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Do I tithe on the profit from a large transaction? | F5 Financial is a fee only wealth management firm with a holistic approach to financial planning, personal goals, and behavioral change.

Do I tithe on the profit from a large transaction?

By: Curt Stowers

To tithe, you are showing gratitude over greed. Willingness to put others before ourselves is life-changing! Watch this video to learn how tithing brings blessings and deepens your relationship with God.

(The video is 3 minutes. Full transcript is below.)

 

Full Transcript of video

Hey friends, the Fearless Advisor here. Today I am going to answer the question, “Do I tithe on the profit from a large transaction?”

The kind of large transaction we are discussing

As we begin, let me outline a scenario to further define the situation for this question. Let’s say you own a building, with a mortgage, that you lease out to other businesses, and now the opportunity has come to sell the building. Assume the real estate market is such that you are able to make a profit of $100,000 on the sale. To be clear, profit is the sale amount minus sale and transaction expenses, minus the price you paid for the building.

How do you tithe on the increase (profit)?

What a great opportunity you have here! Now that the sale is complete, how do you go about tithing on this increase? God discussed tithing throughout the Old Testament and, as you would imagine, does a good job clarifying the situation. However, there is one thing we must remember: God created us and loves us, period. His goal is to draw us into a deeper relationship with Him. I say this because this is an opportunity to deepen our relationship with God through prayer.

This is an opportunity to deepen our relationship with God through prayer.

God is very clear on His direction of giving 10%

Now, the word “tithe” means tenth. Tithing is a command issued by God in the Old Testament to support the Levites who were dedicated to the support of God’s spiritual requirements. This is similar to churches for us today. With that, I believe God is very clear on His direction of giving 10% of our income or increase to our local church.

Should you tithe on your gross or net income?

Some of you may be asking if you should tithe on your gross or net income. Although I have an opinion on this, I believe this specific question should be discussed between you and God since He desires a deeper relationship with you. My advice is to read the Scriptures and pray through this.

A consequence of great blessings

My favorite reference to tithing is in Malachi 3:8-10 where God rebukes the Israelites for withholding the tithe. Next, God challenges them to test Him in tithing to see Him bless them with more than could be stored. When was the last time you were tested to give back with the consequence being more blessing than you could imagine?

Tithing on your increase allows you to show gratitude over greed.

This is where my understanding of tithing changed from a command (without much meaning) to a matter of my heart. Tithing is good for us, which is why God included the topic in the Bible. In our example of the building sale, I believe you should tithe on the increase. Tithing on your increase allows you to show gratitude over greed. Our willingness to put others before ourselves is life-changing.

I believe one reason God introduced the tithe is to show us how to depend on Him and teach us humility. As a Christian, I believe everything is God’s, and I am simply a steward of what I have. Therefore, sharing what I was given simply perpetuates what I already believe.

If you have questions about how F5 Financial can support you, please use the link to schedule a meeting with us. Thanks for joining us!

 

Photo credit: Sigurdur Fjalar Jonsson on unsplash.com


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