Why is it important for Christians to understand the distinction between grace and works?

The distinction between grace and works is vital in Christian theology as it defines the basis of salvation. Works-based religions suggest that individuals can contribute to their salvation, leading to a false sense of security and understanding of God's holiness. Romans 11:6 states that if it is by grace, it is no longer of works; otherwise, grace is no longer grace. Recognizing this truth protects believers from the pitfalls of legalism and self-righteousness, ensuring that faith is placed entirely in Christ’s finished work.