Debt-Free Living: Tips for Financial Freedom
The quest for financial freedom has become a top priority for many people, especially in a world that constantly promotes debt.
As Christians, from a Biblical standpoint, debt is seen as undesirable and a form of bondage which is why we are told in Romans 13:8 “Be indebted to no one, except to one another in love. For he who loves his neighbour has fulfilled the law.” (BSB)
The Bible provides wisdom-filled advice on living debt-free, emphasizing the freedom that comes with financial responsibility. This wisdom is what I want to share with us today.
1. Recognize God as the Source of Wealth
“But remember the LORD your God, for it is he who gives you the ability to produce wealth…” (Deuteronomy 8:18, NIV)
According to the Bible, all wealth is granted to us by God. This Scripture reminds us to approach our finances with humility and thankfulness, leading to responsible stewardship.
2. Spend Wisely
“Whoever loves pleasure will become poor; whoever loves wine and olive oil will never be rich.” (Proverbs 21:17, NIV)
Extravagance is a pitfall when it comes to avoiding debt. The Bible encourages us to adopt a frugal lifestyle, spending wisely and living within our means.
3. Avoid Borrowing
“The rich rule over the poor, and the borrower is slave to the lender.” (Proverbs 22:7, NIV)
Borrowing is encouraged only when necessary in biblical teachings. Avoiding debt frees us from the stress and constraints associated with borrowing, allowing us to live more freely.
4. Save and Plan Ahead
“Dishonest money dwindles away, but whoever gathers money little by little makes it grow.” (Proverbs 13:11, NIV)
Saving is a key factor in living debt-free. Regular saving, combined with prudent spending, is a biblical mandate that can lead us down the path to financial freedom.
A lot of people do not see savings as important. But savings are a must if you want to be financially stable as a Christian.
Reasons Why You Should Save
a) It’s The Wise Thing To Do:
📌Saving is wisdom. If you are not saving, you are not operating in Wisdom.
Saving helped to make Egypt rich and powerful when other nations were dying of hunger and famine during the days of Joseph.
📌” Walk in the manner of the ant, O slacker; observe its ways and become wise. Without a commander, without an overseer or ruler, it prepares its provisions in summer; it gathers its food at harvest.”
Proverbs 6:6-8( Berean Standard Bible)
It is wise for you to save.
b ) It Helps You To Have Funds To Invest:
📌The best way to get people to support your Ideas and Startup, is by using your own money to start first.
You have to save your own money and use it to pursue your idea.
When you have proof of concept people can come in and support you.
📌 You save to invest because savings is setting money aside for a purpose.
Investment is one of these purposes.
📌 Saving money in your bank account is not an investment. So don’t think that when you are saving money in the bank you are investing. No! But you save so that you can invest.
📌One of the saving reasons is so that you can have money for investment opportunities. It saves you from running helter-skelter when the opportunity comes.
c) It Helps You To Enjoy Debt-Free Purchases.
📌All over the world interest rates have increased on mortgaged houses. People are renting their houses to make up the money to pay for their mortgages because of the rise in the interest rate.
Why?
Because they did not buy nor purchase the house debt-free. They bought the house on credit.
d) It Helps You To Maximize Seasonal Opportunities
📌Life is all about opportunities. It is better to be prepared to wait for an opportunity than for opportunities to come and meet you unprepared.
📌When you save money when opportunities come, you can grab it and maximize it.
e) It Helps You During Emergency.
📌What happens when you have to rush a child or spouse to the hospital and you are told to deposit N30,000,$30,000 or $100,000, N100,000 before treatment can be commenced and you don’t have it?
You need to have savings so that they can save you from all forms of emergencies that could end up jeopardizing your peace.
f) It Helps You In The Days of Unforeseen Circumstances.
📌Unforseen circumstances are beyond emergencies. They are not the same.
Example: The death of a spouse is an unforeseen circumstance, not an emergency.
The loss of your job is not an emergency, it’s an unforeseen circumstance.
📌When we talk of emergencies, we are talking about things that show up and expect you to have money. But when we talk of unforeseen circumstances we are talking of things that show up and cut off or stop the flow of money and mess up the trajectory of your life.
Savings helps you with unforeseen circumstances.
g) It Helps You To Be Financially Free.
Because as you are saving money, you can invest. You can maximize opportunities. You can mitigate the effects of unforeseen circumstances.
All these things affect your peace and the quality of your life if not properly handled.
Savings help you journey into financial freedom.
📌If you want to be financially free, savings is one of the laws of wealth creation.
h) It Frees You From The Anxiety And Worry Of Lack Of Funds :
📌When there is no money you worry about the hike in the price of fuel, food items, and basic amenities of day-to-day living.
Anxiety can mess up your mind, life, and mental health.
It leads you into a life of tension. But when you have money saved up, yes there is a hike in price but you are relaxed because there is money to meet the needs.
📌When you save, no matter what happens in the marketplace and all the products and services, you have the money to buy.
📌You can never change your life by worrying.
Worrying messes you up.
Worrying makes you age faster. Saving money frees you from all these anxieties and worries.
i) It Helps You Develop a Good Culture That You Can Pass On To Your Children.
5. Hard Work and Diligence
“All hard work brings a profit, but mere talk leads only to poverty.” (Proverbs 14:23, NIV)
The Bible promotes hard work and diligence as a means of achieving prosperity. It emphasizes that financial stability is the result of a consistent and rigorous work ethic.
6. Stewardship and Giving
“A good man leaves an inheritance to his children’s children…” (Proverbs 13:22, NIV)
Stewardship and giving are also expressed in biblical teaching. This involves managing resources responsibly and generously sharing with others.
Dear Christian,
Debt-Free Living: Tips for Financial Freedom is an important tool for daily living.
Living a debt-free life requires significant changes and sacrifices in your lifestyle. Being in debt can mess up your mind, life, and mental health.
It leads you into a life of tension and anxiety. But when you live within your means, and have money saved up, which you can invest to have multiple streams of income to meet your daily needs and emergencies that might come up at any time, you live a peaceful life, free of mental anxieties and tensions on how to pay your bills.
It is wise for you to save.
God Bless You
See Also,
Relationship and Friendship, The Limitless Currency
