10 Questions With Rachel Cruze

Lauren and I were so thrilled to receive copies of Rachel Cruze's new book with incredible financial (and life) advice- Love Your Life, Not Theirs.  Rachel's book is one of those resources that you will keep going back to for sound, smart tips for keeping your finances in order and staying focused on your situation instead of comparing yourself (and your finances) to that of others. This is a very important and timely reminder due the large presence of social media in our lives, which makes getting caught up in the comparison game extremely easy. With Rachel's help, we can tune out the desire to want more and spend more, and instead be content and make wise choices when it comes to our finances. Below are our questions + Rachel's answers!

1. We are so inspired by the concept of not comparing your life to another person’s life. That is so crucial for not just financial happiness, but happiness in general! What made you want to write a book focused around that idea?

As I travel around the country and talk to people, I’ve noticed the comparison living trend. Twenty years ago you actually had to see the Joneses in person to compare our lives to them. Now we carry them around in our back pockets on our phones. We’re letting other people dictate how we spend our lives and our paychecks. I want people to realize that when they’re scrolling through social media, they’re seeing people’s highlight reels, not the entire picture. When they see a friend’s newly remodeled kitchen, they don’t see the second mortgage they took out to fund the project, which may be causing money fights and stress on their marriage. I want to empower people to have tunnel vision when it comes to their money. I want them to focus on their own values and spend their money according to their values, not someone else’s. 

2. Tell us a little bit about your history- what led you to be interested in personal finances and helping others manage their money?

Growing up as Dave Ramsey’s daughter, I saw the positive impact he made on people’s lives. I was born the year my parents filed bankruptcy and spent my life watching them rebuild their financial lives by avoiding debt and living intentionally. When I was in college my “financial bubble” was popped. The lack of knowledge people had when it came to their money was shocking. This gave me a passion to help people understand the importance of handling money wisely from an early age. 

3. What do you see as the biggest danger of the “keeping up with the Joneses” mentality?

The road of comparisons always ends with debt. It’s almost impossible to be satisfied with your own life when you are constantly looking at what someone else has or the lifestyle they’re living. In our culture, we often let other people dictate our values and priorities. You have to know what you value most in life because all of your money habits flow out of what’s important to you: career choices, purchases, and investments. To steer clear of debt and meet your financial goals, you sometimes have to say no to your wants and make sacrifices for your needs. Every decision you make will bring you closer or pull your further from your ultimate financial goals. 

4. What would be your biggest piece of advice for women in their mid to upper twenties?

You have the opportunity to create the life you want. Though it may not feel like it right now, it’s within reach—not thirty years from now, but right now. Change happens when you own up to the choices you make. If you don’t like the outcomes you’ve created for yourself, such as debt, money stress, or dissatisfaction in general, then start making different choices that will create new habits in your life. 

5. Finances are obviously a big part of a serious relationship and especially marriage! What advice do you have for women when discussing finances with their significant other?

One of the quickest ways married couples can put a strain on their marriage is to not be on the same page about money. In fact, one of the top reasons for divorce is money fights and money problems. So couples need to communicate about their finances. They should sit down and talk about their financial goals and make a plan to reach them. They should also make a budget together, every month before the month begins. A budget gets a bad rap, but all a budget does is tell your money where to go instead of wondering where it went. Getting in the habit of talking about money is tough.  But you have to be intentional when it comes to talking about money—even when it’s hard. 

6. What personal experiences brought you to the place of really valuing financially smart decision making and planning?

Over the years, I’ve come in contact with so many people who are struggling to make ends meet because of debt and poor decisions with their money. I feel so grateful that I was given this information early on, so I could make wise decisions with my money and avoid the debt, stress, and worry so many people live with. Because of the planning and choices my husband and I have made, we’re able to enjoy our money and make it work for us. 

7. The comparison game is a very real, dangerous trap. Do you feel that social media has made this problem worse, and if so, how do you suggest people remain active on social media, without falling into the comparison trap?

Social media has definitely made it easier to compare our lives to others, but it isn’t entirely to blame. Comparisons is a heart issue. Social media is just the vehicle that can take you down the road to comparisons. Comparisons bring discontentment. To be content you have to be grateful; and in a heart filled with gratitude, there’s no room for discontentment. Some people look for contentment in their income and possessions, but they’ll never find it there. Contentment happens on the inside, and when you have it, it’s there no matter how much money you make or how much stuff you have. 

8. When it comes to saving first and spending second, what is your biggest piece of advice for people who sometimes don't feel they have enough to save first?

You have to make savings a priority. I’ve met so many people who tell me they make a budget each month and just don’t have the money to save when they finish paying all their bills. That’s because their budget is upside down. I understand people may not have a lot of money to save right away, but it’s important to start the habit. And making it the first item on their budget will help them find places where they can cut so they have the ability to save. 

9. I was fortunate enough to grow up in a home with parents who always lived within their means and shared that mentality with me. In your mind, what does “living within your means” look like exactly?

In our culture, debt is normal. People think they “need” debt to make it in the modern world. It’s so normal that the average American family sends almost 25 percent of their paychecks right back out the door to consumer debt. But living within your means is all about being clear and intentional about how you’ll use your money. It doesn’t mean living within your credit limit. It’s being proactive with your money instead of reactive and not overspending. 

10. What is your biggest wish when it comes to what people will take away from reading Love Your Life, Not Theirs?

Habits affect every part of our lives, including our health, careers, productivity, relationships, and especially our money. We all have money habits. Some are good, and some are bad. Some take us closer to where we want to be, while others take us further and further away.The truth is, though, breaking bad money habits and replacing them with good ones can be easier said than done—especially if you don’t realize how much your bad money habits are wrecking your life. But if you want to change your life, if you want to do the things you’ve always wanted to do and buy the things you’ve always wanted to buy and go to the places you’ve always wanted to go to, then you’re going to have to find that motivation to change your money habits.I want to encourage people to make wise choices—and to build healthy habits—moving forward. I can’t promise it’ll be easy, but I can promise it will lead to a happier, healthier, more peaceful life—a life without all the debt, stress, and worry that so many of people are dealing with right now.