3 Money Lessons Dave Ramsey Taught Rachel Cruze
Written by
Catherine Collins
Edited by
Cory Dudak
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It’s not easy being the daughter of one of the best-known personal finance experts, but that’s how Rachel Cruze grew up. She was recently a guest on the Who Ya Know Show by ClearPath Wealth Strategies and said many people ask her what life was like growing up in the Dave Ramsey household.
Rachel took the question in stride and explained that her parents integrated money lessons into everyday life. There weren’t money lectures on Saturdays, but rather Rachel earned money for doing chores and organized the money she made into spend, save and give jars.
Rachel said that overall, her parents did a great job instilling money lessons from a young age. This has enabled her to become a money expert in her own right and the author of several personal finance books. Here are some of the top money lessons Dave Ramsey taught Rachel Cruze.
Connect Work and Money
Rachel explained that her parents paid her a commission, not an allowance. Essentially, the Ramseys did not give their children money. Instead, the three Ramsey kids had to complete chores around the house to be paid.
The key is to link money to effort, which shows kids that if you want money to purchase things, you have to earn it. Rachel explained in an article on the Ramsey website that kids can complete chores as early as age two. She then listed several chore ideas kids can complete through their teenage years.
Give Teenagers Responsibilities
Rachel said one difference between her friends and herself growing up was that her friends’ parents gave them money, while Rachel had to manage her money on her own. At that point, Rachel said she had a checkbook, and her parents taught her how to balance it.
Having the ability to learn and make mistakes before adulthood is a great way for teenagers to practice for having more responsibility in the future. If they can learn not to spend more than they make, they’ll be better equipped to manage money as adults.
Don’t Neglect Emotions Around Money
Finally, Rachel explained that her parents also talked about the emotional side of money. They taught her about contentment and generosity. All the Ramsey children were expected to use part of their money to give to others. When you’re raising kids and teaching them about money, it’s important to go beyond basic budgeting lessons and investing to discuss topics like this.
Rachel wrote an article called “How Contentment Can Make You Rich.” Contentment, she said, is something you choose. Jealousy and comparison to others can steal your contentment, but you can counteract it with gratitude. Being grateful for what you have and where you are can help you avoid spending unnecessarily.
Final Thoughts
In the interview clip, Rachel explained that she now has children of her own, and passes these money lessons down to them. Again, she said her parents were effective in teaching her about money because they made it a part of everyday life, and she strives to do the same with her kids today.
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