What is the P-R-I-C-E? 5 Questions To Help You Make Wise Financial Decisions

Finances are important.  They matter to God.  And He hasn't left us to navigate the big financial decisions of life alone. Here are 5 questions my husband and I ask ourselves before all our big financial decisions. These simple questions have become a financial lifeline for us in stressful times and protect us from making decisions we would later regret.

I’m not quite sure when I fell in love with my husband.

It took forever, yet happened in the blink of an eye.

Or something like that.

We had been good friends for about a year before I allowed myself to consider the possibility of there being something more between us.

But once we started to date, it all happened so very quickly.

In fact, just a few short weeks after we started dating, he told me that he had been in love with me for quite some time.

It played out like one of those awkward sitcom moments where someone declares their love and the other person croaks out….umm…..thank you.

Poor guy!

But he graciously accepted my uncertainty and told me he was willing to take it slow and give me as much time as I needed.

Two…days…later….

I whispered, “I love you too” in his ear.

I think there was this weird part of me that needed to know that he loved me whether or not I loved him back.

But as soon as I was certain he was committed, I gave my him my full heart.

Dating quickly shifted to engagement and a few short months later we ran down the isle and said “I do.”

Well, we didn’t actually run.

Our 12 years of marriage have been marked by three shared core values:

  1. To honor God and submit to His authority in every aspect of our lives
  2. To place a priority on family and community above our financial and career goals
  3. To make wise financial decisions while focusing on relationships over possessions

Finances are important.  They matter to God.  And He hasn't left us to navigate the big financial decisions of life alone. Here are 5 questions my husband and I ask ourselves before all our big financial decisions. These simple questions have become a financial lifeline for us in stressful times and protect us from making decisions we would later regret.

These values have affected every moment of the life we have built together and served as a pillar of light when the storms of life threatened to blow us off course.

Of the values I mentioned above, sticking to number three is the most difficult.

I like pretty things.
I love shopping for sales.
I want what others have.

The only way I have found the strength to stand up to these likes, loves, wants is to know that what I’m choosing is better.

Because every possession we acquire has a price tag.

Sure, it may cost a pretty penny, but the costs don’t stop there.

  • Nothing will compromise my peace of mind quicker than a poor purchase.
  • Nothing will invite strife into my marriage quicker than a poor financial decision.
  • Nothing clutters up my home faster than impulse purchases.

Our financial decisions affect the health of our family, our marriage, and our body.

[Tweet “Before we make a purchase, we must also consider the emotional and spiritual cost of the item.”}

After several of paying down debt and living well below our means, my husband and I were presented with the opportunity to build our dream home in the country.

Even in the midst of the hustle and bustle of the building process, we never forgot the importance of our three core values.

When I was tempted to like, love, or want…I gently reminded myself less is more.

We could have gone bigger, but we chose better.

Finances are important.  They matter to God.  And He hasn't left us to navigate the big financial decisions of life alone. Here are 5 questions my husband and I ask ourselves before all our big financial decisions. These simple questions have become a financial lifeline for us in stressful times and protect us from making decisions we would later regret.

WHAT IS THE P-R-I-C-E?

Throughout our home building project we learned to ask ourselves five questions before every big financial decision. These simple questions became a financial lifeline for us in stressful times and protected us from making decisions we would later regret.

When we are dealing with a big financial decision, we always ask, “What is the P-R-I-C-E?”

  • P-urpose
  • R-isk
  • I-ntrinsic Value
  • C-ommitment
  • E-motional Investment

By taking the time to evaluate all five aspects of a purchase before we make our final decision, we are easily able to spot red flags and deal breakers.

Last week, I was honored to share all the juicy details behind the P-R-I-C-E acronym on Steve Repak’s radio show titled, “Your Money God’s Way.”

We had such fun getting to know one another and discussing the benefits of asking these 5 simple questions before making big financial decisions.

The show aired live on the Just Jesus Radio Network on Friday, May 5 at 5pm Eastern, but Steve generously shared a copy of the interview with me.

Because, of course, I wanted to share it with you!

Click here to download the Mp3 file to your device, or simply press play on the media player below:

I know you are busy, so I’ve shared some important time-stamps below so you can jump to the portion of the interview that interests you most:

2:13   –    My Story: From Professional Golfer to Christian Writer
4:27   –    An Introduction to My Free Psalm 119 Study (Click Here for More Info)
8:19   –    An Overview of the PRICE Acronym
13:48 –   P is for Purpose
17:00 –   R is for Risk
19:11 –   I is for Intrinsic Value
21:19 –  C is for Commitment
24:18 –  E is for Emotional Investment

Finances are important.  They matter to God.  And He hasn't left us to navigate the big financial decisions of life alone. Here are 5 questions my husband and I ask ourselves before all our big financial decisions. These simple questions have become a financial lifeline for us in stressful times and protect us from making decisions we would later regret.

Some Closing Thoughts 

I don’t often talk finances here on the blog.

That’s probably because I consider my husband to be the financial expert of the household (not me!).

But I truly enjoyed preparing for this interview because it reminded me of how deeply our financial decisions affect the rest of our life.

Finances are important.

They matter to God.

And He hasn’t left us to navigate the big financial decisions of life alone.

If you are looking for tools and resources to help guide you on your financial journey, I highly recommend the resources developed by Crown Ministries and Dave Ramsay.

My husband and I went through both programs early in our marriage and they helped us learn how to honor God with our financial decisions.

As we seek to honor God with our finances, He promises to graciously provide wisdom, understanding, and knowledge for the journey.

By wisdom a house is built, and by understanding it is established;  by knowledge the rooms are filled with all precious and pleasant riches. Proverbs 24:3-4 

This article has been shared at my favorite Faith & Family Linkups.

 

Sarah Koontz

About Sarah Koontz

  Sarah Koontz invites Christians of all ages to explore the beauty of God’s design. She is a passionate storyteller who enjoys using illustrations to communicate deep spiritual truths. Sarah lives on 13-acres in South Dakota with her husband, two daughters and a rowdy flock of 30 chickens. She revels in their simple, uncluttered life. Follow Sarah on FacebookInstagram, Twitter and Pinterest. Read Sarah's full Bio Here.

24 thoughts on “What is the P-R-I-C-E? 5 Questions To Help You Make Wise Financial Decisions

  1. Thank you for sharing your personal values. I think it’s helpful to articulate how and why we are making the decisions we make instead of going on autopilot. I also really liked the P-R-I-C-E acronym for make big financial decisions and to be honest it’s not a bad idea for assessing the smaller investments as well. Visiting from #mommymoments today. I always enjoy your posts!

    1. I agree, Angela. Making ourselves fully evaluate decisions from multiple angles truly builds a safety net around our financial well being. Although we try not to over-complicate smaller financial decisions, I do believe we follow these principles to some extent with all our decisions. Thanks for stopping by.

  2. Great Article Sarah!
    I am shocked by the millions of people living so far out of their means and they sacrafice so much time with their loved ones to buy things they don’t even have time to use. I think financial responsibility should be a required course for the junior/senior high school student. So many of them have no idea what they are about to get into with student debt, credit cards, etc.
    I too like to have nice things but I have found that I am pretty good at saying no to myself so I can splurge a little more for my kids. I also prefer a good outing or vacation over something material. Memories are lasting. Thanks for the great read!

    1. Deanna, poor financial decisions really can wreck havoc on our lives. It is true that there are many people who live beyond their means and eventually suffer the consequences. I love splurging on experiences too, and enjoy living a debt free lifestyle.

  3. I love the acronym :). I have fallen prey to the ‘it’s on sale’ attitude far too often. I’m learning to just not visit sales unless I atually really need something.

  4. Finances are such a big deal! I love the acronym and I can see how it would help a ton on those little impulse buys that we can tend to try to justify or shrug off –but they add up, and cost us more than we know! Great post!

  5. After 9 years of marriage, my husband and I are just getting back to this. We did a good job when we were saving for our dream wedding, but after that, everything was pretty much a free for all. Only over the last couple weeks has God truly impressed on me, and consequently him, (I’m the money girl) to take better care of the money to which He entrusts us. I PAINFULLY watch every penny now, which is much less tedious when we are not recklessly spending. Thanks for the reminder.

    1. We’ve been better some seasons than others, I always tend to overspend around the holidays. Ugh. But the important thing is we are always seeking God and willing to humble ourselves and change direction when we get off track. Keep up the hard work, it’s definitely worth it! I wrote an article at Groundedandsurrounded.com about our 18 month spending freeze. You might find it interesting (just search the site for it).

    1. Crystal, I’m glad you’ve not heard of it before (because I sort of made it up). LOL. The P-R-I-C-E acronym has helped us so much and I’m happy to be able to share it with you!

  6. This acronym was a new one for me so thanks for sharing it and your testimony Sarah! Your valuable hindsight is always a gift to someone else needing it before they realize they do.

    1. Happy to share. It’s far better to develop a financial identity, personality, code of conduct, before you ever spend a penny. It helps serve as a guide throughout all financial decisions. Thanks for stopping by!

  7. Good sound advice here, Sarah! My husband and I have pretty much the same financial strategies in place. I use what I call my “Wait and Think Buying Plan.” Because as you said, bad purchases and unwise decisions do so much for stealing our peace of mind! Especially when it ends up being for stuff that I didn’t need and will later get sick of cleaning!! Like you say, all the great stuff that is out there comes with a PRICE!! I’m glad I found you via the Grace & Truth Link-up at Arabah Joy!

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