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Updated 2 months ago, 10/24/2024
Christian Investors - How do you tithe?
Hey Friends,
As a Christian I am curious how other believers go about tithing on their income. I believe the Bible gives clear direction that we are to tithe on a tenth of our gross income. However, I’m confused about how it relates to small business income. Gross profits before expenses work differently inside of a real estate portfolio (including appreciation) and I’m wondering how you go about honoring God with your increase? Thanks!
Quote from @Jacob A.:
Was looking for a discussion on this topic, but most topics seem to discuss the reasons to give. I'm hoping to hear how people treat the following items for tithe purposes:
1. Depreciation on the building when you purchase it. I used to exclude that from tithe, but now wondering if it makes sense to include it as I include depreciation on renovations.
2. Prior year losses. So far I have not taken money out of a tithe account when there are losses, but since I give tithe on net profit from all my properties, does it make sense to reduce current year's profits by prior year losses as much as the IRS allows and pay tithe on the net profit?
Something that is making lean towards these, is that I can just look at my tax return and pay 10% of the profit per my return. If I ever die before my wife or mother, I know this will make things very simple for them.
That's exactly how I came across this post - looking for an answer to this question. I've decided to ignore depreciation unless it's a large expense we did this year and account for it in that year only, and potentially try to adjust it a little if it is adding value to the property.
I do understand the simplicity aspect of it though, that's for sure.