To live by grace is to live solely by the merit of Jesus Christ. To live by grace is to base my entire relationship with God, including my acceptance and standing with Him, on my union with Christ.
Our sins are forgiven and we are accepted as righteous by God because of both the sinless life and sin-bearing death of our Lord Jesus Christ. There is no greater motivation for dealing with sin in our lives than the realization of these two glorious truths of the gospel.
To be justified means more than to be declared "not guilty." It actually means to be declared righteous before God. It means God has imputed or charged the guilt of our sin to His Son, Jesus Christ, and has imputed or credited Christ's righteousness to us.
The Bible is full of God's promises to provide for us spiritually and materially, to never forsake us, to give us peace in times of difficult circumstances, to cause all circumstances to work together for our good, and finally to bring us safely home to glory. Not one of those promises is dependent upon our performance. They are all dependent on the grace of God given to us through Jesus Christ.
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