Interest rates are going up right now, and that will affect anyone who owns bonds or shares in bond mutual funds. Why is that, and what should you do about it? View post

Dear Pastor’s Wallet,   My only debt is my mortgage, a 30/5 ARM with 23 years remaining. I am saving 15% of my pre-tax income toward retirement, have an emergency fund and am saving towards large expenses like my kids’ college, a new car, etc. However, I still have some extra money at the end of the month. Should I pay down my mortgage or invest it in a brokerage account? I have been at my current post for several years and could be moved at any time. My ultimate goal is to be debt free.   What to do with extra income is a common question, and you can find many articles and opinions online. However, most are not written for pastors. They don’t take into account the pastoral housing allowance or some denominations’ practice of moving their pastors every few years.   The above question was written to me by a pastor who ...

Most pastors who have opted out of Social Security understand that they are on their own for their retirement savings. That part is fairly straightforward. But what about Medicare? How does opting out of Social Security affect eligibility? What are the options available? View post

Romance doesn't require money. Here are some free and affordable date ideas to help you keep your marriage alive without ruining your budget. View post

If you’re a pastor, you know that your ministerial housing allowance is perhaps the biggest financial benefit of being in the ministry. It allows you to avoid paying taxes on all of your housing expenses, including things like cable television and landscaping. Because of this, one of the most common questions pastors ask is if they can keep taking a housing allowance in retirement. The answer? It depends on where your money is coming from. Unfortunately, one of the most common pieces of advice that professional financial advisors give could actually disqualify you from taking a housing allowance in retirement. View post

Several weeks ago we discussed the characteristics common to those who are able to build wealth over time. Today, I’m going to introduce you to a real live example of a pastor who has done it. View post

Here at the Pastor’s Wallet, we’ve discussed ways of earning extra money before. However, those were more like side gigs or one-off opportunities. For a pastor who wants something more substantial and longer-term, the answer is to build a side business. View post

Pastors often need additional sources of income besides just their church. Running a side business is a great option, but you have to be careful. You shouldn't try to monetize your ministry. Your ministry can feed off of your business, but your business should never feed off of your ministry. View post

Researchers have found that certain characteristics are common to those who are able to successfully build wealth over time. Let's take a look at them and what they could mean for your personal finances. View post

The most commonly asked question regarding the new tax reform bill that went into effect at the beginning of the year is, “How will it affect me?” Since everyone’s situation is different, no amount of searching on Google is going to give you the right answer.   The most accurate answer you can find will come from doing calculations based on your 2017 tax return. If you anticipate being in the same, or a similar, financial situation for 2018 as you were for 2017, then you can get a pretty good estimate of this coming year’s tax bill by looking at last years’ numbers. Here is how to do it: View post