diff --git a/Gemfile b/Gemfile
new file mode 100644
index 0000000000..9730219ef2
--- /dev/null
+++ b/Gemfile
@@ -0,0 +1,10 @@
+source :rubygems
+
+gem 'guard', '~> 1.0.3'
+gem 'guard-process', '~> 1.0.3'
+gem 'guard-coffeescript', '~> 0.6.0'
+gem 'sass', '3.1.15'
+gem 'guard-sass', :github => 'sikachu/guard-sass'
+gem 'bourbon', '~> 1.3.6'
+gem 'libnotify', '~> 0.7.2'
+gem 'ruby_gntp', '~> 0.3.4'
diff --git a/Gemfile.lock b/Gemfile.lock
new file mode 100644
index 0000000000..e63f6edcbd
--- /dev/null
+++ b/Gemfile.lock
@@ -0,0 +1,49 @@
+GIT
+  remote: git://github.com/sikachu/guard-sass.git
+  revision: 2a646996d7fdaa2fabf5f65ba700bd8b02f14c1b
+  specs:
+    guard-sass (0.6.0)
+      guard (>= 0.4.0)
+      sass (>= 3.1)
+
+GEM
+  remote: http://rubygems.org/
+  specs:
+    bourbon (1.3.6)
+      sass (>= 3.1)
+    coffee-script (2.2.0)
+      coffee-script-source
+      execjs
+    coffee-script-source (1.3.3)
+    execjs (1.3.2)
+      multi_json (~> 1.0)
+    ffi (1.0.11)
+    guard (1.0.3)
+      ffi (>= 0.5.0)
+      thor (>= 0.14.6)
+    guard-coffeescript (0.6.0)
+      coffee-script (>= 2.2.0)
+      guard (>= 0.8.3)
+    guard-process (1.0.3)
+      ffi (~> 1.0.9)
+      guard (>= 0.4.2)
+      spoon (~> 0.0.1)
+    libnotify (0.7.2)
+    multi_json (1.3.5)
+    ruby_gntp (0.3.4)
+    sass (3.1.15)
+    spoon (0.0.1)
+    thor (0.15.2)
+
+PLATFORMS
+  ruby
+
+DEPENDENCIES
+  bourbon (~> 1.3.6)
+  guard (~> 1.0.3)
+  guard-coffeescript (~> 0.6.0)
+  guard-process (~> 1.0.3)
+  guard-sass!
+  libnotify (~> 0.7.2)
+  ruby_gntp (~> 0.3.4)
+  sass (= 3.1.15)
diff --git a/Guardfile b/Guardfile
new file mode 100644
index 0000000000..46dbf0d367
--- /dev/null
+++ b/Guardfile
@@ -0,0 +1,19 @@
+require 'bourbon'
+
+# Helper method
+def production?
+  @@options[:group].include? 'production'
+end
+
+guard :coffeescript, :name => :jasmine, :input => 'templates/coffee/spec', :all_on_start => production?
+
+guard :coffeescript, :input => 'templates/coffee/src', :noop => true
+guard :process, :name => :coffeescript, :command => "coffee -j static/js/application.js -c templates/coffee/src" do
+  watch(%r{^templates/coffee/src/(.+)\.coffee$})
+end
+
+if production?
+  guard :sass, :input => 'templates/sass', :output => 'static/css', :style => :compressed, :all_on_start => true
+else
+  guard :sass, :input => 'templates/sass', :output => 'static/css', :style => :nested, :line_numbers => true
+end
diff --git a/templates/coffee/README.md b/templates/coffee/README.md
index 6c26529a5b..c6063e3549 100644
--- a/templates/coffee/README.md
+++ b/templates/coffee/README.md
@@ -15,9 +15,9 @@ npm (Node Package Manager) to be able to install the CoffeeScript compiler.
 
 Install Node via Homebrew, then use npm:
 
-    brew install node
-    curl http://npmjs.org/install.sh | sh
-    npm install -g git://github.com/jashkenas/coffee-script.git
+    $ brew install node
+    $ curl http://npmjs.org/install.sh | sh
+    $ npm install -g git://github.com/jashkenas/coffee-script.git
 
 (Note that we're using the edge version of CoffeeScript for now, as there was
 some issue with directory watching in 1.3.1.)
@@ -28,32 +28,26 @@ Try to run `coffee` and make sure you get a coffee prompt.
 
 Conveniently, you can install Node via `apt-get`, then use npm:
 
-    sudo apt-get install nodejs npm &&
-    sudo npm install -g git://github.com/jashkenas/coffee-script.git
+    $ sudo apt-get install nodejs npm &&
+    $ sudo npm install -g git://github.com/jashkenas/coffee-script.git
 
 Compiling
 ---------
 
-Run this command in the `mitx` directory to easily make the compiler watch for
-changes in your file, and join the result into `application.js`:
+We're using Guard to watch your folder and automatic compile those CoffeeScript
+files. First, install guard by using Bundler:
 
-    coffee -j static/js/application.js -cw templates/coffee/src
+    $ gem install bundler
+    $ bundle install
 
-Please note that the compiler will not be able to detect the file that get added
-after you've ran the command, so you'll need to restart the compiler if there's
-a new CoffeeScript file.
+Then you can run this command:
+
+    $ bundle exec guard
 
 Testing
-=======
+-------
 
 We're also using Jasmine to unit-testing the JavaScript files. All the specs are
-written in CoffeeScript for the consistency. Because of the limitation of
-`django-jasmine` plugin, we'll need to also running another compiler to compile
-the test file.
-
-Using this command to compile the test files:
-
-    coffee -cw templates/coffee/spec/*.coffee
-
-Then start the server in debug mode, navigate to http://127.0.0.1:8000/_jasmine
-to see the test result.
+written in CoffeeScript for the consistency. To access the test cases, start the
+server in debug mode, navigate to http://127.0.0.1:8000/_jasmine to see the
+test result.
diff --git a/templates/sass/README b/templates/sass/README
deleted file mode 100644
index f1a4618963..0000000000
--- a/templates/sass/README
+++ /dev/null
@@ -1,17 +0,0 @@
-This project is using Sass to generate it's CSS. Sass is a CSS preprocessor that allows for faster development of CSS. For more information about sass: http://sass-lang.com
-
-To use sass all you need to do is enter:
-$ gem install sass
-
-We are also using Bourbon with sass. They are a generic set of mixins, and functions that allow for more rapid development of CSS3. Find out more about bourbon here: https://github.com/thoughtbot/bourbon
-
-To use bourbon you need to install it with:
-$ gem install bourbon
-
-Then to generate Sass files cd to templates directory and watch the sass files for development: 
-$ sass --watch sass:../static/css/ -r ./sass/bourbon/lib/bourbon.rb
-
-To generate a compressed css file for production:
-$ sass --watch sass:../static/css/ -r ./sass/bourbon/lib/bourbon.rb --style :compressed
-
-These will automatically generate the CSS files on save.
diff --git a/templates/sass/README.md b/templates/sass/README.md
new file mode 100644
index 0000000000..3ef12cc71c
--- /dev/null
+++ b/templates/sass/README.md
@@ -0,0 +1,38 @@
+SASS
+====
+
+This project is using Sass to generate its CSS. Sass is a CSS preprocessor that
+allows for faster development of CSS. For more information about sass:
+
+   http://sass-lang.com
+
+Install SASS
+------------
+
+To use sass, make sure that you have RubyGems install, then you can use Bundler:
+
+    $ gem install bundler
+    $ bundle install
+
+This should ensure that you have all the dependencies required for compiling.
+
+Compiling
+---------
+
+We're using Guard to watch your folder and automatic compile those SASS files.
+If you already install all the dependencies using Bundler, you can just do:
+
+    $ bundle exec guard
+
+This will generate the sass file for development which some debugging
+information.
+
+### Before Commit
+
+Since this compiled style you're going to push are going to be used on live
+production site, you're encouraged to compress all of the style to save some
+bandwidth. You can do that by run this command:
+
+    $ bundle exec guard -g production
+
+Guard will watch your directory and generated a compressed version of CSS.