The Rachel Cruze Show - 5 Crucial Conversations to Have About Money

Starting point is 00:00:05 Money can be such a taboo subject, but hot take you guys, it doesn't have to be. So here are five important money conversations that everyone should have with the people in their life. Be sure to like and subscribe and share this episode with a friend. Or to one of these five people that we're about to talk about. All right, conversation number one is with your parents. Okay, so this one gets a little tricky because I feel like I talk to a lot of adult children who are like, I don't even know where my parents are at financially. I don't even know what's going to happen.

Starting point is 00:00:34 I don't know if they have a will. I don't know anything. So this is a conversation you have to be, I think, very cautious about because depending on your parents and your relationship with them, will depend on how this goes. So a perfect scenario, okay, we'll just paint the perfect picture, is, hey, mom and dad, I was just curious, you know, financially for you guys, where you are just so we know as kids or your only child,

Starting point is 00:01:02 you know, as you're aging and getting older, I just want to make sure that your wishes, everything you're wanting is laid out well. So do you have a will? Oh, you do? Great. Do we only want to talk about that just to make sure that everyone understands what's in it? You do? Wonderful. Thanks, Mom and Dad. Do you have retirement? Okay. Is it enough to live on? Okay. If you want to tell me, that's great how much you have. If not, no big deal. Oh, you want to tell me everything? Wonderful. Great. Yay. Healthy conversation. That's what we want. You can have all the information about your parents. Again, it's not for you to be nosy, but it's for you to be able to know how to plan well for them, whether if they're aging and they get sick or something and you know kind of, hey, here's where

Starting point is 00:01:47 everything is, here's the accounts, here's what to do. Or if one of them suddenly passes away, if they both pass away suddenly and you're left with this, you know, a state, big or small, debt, no debt, but you know what is going on because we have found over and over again, especially in the time of grief, when money doesn't have to be the thing that you're trying to investigate, it just allows you to actually grief and actually be in the moment. But for so many people, if something serious does happen, you know, they're figuring out all this other stuff and attorneys are calling. And it just becomes a mess. And you're having to deal with a money issue when you should just be dealing with the issue of grief. So the more that is said, the more that is communicated, that is the healthiest path. And again,

Starting point is 00:02:26 you're going to have to decide for your parents, you know, what they're going to be able to hear, what not. Because, again, everyone has a different relationship with their parents. But that is the ideal scenario. And again, if they won't give you all that information, if they won't talk about it, there's not much you can do, right? We can't control them. You can't cause them to change. You can maybe give a little bit of encouragement or maybe ask in like a different way one or two times. But if they don't want to tell you, they're not going to tell you.

Starting point is 00:02:53 but ideally for you to be able to know, hey, are you good? Not only into retirements, but also do we all know what is going to happen, you know, when the time comes when you pass? Because the truth is, everyone dies. So that's the truth. All right, conversation number two is with your kids. So this is going to look different depending on their age. But when you have little ones around, you know, start talking to them about money.

Starting point is 00:03:19 I think the importance of understanding where money comes from is really important to say, hey, money comes from work. And so whether you are helping dad load firewood, which my kids did this weekend, you know, you're going to be working. You're going to be doing stuff. There'll be some stuff you do around the house because you're part of the family, unloading the dishwasher, you know, that kind of thing. But there are going to be things that will pay you on because we want to equate this idea that when you work, you get paid. That is part of the process. And when you can learn that as a little kid, that is so big. And then out of that, you know, we're going to learn to give and save and spend. We're going to talk about these things. But we're also going to

Starting point is 00:03:52 going to do them. Now, if you have older kids, teenagers, maybe it's saving up, you know, for their car when they turn 16. Maybe you're going to contribute part. Maybe it's up to them to buy the car. I don't know if you want them working. So maybe a conversation around actually working outside the home and not just chores, but starting to have these conversations. And then as they get in high school and a little bit later, you know, talking through college, what does that look like for them? And so being able to have conversations around money, not only for their benefits, and what's going on with them, but also teaching them things, again, age appropriately, but talk to them about investing, about compound interest, taxes, right?

Starting point is 00:04:31 These things that are adult-like, but the more they can understand these things that it's not a shock to them when they go into the real world, that is a beautiful part of parenting. So that's kind of the tactical side. But then you can get to the emotional side of parenting and money, talking about contentment. Man, we could apply that to any age of kid, right? generosity. There's things going on inside of them when it comes to money, even as kids, even as teenagers. And when you can actually start to talk about where money has a place in your life, it's a really beautiful thing. And so having those conversations is important. That's one reason I wrote

Starting point is 00:05:06 my kids' books for little, little ones, but I have books on contentment and generosity and gratitude and all that. I'll put a link down for those down below. But having these conversations and these subjects and you as the parent communicating that with your kids, I think it's such a big part of them becoming adults that actually thrive. Now, one thing that has saved me some serious time and money over the years is Delete Me because every new year we aim to get organized and one thing that most people do forget to clean up is their digital life. And with every coupon, newsletter or giveaway sign up that you sign up for, your personal information is out there and it spreads to shady data broker websites that you've never even heard of. I mean, they're crazy,

Starting point is 00:05:46 you guys. And that is where Delete Me comes in because their team of privacy, Find your info on these sites, gets it removed, and then keeps it off. It's like a digital cleaning crew, protecting your name, privacy, and peace of mind. So start your year off right with Delete Me. Go to join DeleteMe.com slash Rachel and use code Rachel to get 20% off. All right, back to our list. The next person you want to have a conversation with about money is your spouse. So you may be in a marriage where you talk about it a lot.

Starting point is 00:06:17 And, you know, you guys are on the same page. it's not a big deal. Maybe there's some differences, but you kind of are in the right direction. You know what's going on. That's awesome. That's great. If not, if money does feel like a taboo subject or it does feel like, oh my gosh, I don't know, I kind of have to tip to around it, then we need to dive in. You need to dive in to this part of your marriage because being on the same team and understanding, hey, here is how my spouse is wired, here's how I'm wired and we both respect these things, but we are on the same path with the same goals and what we want not to like. with our money, that is the ultimate goal. And so there shouldn't be no imbalances of power. Right? We hear this a lot. Like, well, he makes the money and so he gives me an allowance.

Starting point is 00:07:00 Or, well, I don't really know she just deals with all the money and she just tells me what to do with it. No, no, no, no, you both have to be grownups in the situation. I think the goal for this year would be to sit down together, get on the same page about where you guys are in the present. How much debt you have? What's in retirement accounts? What's in savings accounts? What's in the checking, like, here's where we are in the present, actually start doing a budget together every single month. So you guys plan together and you both have a say. You both have a say and where the money goes. And you can agree on that, which may take a month or two to kind of figure out all the stuff, but it's worth it. Push through that. And then number of three,

Starting point is 00:07:37 I'd say long term, be thinking, you know, what do we want to be doing in the next two, three, four, five, ten years together as a couple because that's the fun part of marriage that you get to build a life that you love together. And so leaning on each other and getting on the same page is crucial. So if you've not had that conversation with your spouse yet do it because it not only helps your money situation, but it also helps your marriage in general. Now, if you need to get organized, especially when it comes to the budget, every dollar, it's the best budgeting app.

Starting point is 00:08:07 So make sure to check it out. All right. Number four, friends. So listen, I'm not saying go to dinner and ask what everyone's salary is and how much everyone has in there 401K. No, not asking about that. But I think a little financial wellness checkup on a friend group I think is, you know, pretty great. I think there's something to be like, man, how's everyone doing? Like the economy, inflation. How's everyone feeling? Everyone good. Maybe if you want to plan something together that fills up your cup, you know, whether it's a big fun European girls trip or maybe

Starting point is 00:08:40 a budget-friendly supper club. Like, I don't know what season you are in with life and community, but there's something about saying, hey, this is kind of where we're all at, and let's lean on each other and be able to talk about it. Because sometimes money can feel like such an isolated issue because people do kind of tiptoe around it. And again, I know some numbers are really personal and not saying you have to divulge everything. But just kind of checking on each other, taking care of each other, just kind of, hey, where's everyone at? If you need someone to lean on and talk through a subject like this, I'm here, right? That's a part of friendship. All right.

Starting point is 00:09:11 Number five, colleagues. So evaluate, you know, how you're feeling at your job, you know, you'd be thinking like, okay, do I need to make more money? And if that's the case, you know, asking your leader, if you can, you know, set up a growth plan, what does it look like for me to get a raise in the next one, two, three years? You know, especially if you want to, you know, plant roots in the company you're in, being able to be, okay, what's the best way for me to thrive in this, not only in what I'm doing, but what I'm earning.

Starting point is 00:09:40 Or maybe you're feeling like, hey, I kind of want to look somewhere else. So maybe that is a time to have discussions, maybe not with the colleagues in that company, but just outside and thinking through, okay, where are people winning in their professional life? What are they doing that I want to do? And start having those conversations because there is something about career and the people that you know and being able to have people in your life to speak into this, I think is really important. So whether it's colleagues within the company you're in or even outside, I think having those conversations is really, really important. Because, again, your income is a really big deal. It's not the end-all be-all in life by any means,

Starting point is 00:10:14 but it is kind of a pulse check of what you're going to be able to do financially long-term. And also kind of just seeing like, hey, is what I'm thinking, right? How are you feeling? You know, put a little couple of feelers out there when it comes to your money. All right. Speaking of professional growth, if you haven't seen my episode, the three-step formula to finding a job you love with Ken Coleman, you can click right here.

Starting point is 00:10:37 That's coming up next. Or if you're listening on a podcast, click the link below. All right. you guys remember to take control of your money and create a life you love.

The Rachel Cruze Show - 5 Crucial Conversations to Have About Money

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