Pay For Our Adult Children's Phone Plan?

Summary

The Ramsey Show Highlights: "Pay For Our Adult Children's Phone Plan?" – Detailed Summary

Release Date: March 19, 2025

---

1. Introduction: Caller’s Financial Scenario

The episode begins with Dale, a retired individual, reaching out to seek financial advice regarding his family's cell phone plan arrangements.

• Dale (00:00): Introduces his family situation, mentioning two adult daughters aged 26 and 28, both of whom are on his and his wife’s cell phone plan. He anticipates that their grandchildren will also join the plan in the future.

  “We got two daughters that are ages 26 and 28. Both of them are on our cell phone plan.” ([00:00])

2. Dave Ramsey’s Initial Reaction

Dave Ramsey responds promptly, expressing concern over Dale's approach to supporting his adult children financially.

• Dave Ramsey (00:05): Advises Dale that his daughters should no longer be on his cell phone plan.

  “They shouldn't be on your cell phone plan anymore.” ([00:05])

• Dave Ramsey (00:19): Promotes the EveryDollar budgeting app as a tool to help families manage their finances effectively.

  “And what a great inheritance brought to you by the EveryDollar app. Start budgeting for free today.” ([00:19])

3. Exploring the Family Dynamics

Dale elaborates on his daughters' circumstances, highlighting their education and career statuses.

• Dale (00:35): Details that his older daughter is a school teacher pursuing a master's degree, while his younger daughter holds a degree in social work and is a stay-at-home mom. Both daughters, along with the anticipated grandchildren, are beneficiaries of his cell phone plan.

  “The older daughter's a school teacher. She's working on her master's degree. The other one has a degree in social work, and she's currently a stay at home mom.” ([00:35])

4. Delving into the Financial Implications

Dave Ramsey probes deeper into Dale's rationale for continuing to support his daughters' cell phone expenses.

• Dave Ramsey (01:21): Challenges Dale's approach, suggesting it diverges from the show's financial principles.

  “Well, you went a total different direction than we plan on going.” ([01:21])

• Dave Ramsey (01:25): Questions the necessity of supporting adult children financially, especially regarding daily communication tools like cell phones.

  “So you feel like you have to pay for their cell phone coverage?” ([01:25])

5. Co-Host Jade’s Perspective

Jade Warshaw joins the conversation, providing a balanced viewpoint and supporting Dave’s stance.

• Jade Warshaw (03:12): Expresses confusion over Dale’s logic, emphasizing that paying for adult children’s cell phones doesn't align with financial independence.

  “For me, it's the logic doesn't add up. It sounded like the reason this—the two reasons sounded like since we FaceTime them a lot, we should be paying.” ([03:12])

6. Confronting the Adult Children

Dave Ramsey introduces Olivia, one of Dale’s daughters, into the discussion to address the issue directly.

• Dave Ramsey (05:35): Greets Olivia and initiates a dialogue about the financial arrangement.

  “Olivia, welcome to the Ramsey Show.” ([05:35])

• Olivia (07:08): Admits she hasn't been directly paying for her cell phone bill, justifying her reliance on her parents' support due to financial constraints.

  “Sometimes we have to touch grass. Like, times are tough. It's cheaper to be on their plan than even get my own.” ([06:47])

7. Dave Ramsey’s Advice and Conclusion

Dave Ramsey offers clear guidance, emphasizing the importance of financial independence for adult children.

• Dave Ramsey (07:28): Suggests that Olivia and her sister need to "adult" by taking responsibility for their own cell phone bills, framing it as a necessary step towards financial maturity.

  “My suggestion is it's time for you and your hubs to adult and stop receiving this benefit...” ([07:28])

• Dave Ramsey (09:55): Refutes Olivia’s interpretation of her parents' support as an inheritance, clarifying that maintaining responsibility over personal expenses is crucial.

  “No, you're not inheriting anything.” ([09:55])

• Dave Ramsey (10:04): Reiterates that true financial independence involves handling one's own bills, comparing a cell phone plan to a basic utility.

  “With the household income you have, I said that a cell phone bill is like a utility in this day and age and paying it.” ([10:04])

8. Notable Quotes and Speaker Attributions

• Dale (00:00):

  “We got two daughters that are ages 26 and 28. Both of them are on our cell phone plan.” ([00:00])

• Dave Ramsey (00:05):

  “They shouldn't be on your cell phone plan anymore.” ([00:05])

• Olivia (07:08):

  “Sometimes we have to touch grass. Like, times are tough. It's cheaper to be on their plan than even get my own.” ([06:47])

• Dave Ramsey (07:28):

  “My suggestion is it's time for you and your hubs to adult and stop receiving this benefit...” ([07:28])

• Dave Ramsey (09:55):

  “No, you're not inheriting anything.” ([09:55])

• Dave Ramsey (10:04):

  “With the household income you have, I said that a cell phone bill is like a utility in this day and age and paying it.” ([10:04])

9. Key Takeaways and Insights

• Financial Independence: Adult children should strive to manage their own expenses, including essential services like cell phone plans, to foster financial responsibility.

• Parental Support Boundaries: While supporting children is natural, it’s crucial to set boundaries to prevent dependency, ensuring that financial aid contributes to long-term stability rather than immediate convenience.

• Communication is Vital: Open discussions between parents and adult children about financial expectations and responsibilities can prevent misunderstandings and promote mutual respect.

10. Conclusion

In this episode, Dave Ramsey emphasizes the importance of financial independence for adult children, using Dale’s situation as a case study. By encouraging open dialogue and setting clear financial boundaries, Ramsey advocates for responsible money management that benefits both parents and their grown children in the long run.

---

For more insightful discussions and financial advice, tune in to The Ramsey Show Highlights daily. Create your free EveryDollar budget today and take control of your financial future.

Transcript

[Dale]

We got two daughters that are ages 26 and 28. Both of them are on our cell phone plan.

[Dave Ramsey]

They shouldn't be on your cell phone plan anymore.

[Dale]

Can I have them call you?

[Dave Ramsey]

Olivia, one of the daughters is on the line. Olivia, honestly, you believe this is okay?

[Olivia]

In proverbs, it says you should leave an inheritance for your grandchildren.

[Dave Ramsey]

And what a great inheritance brought to you by the EveryDollar app. Start budgeting for free today.

[Dale]

Hey, thank you for taking my question.

[Dave Ramsey]

Yeah, you bet.

[Dale]

How you doing today?

[Dave Ramsey]

Oh, we can't. And if we did, you wouldn't want to hear it anyway.

[Jade]

Life is good.

[Dale]

All right. Thank you. Thank you. Hey, listen, I wanted to ask you a question, a little context first. My wife and I are retired. We got two daughters that are ages 26 and 28, and between them we got three grandchildren. The older daughter's a school teacher. She's working on her master's degree. The other one has a degree in social work, and she's currently a stay at home mom. Both of them are on our cell phone plan. And I suspect when the grandchildren are old enough, they'll be on our cell phone plan as well. My question is, this is an annuity. The best way to plan on paying for a multi generational cell phone service. Legacy, or would you recommend a different investment strategy?

[Dave Ramsey]

Well, you went a total different direction than we plan on going.

[Jade]

I didn't see that one coming.

[Dave Ramsey]

You didn't see that coming, Dale? Uh, let me ask you this.

[Dale]

Why do you bear in mind they both listen to you on their phone?

[Dave Ramsey]

I actually hope that they're listening right now because they shouldn't be on your cell phone plan anymore. And I don't know why you. That you even suspect. And I'd like to know why you suspect that their children will be on your cell phone plan as well. Why is that, Dale?

[Dale]

Well, because we FaceTime them every day. We love seeing our grandchildren, and my wife loves seeing her grandchildren.

[Dave Ramsey]

So you feel like you have to pay for their cell phone coverage? Do you pay their Internet as well?

[Dale]

I think. I think it's probably a little more so. My wife wants to pay for it.

[Dave Ramsey]

Yeah. Well, let me ask you this. Oh, boy. And they're probably listening.

[Jade]

Come on.

[Dave Ramsey]

It's gonna get awkward, Dale. But, Dale, if it were just up to you, would you be doing this?

[Dale]

Oh, I wouldn't even be calling. I'd have done cut him off. But here's the thing I learned over 30 years ago.

[Dave Ramsey]

I know where you're going, certain B.

[Dale]

You don't fight Dale. In fact, I learned that 30 years ago. I probably have more kids.

[Jade]

Man, this just keeps taking.

[Dave Ramsey]

Well, listen, let me tell you why I love Dale. Dale's being honest. Dale, you're a. You're a stud. And boy, do I understand that. I've been married 27 years. We're quickly approaching 28, and boy, oh boy, do I understand that. But this is one that I think is probably worth the fight. I really do. I really do. And here's why. They need to be handling this. This is a basic. At this point in 2025, a cell phone is considered a basic necessity. Now, yeah, they need to be handling this. Jade, Am I. Am I grouchy? I don't feel like grouchy today. I feel like I'm in a great mood.

[Jade]

For me, it's. The logic doesn't add up. It sounded like the reason this. The two reasons sounded like since we FaceTime them a lot, we should be paying.

[Dave Ramsey]

Which, by the way, do you pay for their Internet, Dale?

[Dale]

No, no. But you know, I had this discussion with one daughter last night and about the cell phones and. And she said that, she said, well, Dave Ramsey pays for his kids Netflix.

[Jade]

I don't know anything about. First of all, I'm no clue.

[Dave Ramsey]

I gotta tell you something. I'm gonna go out on a limb and say that's categorically false.

[Jade]

Yeah, I gotta. I gotta say that if I'm wrong, I will.

[Dave Ramsey]

James, I will come back on the show and I will do me a couple. But I tell you, I can. I can almost tell you, I can hear. I think Dave's head is spinning off of his neck somewhere.

[Jade]

It could be true. Like my grant. My mother in law is on my Hulu because it's like the same login. So I could see maybe something like that.

[Dave Ramsey]

No, don't give any. Any oxygen to this, Dale. If I'm you, I'm going to my adult daughters on the sly and I'm.

[Jade]

Going, you know, on the sly behind the wife.

[Dave Ramsey]

Yeah, I think so. Give me a little latitude before you disagree. He can't win this battle with her and he doesn't feel like he wants to fight it. So I think this calls for going to the daughters, going, your mom's been paying your cell phone bill. But just between you and me, ladies, you guys are adults. You need to start paying for your cell phone and do the old man a solid and just tell mom no more, mom, we're going to be adults. There's nothing dishonest about that.

[Dale]

I'M going to try that. I think that's awesome.

[Dave Ramsey]

I think men around America are agreeing with you. What's that?

[Dale]

Can I have them call you?

[Dave Ramsey]

Yes. And what are their names? I'm going to call them out.

[Dale]

I don't think I better do that.

[Dave Ramsey]

I think they should call. Actually text them right now and say there's still a little bit of time left. James, with your permission, we'll get them on. Okay. James, the producer saying that if they call right now, we will move them up in the line and Jade and I will do a little therapy session with them. How about that? Jade, are you in?

[Jade]

I'm in. I'm 100% in.

[Dave Ramsey]

All right, Dale, we're gonna put you on hold, line five. Olivia, one of the daughters is on the line. Olivia, welcome to the Ramsey Show.

[Olivia]

Hi, how are you?

[Jade]

What's up?

[Dave Ramsey]

Well, we are having a blast with your situation, and we're told you listen to the show on a regular basis and your dad put you up to this, so. Oh, yeah, we're trying to help your dad out. And so I need your take on this. And then I'm going to tell you my suggestion. Jade was on the fence about it.

[Jade]

But I want to know the real numbers, like, how much does this cost?

[Dave Ramsey]

So, Olivia, what. What's it costing for your cell phone plan that your parents are paying for?

[Olivia]

Well, I don't know. I'm not paying for it.

[Dave Ramsey]

Well, of course you don't know. No surprise, by the way. No judgment.

[Jade]

So what do you want? Do you think that. Are you like, listen, I love this gravy train, or are you wanting to get off?

[Olivia]

Oh, no, I'm loving this gravy train.

[Dave Ramsey]

I mean, she's a human. You thought she was going to say otherwise.

[Jade]

Well, I didn't know. Maybe her spouse was like, listen, we need to wrap this up.

[Dave Ramsey]

Olivia, what do you think our take is?

[Olivia]

Her spouse is on his dad.

[Dave Ramsey]

What? Did she say?

[Jade]

Her spouse. Her husband is on his dad's plan?

[Olivia]

Yep.

[Dave Ramsey]

Olivia, what did you think our reaction was to this when we found out?

[Olivia]

Well, I know you were gonna have this reaction. I'm just. I mean, sometimes we have to touch grass. Like, times are tough. It's cheaper to be on their plan than even get my own.

[Dave Ramsey]

Yeah, but you. You and your husband make how much? What's your combined income or house?

[Olivia]

120. 120.

[Dave Ramsey]

Oh, my gosh. Do you not have any guilt at all? None.

[Olivia]

No time if you knew my bills. I have a post Covid mortgage. I stay home. I Have two kids.

[Dave Ramsey]

What's your cell phone bill? Oh, you don't even know.

[Jade]

She doesn't know it.

[Dave Ramsey]

That's right. We already know.

[Olivia]

I don't have a cell phone bill. Thank God. I might not be able to call anyone.

[Jade]

Olivia's like, if this is being offered to me, I'm taking it.

[Dave Ramsey]

Okay?

[Olivia]

100%.

[Dave Ramsey]

So, Olivia, I get it. I know that what I'm about to say is completely wasted air, but I'm gonna try, all right? And then I'm gonna confess something to you. Okay?

[Olivia]

Okay.

[Dave Ramsey]

A suggestion and then a confession. My suggestion is it's time for you and your hubs to adult and. And stop receiving this benefit, which is so kind, but even your own dad. And by the way, this is out there for public record now. Your dad knows this is ridiculous and he wouldn't be paying for it if it wasn't for your mom. And I said, now here's the. Here's the confession. On the air, I said, dale, if it's me, I'm calling Olivia and her sister together and I'm going, listen, you. Your mom's doing this. And he said on the air, there are certain battles you don't fight. And he doesn't think this is a battle worth fighting because he ain't gonna win. I think on behalf of your dad, you and your sister need to start adulting and you need to start paying for your cell phone. I think this is ridiculous. I know times are tough and I'm not in any way suggesting that you don't have some type of financial pain, but with the household income you have, I said that a cell phone bill is like a utility in this day and age and paying it. So there's my two cents.

[Jade]

I'm playing devil's advocate cuz I. I have no dog in this hunt. Is it like, you know how you're on your parents insurance until a certain point and then it ends and you have to get your own insurance? Maybe it's that kind of deal where it's like, listen, when you hit 30 years old, that's it. The gravy trains over 30. I'm just saying. You're 26 and 28.

[Olivia]

Yeah, and I did get off my parents insurance earlier than you know, and I worked since I could work. I paid for my college so really much. Besides the phone bill, is there a point.

[Dave Ramsey]

Is there a financial future, a point in your financial life? Why are you laughing so hard? This. I can't believe you. I really don't know if I know you like I thought I knew you. I mean, is there a point, Olivia, where you go, I should probably pay for my cell phone. What is that point? It doesn't exist.

[Olivia]

No, never. I hope this goes on to my children.

[Dave Ramsey]

He said it's going to.

[Jade]

This is Dale's legacy.

[Dave Ramsey]

And you, Olivia, honestly, you believe this is okay?

[Olivia]

Oh, 100% I believe this is okay.

[Dave Ramsey]

Why?

[Olivia]

In proverbs. In proverbs it says you should leave an inheritance for your grandchildren. And what a great inheritance.

[Dave Ramsey]

No, no, that's not an inheritance. That's an entitlement.

[Olivia]

No, that's. I'm inheriting the cell phone plan.

[Dave Ramsey]

No, you're not. You're not inheriting anything.

[Jade]

I think you're both wrong.

[Dave Ramsey]

I think I'm wrong.

[Jade]

I think you're.

[Dave Ramsey]

Oh, I've never been more right. Let me say, like, guarantee America is 100% on my side.

[Jade]

Listen, I don't. If I. I think there's a preference here, like, definitely. I think that once you're on your own, especially when you're married, you should pay your own bills. That's the preference, I think, including your cell bill. But do I think it's hurting anything?

[Dave Ramsey]

No. None of this is morally wrong.

[Jade]

You know what I'm saying? Like, so I'm like, whatever.

[Dave Ramsey]

That's true. We're having fun with it. Olivia, Olivia, I don't begrudge you listen.

[Olivia]

By the way, even if you did, I'm staying on it, so.

[Dave Ramsey]

Oh, believe me. Believe me, Olivia, you made that clear early. And I know. So thanks for calling. You're a really good sport. We'll move on. But by the way, since I get the last word.

[Jade]

What is it?

[Dave Ramsey]

She misused the scripture there. That's. Someone paying your cell phone bill is not an inheritance. Thank you.

[Jade]

I wouldn't.

[Dave Ramsey]

I love the move, though. I applaud Olivia for going that direction. Like, I admire that move. It was wrong.

[Jade]

Yeah, but I wouldn't say that. But so deep, so. So strong. Ken, you really are just.

[Dave Ramsey]

No, I. I've been far grumpier on many Ramsey shows. This is not grumpy. This is. I think it's a principle.

[Jade]

Standing on a. I will say, when I was.

[Dave Ramsey]

You say standing on business. I finally used it properly. Correct. I'm standing on business.

[Jade]

You're standing on business. You're giving her the smoke about.

[Dave Ramsey]

Were you truly being a devil's advocate there?

[Jade]

Yeah, I agree. I do agree. I think that there comes a point when you get out of your parents house, especially when you get married. Especially. Especially then that it's like, you know what? I'm going to handle my household bills. And I will say, like, when, When Sam and I were getting married, I think his. He was still on his mom's plan or vice versa. I don't remember if it was me or him. And it was like, okay, yeah, we're gonna get on our same. Our same plan now. We're not going to be on our parents plan anymore. I, like, I specifically remember that. So I think there's something, there's some agency that takes place when you do that. In their case. I don't think it's hurting anybody. Like, I don't think the kids are nes, like, entitled. I don't think they need it.

[Dave Ramsey]

Oh, she's entitled.

[Jade]

Well, she's had it.

[Dave Ramsey]

Believe me, she's happy.

[Jade]

No one's trying to take it away. So it's like, I could, I can understand why she's like, listen, if they want to give it to me, of course.

[Dave Ramsey]

Which is why, by the way, I'm not hating on her because she' acting like a normal human being.

[Jade]

Yeah.

[Dave Ramsey]

When someone offers you an entitlement, like.

[Jade]

Will you feel better if I pay your cell phone bill?

[Dave Ramsey]

No, I wouldn't allow it. And by the way, anybody who knows me knows that's true.

[Jade]

Yeah.

[Dave Ramsey]

There. I, I. And again, it doesn't make sense.

[Jade]

I get you.

[Dave Ramsey]

I. Gosh, I don't want to be on this high horse.

[Jade]

Then jump down.

[Dave Ramsey]

I'm not on a high horse. I'm not on a high horse. You're not? Thank you.

[Jade]

You're not.

[Dave Ramsey]

I, I just think it's.

[Jade]

You're standing on business.

[Dave Ramsey]

Yeah.

[Jade]

Yeah. Giving him the smoke.

[Dave Ramsey]

I, I don't know what any of that means, but Olivia's a great sport and so is Dale. And you know what? Nothing. This is going to change. You know who I feel bad for? You know what this is about?

[Jade]

Who?

[Dave Ramsey]

What? Dale.

[Jade]

Oh, yeah, Dale.

[Dave Ramsey]

I feel bad for Dale. Dale's not struggling.

[Jade]

Nah, Dale's good. Dale sounds like he's.

[Dave Ramsey]

Dale's a good man. He's a good husband, and he's a good dad.

[Jade]

Yeah, Dale's.

[Dave Ramsey]

This is not Dale. I'm going to Olivia's house. You know what I'm doing If I'm Dale, I'm going to Olivia's house, and when he goes to visit, I'm leaving all the doors open. I'm leaving all the lights on for spite. Yeah. Just one time. Just a little fun. Since I'm paying your cell phone bill, you could pay a little extra utility.

[Jade]

This month just for spite. Here he is in the flesh. Ken Coleman.

[Dave Ramsey]

I don't know why I said that. It made me feel so good. I think I'm doing it. Doors wide open. Refrigerator open.

[Jade]

Air it out. You're funny, Ken.

[Dave Ramsey]

I feel better, strangely. Oh, Dale and Olivia. Really fun. All right. Comment on the YouTube channel. Wherever. I mean, tell us your thoughts. What do you think? This is the Ramsey Show? Create your free every dollar budget today. The simplest way to budget for your life.