What’s Left Over? How to Spot an Income or Spending Problem

Over the past two weeks, you’ve done some of the most important groundwork in building a strong financial foundation.

• In Week 6, we calculated your spendable income — the amount you have left after tithing and taxes.

• In Week 7, you tracked your spending and calculated your average monthly expenses.

Now it’s time to bring those two numbers together.

What happens when you subtract your average expenses from your spendable income?

This simple comparison can be incredibly revealing. It shows whether your current spending aligns with what you can truly afford — and it marks the point where information becomes insight.

💡 This Week’s Focus: What the Math Is Telling You

Once you subtract your expenses from your spendable income, you’ll land in one of three categories:

• A surplus — You’re spending less than you earn. That margin is powerful. It can go toward building your emergency fund, paying down debt, giving more freely, or investing in future goals.

• A break-even — You’re spending just about everything you make. You’re not falling behind, but there’s no margin for unexpected costs, opportunities, or long-term growth.

• A shortfall — You’re spending more than you bring in. That’s a red flag, but it’s also a valuable wake-up call. Now you know — and now you can start making changes.

Once you see where you stand, ask yourself:
Do I need to increase income, reduce spending, or both?

This step isn’t about guilt or shame. It’s about clarity. And clarity leads to wisdom, direction, and progress.

Jesus reminds us of the importance of planning. Wise stewardship starts with understanding what we have, what we need, and what it will take to move forward. It’s not about guessing — it’s about preparing with purpose.

What Now? Let Your Math Guide Your Next Step

Now that you’ve compared your spendable income to your monthly expenses, you know where you stand — and that knowledge is powerful.

Here’s what to do based on what the numbers revealed:

If you have a surplus

You’re spending less than you earn — and that’s not just a good thing, it’s the goal.

Having a surplus means you’re living within your means, planning ahead, and positioning yourself to build, give, and grow. It’s not about hoarding money — it’s about wise stewardship. When you consistently spend less than you make, you’re showing responsibility with what God has entrusted to you.

But a surplus isn’t just a pat on the back — it’s a powerful tool. One that can help you:

• Build an emergency fund
  Life is full of unexpected twists — job loss, car repairs, medical bills. A surplus lets you prepare for the unknown by saving 3 to 6 months of living expenses, creating peace of mind and protecting you from debt.

• Pay off high-interest debt
  Carrying credit card or consumer debt? Your surplus is your best weapon. Every dollar used to reduce debt is a dollar that won’t be lost to interest — freeing up even more margin in the future.

• Invest for long-term growth
  Surplus is how you move from just “getting by” to building wealth. We’ll talk about starting small with investing, preparing for retirement, or even setting up college funds or business expansion.

• Give generously
  When you have margin, you can give freely — to your church, to missions, to people in need. Generosity becomes joyful and sustainable, not stressful or reactive.

• Pursue future goals
  Whether it’s buying a home, starting a business, traveling, or funding a passion project — surplus gives you space to dream and take action.

In the coming weeks, we’ll walk through exactly how to prioritize and use this surplus intentionally. It’s a sign of financial health, spiritual maturity, and thoughtful planning — and it opens the door to so much more.

Surplus is not accidental. It’s the fruit of diligence. And it’s the foundation for freedom.

If you’re breaking even

You’re covering your expenses — but just barely. Every dollar that comes in goes right back out. And while that might feel like you’re “managing,” it leaves you vulnerable.

There’s no cushion for emergencies. No margin for giving. No extra to save, invest, or breathe.
And the truth is: breaking even is a fragile place to live.

The good news? It only takes a few small adjustments to start creating margin. Here’s how:

• Identify spending leaks
  Often, it’s not the big bills but the slow drips that drain your budget — subscriptions you forgot about, fast food stops, impulse buys. Reviewing your expense categories can help you spot small changes that lead to big savings.

• Track irregular expenses more accurately
  Are surprise bills throwing you off? Make sure you’re including things like car repairs, gifts, annual renewals, and medical expenses in your monthly spending plan by dividing them into monthly amounts.

• Pause unnecessary upgrades or new commitments
  If you’re on the edge, now’s not the time to upgrade your phone, join another streaming service, or take on new financial obligations. Instead, focus on tightening up and protecting your essentials.

• Look for income-boosting opportunities
  A few extra hours of freelance work, a side gig, or even selling unused items can create short-term breathing room while you work on a longer-term plan.

Breaking even isn’t a failure — but it is a signal.
You’re close to surplus, but not there yet.
With some intentional shifts, you can create space to save, give, and grow — and we’ll walk with you each step of the way.

If you’re in a shortfall

You’re spending more than you earn — and while that’s a hard place to be, it’s not the end of the story. It’s the beginning of a turnaround.

Here’s how we start:

Cover the Four Walls first
These are your non-negotiables — the basic needs that must be protected while you regain stability:

• Food: Buy groceries, cook at home, and pack snacks when you’re on the go. Avoid unnecessary dining out and impulse snack buys on the road. Prioritize nourishment over convenience — your budget and your body will thank you.

• Utilities: Keep the lights and water on — you’ll feel less stressed when your basic needs are met at home. If you’re behind, reach out to providers; many offer payment plans or hardship programs. Look for ways to reduce your bills: turn off unused lights, use a power surge strip and switch it off when devices aren’t in use, lower your thermostat a few degrees, or limit water usage during showers and laundry. Small changes can add up quickly.

• Shelter: Pay your rent or mortgage before anything unsecured (like credit cards). Keeping a roof over your head is essential. If you’re behind, communicate early and often with your landlord or lender — many are more flexible when you’re proactive. Ask about hardship options, partial payments, or payment plans.

• Transportation: You need a reliable way to get to work and handle daily life. Whether it’s keeping gas in the tank or paying for public transit, make sure transportation stays a priority — it directly impacts your ability to earn and stay on track.

Stop the bleeding
Pause all non-essential spending immediately. That might include subscriptions, eating out, entertainment, unnecessary shopping — anything that isn’t tied to survival or your ability to earn income. It’s not forever. Cutting back now creates space to breathe, regroup, and rebuild with intention.

Look for margin
Can you bring in extra income temporarily? Sell unused items, take a side gig, or pick up overtime hours at your current job. For some, it may be time to explore new job opportunities or go after that promotion you’ve been putting off. Don’t be afraid to seek out better-paying opportunities if they align with your skills and season of life. Extra income — even for a short time — can be a powerful tool to help you catch up and breathe a little easier.

Make minimum payments only (for now)
If you’re behind, focus on protecting your essentials first — food, utilities, shelter, and transportation. Make minimum payments on your debts to stay current and avoid further penalties, but don’t try to pay everything off at once. Once you’ve stabilized and regained some margin, you can tackle your debts more aggressively.

Get accountability and support
Don’t go it alone. This is the time to reach out — to a trusted friend, a financial coach, or someone in your church community. You don’t need to carry the burden in silence, and you certainly don’t need to feel ashamed. You need a plan — and someone to walk with you as you take the next faithful step forward.

This is your starting point.
Every wise money journey begins with honesty — but it doesn’t end there. Now is the time to speak words of faith over your finances. Don’t speak what you see — speak those things that are not as though they are (Romans 4:17). Don’t rehearse the lack — declare God’s promises.

Speak only the end results you want to see: provision, peace, stability, and freedom. Confess the Word of God over your financial situation. Stack up your bills, lay your hands on them, and boldly declare the truth of His Word:

God is not distant from your situation — He is your Provider, your Source, your Sustainer. Let your words agree with His Word. What you decree in faith, He will establish by His power.

Start where you are. Speak life. Walk in faith. Your turnaround begins with truth — and God is more than enough.

Understanding Needs, Wants, and Desires

When money is tight or you're trying to reset financially, one of the most powerful things you can do is get clear on your needs, wants, and desires. This simple framework, popularized by the late Christian financial teacher Larry Burkett, helps believers steward their money with wisdom and peace.

Burkett taught that:

• Needs must be met first

• Wants can be enjoyed within your means

• Desires should be evaluated carefully in light of God's priorities

This isn’t about guilt or legalism — it’s about intentional living. As your spending lines up with your values and biblical truth, you’ll find more freedom, not less.

Needs — Where We Start

Needs are the essentials — the Four Walls: food, utilities, shelter, and transportation. These are your first priority because they support your survival, stability, and ability to earn income. If you’re in a shortfall, this is where your spending must begin.

Wants — What Enhances Life

Wants are the extras that bring joy, comfort, or convenience. Things like dining out, entertainment, new clothes, or home decor. There’s nothing wrong with enjoying these — in fact, God gives us all things richly to enjoy (1 Timothy 6:17). The key is enjoying them out of planned surplus, after your needs are met and your budget allows.

Desires — What We Aspire To

Desires include the bigger dreams, luxuries, and things we’re drawn to because of beauty, aspiration, or status. These aren’t inherently wrong — but they require wisdom. Desires should be pursued with intentionality, not comparison or impulse. When your financial house is in order and your heart is content, desires can be enjoyed without becoming distractions.

Examples: Needs, Wants, and Desires

God Cares About Your Needs — and More

God isn’t just concerned with your survival — He cares about your whole life. He knows what you need before you ask, and He delights in giving good gifts to His children.

Needs, wants, and even desires all have a place.
Prayer is where we sort through them.

Bring your financial decisions to God. Pray about your purchases, your priorities, and your heart. Ask Him for wisdom, contentment, and clarity. When your spending flows from trust in His provision, you'll experience peace — no matter what season you’re in.

🎯 Weekly Challenge

This week, take time to calculate your monthly financial gap:

1. Review your spendable income (from Week 6).

2. Subtract your average monthly expenses (from Week 7).

3. Reflect on the result: Are you in a surplus, break-even, or shortfall?

4. Ask: Is it an income issue, a spending issue, or both?

📖 Reflection Questions

• What did I learn from comparing income and expenses?

• Am I living with margin or just getting by?

• What changes — big or small — might I need to make?

💬 What’s one area of spending you’ve realized wasn’t a true “need” — and how did identifying it bring clarity or peace?
Reply and share!

📢 What’s Coming Next

Next week, we’ll take these insights and begin building a zero-based budget — one that works with your real numbers and gives every dollar a job, one category at a time.
Get ready to create a budget that reflects your reality — and your hope.

🔁 New here or missed a few? You can read all the previous newsletters right here: financebyfaith.beehiiv.com

Blessings and financial peace to you!

Sigrid Wardlaw Wardlaw CPA | Helping clients steward finances with wisdom
📧 [email protected]| 🌐 www.wardlawcpa.com