Compelled By Reality

Creating a Zero-based budget

Filed under: Blogging, Featured, Money, Practicals of Life

In my journey in managing the finances I have been given, there have been a few things that have helped along the way. One is the war I have started against an enemy I call debt; Creating a strategy to attack it and keep attacking until it begs for mercy (see this post for more info on that strategy American Cravings: Money).

Who OWNS 100% of my money?
I used to think of the money I earned as just that; money that “I” earned, therefore it was “MY” money. This however differs from God’s view. “The earth is the Lord’s, and all its fullness, the world and those who dwell therein.” God is the owner of 100% of the finances I have. Not just 10%. He owns all 100%, but has given it to me to manage it. So I can no longer think of myself as the OWNER of this money, like it is mine, but I am managing it for God.

So if I was an investment banker and someone gave me $50,000 a year to manage for them, I would need to make sure to take the time to put down on paper and do the research to figure out the best strategy possible. I need to do the same for the money God has given me to manage. First I need to find out what he wants me to do with it, and then manage it appropriately.

One of the things that has helped in this mindset shift of managing the finances given me was to create a “Zero-based budget.” Well, “what is a zero-based budget?” you might ask. I’m glad you asked. I asked myself this same question when I first heard of it.

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Tags: giving, Money, zero based budget