The Good Steward
Nick Simonic, CPA, MACC
Nick Simonic is a CPA who specializes in Non-Profit, 501C3 Corporations as well as serving on the board of Wilbur Ministries. Ever since moving to
Jacksonville nearly ten years ago, Nick and his staff have watched over our
financial accountability and ministry affairs. His wisdom with regards to
financial matters as well as his passion for the Lord have made him a highly
sought after counselor in the Kingdom. You will not only gain understanding
with the words he offers each week, but I believe you will find wise counsel
and wisdom imparted here as well. I truly pray you are blessed and edified
by this special offering from us to you!
Paul Wilbur
Living Debt Free By The Word
By Nicholas T. Simonic, CPA, MACC
Part Seven
This week I would like to expose the other two “monthly payment con artists” more fully. Then we will move on. As I stated last week, it is important for you to understand completely who you are dealing with.
INSURANCE COMPANY CON ARTISTS
I would like to add an additional note about insurance companies. I used to be an insurance salesman when Millie and I first got married. When I first started working for the company my manager said “Nick, back the hurst up to the door. If that doesn’t work, put them in it!” Think about that (I was not a Christian at that time.)
I do not advise people to use insurance vehicles as a means of saving money. Many insurance sales people will tell you that they can compete with other investment companies if you invest with them. The reality is that they still have to charge you the same premium for the insurance, as that is dictated by their actuaries. The investment portion is sometimes in the form of an annuity. Insurance salesmen love to sell annuities, as the commission is much higher than regular insurance. However, if you go to pull the money out of these “investments” to do something with it in the early years, there is a significant penalty.
You need to be careful with other insurances as well. For instance, when you get your car insurance renewal in the mail, do you know what all of those little insurance codes and small premiums that add up to a significant amount are? You should! Last year, Millie, (my wife), took the renewal form to our insurance company to have them explain it to her. She discovered that the insurance company had two descriptions and two different premiums for the same thing. They had “uninsured motorists” and “underinsured motorists” which they explained covered the same occurrences. She had them remove one and saved us unnecessary premiums. I love that woman!
CREDIT CARD CON ARTISTS
We have discussed credit cards many times already throughout this series. However, I would like to add another two cents to it before I leave the subject. I counsel with many people on their finances in our accounting practice. I like keeping track of statistics. My record-breaking credit card debt client was a man who had twenty three credit cards with a total outstanding balance after minimum monthly payments of over $97,000. His annual salary was only $72,000. Those numbers did not add up.
Credit card companies have gone to congress and asked for protection from the “unfair” consumers who file bankruptcy and get the debt forgiven. Due to their complaints, congress passed a bankruptcy act last year that affords those companies extra protection in bankruptcy. Now you have to go to a qualified credit counselor to get a formal evaluation of your financial situation. If the counselor believes that you can survive financially (sometimes by not tithing) then you are denied the option of bankruptcy. They will put the credit card companies before The Lord.
Next week we will continue our series. Hang in there. We are getting closer to the nuts and bolts of “Living Debt Free By The Word”.
Until next time, Beloved I Pray That You Prosper And Be In Health, Even As You Soul Prospers!
Blessings,
Nick
The Good Steward Archive
Living Debt Free By The Word: Part 1
Living Debt Free By The Word: Part 2
Living Debt Free By The Word: Part 3
Living Debt Free By The Word: Part 4
Living Debt Free By The Word: Part 5
Living Debt Free By The Word: Part 6
Living Debt Free By The Word: Part 7
Living Debt Free By The Word: Part 8
Living Debt Free By The Word: Part 9
Living Debt Free By The Word: Part 10
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