Dear Small Church Pastor,
There is a financial “rule of thumb” that deals with living within your means and has been around for a long time. It states that finances should be arranged in a 10-10-80 ratio. The idea is that, when it comes to budgeting and managing your treasure (money and other resources), you should give ten percent away (that’s your tithe), save ten percent and live from the remaining eighty percent.
I understand that in today’s economic environment this rule sounds unreasonable, if not entirely outlandish. The numbers don’t immediately seem to add up, considering existing incomes. If a household makes $800 per week, that would mean tithing $80, saving $80 and living on the remaining $640. If that system is followed for four weeks, you would have given $320 to God’s work, set aside $320 in savings/CD’s/IRA’s etc., and used $2,560 for living expenses.
Here’s where your use of money is affected by your priorities. If you will make a list of everything you spend your money on during the four weeks, you will see where it’s going and what you consider important.
Consider this example: Housing/Utilities–$1,000; Vehicles–$750; Groceries–$600. We’re up to $2,350. You now have $210 for incidental expenses for the month. This is a very simple budget, but I feel you get the idea. That $210 will always be spent on your priorities.
I remember when Kathy and I were first married. We both came from working class families that had only one income coming into the household. We had seen our families live modestly, because they had to do that. We had realized our families had sacrificed taking care of some of their own needs in order for us to have a “better life.” That realization became a foundation for our own lives.
I remember eating out once a month, if that often, while I was working my way through college. I remember that when Kathy and I married, we had a little over $25 in the bank, and most of that was spent on a dress she could wear as a bride and then wear to work the next week. I remember the first time I made up my mind that we would tithe and then when we began automatically saving some of my paycheck for a rainy day, and both decisions were made with a degree of doubt that it would work out.
I remember doing without luxuries. I remember not buying new cars or trucks—ever. (We’ve been married almost 52 years, and we have never purchased a brand-new vehicle.) I remember having one nice suit of clothes for special occasions. The rest of my closet was for work. The old work clothes became my “grimy jobs” clothes.
I understand having to do without. I understand how there can be more month than money. I understand working two jobs to pay the bills. However, that lifestyle in our early years–all the tithing, all the saving, all the doing-without–has paid us dividends that I cannot completely describe except to say God made a way and has blessed us beyond our wildest dreams. That lifestyle required some sacrifice on our part, sometimes serious sacrifice, but it has paid off in the long run, and, again, I give God the glory for His faithfulness over our years together.
I challenge you to list all your monthly income and determine how much should be the tithe, how much should be placed into a savings account of some sort and how much you have left. Then I challenge you to write out your expenses—every single thing you buy on a monthly basis, from your phone to your usual snacks. Total it all up. Now subtract the expenses from the 80% of your income.
Do you have any money left from the 80%? If you don’t, if you’re sitting with a negative balance, you are spending more than you are making. If that’s the case, it’s time to take a serious look at your priorities. Ask yourself what you can reduce or eliminate. If you decide to reduce something, please do not make that something your tithe. (Reduce your savings, if absolutely necessary, instead of reducing your tithe.)
If you cannot see how you can possibly live within your income, you need to seek counsel from a Christian financial professional. The road out of financial bondage, debt and continual frustration may be long and require much self-discipline, but it will be worth it. Your treasure can be a blessing, not a burden, but it will take submitting your lifestyle to God and allowing Him to work in you, for you and through you.
Sincerely,
A Small Church Pastor
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