Money wise
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Full-time missionary work in Cambodia a few years ago taught Matt Cornell the consequences of "buy now and, yes, you will pay later" money management.
Like missionaries worldwide, Elder Cornell lived on a strict budget. His monthly cash allowance was enough to cover only the basics — food, shelter and transportation. Still, the lure of a new camera once proved too strong. On impulse, he dipped into his limited funds and bought the gadget.
"I spent the next three weeks eating nothing but rice, my money was gone," said Matt, shaking his head at that lean mission memory. Now a 24-year-old single, employed, full-time student, Matt knows plenty about the always demanding, often tricky nuances of personal finance.
Most young single adults in the Church would recognize the expenses itemized on Matt's online checking account: college tuition, car insurance, gas and the occasional "optional" purchase for clothes or recreational activities. A member of a Salt Lake-area singles ward, Matt admits he sometimes worries about money. He works hard to cover next semester's tuition. He's determined to not let his credit card bills pile up. He's anxious to sidestep debt.
Indeed, money is undoubtedly a key concern for Matt and many young single adults in the Church. In a recent informal poll conducted by the Church News, some 100 LDS young single adults (ages 18 to 30) living in the United States opened up about their personal finances. About a third of the respondents reported no debt, but the remainder were dealing with some form of financial burden. While a few said their debt was limited to a student loan or perhaps a car payment, almost a quarter said they were juggling multiple money obligations such as student loans, compounding credit card debt and medical expenses.
One young woman estimated it would take five years to pay off her credit cards, adding, "I can't wait to be free of this burden."
For many young single adults, the consequences of money worries may stretch beyond the bottom line. Finances were the more common concern cited by participants who have marriage-related anxieties..
For decades, Church leaders have spoken about the value of making wise money choices. President Thomas S. Monson has urged "all Latter-day Saints to be prudent in their planning, to be conservative in their living, and to avoid excessive or unnecessary debt." (Ensign, May 1992, p. 47).
Notice President Monson's comments were directed to all members — not simply those with a wedding band on one hand and a child clutching the other. Avoiding, and in some cases overcoming, debt is a challenge facing most young single adults seeking productive and fulfilling lives.
Church leaders have been generous with counsel for people of all ages and circumstances. Remember, personal finance is both a temporal and spiritual endeavor. In his 1994 general conference talk on eliminating debt, Elder Joseph B. Wirthlin of the Quorum of the Twelve began by teaching the importance of paying tithing.
"Always pay your tithing and leave the outcome in the hands of the Lord," Elder Wirthlin said. "Obedience to God's commandments is the foundation for a happy life. Surely we will be blessed with the gifts of heaven for our obedience."
The apostle then reiterated the time-proven principles of spending less than one earns and learning to save. Young singles would likely concur with Elder Wirthlin's assertion that credit is easy to obtain. In fact, it's almost thrust upon them.
"Those who use credit cards to overspend unwisely should consider eliminating them," he added. "It is much better that a plastic card should perish than a family dwindle and perish in debt."
In a 2004 fireside address given at the Ogden Utah Institute of Religion, Elder Earl C. Tingey of the Presidency of the Seventy listed reasons why young single adults in the Church are delaying marriage. Finances were prominently included. Elder Tingey counseled his audience not to place prosperity before matrimony. Joy can be found in the journey.
"Postponing marriage until money is sufficient to sustain a stylish living is not wise," he said. "So much of life together — struggling, adjusting, and learning to cope with life's challenges — is lost when that happens."
Even for young LDS couples balancing school demands and limited incomes, marriage doesn't have to be a financial risk, said credit counselor Michael Peterson. Still, financial planning should take place long before the wedding invitations are mailed and the vows are exchanged.
Couples planning to marry need to sit down and talk money, he said. Credit card debts or extravagant spending habits don't vanish at the altar — so it's important that couples communicate. Find out about one another's finances. "Marriage can be a financial disaster if a couple has not planned ahead."
Brother Peterson recommends that all young single adults master a couple of essential finance principles. First, they need to know their personal cash flow. How much money is coming in — and where is it going? Young people can log every expense and purchase for a period of seven to 30 days, no matter how small. Next, identify wants and needs. Then they can boost cash flow by eliminating a few of those wants. Use that money to put toward credit card debt or savings.
Second, Brother Peterson recommends young singles enlist a little discipline. Put off buying a pricey home or renting a high-end apartment. Skip the daily food court jaunt and, instead, bring lunches from home. Save gas by using public transportation or driving an economical, affordable vehicle.
Marriage can be rewarding emotionally, spiritually and economically "if you take control of finances and do the best you can to manage expenses while doing all you can to increase income," Brother Peterson said.
Matt Cornell has yet to find the young woman he will marry. When he does, he plans to place the same faith in God that served him well during his mission — no matter his financial situation. In the meantime, he works and studies hard and tries to save. He hopes medical school is in his future.
Dealing with the expected money demands won't be easy if Matt's married or single. "But I'll trust in my Heavenly Father.... It will be possible."
E-mail to: jswensen@desnews.com
