The Wall Street Journal recently published a story about the real financial impact of the fiscal cliff if Congress fails to act. If it isn’t averted, regardless of who you are, you’re likely to see an increase in your taxes. They reported that 90% of all Americans would see a tax increase with college students seeing one of the largest impacts.
College Students will see one of the largest impacts of the fiscal cliff.
College students could see an almost 38% increase in their tax liability as a result of the fiscal cliff because of a combination of payroll tax increases and the loss of education credits and deductions. This isn’t one of the problems for just the wealthy. It will affect all of the people who can’t afford it. You can view all of the calculations by clicking here.
(Here’s why God says you need to budget)
Don’t Forget About This
Have you noticed that we have a tendency to go through trials and quickly forget about them? Think for a second about the last time God took you through the wilderness. If it was recently or if you’re in one now, it’s likely fresh in your mind and if that’s the case, think of the last big trial. I’ve gone through my fair share of trials but the details are no longer fresh in my mind and I hate to admit that I don’t remember all of the lessons that God taught me through the low points.
If you don’t know much about the fiscal cliff, read our recent post here but while we’re in the midst of what could be called a financial and political crisis in our country, let’s allow God to teach us. There’s a lot to be learned from this as we learn to manage our money God’s way.
Don’t Put Your Trust Elsewhere
[box type=”info” color=”000000″ bg=”#D0D0D0 ” font=”arial” fontsize=”14″]But blessed is the one who trusts in the Lord, whose confidence is in him.” – Jeremiah 17:7[/box]
Be honest. Do you think of your tax return as part of your yearly income? Do you view it as another paycheck that comes to you soon after your taxes are filed? If you’re a little more established financially maybe you count on tax deductions for your home, business, or investments. There’s nothing wrong with using government tax incentives–in fact, it would unwise not to, but you shouldn’t rely on them as part of your income. For those who have planned a life around the thousands of dollars in tax return money, those day may soon come to an end.
How many times have you heard of somebody making a big purchase because they knew their tax refund check was on the way? Here’s the point. God doesn’t want you relying on the government for your income. He wants you to understand that all of your money is actually His money. He’s loaned it to you to be used responsibly and for the advancement of His kingdom. To a Christian who is managing their money properly, the fiscal cliff is a sad reality but let us remember that our finances are God’s and if we’re living like we should be, we won’t want to pay higher taxes but we can absorb the increase. You should always have money set aside for the unexpected. It’s not an option–it’s a necessity.
“Whose Confidence is in Him”
I love that part of the above verse. If you’re like me you have a lot of people in your life. Some are your trusted friends and family, some are unreliable and maybe even a little selfish, and most are probably somewhere in the middle. When I put my confidence in somebody, I have absolutely no doubt that that they’re going to do what they promised. Those people see me as a priority and it never enters their mind to let me down.
Aren’t you glad to know that when you put your confidence in the Lord, He will not let you down? When has He ever let you down in the past? There’s a chance that the country could go over the fiscal cliff and as a result, you could pay more taxes. In fact, regardless of what happens, all of our taxes will likely rise. Putting your confidence (your money) in the hands of the Lord will produce victorious results but understand that we serve a God of action. Saying or thinking it isn’t enough. When it comes to money, showing confidence comes through tithes and offerings.
God loves to multiply actions!