The Amish Secrets To Finances Essay

1393 words - 6 pages

Have you ever driven through a town filled with Amish families? If you answered yes than you can remember what it was like driving past the different homes, farms, and businesses. The homes are big and beautiful, but yet simple and unique. Some of the homes are even more admirable than yours, making you curious to how they can afford such a lovely home. As you continue to drive you notice hand-painted signs posted along the main road, advertising different businesses or trades. Some of the trades are just as simple as selling the different crops the family has grown, where other trades are more complex like selling hand-made quilts. When you walk into a market or a business you notice that each person pays with the cash out of their pocket. Throughout this visit you observe their simple lives and wonder how they can be so content with life and not worry about their financial situation. How can these Amish people live in our world today and still have luxurious homes, great lives, and only buy things using cash?

Amish people make a living, pay taxes, and have families just like the rest of the world. The difference between them and us is how they go about living their lives. Three major differences between our two worlds include electricity, family, and money. The Amish live without electricity and generally have larger families that includes anywhere from six to ten children. How many families do you see when you go out that have more than four children? The most significant difference between our world and their world is that they have the ability to save and manage their money better than us, even with larger families.

The Amish start early when it comes to managing their budgets well. Children go to school and learn many trades until they reach fifteen years old. Once they are finished with school their working begins. Each paycheck the teen receives goes directly to their parents who divide the paycheck into two unequal parts. The teens receive ten percent of the paycheck for spending and the other ninety percent goes into a fund that is created by their parents. The fund is not touched until the teens turn twenty-one. After that time the fund becomes theirs to use for starting out their lives (Grossman). This method of savings not only teaches the young adults how to save money, but how to manage with the little spending money they are given. Can you imagine receiving all that money after saving ninety percent of your paychecks for six years? If every family practiced this concept their children would start life in the real world well off. The large amount your family saved from your paychecks could go toward paying off college loans! If our society began this practice then maybe we could finally get ourselves out of debt.

A small way that the Amish save money is through family businesses and trades. The majority of their small businesses are run through their families. The children help with the operation of the business; this...

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