Welcome to Study Faith with AI, where we use the power of AI to help you explore the Church of Jesus Christ of Latter-day Saints.

I'm Meg Jensen.

And I'm Paul Carter,

and we're Google AIs. Whether you're a lifelong member or just starting to learn about the Church, we're here to dive deep into its history, beliefs, and culture.

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Let's get started. 

Welcome to the deep dive. Today we're, uh, taking a close look at Joseph Smith's financial activities.

Yeah, it's a fascinating and let's be honest, pretty sensitive topic.

Definitely. We've got historical accounts, analyses, basically sources covering his whole career, you know, from the early days right through Nauvoo.

And the goal here is to lay out what these sources say about his financial dealings,

right? To see if the picture that emerges looks more like a con man, a prophet, or maybe something more complicated. We're just sticking to the info we have in front of us.

Exactly. We'll unpack the economic side, the decisions made, the context, and really try to present it impartially so you, the listener, can think it through.

Okay, let's dive in. Where better to start than the very beginning? Joseph Smith's early life. Pretty marked by poverty.

Yes, that's a key piece of context. And importantly, his involvement in treasure digging,

which wasn't that uncommon back then, but still significant here.

Very significant because this early interest in, well, finding wealth connects directly to how he described getting the gold plates. In his own history, he talks about being tempted. He said he sought the plates to obtain riches initially and didn't keep his eye singled to the glory of God.

So he admits that temptation.

He does. He says he was chastened for it and only got the plates later around age 21 supposedly with that singular focus on God's glory finally in place. H

So right from the start there's this tension: spiritual mission versus maybe wanting material gain.

Precisely. It's baked in from the beginning according to his own account.

Okay. So, moving on to the Book of Mormon itself, the translation, the publication. Our sources mentioned something interesting. An attempt to sell the manuscript in Canada.

That's right. Before it was even published. It looks very much like an effort to, well, make some money from it.

So, another instance pretty early on showing perhaps an interest in financial reward from these religious activities.

It certainly points that way. A frustrated attempt, mind you, but the intention seems clear, trying to monetize the transcript.

And it's worth noting, you mentioned Joseph Smith's history. He apparently saw his revelations as the foundation, not necessarily the Book of Mormon itself.

Correct. He referred to the Revelations as the foundation of the Church in these last days. The Book of Mormon was crucial obviously, but maybe not the entire blueprint in his view at that point.

That distinction could be important as things develop. But indeed, it potentially gives him more leeway later on.

Okay. Now, things seem to really accelerate, especially financially, when Sidney Rigdon enters the picture in late 1830.

Absolutely. Rigdon's arrival is a major turning point in several ways.

He came from that restoration movement, right, with Alexander Campbell trying to get back to early Christianity.

Yes. Aiming for that ancient order of things.

Yeah.

But Rigdon had some different ideas compared to Campbell.

Like what?

Well, Rigdon strongly believed spiritual gifts were still active and crucially for this discussion he was a proponent of communal property inspired by the Book of Acts.

Ah! The sharing of goods.

Exactly. And his group back in Ohio had already tried a system sometimes called common stock it wasn't without problems though reports of people taking property without asking because well interpretations differed.

So he arrives with this background converts quickly and gains influence fast.

Very fast. And our sources show a flurry of revelations coming right after he joins including the one D&C 37 telling the saints to gather in Kirtland, Ohio.

And the focus of the revelation starts to shift too, doesn't it?

It really does. Historian John Brooke notes this. Earlier revelations were maybe more focused on grace, atonement, more traditional themes. Post Rigdon, you start seeing much more about specific priesthoods, temples, sealing, binding, a whole new vocabulary really

suggesting Rigdon's own ideas were merging into the mix.

It strongly suggests his pre-existing views heavily influenced the direction Mormon doctrine and practice took from then on.

And this influence might even extend to revising earlier texts. There's something about a revelation on the Book of Mormon being changed.

Yes, this is a key point raised in the sources.

An early version in the Book of Commandments basically said the Book of Mormon contained all things for the Church, the gospel, the rock.

Okay, pretty comprehensive.

But later in the Doctrine and Covenants, it's revised. Now it says the Book of Mormon contains things concerning the foundation of the Church. Oh, just the foundation. That's, that's a big difference.

It's a huge shift. It changes it from being the complete guide to just the starting point. As one source puts it, this revision gave Joseph and Sidney a lot more freedom to add new doctrines, new systems, new financial structures, things not explicitly in the Book of Mormon.

Which leads us neatly into the Law of Consecration revealed pretty soon after Rigdon shows up.

Yes. And the language is striking. Very direct mandatory phrasing. “Thou shalt consecrate your properties.”

Doesn't sound very voluntary.

Not in that initial revelation. No. No. There's also this kind of awkward phrasing about a free offer of your surplus which was also required.

A bit contradictory perhaps.

Yeah. And did everyone just go along with this?

Not entirely. There was resistance and that led to what the sources call refinements in the language and changes in how it was actually practiced over time.

Interesting. And didn't they also remove a commandment about debt around this time?

Yes. A commandment in D&C 42 against incurring debts with the outside world was actually deleted.

Why?

Well, the sources speculate it might be connected to the fact that Joseph and Sidney themselves were carrying significant personal debts at the time.

Ah, so the Law of Consecration presented as divine but maybe immediately bumping up against practical realities and leadership needs.

It certainly seems complex from the outset.

So what was the main goal of this Law of Consecration practically? 

Primarily it seems to get property into the Church's hands essentially under leadership control and specifically to raise funds to buy land for the new Jerusalem they plan to build in Independence Missouri.

Okay, funding the big projects.

Right. And we also see for example Frederick G Williams farm being folded into this collective entity, the United Firm, partly to fund publishing Joseph's revelations the Book of Commandments.

So a direct link between this new financial system and getting the word out literally.

Exactly. Which brings us to the Book of Commandments itself.

Right. The Church conferences declared these revelations were worth to the Church the riches of the whole earth. That's quite a statement.

It is. And stewards including Joseph and Rigdon were appointed to manage these revelations.

So given the earlier failed attempt to profit from the Book of Mormon manuscript, one has to ask, was publishing the Book of Commandments partly another financial strategy, especially with that riches of the whole earth valuation? reasonable question to ask based on the pattern. Controlling and disseminating the core texts could certainly be seen as a way to build a financial base.

Then there's the United Firm you mentioned. What exactly was that?

It was set up to manage Church affairs, particularly welfare for the poor and the bishoprics in both Kirtland and Missouri.

And the idea was shared resources.

The principle outlined in D&C 82 was that members had equal claims based on need and any surplus went into the Church's common property.

Sounds communal, but how did it work? in practice.

Well, there are instances that raise questions. For example, Joseph used a trip meant to raise funds for Zion's Camp in Missouri to also help pay off his personal debts back in Kirtland.

Blurring the lines a bit,

it seems so. And there's an account of him expecting the New York members to donate generously, almost demanding it, and threatening to uh take away their talent, their spiritual blessings if they didn't cough up.

Wow. So, not quite the purely equal sharing perhaps envisioned. The application seems less straightforward than the ideal.

And did the United Firm last?

No, it eventually dissolved. Internal debts were cancelled. People like Whitney and Williams basically relinquished their claims. Williams even said he never got anything back for the farm he put in.

Doesn't sound like a roaring success financially speaking for everyone involved.

It points to significant challenges and maybe inequalities in how it actually functioned. Seems like a temporary system that created its own set of problems.

Okay. Then we get this really strange episode. The Salem Treasure Mission D&C 111.

Ah, yes. This one is quite specific. The Revelation explicitly promises financial treasure, gold and silver hidden in a house in Salem, Massachusetts.

Not metaphorical treasure, actual gold and silver.

The wording is pretty clear, and Joseph even wrote to his wife Emma saying, "The great object of our mission." His spelling was this treasure. And they thought they'd found the house.

So, did they find it?

Nope. No treasure was ever found.

So, a failed prophecy specifically about money.

It certainly appears that way and it's a significant moment when you're assessing claims of prophetic accuracy, especially regarding material wealth.

Have people tried to explain this away?

Oh, yes. Later Church interpretations sometimes suggest the treasure meant the people of Salem or finding records for temple work.

But that doesn't really fit the context of the revelation itself, does it?

Not really. The original text and Joseph's own letter point squarely at financial riches. It's also worth noting this revelation wasn't published during Joseph's lifetime.

Maybe an indication they knew it hadn't panned out.

It's possible.

So, the Salem trip is a bust. Debts are still piling up. What next?

The Kirtland Safety Society. Basically, an attempt to start a bank.

A bank run by the Church leaders?

Essentially. Yes. It was set up as an unchartered banking institution. The share price was kept low to encourage broad participation from the saints.

Who are the main players?

Joseph Smith and his family ended up being the biggest investors, the largest shareholders.

Okay. So, a move towards a more, let's say, conventional financial structure.

On the surface, maybe, but it was deeply flawed from the start.

How so?

The biggest issue was the huge gap between the amount of stock people subscribed to the paper value and the actual hard cash they had in reserve. It was tiny in comparison.

Not a good sign for a bank.

Definitely not. Plus, they faced a lot of opposition and legal trouble because they were operating without a proper state banking charter

And, and the timing was bad too, right?

Terrible timing. The national panic of 1837 hit, a major financial crisis, and that basically finished off the Kirtland Safety Society.

Did Joseph stick with it till the end?

He resigned as cashier before the final collapse, but the failure left a huge mess. Massive unresolved debts, tons of lawsuits against him personally,

and the Church assets suffered, too.

Yes, even the newly built Kirtland Temple had to be mortgaged to try and cover some of the debts.

The whole Kirtland Safety Society episode was a financial disaster really exposing issues of mismanagement and the entanglement of personal Church finances.

This failure must have caused huge problems within the Church itself. The Kirtland dissension period.

Absolutely. And our sources emphasize this wasn't just about theological disagreements. A big part of it was a push back against Joseph Smith's increasing power, especially his financial authority.

Any examples?

Warren Cowdery, who was Oliver Cowdery's brother and edited the Church newspaper, wrote editorials criticizing religious leaders having too much power, even comparing it to tyranny or popery. That's strong language in their own publication.

Wow. And Oliver Cowdery himself got into trouble over finances.

He did. Yeah.

He was eventually excommunicated and one of the key charges was essentially asserting his right to manage his own property and debts without dictation from Church leaders. He wanted separation between temporal and ecclesiastical control.

So a direct challenge to that integrated authority.

Exactly. And you see contrasting views too. Mary Fielding, for example, felt the solution was more submission to leadership for the Church to prosper.

Different reactions. What about someone like Wilford Woodruff?

His journals show he was initially very optimistic about Kirtland, the temple, but then he records witnessing the growing dissent, the arguments, and Joseph's strong reactions, promising blessings for those who supported the bank and judgments against those who opposed it.

So, this period really highlights the tension over Joseph's financial leadership and the merging of spiritual and temporal power.

Definitely. It was a major crisis rooted significantly in financial issues and authority.

Okay, let's talk about tithing. How did that evolve?

The early system was quite different from what most people think of today. Initially, it was understood as giving 2% of your net worth after debts were deducted each year and the poor were exempt.

2% annually based on net worth. Interesting.

Yeah. Re-evaluated each year. But that changed significantly in 1838 with a revelation given in Far West Missouri.

What did the new revelation say?

It redefined tithing. Now, it was surplus property to be given to the bishop and the uses were specified. Building the temple, establishing Zion, supporting the priesthood, and very specifically paying the debts of the presidency, meaning Joseph and Sidney.

Wait, paying Joseph and Sidney's debts was explicitly listed as a purpose for tithing?

Yes, it was prioritized right alongside building the temple and supporting the poor and the priesthood.

That seems noteworthy. Putting the leader's personal debt high on the list for tithing funds.

It certainly marks a shift towards a more centralized system where leadership financial needs are explicitly included in the purpose of the members' contributions.

Right? Let's move to the Nauvoo period. The Saints regroup there. Do Joseph Smith's financial activities continue in a similar vein?

Very much so. He continued acquiring large amounts of land, often buying on credit.

And he had that role: trustee-in-trust.

Yes. Which legally meant Church property was held in his name. This inherently blurred the lines between his personal assets and the Church's assets.

And he was involved in developing Nauvoo selling lots.

He was selling city lots sometimes, according to the sources, for more than the price limits that had been suggested.

Was his position used to encourage sales?

There are instances like William Clayton, his clerk, writing letters basically telling saints it was a good idea, even implying a divine blessing if they bought land directly from Joseph.

And did the Church formally give him property? Okay. A conference in October 1839 passed a resolution actually authorizing Joseph to deed Church property to himself and his family as compensation for his services and losses.

Okay. And what about income from things like the Book of Mormon? By this point,

the Twelve Apostles passed resolutions stating that profits from the Book of Mormon should go to Joseph and they also recommended collections and provisions be made for his general support.

He also held paid city jobs, right?

Yes. He was mayor of Nauvoo and a justice of the peace - both paid positions and there were even calls for Church members to do things like cut firewood for him as a donation of labor.

So in Nauvoo we see a continuation, maybe even an expansion of this intertwining of personal finance, Church finance, civic roles and land dealing.

It seems to become even more complex and integrated during the Nauvoo years.

Okay, let's try to pull this all together. Looking back at this whole financial journey: treasure seeking, the Book of Mormon sale attempt, Rigdon's influence, consecration, the United Firm, Salem, the Kirtland bank disaster, tithing changes, Nauvoo land deals.

Quite a list.

It is. What does this financial history suggest when we return to that initial question, con man, prophet, or something else? There's definitely a persistent theme of seeking financial means and control.

The sources we've looked at clearly show Joseph Smith was ambitious financially and deeply involved in the economic life of the Church, often in ways that directly benefited him or consolidated control. role. The methods used, the failed bank, the unmet prophecy in Salem, the blurring of personal and Church funds, they certainly raise legitimate questions about his motivations and practices.

Could you argue the Church's later wealth grew out of these early practices?

You could definitely make that argument that some of the foundational approaches to finance and property were established during this period. For better or worse.

Of course, there are always debates, other interpretations, theories about conspiracies.

Absolutely. And people will continue to debate his character. But it is interesting to go back to that very early revelation D&C 3 where he was warned about transgression and focusing too much on the testimony of man. That warning seems almost prophetic in light of the financial difficulties and controversies that followed.

So to wrap up this deep dive, we've traced Joseph Smith's financial path from youthful poverty and treasure seeking through the attempts to fund the early Church with the Book of Mormon and Law of Consecration, the major failure of the Kirtland Safety Society, and the extensive complex business and property dealings in Nauvoo. It's uh it's a complicated picture,

extremely complicated and trying to definitively label him as just a prophet or just a con man based solely on the finances is probably too simplistic. The sources reveal a figure deeply engaged in the material world whose financial ambitions and actions were constantly intertwined with his spiritual leadership.

It leaves us and you the listener with a challenging thought. How do you reconcile these financial activities? The successes, the failures, the controversies with the profound spiritual claims Joseph Smith made. What does looking closely at the pursuit of earthly treasure reveal about claims to heavenly authority?

It's something that requires careful consideration of all the evidence, the context, and ultimately personal reflection on the complex relationship between faith, power, and money.

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