Download - Money matters in marriage
MONEY MATTERS IN MARRIAGE 1
COUPLES AGLOW
SEMINAR
2 July 2011
DELIVERANCE CHURCH
MONEY MATTERS IN MARRIAGE 22 July 2011
Money Matters in Marriage
Presented by: Bro. Henry Mahugu Wanjohi
MONEY MATTERS IN MARRIAGE 3
MONEY MATTERS:
1.Power & Control2.Stewardship3. Investments4.Retirement
2 July 2011
MONEY MATTERS IN MARRIAGE 42 July 2011
POWER & CONTROL
Husband/Wife Balance
Husband
Wife
Wife Personal- Food Shopping- Children clothes- House help management
Husband Personal- Rent/Transport- Security/Insurance- Medical/Pension
- Catering/Entertainment- Social responsibility- Family visits
- School fees- Gas/Water/Electricity- Holiday/Parties
Consolidated Income and Expenditure
Mr. & Mrs. A.N. Other
Agreement on Operating Standards
Power & Control Struggle
MarriageEagle vs.
Duck Combinatio
n
Amos 3:3
Living together> 24yrsAccepting one
Another15 – 24yrs
Coping and Understanding one another7 – 14 yrs
Meeting and knowing one another1 – 7yrs
Vision:Till death do us
part.
How soon do you give up?
When do you give up?
What do you give up?
Where do you give up?
Matu
rit
y
Time (Yrs)
0
Relationship Maturity curve
1
2
3
4
Sources of Stress
Family
Boss
Spouse
DebtsHealthSecurity
Ageing
Marriage
Money
DeathPolitics
Clothing
In-LawsSchool Fees
Home Ownership
Retirement
Matthew 11:29-30“Take my yoke upon you
and learn from me..”
MONEY MATTERS IN MARRIAGE 8
STEWARDSHIP
2 July 2011
MONEY MATTERS IN MARRIAGE 9
Stewardship - Definition In general stewardship is the responsibility for taking good care of resources entrusted to someone.
2 July 2011
MONEY MATTERS IN MARRIAGE 10
Stewardship in Christianity
In a Christian context, stewardship refers to the responsibility that Christians have for the gifts that God has bestowed on them. In some settings, stewardship is operationalised as time, talent and treasure.
In this context: (Management of 3Ts)
Stewardship = Time + Talent + Treasure2 July 2011
MONEY MATTERS IN MARRIAGE 112 July 2011
GoodFaithfulSteward
Time
TreasureTalent
God Rewards Stewards
hip
Investment driven by
Stewardship
KnowledgeUnderstandi
ngWisdom
Isa. 11
MONEY MATTERS IN MARRIAGE 12
Definitions:
1.Time quantifies or measures the interval between events, or the duration of events.
2.A gift can be a special talent or ability that was not earned through the usual amount of long and difficult practice but instead comes easily to the recipient in a natural way.
3.Treasure is a concentration of riches, often that which is considered lost or forgotten until being rediscovered
2 July 2011
MONEY MATTERS IN MARRIAGE 13
Treasures in Heaven Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal (Matthew 6:19)
For where your treasure is, there your heart will be also(Matthew 6:21)
2 July 2011
MONEY MATTERS IN MARRIAGE 14
Retirement Quotes:The question isn't at what age I want to retire, it's at what income. ~George Foreman
Don't simply retire from something; have something to retire to. ~Harry Emerson Fosdick
Retirement kills more people than hard work ever did. ~Malcolm Forbes
2 July 2011
MONEY MATTERS IN MARRIAGE 15
INVESTMENTS
2 July 2011
MONEY MATTERS IN MARRIAGE 162 July 2011
INVESTMENTS During your
Youth
MONEY MATTERS IN MARRIAGE 172 July 2011
20 –
30 Yrs
•Finish College
•Get a permanent job/business
•Open Pension Account
•Get Married
30 –
40 Yrs
•Parenting
•Investments/Mortgages
•Loans/Acquisitions/Mergers
•Increase Contributions to Pension Account
40 –
50 Yrs
•Late entry New Loans
•Settlement of old loans
•Launch Children into Labour market
MONEY MATTERS IN MARRIAGE 18
Increase Expenditure
SCENARIO 1 Original Plan
% of
Income Scenario 1 % of
Income Absolute Change % Variance
Income/Salary 100,000 100.0% 100,000 100.0% - 0.0%
Domestic Expenditure 60,000 60.0% 61,000 61.0% 1,000 1.7%
Surplus/(Deficit) 40,000 40.0% 39,000 39.0% (1,000) -2.5%
Reduce Expenditure
SCENARIO 2 Original Plan
% of
Income Scenario 2 % of
Income Absolute Change % Variance
Income/Salary 100,000 100.0% 100,000 100.0% - 0.0%
Domestic Expenditure 60,000 60.0% 58,000 58.0% (2,000) -3.3%
Surplus/(Deficit) 40,000 40.0% 42,000 42.0% 2,000 5.0%
2 July 2011
MONEY MATTERS IN MARRIAGE 19
Loan Calculator
Enter Values Loan Summary
Loan Amount 3,000,000.00 Scheduled Payment 39,503.69
Annual Interest Rate 15.00 % Scheduled Number of
Payments 240
Loan Period in Years 20 Actual Number of Payments 240
Number of Payments Per Year 12 Total Early Payments -
Start Date of Loan 30/06/2011 Total Interest 6,480,884.99
Optional Extra Payments
Lender Name:Mr. Henry Mahugu
PmtNo.
Payment Date
Beginning Balance
Scheduled Payment
Extra Payment
Total Payment Principal Interest
Ending Balance
1 30/07/2011 3,000,000.00 39,503.69 - 39,503.69 2,003.69 37,500.00 2,997,996.31
2 30/08/2011 2,997,996.31 39,503.69 - 39,503.69 2,028.73 37,474.95 2,995,967.58
3 30/09/2011 2,995,967.58 39,503.69 - 39,503.69 2,054.09 37,449.59 2,993,913.49
4 30/10/2011 2,993,913.49 39,503.69 - 39,503.69 2,079.77 37,423.92 2,991,833.72
5 30/11/2011 2,991,833.72 39,503.69 - 39,503.69 2,105.77 37,397.92 2,989,727.95
6 30/12/2011 2,989,727.95 39,503.69 - 39,503.69 2,132.09 37,371.60 2,987,595.86
Scenario 1
Net savings Invested in a
house Note Interest expense
2 July 2011
MONEY MATTERS IN MARRIAGE 20
Loan CalculatorIncrease Mortgage Payment by: KES 3,000.00
ONLY!
Enter Values Loan Summary
Loan Amount 3,000,000.00 Scheduled Payment 39,503.69
Annual Interest Rate 15.00 % Scheduled Number of
Payments 240
Loan Period in Years 20 Actual Number of Payments 173 67
Number of Payments Per Year 12 Total Early Payments 516,000.00
Start Date of Loan 30/06/2011 Total Interest 4,320,062.36 6,480,884.99
Optional Extra Payments 3,000.00
Savings 2,160,822.63
Lender Name:Mr. Henry Mahugu
PmtNo.
Payment Date
Beginning Balance
Scheduled Payment
Extra Payment
Total Payment Principal Interest
Ending Balance
1 30/07/2011 3,000,000.00 39,503.69 3,000.00 42,503.69 5,003.69 37,500.00 2,994,996.31
2 30/08/2011 2,994,996.31 39,503.69 3,000.00 42,503.69 5,066.23 37,437.45 2,989,930.08
3 30/09/2011 2,989,930.08 39,503.69 3,000.00 42,503.69 5,129.56 37,374.13 2,984,800.52
4 30/10/2011 2,984,800.52 39,503.69 3,000.00 42,503.69 5,193.68 37,310.01 2,979,606.84
5 30/11/2011 2,979,606.84 39,503.69 3,000.00 42,503.69 5,258.60 37,245.09 2,974,348.23
6 30/12/2011 2,974,348.23 39,503.69 3,000.00 42,503.69 5,324.33 37,179.35 2,969,023.90
Scenario 2
5 YrsAdditional Kshs.
3K
Savings
2 July 2011
MONEY MATTERS IN MARRIAGE 21
Loan Calculator
Enter Values Loan Summary
Loan Amount 3,000,000.00 Scheduled Payment 39,503.69
Annual Interest Rate 15.00 % Scheduled Number of
Payments 240
Loan Period in Years 20 Actual Number of Payments 126 114
Number of Payments Per Year 12 Total Early Payments 1,000,000.00
Start Date of Loan 30/06/2011 Total Interest 2,957,299.56 6,480,884.99
Optional Extra Payments 8,000.00
Savings 3,523,585.43
Lender Name:Mr. Henry Mahugu
PmtNo.
Payment Date
Beginning Balance
Scheduled Payment
Extra Payment
Total Payment Principal Interest
Ending Balance
1 30/07/2011 3,000,000.00 39,503.69 8,000.00 47,503.69 10,003.69 37,500.00 2,989,996.31
2 30/08/2011 2,989,996.31 39,503.69 8,000.00 47,503.69 10,128.73 37,374.95 2,979,867.58
3 30/09/2011 2,979,867.58 39,503.69 8,000.00 47,503.69 10,255.34 37,248.34 2,969,612.24
4 30/10/2011 2,969,612.24 39,503.69 8,000.00 47,503.69 10,383.53 37,120.15 2,959,228.70
5 30/11/2011 2,959,228.70 39,503.69 8,000.00 47,503.69 10,513.33 36,990.36 2,948,715.37
6 30/12/2011 2,948,715.37 39,503.69 8,000.00 47,503.69 10,644.75 36,858.94 2,938,070.63
Scenario 3
Reduce Period
by almost 50%
Additional Kshs.
8K
Notice Impact
2 July 2011
MONEY MATTERS IN MARRIAGE 22
Loan Calculator
Enter Values Loan Summary
Loan Amount 3,550,000.00 Scheduled Payment 39,088.56
Annual Interest Rate 12.00 % Scheduled Number of
Payments 240
Loan Period in Years 20 Actual Number of Payments 240
Number of Payments Per Year 12 Total Early Payments -
Start Date of Loan 30/06/2011 Total Interest 5,831,253.86
Optional Extra Payments
Lender Name:Mr. Henry Mahugu
PmtNo.
Payment Date
Beginning Balance
Scheduled Payment
Extra Payment
Total Payment Principal Interest
Ending Balance
1 30/07/2011 3,550,000.00 39,088.56 - 39,088.56 3,588.56 35,500.00 3,546,411.44 2 30/08/2011 3,546,411.44 39,088.56 - 39,088.56 3,624.44 35,464.11 3,542,787.003 30/09/2011 3,542,787.00 39,088.56 - 39,088.56 3,660.69 35,427.87 3,539,126.314 30/10/2011 3,539,126.31 39,088.56 - 39,088.56 3,697.29 35,391.26 3,535,429.025 30/11/2011 3,535,429.02 39,088.56 - 39,088.56 3,734.27 35,354.29 3,531,694.756 30/12/2011 3,531,694.75 39,088.56 - 39,088.56 3,771.61 35,316.95 3,527,923.14
Change Interest
Rate
Principal amount
increases
Pay same amount
2 July 2011
MONEY MATTERS IN MARRIAGE 23
RETIREMENTCycle
(Investment in old age)
2 July 2011
MONEY MATTERS IN MARRIAGE 24
IN YOUR 20s Key points:
1. Focus on clearing your debts.
2. But make sure you open an Investment plan.
3. Then save what you can afford.
IN YOUR 30s Key points:
1. Reassess your debts and outgoings
2. Join your company pension scheme as soon as possible
3. Think long-term with your investments.
IN YOUR 40s Key points:
1. If you haven't started saving, do something about it!
2. Keep building your Investment Account.
3. Your earnings should be peaking - dedicate some to a pension
IN YOUR 50s Key points:
1. Maximise your contributions
2. Remove risk from your pension investment plan
3. Consider using a Self Investment Personal Plan for greater control
IN YOUR 60s Key points:
1. Check that all your debts, including mortgage, are in order
2. Decide on whether you'll buy an annuity immediately or take drawdown
3. Talk to an expert before you take any action.
70yrsRetire
happily
2 July 2011
Handover Assets
MONEY MATTERS IN MARRIAGE 252 July 2011
Great Grandfath
er
Grandfather
Parent
Children
Transferred Value
Kes. 100K
Transferred Values
KES. 800K
Transferred Value
Kes. 1.5M
Children receive
accumulated blessings
NB: Some people
started with ZERO
Prov. 20:21 An inheritance claimed too soon will not be blessed at the end.
MONEY MATTERS IN MARRIAGE 262 July 2011
Facts & Figures
KES 10MAge 55
No Guarantee
KES 96,872 p.m.
KES 10MAge 555 Yrs
Guarantee
KES 92,872 p.m.
KES 10MAge 55 10 Yrs
Guarantee
KES 91,061 p.m.
Subject to TAX
MONEY MATTERS IN MARRIAGE 272 July 2011
Thank You & God richly Bless
you.