What I Learned On My Way Back From Rock Bottom

• by Ivory Miller
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After 13 years of marriage, in a matter of seconds, my life changed forever!

Just moments before, I had what most would consider the American Dream: the total package, (the husband, a son, a house on the lake, and a Lincoln Aviator in the garage). Life was grand! But something happened…God allowed an unexpected interruption to come into my life and it changed every pre-conceived purpose I (notice I didn’t say God) had defined for my life. I was totally unprepared to handle this interruption emotionally and financially. Omitting the exhausting details, I will fast-forward a month where the story gets more interesting.

Within a month, I had lost everything, but my son. What in the world was God up to? “Why me? What did I do to deserve such a hard blow?” After I finished ranting, I can remember hearing God say, “Trust in me and you will be fine. I’ve got you…let me do this. This is not punishment, but rather promotion.” What? Promotion! Who would ever relate loosing everything with promotion? This was a total oxymoron to me; I was being greatly challenged.

Having lost so much, I was now facing financial ruin. And like too many of us I had made the mistake of not taking the time to prepare financially for times like this. I was later introduced to several business opportunities as a means of gaining additional income to support my son and I. Some worked out and some were a total waste of time and energy. However there was one opportunity (Primerica Financial Services) that saved my life. I became a representative for the company and life for me will never be the same. I even pulled my 16-year old son into my training sessions so that he has the opportunity to determine his financial future early. We are learning how to rebuild financially through debt elimination, investing, and preparing for retirement. Most importantly, we are constantly being educated on how to differentiate between a necessity and a desire. Mastering this sounds elementary, but the lack of this common knowledge is the #1 problem in most households today. For anyone who is ready to start on the road to financial freedom, here is some foundational information that will help jump-start you on your journey.

Credit Cards

Did you know that statistics show that we spend approximately $1.22 for every $1.00 that we earn? It’s true! How is this possible? Glad you asked…it’s possible through Credit Card Debt! We’ve developed the mentality of, No cash? Just charge it. Wrong Answer! Please understand that the credit card is not evil. It’s the abuse of it that is. I have heard my Spiritual Father, Pastor Terrell L. Murphy (New Birth, Charlotte NC) say, “If you don’t understand the purpose of a thing, you will abuse it.” This holds true to credit cards. Never charge anything that you cannot afford to pay off before interest accrues (usually within 30 days).

Budgeting Worksheet

Have you ever experienced having more month than you did money? I am sure that we all have. The key is to sit down and create a precise budgeting worksheet. How do you do this? Start with your income and a list of your expenditures. Keep a log in your car, at your desk, etc., so that you can track every dollar that you spend. This includes any monies that you may give to your children. It’s impossible to save money if you have no clue on where the majority of it is being spent. Also, calculate all living expenses (food, laundry, entertainment, hair, nails, and utilities). Basically, anything that takes monies out of your pocket should be included in your budgeting worksheet. Weekly or monthly (whichever works for you), take notice of where the bulk of your monies have been spent. After which, you can begin to eliminate the non-necessities to free up monies for an emergency fund and/or savings. May I just add this (with no offense implied)? Just so that we are all on the same page, Cable TV and manicured nails (and feet) are not really necessities. There are some other non-necessities, but you have to determine what they are in your life. Let’s commit to doing what we have to do now (eliminate debt) so that we can do what we desire to do later (be more of a blessing to ministry and others and live a life of financial freedom).

Saving, Investing, and Retirement

As stated, whether married or single, there is no better time than the present to start saving and investing. It’s even a great idea to get the kids involved in this one. Feel free to incorporate games/challenges to make saving more competitive. As a family, go to the bank/broker so that all members have the experience of making deposits. Nothing feels better than knowing that your money is making money while you are sleeping. Take the time to study Money Market Accounts, IRAs, Roth IRAs, 401Ks, and other accounts so that you can determine what vehicle is best for you. Knowing your goal and the amount of time that you have to invest your monies is pertinent to knowing the amount you need to save/invest. The “Rule of 72” is a great tool to assist you with these decisions. The Rule of 72, simply put, shows you how many years it will take for your money to double given a specific rate of return.

For example:

$1000 (amount invested)

6% (rate of return)

72 (basic rule)

72 (rule) /6 (rate of return) = 12 (years)

$1000 investment will double to $2000 in 12 years.

The same $1000 investment at a12% (rate of return) will double to $2000 in 6 years.

Again, determine your goal and the amount of money you desire by a certain time span, be disciplined, and you will be well on your way to financial freedom.

Applying these principles has enriched my life. I remind myself of my goals daily so that I don’t loose focus. One of the best things I have done (which was a requirement of all Primerica Representatives) was to create a “Goal Book” (You can be as creative as you want with this). I purchased a mini-photo album from Wal-Mart and within it I have photos (my son included), writings, and other things that remind me of why I must be a better steward over my finances. Feel free to also paste your goal reminders on your mirrors, refrigerator, and in any other visible location.

One year later, the interruption in my life (though at the time I thought I would not make it through) has proven to be ordained and was necessary. God has shown me that He is in control and that He knows what’s best for me (Jeremiah 29:11). Sometimes God has to shake our foundation (the one that we have created), in order for His perfect will to manifest in our lives. God can at anytime thwart my preconceived plans so I have learned to forfeit them for His divine destiny. Temporarily, it appeared that I had “lost everything.” But now I know that it was just my time for promotion and that I was always purposed and destined even when I was at the bottom looking up. I will forever trust Him.