The answer to this question changes a bit if you understand that the Bible is the Word of God. So we could actually be asking, "How do you live according to God's Word, or the instructions of God?". With this in mind we then need to ask, "What is God's instructions to me?" Asking it this way avoids the mind getting stuck in the idea that the Bible is a book, and even worse, a book of rules!!! This is what most people think of the Bible and why many get stuck in a pattern of living by rules and traditions.
Let's get back to the question, "How do we live according to God's instructions?"
If we see the Bible as God's instructions, we must ask, "What instructions are for me?" You see, the Bible is a book that spans millennia and the instructions in it are not all applicable to us today. God's instructions to Moses and the Israelites in the wilderness are not for us as it was in a different time and under different circumstances. It must be understood in that context. God's instructions to the Jerusalem church in Acts is for that church in that time. We can learn from those instructions, but they were God's instructions for the Jews under law, not for us. Today, God instructs us by the writings of Paul. Paul's writings are for the dispensation of grace in which we are living today. So, if we are to live according to the Bible, God's instructions, we need to learn what is in Paul's epistles, and adapt our lives to obedience to that.
What are the main things that Paul wrote in his epistles that define how we are to live today? Let me list off a few,
We are first and foremost to be saved. (Romans 1:16; 1 Corinthians 15:1-4)
To get saved, we must hear and respond to the gospel of grace. We must understand that Jesus Christ, God's Son, died for us, in our place and for our sins. He took upon Himself the punishment and judgement that God reserved for us. He took upon Him our sins and through His death for our sins, we are forgiven. By His resurrection from the dead, we have been justified before God. By trusting that the work Jesus did on the cross is sufficient to save us, we come into right standing with God, through Christ, and are eternally saved.
At the moment we are saved, we are sealed with the Holy Spirit. (Ephesians 1:13)
Sealed into what? We are immersed into the Body of Christ and become members in particular, 1Cor 12:27. We are sealed unto the day of salvation, Eph 4:30. The Spirit of Christ abides within us and provides us the ability to understand God's Word and helps us to start to live what we learn in His Word. Without being saved and having the Spirit within us, this life and the changes it brings is impossible! Through the Spirit we will grow slowly in righteousness, not because we have to, but because we want to. We experience an inner desire to live for God and bring honour to Him in our lives. This is not our work or our strength! It is the work of the Holy Spirit within us.
As grace believers, what is our primary objective? (1 Timothy 2:4)
What does the Bible really say about our obligations after salvation? Well, it is so simple that it is often overlooked. Let’s see what God’s will is for us as grace believers,
1Tim.2:3-4 … in the sight of God our Saviour; Who will have all men to be saved, and to come unto the knowledge of the truth.
God’s will for us, after we get saved, is to come to the knowledge of the truth. That’s it! At this point, it is not what we do, but what we learn that is of greatest value to God. When we get saved, we are babes in Christ. God does not expect us to immediately start operating in the spirit, or even producing fruit. Not yet! When we get saved, that ‘seed’ of the gospel truth must first be watered. It is the water that softens the seed and causes it to germinate, then press through the soil, then sprout roots and leaves. It is not expected that a young sprout bears fruit. There is first a time of growth and strengthening necessary. A babe in Christ first needs to learn and develop an understanding. They need to grow in knowledge and wisdom of the Word before they can become productive and effective for the Lord.
So, let’s take note again of what God tells us in the last part of 1Tim.2:4, —that we come to the knowledge of the truth. The Word of God, or to be more specific, the knowledge and correct understanding of the Word of God, according to the command of right division, 2Tim.2:15, is to be the prime objective for any and every believer after they get saved. There is nothing more important than this.
The Word will start to renew our mind. (Romans 12:2)
We will grow in knowledge and understanding of God's will and ways. Our lives will naturally change as we grow out of bad habits and life patterns and adopt ways of living that bring Him honour. Again, this will happen naturally. It is a work of the Spirit as we follow the desires He places within us. We will find that our lives will show forth a different fruit; love, joy, peace, patience, kindness, goodness, faithfulness, gentleness and self control.
Living in grace today is not a matter of living by laws or sets of rules! (Romans 6:14)
God does not place us under restrictions. He knows that we cannot just switch off one lifestyle we used to live and switch on another that we think He expects of us. No. God is not unfair. This is why He gives us His Spirit within us. His Spirit will lead us and guide us slowly and surely down the road of ever increasing sanctification, not by force, but by placing the desire within us. If someone tells you to live by rules and traditions, they do not understand the lead of the Spirit. They are trapped in forms of human traditions and works, ever trying to perform and gain acceptance from God and others. This is not the life of grace that God has blessed us with today. We don't grow more holy by rules and traditions. We grow into maturity by walking according to the instructions of the Spirit of God within us. (Galatians 5:16)
Well, that last statement has brought me to answering your question. We live according to God's instructions within us, by the Spirit He gives us when we get saved.

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