man who ever lived. The Bible says he owned 7,000 sheep, 3,000 camels, 500 oxen, 500 donkeys, as well as the necessary servants to tend to these flocks. He also had a large family, seven sons and three daughters. Later chapters in the book imply he also held considerable sway over the political issues in his region and was well-respected.

Try to imagine a billionaire businessman/politician who had a large, closely-knit family, power and influence on a national level, and outwardly showed every sign of godliness.
Then suddenly, he loses everything he owns through a series of natural and unnatural events in a single day, along with all of his children. Shortly after, he is stricken with a myriad of diseases and illnesses.

Our first reaction to such news would be, sadly, predictable. What did he do to make God so angry at him? According to the Prosperity Gospel, this is the only possible explanation. Why else would God cause one of his followers so much pain?

This is exactly what Job’s friends believed; the the Book of Job contains long lectures Job’s friends give him, telling him he had to have sinned horribly in order to have brought such a disaster down on himself, and that only by repentance could things change.

Job knew in his heart this was not so. While he did not understand why God has caused him so much sorrow, he knew that it had not been because of anything he had done.
Job 2:10 is probably the best verse to dismantle the Prosperity Gospel.

“Shall we accept good from God, and not trouble?”

Only the reader is aware that Job is being tested by God to see if he will hold onto his faith after losing everything.

In the end, God chastised Job’s friends for their false teachings, which is essentially the Prosperity Gospel, and rewarded Job for not accepting it by returning his wealth, then doubling it.

Inasmuch as Job contradicts the Prosperity Gospel, the rest of the Bible is full of examples which disprove this myth.

Not one of Jesus’ disciples ever became rich; they all died gruesome, horrific deaths preaching the Gospel. The Apostle Paul was flogged, whipped, stoned, beaten, ship wrecked, and finally beheaded.

Other Christians in the first century were covered in pitch and burned as torches by Nero or torn to pieces by wild beasts in the Colosseum because they refused to recant their faith. Martyrs like Polycarp and John Hus were burned to death.

 

What about the rest of the world?

To this day, Christians in Africa and the Middle East are martyred or live in constant fear of death or imprisonment.

If the Prosperity Gospel is true, then what are they doing wrong? The sad truth is that this heresy only exists in developed countries, such as America, because only in such countries would it ever make any logical sense. Insomuch as people complain about income inequality and the 99 vs. 1 percent, we have attained such luxury that all one has to do is avoid making poor life choices and one can still live a life of relative affluence.

In Third World countries, where death, war, terror, disease, and persecution are commonplace, the Prosperity Gospel and its believers would be ridiculed. In developed countries, proclaiming faith in Jesus Christ will bring scorn or ridiculed, but in countries like Iran or Afghanistan, it’s akin to signing one’s own death warrant.

 

Prosperity gospel a bunch of non-sense

The Prosperity Gospel is essentially a blend of Christian gnosticism and eastern religions’ belief in karma, where the unfathomable complexity of God’s divine plan for the individual and all of mankind is reduced down to a facile modus operandi. It also takes away the true purpose for following God and replaces it with the greed desire for possessions.

Nowhere in Scripture does it guarantee that a Christian will live a life blessed with material possessions if they follow God. Any verses used to promote this idea are twisted and taken out of their proper context.

The Apostle Paul and the other authors of the News Testament state a very consistent message; if you are faithful to God, he will strengthen you spiritually. He will enable you to accomplish great things in advance of the Gospel.

He will not, however, necessarily make life easy in terms of finances or anything else. As I stated before, however, this also does not mean that as Christians we are commanded to be poor or shun wealth. Wealth can be a sign of God’s blessing on an individual, but it also may simply be an indication of what a person truly worships in life.

Christians should never look at their worldly possessions, financial security, or social status as an indication of their favor with God. Rather, they ask themselves how great their wealth is that they have stored up for themselves in Heaven.

As Jesus said,

“For where your treasure is, there your heart will be also” (Matthew 6:21).

I Joined Online Money Bloggers

Happy Sunday everyone! I have a special post to share with you this fine day. As all of you know, I make a nice side income from this blog and have loved every minute of it. With success, a loss of drive or initiative can happen. I’ll be honest, I haven”t been the inspired self that I once was when I first started.

While I was on cruise control, I had no one to push me to the next level. This is where Derek from Life and my Finances comes in. He has launched a growth centered blog called Online Money Bloggers and invited me to be part of it. The goal is to make at least $30,000 in extra income through online endeavors. Talk about inspiration! It was the kick in the butt that I needed. I of course joined and I’m looking forward to not only taking my blog to the next level but helping the other participants achieve their goals also!

So what can you expect from this?

Well, first off, I’ll be sharing my inside secrets on Online Money Bloggers. You can check out their blog once every three months where you can find my guest posts on what I’m doing to take my blog to the next level.

You’ll also see a badge for this competition on my right sidebar. This badge will be here during 2012.

A also wanted to give all my fans a huge thank you. Behind God’s blessing on my online ventures, you the fans are what has contributed to much of my online success.

So get excited about this new competition, $30,000 in 2012 here I come!

 

Savvy Shopper Sites for Bargain Hunters

Everyone wants to save money. In fact, in this pathetically consumer driven world people run over helpless Grandma’s in Target or pepper spray their fellow man merely to strike a deal on the latest gadget. But, hopefully, you are one of the sane shoppers that only wish to be a good steward with your money. If you aren’t, then please immediately discontinue reading this article, click the “X” in the upper right corner and seek help.

There are numerous ways to save money from clipping coupons, haggling, or going bargain shopping. I am going to tell you a few well-hidden websites that really could bring some much needed relief to your wallet this Christmas season. One website actually tells you when to purchase an electronic device and when to hold off. It let you know, in the words of Kenny Rogers, “when to hold ‘em, and…when to fold ‘em.” (Sorry y’all, my country music lovin’ side is coming out!)

Anyway, I digress; other websites actually PAY you to shop! Another one I will be mentioning is a site that lists all the freebies that are being offered by companies currently while showing you the deals that you can score.

Here are a few of those websites:

 

ShopAtHome.com

This is a great site. If you are gun shy about using credit cards and want a safe and easy way to make some extra dough shop through this website. ShopAtHome.com offers cash back on most websites. Sites like Amazon, however, do not. ShopAtHome.com is a fantastic resource for those who are avid online shoppers. Why not get cash back when you’re already purchasing that item?

The only downside to this website is that you have to wait till you accrue $20.00 or more in order to receive a check. They also up the percentage of cash back every once in awhile—especially around Black Friday and Christmas time. For instance, Kohl’s used to be 2% cash back on your total purchase, and now it is 6%. Can’t beat that! I don’t shop all that much- except around the Christmas season-but for those of you out there who do, the cash will begin to pile up quickly.

 

Decide.com

I recently discovered this gem of a website through a local news program. If you are a techy and love having the newest iPhone, iPad, etc.., then this website is for you! With 77% accuracy they can tell you if you should hold off on buying an item or if you should wait for the price to drop. For example, I typed in the Apple 4S iPhone and it says to go ahead and buy it and that the prices are unlikely to drop. The websites confidence is 87% sure.

Another item I typed in is the Canon EOS Rebel T3 (I LOVE this camera by the way, hint, hint, Jon, honey). It gives me a red-hand signal that tells me to wait until prices drop. The prediction is that it will go down $50 or will hold steady. This website is an amazing resource that can help you determine “when to hold ‘em.” It is also a terrific aid in finding you the best site to purchase your beloved gadget or gizmo. Another plus is that Decide.com shows you the prices of the past models and current models; while also keeping you informed about the release date of future models. I highly suggest this website for those of you who want to get the best bang for your buck!

 

FatWallet.com

This is a website riddled with companies that offer huge savings. This website is a lot like ShopAtHome.com too. It offers you cash back on items that you will already be purchasing! The difference between this and ShopAtHome.com is that FatWallet.com offers coupons for everything from baby items to video games. The fun thing about FatWallet.com is that it also tells you the websites that are offering free samples. You can often rack up free socks, razor blades, perfume/cologne samples…etc. Companies want their product out there and what better way than to offer frees samples?

I enjoy going to this website because unlike many others it isn’t flooded with ads. It also is organized in such a way that isn’t overwhelming. I don’t like feeling as if I am at a thrift store when I am trying to search for coupons. I enjoy the convenience of having them grouped accordingly. FatWallet.com provides this luxury! (I am SUCH an American!) I personally favor FatWallet.com over ShopAtHome.com because, unlike the latter, it does not matter how much cash back you have earned – you can transfer it at any time. One happy customer states this about FatWallet.com:

“I have personally profited from almost $8,000 from cash back over the years - just buying things that I already have to buy.”
- Larry S. - Lawrenceville, GA

I have only listed a few of my personal favorite money saving websites. I know there are countless others. I’ll try and keep you posted if I find any additional websites that seem to be promising!

Thanks for reading and always remember that a savvy shopper is a smart shopper!

What are your personal favorite savvy shopper websites?

After the Crash - How to Survive a Stock Market Freefall

In today’s rocky financial market, do you have days when you wonder should I still be investing? Trust me. I do, too.

Most of us have had that passing thought at one time or another and even more so in the last few years since the big stock market crash.

It seems one day the market goes up only to go back down the next day. Even though the market continues to have its ups and downs it is still important to look to the future and while you should possibly make some tweaks in your investment planning, you absolutely should still continue to invest. Here is a lowdown of what you should be doing to protect your financial future.

 

Keep Funding Your 401(k) And Your Roth IRA

While you may not be seeing huge returns right now, that does not mean you should stop funding your investment accounts. Make sure your funds are allocated in such a way that you feel comfortable and at the very least make sure you are contributing the maximum yearly amount to your Roth IRA and any employee match to your 401(k).

Even if your company pulled the plug on the 401k match, that doesn’t mean you should stop contributing. Remember: if you’re not saving for your own retirement, then NO ONE is.

If you’re a small business owner, now is a better than time than any in opening a business retirement plan. A very inexpensive option is the SEP IRA. The rules of the SEP IRA allow you to invest up to 25% of your income (depending if you’re a LLC or individual) each year. That’s a huge business expense as well as investment in your retirement!

 

Diversify

Yes you have heard it before, make sure you diversify your investments. Even young investors probably don’t want to put all of their funds into risky options today, but at the same time you shouldn’t have your entire portfolio in bonds, for example. Carefully consider your age, your financial goals and work to create a portfolio that will make sense for you.

If the stock market isn’t your thing, then consider Peer to Peer Lending. Companies such as Lending Club and Prosper allow you to act as the bank loaning small increments to those in need and collecting on the interest.

 

Consider A Roth Conversion

If you did not jump on the opportunity in 2010 to convert a traditional account into a Roth IRA you still have time. Prior to 2010 you could not make such a conversion if your AGI was $100,000 or over.

In 2011 just like 2010 your income does not matter and anyone can convert. For many, now is a perfect time to convert as account balances are still down which means you will owe less tax dollars on the conversion.

Applies to old 401k’s, too. You have the ability convert old 401k’s into Roth IRA’s, too. This is only an option if you are no longer with that employer.

 

Perform A Check Up On Your Retirement Plan

Periodically you should review your retirement plan, after all times and circumstances do change and your plan may need to change as well. Being proactive will help to make you aware of any possible shortcomings, etc.

Planning for retirement is serious business and if you do not plan accordingly you could be scrambling once you do hit retirement age. Take the time now to review where you are and what you need to do here and forward to be financially ready to retire when the time comes.

 

Everything Else You Should Be Doing

In financial times like today, it is increasingly important to make sure you are on top of your finances and seize every financial opportunity that comes your way, no matter how small. Be smart about your money. For example, if you have credit card or other debts, pay them off. Make sure you have an emergency fund and find an account to keep it in where you are at least making more than 1% return each year. Make sure you are contributing to matching employee accounts and watch your spending habits. Bottom line, every financial decision we make today can make a difference in our future.

(This has been a guest post by Jeff Rose, an Illinois Certified Financial Planner and also offers term life insurance in Illinois who authors the blogs Good Financial Cents and Soldier of Finance. He is a father of 3 awesome boys, husband to the coolest chick on the planet, In-N-Out Burger junkie and Crossfit addict.)

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