How Much Do We Tithe? Calculating the Right Amount

Tithing, an ancient practice of giving a portion of one’s income or produce, holds significance across various traditions as a way of expressing gratitude and supporting religious or charitable causes. This article explores the practical aspects of calculating one’s tithe, focusing on financial definitions and methods.

The Foundational Tithing Percentage

The practice of tithing is often associated with a specific percentage: ten percent. This figure has deep historical roots, appearing in ancient texts and traditions. For instance, in the Hebrew Bible, Abraham gave a tenth of his spoils to Melchizedek, and Jacob later pledged a tenth of his possessions to God. Under Mosaic Law, Israelites were instructed to give a tenth of their crops and livestock to support the Levites and the temple.

This 10 percent figure became a widely recognized benchmark for giving. While interpretations of tithing have evolved and vary among different groups, the 10 percent remains a common starting point for many individuals considering their financial contributions. It serves as a traditional guideline for proportional giving.

Defining Tithable Income

Determining what constitutes “tithable income” is a central consideration for individuals aiming to calculate their contributions. A primary point of discussion revolves around whether to use gross income or net income as the basis for calculation. Gross income refers to the total earnings before any deductions, such as taxes, insurance premiums, or retirement contributions. Net income, conversely, is the amount received after all such deductions have been withheld.

Many interpretations suggest tithing on gross income, emphasizing the principle of “firstfruits,” where the initial and best portion of one’s earnings is given. This approach considers the full extent of financial increase before any reductions, viewing it as honoring the source of all provision. Proponents often argue that taxes and other deductions are part of managing one’s finances, and the tithe should precede these expenditures.

Conversely, some individuals choose to calculate their tithe based on net income, reasoning that they can only give from the money they actually receive and have control over. This perspective views income as the amount available for personal use after mandatory deductions. This method prioritizes giving from the disposable income.

Typical sources of income considered tithable include regular wages, salaries, bonuses, and commissions. Investment income, such as capital gains from the sale of assets, dividends from stocks, and interest earned from bank accounts, are also generally included. For those who are self-employed or operate a business, tithable income is typically calculated on the net profit after legitimate business operating expenses have been deducted, but before personal living expenses or taxes.

However, certain financial inflows are commonly not considered tithable. These often include reimbursements for expenses, which are merely a return of funds, not an increase in wealth. Loans received, as they must be repaid, are also generally excluded from tithable income. Similarly, some interpretations exclude gifts, inheritances, Social Security benefits, welfare payments, unemployment, or disability compensation, as they are not viewed as direct results of productive effort.

Calculating Your Tithe

Once the foundational percentage and the definition of tithable income are established, the calculation of your tithe becomes a straightforward process of applying the percentage to the determined income figure. For example, if an individual decides to tithe 10% on their gross bi-weekly salary of $2,500, the tithe would be $250. This is calculated by multiplying the gross income ($2,500) by the tithing percentage (0.10).

If the decision is to tithe on net income and the bi-weekly take-home pay after deductions is $1,800, the tithe would be $180 ($1,800 x 0.10). For those with variable income, such as commission-based earnings or business profits, the calculation should be performed consistently on each income receipt or on a regular basis (e.g., monthly or quarterly) once the income is realized and expenses are accounted for.

Maintaining consistency in tithing is important for financial planning and practice. Many individuals find it beneficial to track their income and contributions using simple financial records or budgeting software. This allows for a clear overview of earnings and ensures the intended percentage is consistently applied. Regularly setting aside the calculated amount, whether weekly, bi-weekly, or monthly, helps integrate tithing into one’s financial routine.