From a very early age, Rachel Cruze was taught the importance of managing money. As the daughter of financial guru, Dave Ramsey, Rachel watched her parents make many sacrifices in order to get out of debt. She learned what it looked like to avoid debt, save, and give to others. Because she learned these practical tools at an early age, she’s been able to avoid the financial stresses that many face in adulthood. Join us as we hear from Rachel the importance of being smart with money and practical tips on how to teach these important concepts to our children.
hey there I’m Priscilla I’m so glad that
you’re joining us for the chat with
Priscilla this is a place where you can
just come and relax and hang out with me
and just talk about some things that I
hope will be inspirational to you
challenging to you and today I think
informative to you a lot really
informative you know we live in a
culture where being broke is kind of
normal being in debt being strapped
financially that’s what we see all
around us and for many of us that’s what
we were raised seeing by our parents but
we’re talking to a guest today who’s
going to help us to break all of that in
our lives into fine
umm wealth in the sense of freedom in
our lives financially I cannot wait to
talk to Rachel Cruz so stay tuned
okay I want you to listen to this normal
in America dave ramsey writes is broke
so if you do normal behaviors you will
be broke and if your kids are finding
and financially normal they will be
broke so he says this book isn’t for
normal people it is for people who have
figured out that normal is not good
enough this book is for weird people
people who are willing to act
differently in order to become wealthy
he means free financially and wealth is
so unusual and abnormal that we must say
it really is weird in our culture to
have financial freedom so if your goal
is to take mediocrity to the grave and
to raise children who are perpetuating
your stupidity that’s why I love Dave
Ramsey he says then this book is not for
you but we are weird people in the sense
in the studio audience today and I know
you are two people who don’t want to be
strapped financially you don’t want to
constantly go to your grave worried
about what you’re going to do about your
finances more importantly we don’t want
to pass this on to generations to come
and so I’m so excited because Dave
Ramsey has this little daughter sweet
little daughter named Rachel cruz rachel
cruz learned from the best and now she
is passing on her financial wisdom one
generation to the next
i wonder today if you will please help
me to welcome the daughter of dave
ramsey and the author of the number one
New York Times best-selling book smart
money smart kids welcome Rachel Crews
have a seat I have been waiting to talk
to you know it’s been so long I feel
like we like been waiting for them I
know because our paths have kind of
crossed except not crossed because we’ve
kind of been in the same circles a
little bit but we’re they’re different
on each other in hallways yes but I do
know your dad we’ve met before your dad
introduced us to each other that’s right
and your dad is a remarkable guy we have
to kind of start by talking about him
just little bit I hope you don’t mind no
no I take it as a badge of honor yes
that I’ve accepted it right I’ll always
be Dave Ramsey’s daughter Yeah right and
you know what people do that to me too
because I’ll just always be Tony Evans
daughter it’s just the way that it is
and it’s okay cuz they’re good dad
exactly exactly they’re bears by it most
of the time but you know well your dad
is very straightforward he’s very direct
he believes what he’s talking about if
you don’t know he is the how would you
describe him the foremost voice in our
country for financial a financial being
yes and I don’t need him for it yes
absolutely
yeah it’s people to be out of debt and
be free how long has that been his
life’s mission sure well I actually was
born in a very interesting time yeah my
dad’s life so I was born the year they
filed for bankruptcy so I was born in
April and they filed in September okay
so my whole life I’ve watched Dave and
Sharon Ramsey figure out God’s ways of
handling money so I’ve had that
front-row seat in a sense so ever since
I can remember you know they were very
intentional with us growing up I think a
lot of people think we had like mutual
funds parties like budget camps all the
time and thankfully that wasn’t the case
so glad I know right would that be
horrible would that be horrible so I
think that’s one thing people assume
that when you want to teach your kids
about money that it has to be like this
crazy big you know philosophy and we had
to talk all about it we’re honestly
living it day in and day out your kids
see that so that was a big part of
growing up as Dave Ramsey’s kid okay
understanding money is watching and yeah
okay what did you see them doing to
climb out of that state of being
bankrupt in to this place of freedom and
wholeness in their finances what are
some of the things you remember as a
little girl watching your mom and dad do
sure well going into debt was never
going to be a part of their story again
they drew a hard line in the sand said
no matter what we’re not borrowing money
because the borrower is slave to the
lender
and they felt that so much obviously
because they filed for bankruptcy and so
there are a one-car family for many
years I mean they really stuck to that
so I mean little things I remember my
mom since we don’t give credit card
you’re about you’re about to run on past
that point and that is so huge what you
just said something that we all have to
get the borrower is going to be a slave
to the lender you’re going to feel
enslaved to who you have borrowed that
money from the interest that is piled on
top of that that you’re constantly
trying to pay back so you really do have
to draw a line in the sand and say if I
don’t have cash for it I’m not buying it
if you don’t have the money don’t buy it
shocking financial advice isn’t it isn’t
that crazy I mean it’s common sense we
all know it but to live it out day in
and day in and day out here in our
culture today it is so hard so to drive
that draw that line in the sand and say
no matter what we’re not bringing money
you become weird like you said in the
intro you do and so for mom and dad’s
you know they I never saw them have a
credit card even so I’m a mom using cash
at the grocery store and she had an
envelope and it was labeled groceries
and I watched her pull two $100 bills
out yeah and pay for groceries and and
I’m I think years old yeah and I worth
seeing the two hundred dollar bills and
thinking it was like two million dollars
to a picture all I couldn’t believe it
and so that was my memory of realizing
okay that’s how much groceries cost and
so just seeing them play out and being
in church and watching dad drop a folded
cheque in the offering bag watching them
give and all this and so that was a
powerful thing is that more is caught
than taught yeah and you know what I
think is so interesting is that you said
you saw these bills you saw a hundred
dollar bill I think that most of our
kids did I see credit cards that’s what
they see they’re seeing the debit card
they’re seeing the credit card because
how many of our kids have said to us
when we say I don’t have the money for
it for that and they’re like we’ll just
pull out that little card away about
that plastic thing you know what it does
they’re just like pull that thing out
you know that works so true but when you
see a a bill your children realize that
actually there’s actual money that has
to go into these groceries coming into
our Valley and the thing that happens
with with actual cash to that your kids
see that’s powerful is that in exchange
happens you give something you have to
let something go in order to gain
something else where when you swipe you
know there’s a mentality okay you get
your thing and you get to keep there was
no exchange happening and so to watch
something leave in order
gained something else as a powerful
assay aim for adults right when I swim
with cash it hurts more yeah you know
when I when I lay that hundred-dollar
bill down at dinner it’s like Oh uncle
Benjamin right like believe in me like
I’m gonna sound so so you you feel that
versus just throwing you know the credit
card German well I like you know so many
things about about your dad but I love
that he says here that if you want to
raise your children to perpetuate your
stupidity this book just didn’t for you
and I love that you’re basically saying
to us that your parents decided we are
tired of our own stupidity yeah and
we’re not going to let this be Rachel’s
story we’re going to teach her
differently and so many of us just have
to make that choice just decide that
we’re going to change the trajectory of
our our kids life so you watch your
children your parents use cash you watch
them draw a hard line in the science and
that they’re going to just cut up those
credit cards and put them away and then
you watch them make sacrifice because
you were starting to mention the whole
one car situation for example other
sacrifices did you watch
oh sure well you know coupon clipping
was like a normal going and shopping
with mom I mean she would pull out you
know six seven coupons and you know just
just those kinds of things and saying no
a lot we never went out to eat and where
we could we could go to the Olive Garden
the Sunday after our birthday it was
near our church so the Olive Garden was
like our big thing and so now I love
going out to eat cuz I was like deprived
as a kid right so I’m always like oh I
love restaurants and so you know but but
those things went to Sharon’s kitchen
yeah they called it so we had to go home
and eat and you know what just for
encouragement for parents out there I
survived yeah you did I was okay you
know
yeah I think so many parents think off I
can’t get my kids these things if I
can’t let them experience this and this
you know they’re gonna be deprived no if
anything I think it builds stronger
character to see boundaries and Cecilia
and to feel that I really think and I
struggle with this you know a mom of
three boys and we’re going to bring for
part two of our conversation with Rachel
we’re going to bring some young people
out here and let them ask their
questions to Rachel but I really
struggle because you know I’ve got a
getting ready to be 13 next week then 11
years old and seven year old and I’m
realizing that just because one
generation does better than the next you
know you probably are doing a little bit
better than your parents were and your
you know your children you want them to
a little bit better than then you’re
doing so I realized that a lot of the
things that I didn’t have access to as a
kid my children do and they don’t even
they’re not even thinking twice about
the fact that they have it because it’s
normal to them that they have it that
they’re going you know I didn’t go out
to eat on Sundays either it’s like mom
cooked on Sunday that’s right my kids
just when I say dinner they run to the
car that’s great this is normal you know
it’s alright so you watched your parents
sort of pull back the reins yeah and
cause you to understand that to get you
are paying something you are giving
something out yeah absolutely and it’s
hard to do and that’s the thing is that
as I’m a mom now a six-month-old right
now I want to go cash off my 401k every
time I go into the babyGap right like oh
my gosh I could just buy all of his
studio all the time so so I know it’s
hard cause like you said you want you
want to give your kids a better life but
I believe give them a better life that
you can pay for and so mom and dad at
that point they couldn’t pay for it and
so we weren’t we we heard no a lot yeah
but I am so so thankful for that and I
think that’s one encouragement for
parents that no matter what mistakes
you’ve made your kids are your clean
slate your kids are your do-over and so
don’t stop your money mistakes and
saying well I live paycheck to paycheck
I have so much that we don’t have
savings we don’t budget we’re horrible
with our money does it matter you can
still teach your kids how money works
your kids can have a different story and
and I’m a product of that I’m so
thankful that coming from parents who
are bankrupt but they didn’t say oh well
that’s it you know we don’t know what
we’re doing we’re stupid we’re bad with
money our kids don’t have a chance no
they took the opposite approach and say
okay no we’re going to instill this in
their kids so just because you’re not
great with money right now I want you to
get your act together for your own sake
financially but you you still have the
right to speak into your kids lives okay
this is what I remember that my dad
taught me about finances and as I was
thinking about talking to you I was just
reminded about this dad always said to
me here’s the formula for always having
money this is this is little kid growing
up imma be in five and six he said this
to me he said you always for every
dollar you give to the Lord you save and
then you spend you give 10% to the Lord
without question you save at least if
not more 10 percent of what you have all
and then you have left to spend and that
little formula if I had a dollar we were
putting a dime in the tithe we were
putting a dime in a little jar and then
I had 80 cents left to spend
and I realized now as an adult because
my father said that to me growing up I
that’s just what I do it’s just I do
when we come back from the break I want
to talk to you about whatever sort of
things you heard your dad say to you at
6 7 8 10 15 that really did inform and
influence your life as an adult that’s
great ok we’ll talk about that as soon
as we come back stay tuned
hi I’m Priscilla and I wanted to take an
opportunity to invite you personally to
join me for a seventh session Bible
study on the armor of God will dive
deeply into what it means to be equipped
to stand firm against the schemes of the
enemy he is very real and he has been so
strategic and targeted in his attacks
against us why shouldn’t we be equally
strategic and targeted in standing firm
against him and you and I have an
opportunity to suit up to put on some
armor that works and to go to battle and
to see victory declared in our lives in
the lives of those people that we learn
this Bible study will be one that will
change our lives forever and will help
us to walk in victory so plan to join me
won’t in the armor of God
welcome back we are having a great time
talking about financial freedom with my
brand-new friend Rachael Cruz who is
joining us today I’m so glad that you
were here we were talking about before
the break the lessons that your parents
can teach you when you’re young you know
my parents taught me lessons when I was
young and literally one of those lessons
for example was you don’t need a credit
card do not get a credit card and I
listened to that I did not listen to
everything my parents told me to do but
I did listen to that and I will say I
have never been in debt my entire life
because I just and when you’re not in
debt you feel like you have money even
if you don’t you’re not wealthy but
you’re not constantly shelling out to a
debtor and so not having a credit card
when I was in college and racking up
that debt really provided for financial
freedom in the in the future and so what
are some lessons when you were young but
your father just sort of and your mother
repeatedly shared with you that informed
your decision-making later on in life
our parents must have been good friends
because the give save spend mentality
was something and I think that’s huge
because learning that as a kid to give
save and then spend because when I talk
to so many adults and you know helping
them with their own finances
you know that we’re looking at their
budget and so original I want to be able
to give I want to be able to spend that
or I want to be able to save but I don’t
have any money I don’t have money to
give in to save because what I’m I pay
all my bills on my budget at the bottom
there is no money left at home well
that’s because you have your budget
upside down okay you give first you save
second and then you pay bills okay so
what happens though when you do that
you’re saying turn your budget upside
down you tithe you you say but what if
somebody’s saying wait a minute that
doesn’t leave enough to cover all of my
bills don’t I need to take some of the
savings and apply that to this this
telephone bill that needs to be paid or
a mortgage that needs to be covered
absolutely well your four walls want to
be covered your your shelter so your
rent or your mortgage your food clothes
and transportation so those four things
need to be covered now that doesn’t
include cable that may not include out
to eat so if you can’t give save and
then pay bills you need to cut some of
your bills then there needs to be some
places that you cut because people who
win with money they’re mostly usually
very generous people they give and they
serve people that’s one of the reasons
they’ve won and they safe they have
money safe yes and so those are thing
and there’s a biblical as well in the
house of the wise they’re stores of
choice food and oil a foolish man
devours all he has wise people save so
so it’s alter scripture this is very
biblically based and so I would say cut
your lifestyle in half or see if you can
rural you the end amounts of toes I know
I somebody manicure away I love a
manicure right it says that’s the other
thing mom and dad taught me which was
great is is that it’s okay to have some
nice stuff yeah just don’t let your nice
stuff have you and your stuff can have
you over then in two ways it can have
you if it owns you financially if you go
into debt for it and it can own you if
your identity your happiness is wrapped
up in that thing
and so that was cuz I I enjoy shopping I
enjoy getting my nails done right
Priscilla I did that for you I list I
got a manicure for this yeah alright
there’s so I I do I enjoy I want to go
to spend and enjoy my money and so that
gives me a good balance and it’s okay to
have some nice stuff just don’t like
your nice stuff have you and
unfortunately the culture we live in the
ideology of our culture financially is
the exact opposite of what you’re
describing we do not live in a culture
that celebrates the overall win for your
life if you restrain yourself in areas
that are honestly superficial but our
culture has grouped them underneath the
need category that you need just like
you need four walls you also need to
have this particular furniture inside
those four walls and you also need not
just to have the television you can’t
just have primetime TV stations you have
to have the NFL package as well or HGTV
or lifetime or come on y’all know what
I’m talking about we have to have all of
the stuff to go with it so all of a
sudden we find that our needs have
blossomed out of control and we’re
trying to keep up a lifestyle that is
keeping us in debt and in bondage and
and how do we get to a place for the
person that can’t let the cable go they
can’t let their bi-weekly or bimonthly
trip to the salon go they just feel like
oh I have to do that how do you even
begin to cut yourself free sure well I
would say I want you to get to the
you can be able to have that kind of
stuff again so I want you to have to
make short-term sacrifices for long-term
gain so cut the lifestyle for a year or
two while you get out of debt you know
as much money as you can throw the
deeper you can cut your sacrifice the
more money you can throw to be debt-free
when you don’t have payments it’s
amazing what happens when your income
comes in and it’s yours you get to
decide what to do with it I’ve realized
that that debt is a thief’s debt not
only steals your income from you but it
seals your peace of mind it steals your
sleep at night it steals your motivation
for why you go to work because you have
to pay visa and your student loan right
and it changes so much it’s steal so
much from us so when you can be free
from that not only financially does the
income come in and you have your income
you get to go get the manicure or go to
the spot whatever you want to do you
have the money to be able to do that now
and the freedom that comes with it that
you don’t owe anyone anything yep
I love that you and your dad have
written this book together I love it so
much if you do not have a copy of this
incredible book smart money smart kids
you need to get it obviously
particularly if you have children this
book is going to be a blessing to you
but beyond that if you don’t have
children you still need this book
because there is so much wisdom inside
of this book that is just good for you
whether you are a child or whether
you’re just childlike in managing your
finances and you’re just needing good
advice to help to get you to a place of
freedom but speaking of raising children
I loved this particular part of the book
and I want to ask you about this this is
you writing and you say work was never
an option in the Ramsey House no matter
how young Denis Daniel or I were from
the time I was five years old I was
working on Commission listen to this
y’all mom and dad didn’t believe in
giving us an allowance dad hated that
word it implied that a child is allowed
a certain amount of money just for
living and breathing I love that so much
and your dad went on to talk about how a
lot allowances the the mere definition
of the word allowance is that you’re
making an allowance for someone who is
not able to do a task that’s right so
we’re actually do you think crippling
our children by enabling them in a way
to feel like they do not have to put out
or exert effort or energy and they are
rewarded financially for that absolutely
I mean I think there’s a whole
generation that hasn’t dis
connected where money comes from and you
have to have this foundation that money
doesn’t fall out the trees right right
it doesn’t come from home that’s back
pocket it doesn’t just grow comes from a
plastic car right you have to go to work
and so the great thing about that I
think some parents think it’s harsh but
to be able to let your kids do some
chores around the house get the
Commission if you do the work you get
paid if you don’t do the work you don’t
get paid I’m gonna shocking right so an
adult right we experience this on a
day-to-day basis and so to be able to
make that connection not only once they
have that money they earn it when they
give it they’re giving their money from
something that they’ve earned that
they’ve sacrificed when they save it
they’re feeling that when they spend it
they feel it so much more emotionally
there’s so many teachable moments when
your kids earn money and sure there’s
gonna be chores that they do around the
house because they’re part of the family
and that’s fine you know the kitchen for
us growing up we didn’t get paid on
anything we had to bring our dishes to
the sink when we got older we had to
clean the kitchen do the dishes right so
like that we didn’t get paid on but
little things we did around the house
and for that again so grateful because
that work money connection and once I
made money I got to feel it and I got to
experience you know the good and the bad
with having money do you think that this
issue of work ethic is really what will
help us to solve this problem of a
generation of young people that are
entitled yes I think entitlement I think
that’s a huge subject we could probably
have a whole new show and I say that I
get nervous about that with the boys and
I get nervous about them just because
again we live in a culture where so much
is available to them it’s so readily
available to them they are blessed as
many of our children are to you know
live in a place that’s just comfortable
for them they’ve got a bed to sleep in
they have good food that’s on the table
and you worry about your kids expecting
the next iPod just because it came out I
mean I’m just like no you may not have
about I don’t care if your friends have
a phone yeah I refuse to get you a phone
yeah because I don’t want you to think
just because it’s available you’re
supposed to have access to it how do we
keep our kids what are some of the
things you suggest to keep your kid
what’s the balance between helping them
enjoy the blessings that God has given
them without also becoming entitled to
expect blessings from God in the
sense of tangible things that they’re
supposed to have absolutely well I think
one the work thing is huge when your
kids can work and they can save and they
can pay for something on their own so
much happens they learn patience they
learn work ethic there’s so much around
that but I think a key spiritual
principle for us as adults as well its
contentment in teaching your child
contentment and so as as I was looking
at this you know godliness with
contentment is great gain you have so
much gain when you’re content as a
person but it’s so hard and so for kids
and adults I think in order to be
content first we have to be grateful and
I believe in a heart filled with grata
simple principles that hit you like a
rock though don’t they when she says
them because when you’re not content
that automatically shows you that you
lack gratitude in your life and so when
you’re you just bought your kid those
tennis shoes you just bought them they
just got them at Christmas and three
months later for their birthday they
need a new pair of tennis shoes because
they no longer like the pair that you
just bought for Christ right oh then
that’s telling you that they lack
contentment and what you just gave them
because they’re actually not as grateful
as they should be for the blessings that
they’re been given but it’s not just our
kids is it it’s us well I mean I went on
a trip to Charleston with my husband
about two years ago and I was home for
maybe an hour and I was on Instagram
watching this girl and she was in Greece
yachting through the Greek Isles or
something crazy right and I was like
friends no no my friend I thought it was
a fashion blogger no I’m not right with
her no no no no but I descried or even
no right and I’m like I needed to buy
airline tickets to Greece like I
suddenly feel like I need to be in
Greece you know which we couldn’t afford
but I I was looking that I was like rich
are you just I mean in cargo I just got
back and those are a moment where I I
had to put my phone down I said Rachel
you happy be grateful look what you you
just went on this so I have to check
myself so much as well on a daily basis
and social media makes this all harder
oh it’s tough I don’t think our kids can
see everything that all the other kids
have yes we can see you know well
keeping up with the Joneses you know
thirty years ago you had to watch the
Joneses pull their new car in the
driveway and today the Joneses have 18
different filters on Instagram right I
mean they paint everything and it’s like
oh my god gosh they’re always there and
and I don’t and I always get this a lot
because I don’t want to blame social
media but I think it is the vehicle
which takes us down the road to
comparison yeah when you start comparing
that’s where things get in trouble and
so it is it’s so hard and I think
parents today if there is an uphill
battle for all of this but staying
consistent staying in the staying in the
word praying for your children being
those models I believe you can raise a
great child there is hope for this
generation there are going to be some
great kids that come out of it so it’s
exciting to see because we see parents
all over the country doing it and it’s
really exciting
well there you go it’s discipline y’all
it’s gratitude
it’s contentment and I think our kids
are going to catch that as we are
disciplined are grateful and are content
with what the Lord has given us you are
certainly proof of that because here we
had two parents that were bankrupt the
year that Rachel was born and now she’s
sharing financial advice all over the
world to students and adults alike again
you’re going to want to pick up a copy
of her book that she co-authored with
her dad number one New York Times
bestseller there is advice in this that
will keep you from passing your
stupidity and my stupidity down to the
next generation we can be financially
free and we can raise a generation of
kids and grandkids by the way if you’re
a grandmother a grandfather this would
be a great gift for you to begin to sow
into the lives of your of your
grandchildren this new attitude about
financial freedom so remember this is
just part one of our conversation with
Rachel we are going to have a part two
you’re going to want to check that out
as well but for now would you guys
please help me to thank Rachel crews for
being a part of
you
you