It's Official: 21 Days to Better Finances

Over the course of the next 21 days, 20 Young Adults at FCBC are hoping and praying to clean up their finances and rid of anything wasteful monetarily...and some of our journies will be shared here.

The purpose of any financial fast is to help a person release unwanted baggage. Following are the key components of such a fast:

Financial Awareness
The first step to fasting for our finances begins with the knowledge of them. Everyone involved in this fast should be aware of what his/her finances look like.  One must collect pay stubs and other information that pertains to his/her annual income. This information should consist of everything that produces money, including any assets.

Expenses
Once income is known – what one is bringing in – the next step is to add up the bills…how much is being spent!

The mere thought of this can be overwhelming for many of us because those two numbers – what we are earning versus what we are spending– are now right in front of our eyes. Yet, with 21 days to go, we are hoping to push pass dread and face the numbers, with the help of our prayer/accountability partner.  

FYI, when adding up what is owed/is being spent, we should include everything e.g. lights, water, rent, cable, phone, Internet, car insurance, storage, credit card payments, student loans, and food. Once this is done, we will be able to confirm whether our expenses (what is being spent) overtake our income (what is being brought in). If so, some more work must be done.  

Assessment
The assessment is the review part of this process. We must look over what we’re making and what we’re spending our money on. If we make more than what we spend, we *may* be in good shape.  Yet, as Desiree has been teaching us via our Financial Freedom series at FCBC, we must take this further and ask ourselves, in addition to paying our bills, are we saving money at all? Also, if we have any debt we paying more than the minimum balance each month?  

If we are indeed spending more than we make, then we must find out where the financial leak is coming from and correct it.

Separation of “Needs” and Wants”
One way to identify our money “leaks” is by separating our needs and wants.  For example, Jane may have 50 pairs of shoes in her closet.  Jack could have 150 DVD's in his room. Both must ask whether they truly need these things.

**During the fast, some may find it empowering to either sell or give away things they discover to not be needs.**

Savings
If we are making money and not saving any, we are essentially losing it.  The extra money freed up due to financial fasting could be put into a savings account, used to pay down bills more rapidly, or donated.

Let’s remember: this may seem difficult but a financial fast is an enlightening process. It opens up a world of opportunities. Believe that once you have completed this journey, you will be forever transformed.

Agape and see you tomorrow!
YAM