Trusted Advice For Individuals

On this page, you will find information about a variety of personal financial stewardship topics.  Click a link to access a topic and click Top of Page to return to the menu.  At Envoy Financial, our ministry is to serve you and your ministry.  If you have any questions or need assistance, please contact us at (888) 879-1376, option 1 or by email.


For information on any of the following, click the title link.


1. What Does The Bible Say About Money And Stewardship?    (Return to Top)


Introduction

Did you know that there are roughly 2,350 verses concerning money in the Bible? That’s almost twice as many as verses about faith and prayer combined. Jesus had a lot to say about money:
  • Nearly 15% of everything Jesus spoke about related to money and possessions.
  • 16 out of his 38 parables dealt with the topic of money.
  • The only subject Jesus taught more about than money was the Kingdom of God.
Why?  Because the Scriptures are very clear about an inherent connection between a person's spiritual life, attitudes and actions concerning money and possessions. 

Envoy Financial provides “Trusted Advice Along The Way” for today’s Christian Ministry Professionals.  Whether your church is large, small, or any size in between, Envoy Financial is equipped with the wisdom and knowledge to help you make the right decisions from a biblical stewardship perspective.

The Bible is clear that we are to save for our future: “A wise man saves for the future, but a foolish man spends whatever he gets.” (Proverbs 21:20, NIV)

Scripture References

Money, Wealth, Blessing and Prosperity:
A wise man saves for the future – Proverbs 21:20
Money little by little grows  - Proverbs 13:11
Ability to produce wealth – Deuteronomy . 8:18
The blessing of the Lord brings wealth – Proverbs 10:22
Diligent hands bring wealth  - Proverbs 10:4
Pursue righteousness and find prosperity - Proverbs 21:21
All hard work leads to profit - Proverbs 14:23
Oh that you would bless me indeed – 1 Chronicles 4:9-10
Then you will be prosperous and successful – Joshua 1:8
God gives any man wealth and possessions – Ecclesiastes 5:19
A generous man will be blessed - Proverbs 22:9
Enduring wealth and prosperity - Proverbs 8:18
Trusting God leads to prosperity - Proverbs 30:8-9
Steady plotting brings prosperity - Proverbs 21:5
Trying to get rich quick - Proverbs 28:20, 22
Do not boast in riches – Jeremiah 9:23-24
No hope in wealth – I Timothy 6:17-19


Generosity, Contentment and Giving:
More blessed to give than receive – Acts 20:35
Give and it will be given to you – Luke 6:38
The righteous eat to their hearts content – Proverbs 13:25
A generous man will be blessed - Proverbs 22:9
Support those who teach the word – Galatians 6:6
Sow generously and reap generously – 2 Corinthians 9:6
I was hungry and you gave me something to eat – Matthew 25:35-40
Godliness with contentment is great gain  - 1 Timothy 6:6
Content with your pay  - Luke 3:14
Be content with what you have – Hebrews 13:5
I have learned to be content  - Philippians 4:11
Everything we have and give comes from God – 1 Chronicles 29:11-17
Rich in all things, generous on all occasions  - 2 Corinthians 9:11
God loves a cheerful giver - 2 Corinthians 9:7
Excel in the grace of giving  - 2 Corinthians 8:7


Greed and Coveting:
Greedy man brings trouble to his family – Proverbs 15:27
Put to death greed – Colossians 3:5
Be on guard against greed – Luke 12:15
The love of money  - 1 Timothy 6:10
Dishonest money  - Proverbs 13:11
I have not coveted anyone’s silver or gold – Acts 20:33
Can’t serve two masters  - Matthew 6:24
Free from the love of money  - Hebrews 13:5
Do not trust in riches  - Proverbs 11:28
Where your treasure is – Luke 12:34


2. How Do I Get Started With Financial Planning?    (Return to Top)
Financial planning starts with grasping what it means to be a “good steward” of your resources.

In God’s Word, we learn to be a wise steward (or manager) of what He has given us to manage.  For key verses, see the section on “What does the Bible say about money and stewardship?”  Every day we make decisions that impact our future and the future of the ones we love.  One of the most critical decisions you will make is to start your retirement plan – and continue it.  If you need to start or revise your Future-Funded Ministry ™ plan, please contact one of our LifeStage Specialists at Envoy Financial and we will be glad to provide the trusted advice you need.



3. Five Essential Financial Questions -- “Am I Financially Healthy?”  (Return to Top)

What happens when the paycheck stops?
  • Are you ready for retirement, or what we refer to as your
    Future-Funded Ministry ™?
  • Proverbs 21:20 states that a wise man saves for the future.
  • Envoy Financial is committed to helping you grow the resources God has entrusted to you from a biblical stewardship perspective.

What happens if I need to be cared for?
  • Will you have the resources to live if you become unable to perform the normal activities of life?
  • Although Envoy Financial doesn’t provide Long Term Care Insurance, we encourage you to look into these important benefits through your employer or an individual policy.

What happens if I am not healthy?
  • Will you have the finances to cover hospitalization, unexpected doctor visits or medication?
  • With the rising costs of medical expenses, you must be protected and transfer some of this risk to a Health Insurance provider.  Although Envoy Financial doesn’t provide Health Insurance, we understand how crucial this coverage is for your family and your financial health.

What happens if I become disabled?
  • What would happen if you became disabled or unable to work?
  • Although Envoy Financial doesn’t provide Disability Insurance, we encourage you to look into these important benefits through your employer or an individual policy.

What happens if I die before I have settled my financial commitments?
  • If you die unexpectedly, what will happen to those you love?
  • If you are the primary breadwinner in your family or if your family depends on a portion of your income to survive, you will need to make up that shortfall if anything happens to you. 
  • At Envoy Financial, we have Life Insurance Specialists to help you get the right protection to meet your family’s need.  This is a foundational piece to having your financial house in order.



4. What Are The Best Retirement Plans For Individuals In Ministry?    (Return to Top)

  • The best retirement plan is a ministry-sponsored plan.  Most ministries have sponsored a 403(b) retirement plan. This plan is defined in section 403(b) of the US Internal Revenue Code.
  • A 403(b) retirement plan is specifically designed for non-profit organizations and has even more benefits for those working in ministries where some staff may have “Ministerial Status” (licensed, ordained or commissioned).  Churches and Mission-Sending Organizations are examples.
  • Your ministry’s retirement plan allows you to save money for retirement.  This is called a Voluntary Contribution or an Elective Contribution.
  • Your ministry’s plan may also include an employer contribution in the form of an Employer Basic or an Employer Matching.  Contact your ministry’s plan administrator for the details. 
  • If your ministry does not offer a plan, there are other options for both your personal retirement planning and your ministry.  You may be able to offer a ministry-sponsored plan.  Envoy Financial can help you find the best plan for your needs!  For more information, contact us at (888) 879-1376, ext. 1.  For more information on various types of retirement plans, visit the Employers/Plan Sponsors section of our website.


5. Important Tax Benefits    (Return to Top)
Contribution Limits

It is wise to be aware of the contribution limits for your retirement accounts.  When you get close to the contribution limits, make sure you will not go over the limit for that tax year.  (Click here for the contribution limits for 2010.)  Remember, contribution limits change each year.

Common Tax Questions:

What if I have an Traditional IRA? When will I be taxed on the monies?
You are not taxed on the monies you put into your IRA until you take a distribution to help fund your Future-Funded Ministry™.

When will I be taxed on the monies I put into my Roth IRA?
For Roth IRA accounts, monies are put into the account after- tax.  This means you have already paid taxes and will not be taxed when you take the monies out.

When will I be taxed on the monies I put into my Traditional 403(b) or 401(k)?
You are not taxed on the monies you put into your 403(b) or 401(k) accounts until you take a distribution to help fund your Future-Funded Ministry™.

When will I be taxed on the monies I put into my Roth 403(b)?
For Roth 403(b) accounts, monies are put into the account after- tax. This means you have already paid taxes and will not be taxed when you take the monies out.

If I have taken the monies out of my account for this year, what documents will I get in the mail?
You will receive a 1099 form in the mail in January to file with your taxes.

What if I am 70½? Do I have to take a distribution even if I don’t need the funds yet?
For all tax questions it’s always best to talk with a tax advisor regarding your tax bracket or specific decisions regarding your retirement account.


Summary of Tax Benefits:

Traditional 403(b):
  • Immediate tax savings when you set up your 403(b) retirement account.
  • When you put your before-tax monies into your 403(b) plan, it will reduce the amount of your income by the contribution amount.
  • 403(b) funds you contribute grow tax-deferred while the monies stay in the account until needed for your Future-Funded Ministry™.  You will not be taxed on the money as it grows.  This is a great way to grow the resources God has given you to manage.

Roth 403(b):
  • No immediate tax savings when you set up a Roth 403(b) account.
  • When you contribute after-tax monies to your Roth 403(b), it will give you the opportunity to pay no federal income taxes in the future.  You will not need to worry about inflation rates as your monies grow.
  • Funds that you put into your Roth 403(b) grow tax-free while the monies stay in the account until needed for your Future-Funded Ministry™. You will not be taxed on the money. This is a great way to grow the resources God has given you to manage.
  • When you want to withdraw dollars out of the account after you reach age 59½, a Roth 403(b) allows you to withdraw your funds tax-free.
  • Instead of having 20% of the account taken for taxes at the time of the distribution, you do not pay any taxes at the time of withdrawal; you have already paid the taxes when you initially contributed the funds.


How can my 403(b) help me when I retire?
  • The Only Plan You Need – Once you are ready to take an income stream from your 403(b), there are many systematic flexible payout options available to you.  You may take monthly, quarterly, semi-annual and annual payments. Or if you prefer, take money out whenever you need it and not systematically. 
  • Envoy Financial Service Continues – The Envoy Financial Ministry Service Team and LifeStage Specialists continue to provide you with service and “Trusted Advice Along The Way” during your Future-Funded Ministry™.


Self Employed:
  • Envoy Financial Designs Plans With You In Mind – Our ministry is here to serve your ministry in helping you grow the resources God has entrusted into your care.  We have found that many self-employed pastors are reluctant to start a plan, are afraid of being a burden to their churches, and do not know where to start.
  • Envoy Financial will help you design the appropriate, cost-effective plan for any size ministry or church.
  • We understand the financial burdens on both pastors and churches and so we have flexible platforms to build the right plan for you that won’t burden you or your church financially. 
  • If you have additional questions, please contact our CMO Ministry Services Manager at (888) 879-1376, ext. 228.

Tax Benefits for Pastors and Missionaries:
  • Pastors who remain affiliated with a church in retirement have the ability to receive a portion of their retirement distributions from their 403(b) account as Housing Allowance. See Trusted Advice for Pastors for more information.
  • Missionaries who qualify for the Foreign Earned Income Exclusion can contribute to a Roth 403(b) without paying federal taxes and then withdraw the monies tax-free in retirement.  See Trusted Advice for Missionaries for more information.



6. Retirement Savings and Planning Calculators      (Return to Top)

Envoy Financial is pleased to provide financial calculators on our website.  We have investigated many financial calculators and these are some of the best we have seen!  Interactive calculations, dynamic graphs and fully customizable reports really make these calculators stand out from many others available on the Internet.

The calculators are organized in the following categories and can be accessed on our Calculators page by clicking here:

Retirement and Inflation
Saving and Investing
Loans and Credit Cards
Cash Management
Risk Management
Estate Planning
Taxes and IRAs

If after using any of the calculators, you have questions or need financial planning assistance, please contact us at (888) 879-1376, option 1 or by email to schedule an appointment with a LifeStage Specialist.  We look forward to serving you!



7. How Can I Communicate Better With My Spouse About Finances?      (Return to Top)


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The age-old question is asked once again.  “How do I communicate about money with my spouse?”  This is asked but often translated as “How can I convince my spouse that I am right about money and they are wrong.”

The fact is you will most likely never convince your spouse that the way you look at your finances is right and the way they look at finances is wrong!  However, there is hope to accomplish something for the both of you so that financial harmony can be achieved.

Scott and Bethany Palmer have written a book entitled Cents and Sensibility: How Couples Can Agree About Money.  Here are a few steps they suggest to get started:


  • It is important to understand your money personality and that of your spouse.  The six personalities are:
    • Spender
    • Saver
    • Security Seeker
    • Risk Taker
    • Flyer, and
    • Debtor. 
  • You can take the money personality profile by clicking this link: Cents & Sensibility Money Personality.
  • Remember that no money personality is wrong or right.  The important thing is to understand your likes and dislikes, and the differences between your personalities.   Learn how to respect, appreciate and tolerate the differences, and then start working together.
  • Learn how to communicate often during conflict.  Scott and Bethany describe two communication tools:
    • The first is called the “pow-wow” which is a regular meeting time when the couple focuses on money issues.
    • The other is a “meeting at the fence,” a conflict resolution system that allows couples to handle fights or problems that arise in a way that will not further damage their relationship.

It is important to understand all the issues that affect your relationship and the stress of financial problems.  For a copy of Cents and Sensibility: How Couples Can Agree about Money, visit the Resources Page.



8. Common Investment Mistakes To Avoid       (Return to Top)

Fees vs. Performance:
God wants us to be wise stewards.  However, low fees do not always mean better performance.  Fees vary depending upon the type of investment fund.  For example, international funds have higher fees than government bond funds.  Be aware of them, but don’t let fees hold you back.  It’s important to look at the overall balance of your account to make sure you are in the right sectors with the right percentages.


I can manage myself:
You wouldn’t perform surgery on yourself; you’d allow a seasoned surgeon to operate.  Likewise, Envoy Financial specialists believe that you need seasoned professionals to serve you with “Trusted Advice Along The Way.”  The Bible states very clearly in Proverbs 12:15, “The way of the fool is right in his own eyes, but a wise man is he who listens to counsel.”  And Proverbs 15:22 states, “Plans fail for lack of counsel, but with many advisers they succeed.” 

Many people want to have a “hands-on” approach to their finances.  We find, however, that most people:
  1. Lack knowledge about investing
  2. Are not as engaged with the frequent changes of the market to be able to adjust their investment strategy when needed
  3. Are too engaged with the returns game – and adjust their investment strategy too often
  4. Are too busy, or out of the country, to pay close attention to their accounts
  5. Really want more protection from the ups and downs of the market

These factors prevent most people from being able to mange their accounts effectively.  Envoy Financial’s mission is to give you Trusted Advice for your accounts – and we have many ways to do this:

Have your account actively managed by a separately retained and compensated professional money manager.
  • Your employer may have included access to money managers (Advisory Services) in your retirement plan.  If available, these choices can be detailed for you during an appointment with a LifeStage Specialist.

Do you ever retire from ministry?

As Christian believers, we know that ministry is a life-long calling.  It may take on different forms at various stages of our lives, so in a sense we never really “retire;” we simply move to another phase of ministry.  That’s why retirement is not only a reward for past service, but a stepping-stone to future ministry.  We are all stewards of our time, talent and finances.  We need to wisely manage the money we’ve acquired in our income-producing years, so when the later years arrive, we will have the finances to carry out whatever the Lord has planned.  We call that “Future-Funded Ministry”™ – financial security for people to continue ministry into their later years – in whatever role to which God calls them.

I don't have enough money to invest:

Many people feel like they are in this situation. However, the most critical decision you will make is not how much you contribute, but that you begin to contribute. We see the importance of contributing something now, rather than waiting with the hope of doing more later on.  Start contributing, even if it is a small amount. Our LifeStage Specialists and our Web resources on budgeting can help you strategically look at your finances so you can not only contribute to your Future-Funded Ministry™ today, but also increase your contributions in the future and experience joy in all of your finances.



9. Financial Products and Services Available      (Return to Top)

Retirement Plans
403(b)
Roth 403(b)
Joint Accounts (Non-qualified)
401(k)
Roth 401(k)
SEP IRAs
Simple IRAs
Executive Financial Solutions
Rollovers and Consolidation
Annuities
Fixed
Equity Index Annuities
IRA Planning
Roth
Traditional
Education Savings Plans
Life Insurance
The Integrity Collection (Faith-Based Funds)
Flex Spending Accounts
Simple Retirement Solutions
CrossRoads Retirement Solutions
Research and Education
Asset Management (Advisory Programs)



10.  Information Request     (Return to Top)

We will be pleased to contact you regarding any additional information you would like.  Please complete the following and we will promptly contact you.

I would like an appointment with a LifeStage Specialist.  I have questions
about (check all that apply):

  Diversifying my assets
  Establishing a savings plan
  A retirement analysis
  Other investments that I currently have
  Life insurance:  New   or    Currently have
  Annuities:  New   or    Currently have
  I would like information on how Envoy Financial can help our Mission-Sending organization
  I would like information on Simple Retirement Solutions, the plan for ministries and churches.
  Please send me some additional information on the following:


Name:
Phone number:
Email address:
Ministry name:
City:
State: