Dave Ramsey's 3 things to do if you are struggling with Hope

If you were not able to attend a venue or listen via radio to Dave Ramsey's Town Hall for Hope last night you definitely missed out. There is much to talk about from the event but I wanted to post the 3 things he shared in closing. Addressed specifically to those who have lost or are struggling having Hope during these uncertain days.

1) GET UP -- TAKE ACTION

- You will never win sitting still

- "there is a great place to go when you are broke ... to work"

2) DONT PARTICIPATE IN LOSER TALK

- your attitude determines your altitude

- be a reader/ feed your mind

3) LEARN TO GIVE AGAIN

- America is the most well off, we need to rediscover giving

- give not just money, but time

For more information, resources, and to find out what you can do next; check out townhallforhope.com .

Well Said... Newt Gingrich

Congress was designed by the Founding Fathers to move slowly, precisely to avoid the sudden panic of a one-week solution that becomes a 20-year mess.

—Newt Gingrich

Dave Ramsey's Common Sense fix to the money crisis

Years of bad decisions and stupid mistakes have created an economic nightmare in this country, but $700 billion in new debt is not the answer. As a tax-paying American citizen, I will not support any congressperson who votes to implement such a policy. Instead, I submit the following three steps:

Common Sense Plan.

I. INSURANCE
A. Insure the subprime bonds/mortgages with an underlying FHA-type insurance. Government-insured and backed loans would have an instant market all over the world, creating immediate and needed liquidity.
B. In order for a company to accept the government-backed insurance, they must do two things:
1. Rewrite any mortgage that is more than three months delinquent to a 6% fixed-rate mortgage.
a. Roll all back payments with no late fees or legal costs into the balance. This brings homeowners current and allows them a chance to keep their homes.
b. Cancel all prepayment penalties to encourage refinancing or the sale of the property to pay off the bad loan. In the event of foreclosure or short sale, the borrower will not be held liable for any deficit balance. FHA does this now, and that encourages mortgage companies to go the extra mile while
working with the borrower—again limiting foreclosures and ruined lives.
2. Cancel ALL golden parachutes of EXISTING and FUTURE CEOs and executive team members as long as the company holds these government-insured bonds/mortgages. This keeps underperforming executives from being paid when they don’t do their jobs.
C. This backstop will cost less than $50 billion—a small fraction of the current proposal.

II. MARK TO MARKET
A. Remove mark to market accounting rules for two years on only subprime Tier III bonds/mortgages. This keeps companies from being forced to artificially mark down bonds/mortgages below the value of the underlying mortgages and real estate.
B. This move creates patience in the market and has an immediate stabilizing effect on failing and ailing banks—and it costs the taxpayer nothing.

III. CAPITAL GAINS TAX
A. Remove the capital gains tax completely. Investors will flood the real estate and stock market in search of tax-free profits, creating tremendous—and immediate—liquidity in the markets. Again, this costs the taxpayer nothing.
B. This move will be seen as a lightning rod politically because many will say it is helping the rich. The truth is the rich will benefit, but it will be their money that stimulates the economy. This will enable all Americans to have more stable jobs and retirement investments that go up instead of down. This is not a time for envy, and it’s not a time for politics. It’s time for all of us, as Americans, to
stand up, speak out, and fix this mess.

For more info, and how to contact your congressmen... GO HERE

FPU - Off and running

Haven't had much time for blogging this week. Seems like life is running at a bit higher speed for some reason.
We met for the first FPU (Financial Peace University) class last Sunday evening. There were 11 in attendance. 4 of us were at least second timers. There were 2 couples that did not make it. One returning and one younger married couple. Two things that excite me about this group:

1. There are some in this group who have never done anyting in the church outside of attending worship. This is a HUGE step for them to grow.
2. There is the biggest diversity in ages of all the classes I have hosted. This will lead to good things as we continue our accountability and discussion portions of the class.

This group seems as serious as any of the groups I have led to date about winning financially. I have already had some honest discussions about the regret that some have over their past decisions and the hope they have in doing right from here on out. God is preparing to do some awesome things in these people's lives!

I am heading right now to prep for the next session. It is about learning how to relate to money and how to start preparing a monthly zero based budget. This is vital to those who have just made the decision to stop losing with money. I'll be honest, the monthly budget is our personal weakness. We tend to deal in generalities at our house. We need to get better at this so our winning process gets accelerated. I am already excited for Sunday evening.

What steps have you taken recently to win with finances?

It's Finally official -- FPU is ready to start again

I had to wait to get the final details in place but Financial Peace University (FPU) is a go beginning February 10th. We have a group of at least 14 going through this time (a few are returnees). We hope to pick up a few more, actually a TON more would be ideal. I am fired up that we can get this going. If you are in the Central part of Northern Indiana or Southern Michigan go HERE for the finer details. If you live anywhere else check out the FPU site and find a class near you. You will never regret it!

I can't wait to post updates and hopefully some major success stories from this class.

FPU Week 11

Only two more lessons left. It has been a fun and rewarding group so far. This week's lesson was about Careers and Extra Jobs. Too many of us assume that we will never have to look for another job. We are comfortable where we are, we don't like change. Time for a reality check! The real world stats indicate that many of us will have 18 jobs in our lifetime. The hard fact is that as long as you are some one's employee you could show up in the morning and find out that your job no longer exists. This lesson gives great advice on how to approach the world of getting a job. Dave also talks about the possibility that for a period of time in our lives we may need to explore the possibility of an extra job. Not as a way of life, but as a temporary way to boost your income to pay off debt or save for something special. Great resources in this lesson!!
Almost everyone made it to class. I suppose we should extend an excused absence to they guy who had an emergency appendectomy.

FPU Week 10 -- Real Estate & Mortgages

Understanding how real estate deals and mortgages is vital to winning at the game of finances. This is another area that we need to destroy some myths that have us beilieving that we wil always have payments. If you want to keep from being normal; do something weird. Here are a few suggestions from the lesson:

1. Consider the 100% down plan for your home!


2. No more than a 15 yr mortgage; if you have a 30 at good rate, pay it like a 30


3. when buying learn to look past the cosmetic flaws and get a deal (you can replace that shag carpect and avacado oven if you get a deal on the home.)


4. NEVER, EVER get a loan that involves an ARM (you better know what that is as well)


5. hiring a GOOD realator is usually worth more than the money they cost

When doing your taxes is a blessing

OK, our Federal taxes were done long ago, the return deposited into our account. After the preliminary figuring of our state taxes we discovered that we would owe a fairly significant chunk. So procrastination set in. The money ws set aside in our savings to pay it but who wants to sent the government money absolutely before you have to? Yesterday I finally bit the bullet and figured them to be sent. Only this time I realized that on the original run through we failed to take the additional exemptions for our kids (Insert V8 slap to head here). In the end we found out that not only do we NOT owe the state, they owe us! To the tune of enough money to nearly refill our emergency fund. We can not readjust our current money strategy back to debt reduction. Had we just taken the first numbers at face value and cut a check to the state we would have made a negative swing in our finances of roughly $600; YIKES. The moral to the story?

1. Always double check your work! This goes for taxes, math homework, spell-checking and almost everything we do in life.
2. Procrastination will cost you. Was that refund money mine all the time? You betcha. I unfortunately have to wait another 10-14 days to get my hands on it.

I hope those of you who have yet to get your taxes filed find a pleasant surprise at the end of your work as well.

FPU Week 9 -- Caveat Emptor

The Buyer Beware lesson is powerful. Once you realize how things are marketed to you and the mental and physiological responses you have to these presentations, you are empowered to make better consumer choices. Taking away "impulse"purchases is a sure way to help you win financially.

I am proud to see that our group is "getting it". The concepts are hitiing their mark and every week stories are shared of how the tools are being applied to their families' lives. Fininacial freedom allows us to make decisions in the light if what we know we should do rather than always fighting the little financial fires that pop up around us.

4 lessons left in this class, I;m hopeful to offer the course in the fall or winter small group semester again. More finaincially free families in the church = a much healthier body!!!

FPU -- Week 8

Week 8 (Retirment and college planning) is in the books. We ahd a few missing but those that were in attendance really seemed to connect with the message. Many times the thought of saving for retyirement and college funds is mind boggling when you cant seem to find out there is too much month at the end of your money. The key is HOPE. You must believe that you will not live in the land of perpetual debt and payments forever. I have gone through this lesson 3 times now and it has never resonated more than this one.

Has your hope been stolen by the lie that you will always live with debt/ payments?
Do you systematically save anything monthly for your retirement?
If so, do you understand how those investments work and where they go from your pay?
Do you think that this is too lofty a goal?


Maybe it's time for you to take a serious look at your financial picture and go to Financial Peace University

FPU Week 7

Week seven is in the books. The numbers were a bit low; I think Spring Fever caught a few people. It was the lesson on understanding insurance. Now that's an area that I know very few people can explain. Can you pull out any of your policies and explain what they mean? If not, you are violationg one of the biggest rules of money:

If you are spending more than $300 for something you need to know and be able to explain how it works.

If you just apply what is learned in this lesson it could literally save you hundreds or thousands of dollars a year.

I am excited to see how some in our class are doing. They are excited that they get to get their debt snowball rolling and I am excited for them.

FPU Week 6

As we hit the halfway point of FPU we went through the "Understanding Investments" lesson. I love to have a lesson where you see the "light go on" for people. This one is always one of those. My hope is that people will take the knowledge and use it for their benefit.

The challenge: Can you explain how a mutual fund or an annuity works??? If not you should be looking for an FPU class near you.

FPU Week 3 is in the books

We went through lesson #3 last night, "Relating with Money". Great discussion about no matter if youre a man, woman, nerd, free spirit, married or single, we all look at money in different ways. Great reminders for me as a husband and father.
I am so glad that we have changed the format to a small group on a night when there are no other services. I didn't realize how much we rushed through the first two time through the course. Not that we are pushing past our 2 hours, in fact we were done a few minutes early last night!
The thing that I am the most proud of is that every family in the group is participating in discussion ahs accomplished that first month's budget. That's a huge step!!! Everyone has been willing to be open about their situations and it gives a support network as each family works their plan. It also gives us things to pray for. This is real world stuff!!! I can't wait to see what these families do as they walk their way out of financial bondage, God is good.

What is your weakness??

As we began our journey of FPU this week an interesting point came to light. It seems that ech family/ person has something that trips them up regularly. For some its going out to eat for convenience, others just like to shop, one was a weakness for ice cream. We will be working through these issues as we develop plans to win. It got me to thinking that it seems that we all have that thing/ things that are consistent problems for us. It also occurs to me that our biggest problem as Americans is usually discipline. That is the way that we will be able to overcome these issues. We too often try to get through these things on our own instead of remembering that we can do ALL things THROUGH Christ. A lot less self and a lot more Jesus in all areas of our lives will help us win financially, spiritually, physically, emotionally, with family, in friendships, in conflicts, and any other area we can ever encounter. Time to stop viewing accountabilty and discipline as negatives.