The color wheel is a spectrum bent into a circle so that the two ends meet. Isaac Newton drew the first one and published it in his book Opticks in 1704, and the idea has survived three centuries largely unchanged because it does one thing extremely well: it shows you at a glance which colors sit near each other and which sit opposite.
Almost everything useful about color for a painter comes from those two relationships. Near, and opposite.
First, the correction that matters most
There are two color wheels in circulation and they are not interchangeable. Mixing light and mixing paint are opposite operations, and a great deal of confusing advice comes from articles that quietly swap one for the other.

Light is additive. The primaries are red, green and blue. Add all three together and you get white. This is how a screen works, and it is why your phone display has no white pixel in it.
Paint is subtractive. Every pigment works by absorbing part of the light that falls on it and reflecting the rest, so each color you add takes something away. The painter's primaries are red, yellow and blue, and mixing all three does not give you white. It gives you a dark gray-brown. Try it once with the pots from a kit and you will never have to be told again.
So if you read that red, yellow and blue combine to make white light, you are reading two systems mashed together. They do not.
The painter's wheel, in order
Primaries: red, yellow, blue. They cannot be mixed from anything else.
Secondaries: orange, green and violet, each made by mixing two primaries.
Tertiaries: the six in between, each a primary mixed with the secondary beside it. Red-orange, yellow-orange, yellow-green, blue-green, blue-violet, red-violet.
Twelve segments in all. Everything below is a way of choosing from those twelve.
The schemes, and what each one is actually for
Complementary: colors opposite each other
Red and green, blue and orange, yellow and violet. Opposite pairs give the strongest contrast available, which is why a single orange lifeboat reads so loudly against blue water.
The more useful half of this is less well known. Mix two complements together and they cancel each other out into a neutral gray or brown. That is how experienced painters dull a color that is too bright, and it is why the shadow colors in a good kit are so often a muted version of the complement rather than plain gray. Adding black to darken a color makes it dead. Adding a little of its opposite makes it quiet.
Analogous: colors next to each other
Three neighbors, such as yellow, yellow-green and green. This is the quietest scheme there is, not the busiest, and it is what nature gives you most of the time. A summer woodland, an autumn hillside, a blue-into-violet dusk are all analogous.
They are restful because there is very little contrast in hue, and the price of that is that the picture can go flat. The usual remedy is to let one of the three dominate and to carry the contrast in light and dark instead.
Triadic: three colors evenly spaced
Red, yellow and blue is the obvious triad. Balanced and vivid, but strong enough that using all three at equal strength tends to look like a toy. One dominant, two as accents.
Monochromatic: one color, many values
A single hue in a range of lightness and darkness. Very calm, and much harder than it sounds, because with hue removed as a tool, everything rests on getting the light and dark right.
Warm and cool, and the one thing they are really for
The wheel splits roughly in half. Reds, oranges and yellows on the warm side, blues, greens and violets on the cool side.
The familiar version of this is emotional, and it is true as far as it goes: warm palettes read as energetic, cool ones as calm. The more useful version is spatial. Warm colors come forward and cool colors recede. That single fact is doing most of the work in every landscape you have ever liked.
It is why distant hills are painted bluer and paler than near ones, and why a foreground rock gets a warm edge. You can see it clearly in Be Still, where the warm sunset light in the foreground pulls the chair and the surf toward you while the far water cools and drops away, and in Moonlight Bay, which is almost entirely cool and uses a single warm point of firelight to hold the whole canvas together.
Why this matters when the colors are already chosen for you
On a numbered canvas you are not selecting colors, so it is fair to ask what the theory is for. Two things, and both save real frustration.
A pot that looks wrong is usually right. The shadow color in a warmly lit scene will often look oddly blue or violet sitting in the pot, and painters routinely decide it must be a mistake. It is not. It is the complement of the light, and it will look correct the moment it is surrounded by the warm colors it belongs to.
A region looks different depending on its neighbors. The same gray reads cool beside orange and warm beside blue. This is why half the regions on a canvas look wrong until the ones around them are filled. Finish the area before you judge any color in it, and resist repainting anything on the first evening.
The practical consequence is the same in both cases: trust the numbers, work in whole areas, and reserve judgment. If you are still finding the sequence awkward, the beginner's guide covers the working order, and layering acrylic paint covers what to do when a color will not cover.
Using it on a picture of your own
Color theory becomes much more concrete once you are choosing the picture rather than being given one. When Custom Paint by Numbers converts a photograph into a numbered canvas, photos that already have a clear color structure convert best: a warm subject against a cool background, or a single strong accent in an otherwise quiet frame.
Photographs where everything is the same temperature and the same brightness tend to come out muddled, because there is nothing for the conversion to separate. If you have a choice of two pictures, pick the one with the clearer contrast, not the one with the most detail.