It’s impossible to estimate the kind of good the church could do for the world if every believer was financially healthy and spiritually mature in the area of generosity.
The problem is, the church is hurting in this area badly.
I believe we, as church leaders, often underestimate the amount of financial pressure most families feel because we want to trust that people would be open about poor financial management. But the fact is, people are private about finances.
And pastors, we’re not immune. Many pastors have a hard time teaching about money because of the personal guilt they feel about their own financial problems.
Debt is a problem we can’t ignore any longer. But how do we get out from under it?
We’ve got to commit to these eight steps and help the people in our congregations do the same.
1. Commit to becoming debt-free now.
Pastor, this is the most difficult step of all, but it’s also the most important. You’ve got to make a commitment to do this, and you’ve got to lead your congregation to do so as well. It’s absolutely crucial.
Paying off debt is something God blesses. The Bible says in Psalm 37:21, “The wicked borrow and do not repay” (NIV). God does not bless the wicked. It’s not moral to stiff somebody out of debt. God says if you have a debt, you are to pay it off.
Nobody just drifts out of debt. You’ve got to be intentional and start with a commitment. It isn’t easy. It takes discipline. It takes perseverance. But it’s also the right thing to do.
2. Start paying God and yourself first.
If you want to get out of debt, you’ve got to start tithing 10 percent (paying God) and saving 10 percent (paying yourself).
People in debt will balk at this. They don’t understand how tithing and saving will help get them out of debt. But if you wait until you pay off all your bills, you will never save and you will never tithe.
When we’re in debt, we need God’s help. That means we need to do it God’s way. The fact is, whatever area we want God to bless, we have to put him first in.
3. List all you own, owe, and earn.
You’ve got to keep good records. You need to know where your money has gone, where it’s going, and where it’s coming from. The Bible says in Proverbs 24:3, “A house is built by wisdom and becomes strong through good sense” (NLT). You’re wise when you know where your money is going.
People say money talks. It doesn’t talk! It just walks away quietly. Then you get to the end of the month and ask, “Where did my money go?” If you’ve ever asked yourself that question, you don’t have a budget and you need one. A budget is telling your money where you want it to go rather than wondering where it went.
4. Have a sale.
You need to get rid of some of your stuff. You need to convert some of the “stuff” around your house to cash. Look around your house. Even if it’s paid off, you may be better off selling it. Why? You’re paying to maintain it.
Nothing should be off the table. If you’ve got a car, ask yourself about the purpose of the car. If it’s transportation, there are a lot of ways you can get from here to there. Is there a cheaper way to do so? Be radical.
5. Set up a repayment plan.
The Bible says in Proverbs 21:5, “Good planning and hard work lead to prosperity” (NLT). You’ll need someone objective to help you do this. At Saddleback Church, we provide trained financial counselors to help people in financial crisis.
You don’t have to be a big church to provide these financial counselors. Just find some folks in your church who love people and aren’t scared by numbers. If the person has gotten out of debt themselves, that’s even better.
6. Add no new debt.
Cut out debt cold turkey. Stop going into debt right now. Cut up your credit cards. Don’t get another loan. The number one reason people go in debt is that they can’t live on what they make. Decide today that you will. To do that, you’ve got to be content with what you have. It’s the only long-term antidote to debt.
7. Share the plan with your creditors.
Let the people you owe know that things are changing. Make a list of those you owe. Call each one of them and say, “I don’t want to file bankruptcy. It’s not good for you. It’s not good for me. I can’t pay you $100 a month. I just don’t have it. But I could pay you $25 a month. I want to pay off my debts. Can you help me with this?”
God will give you favor with people when you determine to do the right thing. Most creditors will allow you to do what you need to do to keep paying the debt.
8. Stick to it.
Getting out of debt isn’t easy. It takes discipline, effort, and sacrifice. But you can do it. You’ve just got to stick to the plan. These principles work, but you must work them.
The Bible says in Galatians 6:9, “Let us not get tired of doing what is right, for after a while we will reap a harvest of blessing if we don’t get discouraged and give up” (TLB).
You’ll be tempted to give up. That’s when you need to keep going and stick to the plan. That’s also when you need fellow believers to cheer you on.
God is interested in every detail of your life–including your financial life. He wants you to pay off your debt, and he’ll help you do it. You just have to ask.
Your passion to develop spiritually sound leaders is evident in whatever you share. Blessings.
many thanks you are really a man of God.
Awesome word. Thnks for the help in this area of my life. This is we’re I’m struggle in my life as. Christian. Try to come out of it. This really help me and eye opening. God bless
Your ministry in all. Thnks for help
Dear Rick,
I agree totally with what you say and that is why I am a money coach with Christians Against Poverty which teaches people these principals and how to do a simple budget with the money that they are getting in. CAP comes out of England and is now in Canada, New Zealand and Australia. It is a great movement with great results. For those in serious debt, they can be referred to an office who helps them with approaching creditors. There is also a course for youth to warn them against credit cards etc. A great ministry.
Blessings Marion R NSW Australia
Can I simply just say what a comfort to discover a person that
actually understands what they’re discussing on the web.
You definitely know how to bring a problem to
light and make it important. A lot more people ought to read this and understand this
side of your story. I was surprised that you are not more popular since you surely have the
gift.
Hi and thanks for the article.
We are leading a church in South Africa and our income has not kept up with the growing inflation. We have grown deeper in debt over the past 7 years. Is there a program that we could link up with that can help us deal with and work out of our debt?
Hello Karin,
We hope that God has blessed your church financially this year.
You can find resources on financial freedom at this link on our website: https://store.pastors.com/catalogsearch/result/?q=debt
We hope it is a blessing to your church.
“Good planning and hard work lead to prosperity”
Thanks you, god bless!
Alex C.
that one was nice, god bless you son.
regards
Debt is a problem we can’t ignore any longer
A very helpful strategy under #5, that I have learnt and applied is what is called the ‘snowball strategy repayment plan’.
Pay the minimum payments on all debts except the highest interest debt – pour every spare dollar into that one. When it is paid off, take the money you were paying towards that debt and add it to the payment of the next highest interest debt, until that is paid off. Now take the money you were using on for those payments and apply them to the next debt and so on. E.g. Debt 1= $20 per month. When it is paid off you take that $20 and apply it to debt 2 which might be $50 per month, therefore now paying back $70 per month. When debt 2 is paid off you add those payments now to debt 3 which may have been $100 per month, therefore paying now $170 per month and so on. You will be amazed at how fast the debt gets paid off!
I am a Believer in Jesus who is a recovering addict. I really Appreciate Pastor Ricks teachings and I listen to daily hope frequently… sometimes more than once a day. It has helped me in my recovery and my walk with God. Coupled with CR and my Local church SHC Iam growing in Christ day to day.
many thanks you are really a man of God.
Thank You and God Bless You.
This has really helped me I think I will use this to get out of Dept’s that’s a thorn in my flesh, it started the year 2016 and I’m stack in Dept’s yet I’m saved and spirit filled
Thanks a lot
I a pastor from Brazil. I have following pr. Rick Warren for some years now and his words are always blessings to my ministry. Thanks for more this one. May God continue blessing your ministry and family.
Thank you for the advice, how to get out from every debts,
Thanks God bless you.
This is a blessing to me..
God bless you so much.
This is excellent advice. I’ve listened to Pastor Rick every morning for the past 8 years I have about 40 volumes of “Daily Hope” information. What you need is a satellite Saddle Back Church information contact in every state you won’t need one in Dallas, I’ve got that!!. Keep up the mission God is watching.
I AM PASTOR TIMOTHY MUSAU FROM LOWER EASTERN KENYA, I HAVE BEEN FOLLOWING YOU CLOSELY AND WOULD LIKE TO BE AFFILLIATED WITH YOU, WHAT CAN I DO?
Really good need to know information. Its appreciated.
God bless you my spiritual mentor. You truly have the word of God in you sir,
You will never fail in life, God will bless you with all Heavenly blessings and settle you at last with eternal life this is wish and pray for you Amen and Amen
Great advice that lines up with the money coach I recommend clients to. Once people start to save the whole mindset changes and hope arises in their hearts, Thanks for having the courage to address the elephant in the room
Great insight from pastor Rick.It came to me at the right time.
God bless you plentifully.
Very interesting gonna try it.
Yes your lesson come in the right time we r working on our debts.
Thank you, we are currently working on our debts.
awesome tips.