Here’s the list of Best Personal Finance Books that can help you understand finance better and lead to better decision-making in money matters. Check out the list and go through some, if not all, of them to up your personal finance knowledge and skills. These books can be a supplement to all the information you can get right here on this personal finance blog.
- Best Personal Finance Books
- 1. “How I Invest My Money” written by Joshua Brown and Brian Portnoy
- 2. “Clever Girl Finance” written by Bola Sokunbi
- 3. “The Financial Diet: A Total Beginners Guide to Getting Good with Money” written by Chelsea Fagan and Lauren Ver Hage
- 4. “Get A Financial Life: Personal Finance in Your Twenties and Thirties” written by Beth Kobliner
- 5. “Broke Millennial Takes On Investing: A Beginners Guide To Leveling Up Your Money” written by Erin Lowry
- 6. “Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence” written by Vicki Robin
- 7. “Spend Well, Live Rich: How to Get What You Want with the Money You Have” written by Michelle Singletary
- 8. “The Millionaire Next Door” written by Thomas J. Stanley, and its sequel.
- 9. “When She Makes More” written by Farnoosh Torabi
- 10. “Retire Before Mom and Dad” written by Rob Berger
- 11. “Get Good With Money: Ten Simple Steps To Becoming Financially Whole” written by Tiffany The Budgetnista Aliche.
- 12. “The Simple Path to Wealth: Your Road Map to Financial Independence and a Rich, Free Life” written by JL Collins
- 13. “The Automatic Millionaire” written by David Bach
- 14. “I Will Teach You To Be Rich” written by Ramit Sethi
- 15. “The Money Manual: A Practical Money Guide to Help You Succeed On Your Financial Journey” written by Tonya B. Rapley
- 16. “The Psychology of Money” written by Morgan Housel
- 17. “A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing” written by Burton G. Malkiel
- 18. “The Bogleheads Guide to Investing” written by Taylor Larimore, Mel Lindauer and Michael LeBoeuf
- 19. “Why Didn’t They Teach Me This in School?: 99 Personal Money Management Principles to Live By” written by Cary Siegel
- 20. “Raising Financially Fit Kids” written by Joline Godfrey
- 21. “The Total Money Makeover” written by Dave Ramsey
- 22. “Rich Dad Poor Dad for Teens: The Secrets about Money–That You Don’t Learn in School!” written by Robert T. Kiyosaki
- 23. “Principles: Life and Work” written by Ray Dalio
- 24. “Financial Freedom: A Proven Path to All the Money You Will Ever Need” written by Grant Sabatier
- 25. “The One-Page Financial Plan: A Simple Way to Be Smart About Your Money” written by Carl Richards
- 26. “How to Manage Your Money When You Don’t Have Any” written by Mr Erik Wecks
- 27. “The Only Investment Guide You’ll Ever Need” written by Andrew Tobias
Best Personal Finance Books
The first book on our list of the Best Personal Finance Books, How I Invest My Money is a book about how the authors invest their money and why they choose to put it in certain places. This book is mostly targeted toward the millennial financial generation, which is people who were born between 1980 and 2000 (Collins). People of this demographic are more likely to save than previous generations (Collins). The authors use their experience throughout the book to teach the reader how they can invest their money to maximize returns and minimize risk. It is broken up into 5 different sections, the first two deal with “don’ts” for investing, which are specific things that the authors see wrong in society’s way of investing. The third section discusses certain types of asset classes, such as stocks and bonds. The fourth section talks about what they call “The Rule of 22 and 28”. This is a summary of the information given in the book that gives a general strategy for investing that can be used by anyone. The fifth and last section details how to invest using the strategies learned throughout the book (Brown, Portnoy).
Overall, “How I Invest My Money” is an excellent resource for anyone looking to learn about personal finance and investing. It’s clear and concise, making it easy to understand for even novice investors, while still providing plenty of detail for more experienced investors. Joshua Brown and Brian Portnoy are both extremely knowledgeable about investing, and their book is the perfect resource for anyone looking to start or continue learning personal finance.
The world of investing normally sees experts telling us the ‘right’ way to manage our money. How often do these experts pull back the curtain and tell us how they invest their own money? Never.
How I Invest My Money changes that.
In this unprecedented collection, 25 financial experts share how they navigate markets with their own capital. In this honest rendering of how they invest, save, spend, give, and borrow, this group of portfolio managers, financial advisors, venture capitalists and other experts detail the ‘how’ and the ‘why’ of their investments. They share stories about their childhood, their families, the struggles they face and the aspirations they hold. Sometimes raw, always revealing, these stories detail the indelible relationship between our money and our values.
Taken as a whole, these essays powerfully demonstrate that there is no single ‘right’ way to save, spend, and invest. We see a kaleidoscope of perspectives on stocks, bonds, real assets, funds, charity, and other means of achieving the life one desires. With engaging illustrations throughout by Carl Richards, How I Invest My Money inspires readers to think creatively about their financial decisions and how money figures in the broader quest for a contented life.
With contributions from:
Morgan Housel, Christine Benz, Brian Portnoy, Joshua Brown, Bob Seawright, Carolyn McClanahan, Tyrone Ross, Dasarte Yarnway, Nina O’Neal, Debbie Freeman, Shirl Penney, Ted Seides, Ashby Daniels, Blair duQuesnay, Leighann Miko, Perth Tolle, Josh Rogers, Jenny Harrington, Mike Underhill, Dan Egan, Howard Lindzon, Ryan Krueger, Lazetta Rainey Braxton, Rita Cheng, Alex ChalekianSource: Amazon How I Invest My Money: Finance experts reveal how they save, spend, and invest
Best Personal Finance Books Key Takeaways | How I Invest My Money
The second book on our list of the Best Personal Finance Books, Clever Girl Finance is a book about personal finance written by Bola Sokunbi. The book is aimed at young adults and covers topics such as budgeting, investing, credit scoring, and more. Sokunbi provides clear explanations of each concept, along with helpful tips and advice. The book is filled with entertaining anecdotes and real-world examples to help readers understand the concepts.
“Clever Girl Finance” is a book that provides investment and personal finance information to young women. Sokunbi believes that the lack of money is often balanced by savings, and therefore investing does not lead to wealth creation for individuals. Sokunbi also believes that people should invest; however, they should invest wisely and understand what they are investing in.
Bola Sokunbi graduated from the University of Ibadan and earned a Master’s degree from the Wharton School at the University of Pennsylvania. She has worked as an investment banker, hedge fund analyst, and private equity executive for firms such as Morgan Stanley and Goldman Sachs. She is currently the founder and president of Clever Girl Investments and Clever Girl Finance, a company that provides investment services to individuals. Sokunbi also has several books on investing and finance including “An Introduction to Global Markets” (2015) which is designed for beginners in the financial market, “Finance Essentials”, which discusses how personal finance affects different aspects of life, “Unlocking Retirement Accounts”, which provides information on how to access retirement accounts, and “Clever Girl’s Guide to Investing”.
Sokunbi believes that the main reason why people fail at investing is that they lack trust in themselves. She offers a number of investment guidelines including the following: diversify investments, avoid buying things that are overpriced, find out how much money is required to invest in a company or product before making an investment decision, do not sell everything when the market drops because that means you made a bad investment, and make sure your investments are compatible with your goals.
Sokunbi provides information on bank accounts for businesses and individuals including checking accounts, savings accounts, certificates of deposit (CDs), and money market accounts. She also discusses investment products such as real estate investment trusts (REITs), stocks, bonds, exchange-traded funds (ETFs), and mutual funds.
Sokunbi states that women do not invest their money because they are afraid that if they make mistakes, they will lose their money. She discusses how women can begin investing including building an emergency fund of $500 to $1,000, making sure there is at least six months’ worth of living expenses in case of emergencies or loss of employment, saving at least 30 percent of what is earned after taxes and paying off debt before saving, avoiding new debt, avoiding spending money on frivolous things and focusing on saving it all, investing each month even if the amount is small, setting aside part of what is paid towards insurance premiums as savings.
Sokunbi believes that personal finance education should be taught in schools starting at a junior high school level. She discusses how financial literacy is taught in countries such as the United Kingdom, South Africa, Singapore, New Zealand, Australia, and Canada. Sokunbi offers advice on how parents can help their children while they are young so that they will become financially literate adults. She offers money-related examples including allowance for good grades, paying allowance only when chores have been completed correctly, investments in education by saving or tutoring for upcoming exams, and allowance to save. Sokunbi discusses the importance of having a good credit score. She also reviews types of cards including debit cards, credit cards with cashback, store cards, and reward points cards.
Take charge of your finances and achieve financial independence – the Clever Girl way
Join the ranks of thousands of smart and savvy women who have turned to money expert and author Bola Sokunbi for guidance on ditching debt, saving money, and building real wealth. Sokunbi, the force behind the hugely popular Clever Girl Finance website, draws on her personal money mistakes and financial redemption to educate and empower a new generation of women on their journey to financial freedom. Lighthearted and accessible, Clever Girl Finance encourages women to talk about money and financial wellness and shows them how to navigate their own murky financial waters and come out afloat on the other side.
Monitor your expenses, build a budget, and stick with it
Make the most of a modest salary and still have money to spare
Keep your credit in check and clean up credit card chaos
Start and succeed at your side hustle
Build a nest egg and invest in your future
Transform your money mindset and be accountable for your financial well-being
Feel the power of real-world stories from other “clever girls”
Put yourself on the path to financial success with the valuable lessons learned from Clever Girl Finance.Source: Amazon | Clever Girl Finance: Ditch debt, save money and build real wealth
Best Personal Finance Books Key Takeaways | Clever Girl Finance
3. “The Financial Diet: A Total Beginners Guide to Getting Good with Money” written by Chelsea Fagan and Lauren Ver Hage
The third book on our list of the Best Personal Finance Books, The Financial Diet: A Total Beginners Guide to Getting Good with Money is a book written by Chelsea Fagan. The book is aimed at providing readers with the knowledge and tools they need to improve their financial situation.
The Financial Diet begins by introducing readers to the basics of personal finance. This includes a review of financial concepts such as compound interest, debt, and retirement savings. Following this, the book provides readers with step-by-step instructions on how to manage their money effectively. This includes advice on budgeting, investing, and paying off debts.
The financial diet is extremely necessary for modern citizens. There are more than one-third of American (and global) adults who do not feel confident in their ability to manage money, even if they do have a college degree. The book talks about the various strategies that one can use to create a budget, including income tracking and becoming aware of your spending habits through keeping up with bills. The book talks about the different types of accounts one should be using for their savings goals, including retirement plans like IRA’s or Roth IRA’s as well as emergency funds. The book also emphasizes the importance of using different types of credit accounts, like a Roth IRA or home equity line of credit in order to diversify your portfolio.
Overall, The Financial Diet is an excellent guide for anyone looking to start their own financial journey. The authors’ easy-to-read style makes this book a great choice for anyone looking to get started with personal finance, whether you are a beginner or an experienced investor.
How to get good with money, even if you have no idea where to start.
The Financial Diet is the personal finance book for people who don’t care about personal finance. Whether you’re in need of an overspending detox, buried under student debt, or just trying to figure out how to live on an entry-level salary, The Financial Diet gives you tools to make a budget, understand investments, and deal with your credit. Chelsea Fagan has tapped a range of experts to help you make the best choices for you, but she also knows that being smarter with money isn’t just about what you put in the bank. It’s about everything―from the clothes you put in your closet, to your financial relationship habits, to the food you put in your kitchen (instead of ordering in again). So The Financial Diet gives you the tools to negotiate a raise and the perfect cocktail recipe to celebrate your new salary.
The Financial Diet will teach you:
• how to get good with money in a year.
• the ingredients everyone needs to have a budget-friendly kitchen.
• how to talk about awkward money stuff with your friends.
• the best way to make (and stick to!) a budget.
• how to take care of your house like a grown-up.
• what the hell it means to invest (and how you can do it).Source: Amazon | The Financial Diet: A Total Beginner’s Guide to Getting Good with Money
Best Personal Finance Books Key Takeaways | The Financial Diet
The fourth book on our list of the Best Personal Finance Books, “Get A Financial Life: Personal Finance in Your Twenties and Thirties” written by Beth Kobliner is a guidebook for young adults who want to learn about personal finance and make sound financial decisions. It is a book that can help anyone with their personal finances. The author interviewed many people in their 20s and 30s to see how they were managing money, what types of mistakes they have made, and the steps they would take if they could go back in time to fix them.
Much of the financial advice given is directed towards those right out of college. This is because their income and expenses are likely the highest they will ever be in life, and they have a multitude of expenses that people in all different stages of life don’t have to worry about.
The book starts out by giving advice on how much you should save up for emergencies, investments, retirement funds, etc. It also gives advice on what you should be spending your money on, how much you should be spending it on, and when is the best time to spend it. This part of the book can apply to anyone of any age though.
Next, the author talks about some of the things that people in their twenties and thirties seem to always regret not doing, such as starting an emergency fund, getting life insurance, etc. She also talks about some of the things that people in their twenties and thirties constantly regret doing, such as taking out too much credit card debt in college, making bad investments in early adulthood when they could have waited until they were older to make them, etc.
Financial mistakes are costly because the earlier you make them, the more time there is for your money to work for you. She talks about how much time certain things will save or cost you by waiting or doing them now. The book also has many case studies done by people in their twenties and thirties who share their own experiences.
The last chapter of the book is a ‘Now What’ guide, which gives advice on finding money to invest, understanding your credit score and how it works, and a few other things. There is a lot of good information in this book because there are many different types of people who will be reading it. Everyone has their own financial situation that they can learn from and apply to their life. This book is a good resource for anyone who wants to get a better grip on their money.
The book is written in an easy-to-understand style and includes helpful tips and graphics to illustrate the points being made. It is perfect for anyone who wants to learn more about their finances and make smart decisions that will help them achieve their long-term goals.
A completely revised and updated fourth edition of the New York Times bestseller, designed to guide younger adults through the world of personal finance.
More than ever before, people in their twenties and thirties need help getting their financial lives in order. And who could blame them? These so-called millennials have come of age in the wake of the worst economic crisis in memory, and are now trying to get by in its aftermath. They owe record levels of student loan debt, face sky-high rents, and struggle to live on a budget in an uncertain economy.
It’s time for them to get a financial life.
For two decades, Beth Kobliner’s bestseller has been the financial bible for people in their twenties and thirties. With her down-to-earth style, she has taught them how to get out of debt, learn to save, and invest for their futures. In this completely revised and updated edition, Kobliner shares brand-new insights and concrete, actionable advice geared to help a new generation of readers form healthy financial habits that will last a lifetime. With fresh material that reflects the changing digital world, Get a Financial Life remains an essential tool for young people learning how to manage their money.
From tackling taxes to boosting credit scores, Get a Financial Life can show those just starting out how to decrease their debt, avoid common money mistakes, and navigate the world of personal finance in today’s ever-changing landscape.Source: Amazon | Get a Financial Life: Personal Finance in Your Twenties and Thirties
5. “Broke Millennial Takes On Investing: A Beginners Guide To Leveling Up Your Money” written by Erin Lowry
The fifth book on our list of the Best Personal Finance Books, Broke Millennial Takes On Investing: A Beginners Guide To Leveling Up Your Money aims to help millennials reach their financial goals through smart investing. The book is divided into four parts: Introduction, Understanding Your Relationship with Money (Unforgiving Four), Wealth = Lifestyle + Investments, and How to Invest. The following will highlight some of the key points made by Lowry in each section.
Lowry begins this book by asking several questions: Do you get paid biweekly or monthly? Do you know how much money is left over at the end of every month after paying all your bills? If you answered yes to both of these questions, Lowry says, then you are in the minority because most people just assume that there is enough money left over and do not look at the details.
Lowry says to take a couple of hours and go through all your bank statements and figure out exactly how much money comes in and goes out. She suggests putting money into a separate savings account so that you are forced to see the amount of money that is being saved.
This section discusses how unfriendly our society can be towards people who do not have much money. Lowry gives examples, such as receiving flowers at work for no reason which makes it seem like if you don’t have flowers, you don’t care about the person.
In this section, Lowry talks about how to use your money as a tool to accomplish financial goals. She uses an example of buying a house and saving up all her extra money so that she can maximize her 401k contributions instead of spending the extra cash on something frivolous like a trip to Europe.
This section discusses how to invest your money. Lowry goes over the four main types of investments: stocks, real estate, business or other ventures, and cash. This section also explains that investing is not necessarily tied to risk; it is about creating sufficient income that will allow the investor to achieve their goals. This can be done through a mix of low-risk, lower-return investments, and higher risk, higher return investments.
Lowry ends this book by recapping all the points made in the other chapters and reiterates that smart investing is about getting yourself to a point where your money can work for you rather than you working for your money.
Overall, “Broke Millennial Takes On Investing: A Beginners Guide To Leveling Up Your Money” by Erin Lowry is a great book for anyone who has no experience with personal finance. It is written in an easy-to-understand format and includes helpful tips and graphics to illustrate the points being made. The book does a good job of explaining what most people should know about financial planning, debt reduction, investing for long-term growth, insurance issues that come up when one has a low income or bad credit history as well as other topics such as how to build wealth through real estate investments – all while keeping readers informed.
A guide to investing basics by the author of Broke Millennial, for anyone who feels like they aren’t ready (or rich enough) to get into the marketSource: Amazon | Broke Millennial Takes On Investing: A Beginner’s Guide to Leveling Up Your Money (Broke Millennial Series)
Millennials want to learn how to start investing. The problem is that most have no idea where to begin. There’s a significant lack of information out there catering to the concerns of new millennial investors, such as:
* Should I invest while paying down student loans?
* How do I invest in a socially responsible way?
* What about robo-advisors and apps–are any of them any good?
* Where can I look online for investment advice?
In this second book in the Broke Millennial series, Erin Lowry answers those questions and delivers all of the investment basics in one easy-to-digest package. Tackling topics ranging from common terminology to how to handle your anxiety to retirement savings and even how to actually buy and sell a stock, this hands-on guide will help any investment newbie become a confident player in the market on their way to building wealth.
6. “Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence” written by Vicki Robin
The sixth book on our list of the Best Personal Finance Books, “Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence”, published in 1992, is a book about the importance of valuing one’s life and time.
The author discusses money as an energy exchange between people and how Americans have come to perceive money as power, whereas they should be using it for freedom. This book is written to help readers transform their relationship with money by embracing nine steps that allow them to reflect on their own lives and financial circumstances.
The author urges readers to reassess the way they perceive value, which is a process of identifying what is truly valuable in life. The book focuses not only on saving money but also on creating time for oneself.
Step one urges individuals to examine how much energy they have been willing to trade for money, how conscious they are about their actions, and what they personally want or do not want in life. The author states that after reading this book, people should be ready to start making changes in their lives because the only way out is through it.
Step two focuses on recognizing where your time goes and how much of it you trade for money every day. The author states that individuals should keep a time diary so they can have an accurate assessment of their daily activities.
Step three introduces readers to the idea of making a living rather than just earning money, which leads us to neglect our real needs. It discusses how this situation is connected with consumerism and the fact that people are working long hours.
Step four urges individuals to keep reflecting on their lives, even after they have taken the first three steps. People need to be aware of what their real needs are and not trade time for money any longer than necessary.
The author proposes six false needs that people usually buy into acquiring status symbols, belonging to the right group, appearing successful, believing that things will make you happy, feeling safe (financial), and avoiding responsibility.
Step five prompts readers to find work that does not exploit them or the people around them; it urges individuals to check their motives behind choosing certain employment opportunities. People should ask themselves if they are doing something because it gives pleasure, contributes to the world in some way, allows them to be creative, and meets one’s needs.
Step six discusses generating passive income through investments such as stocks or bonds, which will allow people more free time in the future. Passive income is money that comes in regardless of whether or not you work for it. The author warns readers against spending money on luxuries when they are trying to build passive income.
Step seven is about decreasing the cost of living without sacrificing comfort, which includes moving or redecorating one’s home and learning to cook. The author argues that people should be living below their means and not overspend just because they have money in their pockets.
Step eight encourages individuals to pursue their talents and gifts to earn money in ways that are more creative than their current jobs. The author states that by following their passions, people can be happier with what they do for a living.
The final step is about sharing the message of this book with others so they too may benefit from it.
The author concludes by explaining that after readers have gone through all nine steps and applied them in their own lives, they should celebrate the fact that they have given themselves a wonderful gift.
The goal of this book is to figure out how an individual’s relationship with money has affected his or her life and then move on to changing it for the better. The author encourages readers to get rid of their debt and to reassess what they need or want in their lives. The book focuses less on how much money an individual has and more on the time and energy he or she is willing to trade for it.
A fully revised edition of one of the most influential books ever written on personal finance with more than a million copies sold
For more than twenty-five years, Your Money or Your Life has been considered the go-to book for taking back your life by changing your relationship with money. Hundreds of thousands of people have followed this nine-step program, learning to live more deliberately and meaningfully with Vicki Robin’s guidance. This fully revised and updated edition with a foreword by “the Frugal Guru” (New Yorker) Mr. Money Mustache is the ultimate makeover of this bestselling classic, ensuring that its time-tested wisdom applies to people of all ages and covers modern topics like investing in index funds, managing revenue streams like side hustles and freelancing, tracking your finances online, and having difficult conversations about money.
Whether you’re just beginning your financial life or heading towards retirement, this book will show you how to:
• Get out of debt and develop savings
• Save money through mindfulness and good habits, rather than strict budgeting
• Declutter your life and live well for less
• Invest your savings and begin creating wealth
• Save the planet while saving money
• …and so much more!
“The best book on money. Period.” –Grant Sabatier, founder of “Millennial Money,” on CNBC Make It
“The seminal guide to the new morality of personal money management.” -Los Angeles Times
“This is a wonderful book. It can really change your life.” -OprahSource: Amazon | Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence
Best Personal Finance Books Key Takeaways | Your Money or Your Life
7. “Spend Well, Live Rich: How to Get What You Want with the Money You Have” written by Michelle Singletary
The seventh book on our list of the Best Personal Finance Books, “Spend Well, Live Rich: How to Get What You Want with the Money You Have” written by Michelle Singletary is a simple guide on how to get the most out of your money. The author explains in easy-to-understand language and gives many real-life examples of how to best manage money. It is a book that everyone should read and one that will benefit readers in the long run.
The author begins by giving advice on how to build wealth through establishing an emergency fund, paying yourself first, debt, and building strong credit. The author explains how earning money can be viewed as a process of receiving and then re-spending income. The book is divided into sections so that each explanation can be followed in order and builds on the previous idea.
The “big three,” which include creating an emergency fund, spending less than you make, and saving in a tax-free account are explained in straightforward language. These ideas may seem simple but often get overlooked when living day-to-day. The author also explains how to distinguish between needs and wants. Understanding this is the first step in becoming a smart consumer, who will spend money only on items that are really needed.
The book goes on to explain credit cards, mortgages, retirement plans, life insurance, wills, and trusts as well as discuss what to look for when hiring a financial advisor. It goes on to explain why saving more, taxes, and investing are money decisions that should not be overlooked. The author wraps up the book with several pages of recommended reading on many different topics related to finances.
The author is a journalist and personal finance columnist – Michelle Singletary. She writes a weekly column for the Washington Post. She is also a regular guest on CNN, CNBC, and NPR. This book was published in 2011.
Michelle Singletary is an accomplished writer who knows exactly what she wants to say. The tone of her writing is authoritative but also warm and inviting at the same time. There are many personal stories throughout the book that help bring the advice home.
The target audience is the general population, who may not have had any formal financial education or feel that they need help in understanding how to better manage their money. There are no major grammatical errors in this book. The length of the book is on the shorter side – it’s not a novel but definitely can’t be read in one sitting. It’s not for beginners, but rather for those who already have some knowledge about how to manage money – this book is a great refresher course.
The best financial planner Michelle Singletary ever knew was Big Mama, her grandmother. Big Mama raised Michelle and her four brothers and sisters on a salary that never reached more than $13,000 a year. Yet at her death, Big Mama owned her own home, had paid off a car loan, and had a beautiful collection of Sunday-go-to-meeting church hats and a savings account that supplemented her Social Security check and small pension. Most important, she had taught Michelle “7 Money Mantras for a Richer Life.” Those mantras serve as the inspiration for this straight-talking book of practical personal financial advice that really works.Source: Amazon | Spend Well, Live Rich (previously published as 7 Money Mantras for a Richer Life): How to Get What You Want with the Money You Have
The 7 Money Mantras are:
1. If it’ s on your ass, it’s not an asset!
2. Is this a need or is it a want?
3. Sweat the small stuff.
4. Cash is better than credit.
5. Keep it simple.
6. Priorities lead to prosperity.
7. Enough is enough.
Michelle Singletary is a syndicated columnist for The Washington Post whose popular personal finance column appears in more than 120 newspapers. She’s also a mother of three children who understands what it’s like to live on a budget. In a plainspoken, sassy, no-nonsense voice, Michelle provides answers to the financial issues that confront almost every household: how to teach children the value of money; how to address money issues in a relationship or marriage; household saving tips; getting the best loans; and much more.
“This book is about saving enough money to have choices,” she writes. “It’s about feeling free to be cheap if you can’t afford to buy a ton of gifts at Christmas. It’s about eliminating wasteful spend-ing so you can begin to save and invest. It’s full of uncommon commonsense lessons and guidance on the way people should use their money.”
With humor and down-home financial wisdom, Michelle Singletary offers practical and realistic advice that will help you live well with the money you have.
Michelle Singletary on . . .
Romance and Money
“It’s okay to say: ‘Honey, I love you and everything, but if you need money, ask your mama.’”
“We are minimizing our financial potential by making minimum credit-card payments.”
“If you want to save money, keep your car until you’re on a first-name basis with the local tow-truck drivers.”
Leasing a Car
“You, too, can drive a car you can’t afford and then have to give it back. It’s crazy.”
“Generosity isn’t about how much you spend. It’s about how much thought you put into the gift.”
“I once bought a stick-shift car because it was $1,000 cheaper than the automatic in the same model. There was just one little problem. I couldn’t drive a stick-shift. But at least I saved $1,000!”
The eighth book on our list of the Best Personal Finance Books, “The Millionaire Next Door” is a book written by Thomas J. Stanley. The book is based on the research of more than 1,000 millionaires in America and the author’s own experience with people who have accumulated wealth. The book provides insights into how people can become wealthy in America and what they do to maintain their wealth. It also provides information about how to live a frugal lifestyle and how to avoid the pitfalls that come with being wealthy. The Millionaire Next Door is an insightful read for anyone who wants to know more about becoming wealthy in America or for those who want to maintain their wealth.
The Millionaire Next Door (1996) is based on personal interviews and reveals that many millionaires’ daily lives are far from the stereotypical luxury cars, mansions, and private jets. This book also contradicts the notion that being a millionaire is difficult; anyone can understand not only how to become wealthy, but also how to remain wealthy. It is a book that has been translated into more than 20 languages and has sold over 2 million copies. This book was published in 1996, but it still has relevant information to this day.
“Why aren’t I as wealthy as I should be?” Many people ask this question of themselves all the time. Often they are hard-working, well educated middle- to high-income people. Why, then, are so few affluent. For nearly two decades the answer has been found in the bestselling The Millionaire Next Door: The Surprising Secrets of America’s Wealthy, reissued with a new foreword for the twenty-first century. According to the authors, most people have it all wrong about how you become wealthy in America. Wealth in America is more often the result of hard work, diligent savings, and living below your means than it is about inheritance, advance degrees, and even intelligence. The Millionaire Next Door identifies seven common traits that show up again and again among those who have accumulated wealth. You will learn, for example, that millionaires bargain shop for used cars, pay a tiny fraction of their wealth in income tax, raise children who are often unaware of their family’s wealth until they are adults, and, above all, reject the big-spending lifestyles most of us associate with rich people. In fact, you will learn that the flashy millionaires glamorized in the media represent only a tiny minority of America’s rich. Most of the truly wealthy in this country don’t live in Beverly Hills or on Park Avenue-they live next door.Source: Amazon | The Millionaire Next Door: The Surprising Secrets of America’s Wealthy
Best Personal Finance Books Key Takeaways | “The Millionaire Next Door”
What does it take to be The Millionaire Next Door today? Find out in this research-backed, highly anticipated follow up.
In The Next Millionaire Next Door, Dr. Thomas J. Stanley and Dr. Sarah Stanley Fallaw provide data-backed insights into what it takes to become the millionaire next door today, including:
Identifying and ignoring the myths about wealth and income
Understanding how those around you influence your financial behaviors
Living below your means
Identifying and developing your own behaviors that are conducive to building wealth
Finding careers and opportunities that allow for both economic and lifestyle-related freedom
Gaining knowledge and composure to invest and grow wealthSource: Amazon | The Next Millionaire Next Door: Enduring Strategies for Building Wealth
The ninth book on our list of the Best Personal Finance Books is “When She Makes More” written by Farnoosh Torabi.
For many young couples, one partner makes significantly more than the other; that can lead to some pretty serious problems. Usually, it’s the woman who is out-earning her husband, and their relationship gets put under a microscope as they navigate through the tough waters of making one partner feel less manly and self-worth. That’s what journalist Farnoosh Torabi explores in her book When She Makes More: 10 Rules for Breadwinning Women.
Author Farnoosh Torabi explains that “breadwinning women” or those who make more money than their spouse, encounter a number of problems when they start a relationship with a less successful male partner. They are much more likely to receive the cold shoulder from their traditional family-oriented in-laws, and even from their own husbands. Furthermore, chances are that her man will always feel emasculated by how much she makes compared to his own wage.
After explaining the difference in salary between women and men in the United States from female doctors to her own personal situation, where she makes more than her husband and continued with how it affects the dynamics of a relationship: issues of control, respect, and even physical intimacy.
Torabi offers advice for helping readers avoid divorce. The best way is to keep communicating about money and understand each other’s emotions and feelings, especially the resentful ones that could lead to divorce. Torabi also reminded her readers about gender stereotypes – who is supposed to work harder in a marriage – and challenged them by saying we should not let our partner be the only one working hard outside of the home or bringing money home.
Torabi offers practical advice for breadwinning women that includes nine tips, including:
- Learn to manage money on your own before you get married.
- Talk about money early in the relationship.
- Conduct one-on-one finance meetings with each of your partner’s parents so they can get used to the idea.
Torabi also offers three golden rules for breadwinning women:
- Never Stop Being Your Partner’s Equal
- Don’t Make Your Partner Feel Like the Breadwinner While You’re At It
- Always Treat Each Other as Equals Regardless of Who Makes More Money
How to thrive in a relationship when you’re the richer half
For the top-earning woman, the rules are different. She faces a much higher risk for burnout, infidelity, and divorce. In this highly practical book, financial guru and media star Farnoosh Torabi—a breadwinner herself—presents a bold strategy that not only addresses how income imbalances affect relationships and family dynamics, but also how a woman can best manage (and take advantage of) this unique circumstance—emotionally, socially, and financially.
Among the rules:
• Rewrite the Fairy Tale: Come to grips with the new landscape for dating, marriage, and ever after.
• Find Your Favorite Position: Stay on top of the finances while allowing your partner to lead.
• Don’t Settle for a Mr. Mom: The math may conclude it’s best for him to quit his job to become the primary caregiver, but there’s far more to consider.
• Don’t Make His Life Too Easy: How outsourcing and paying for help can backfire.
With eye-opening stories and a survey of one thousand people, this book will appeal to fans of The End of Men and The Richer Sex. Torabi helps us embrace this new reality and make it work.Source: Amazon | When She Makes More: 10 Rules for Breadwinning Women
The tenth book on our list of the Best Personal Finance Books, Retire Before Mom and Dad is a book about the different stages of retirement written by Rob Berger, who wanted to retire before his parents but ended up getting fired at age 63. The author’s goal is to help people get started with their own retirement plans while they are young so that they can have enough time to save and prepare for the future.
The first chapter of the book is titled “How Rich Are You?” and it discusses how people can assess their own personal wealth through a series of questions about what they value in life both financially and emotionally. The author encourages readers to take inventory of their lives, what they really want out of life, and if they are getting what they want.
Chapter two is titled “Retirement” and it discusses how retirement has changed over the past few decades, becoming more of a movement towards people having fulfilling lives rather than just waiting until age 65 to stop working. The new definition of retirement includes leaving work on your own terms or transitioning into something else that still makes you feel fulfilled.
Chapter three is titled “How to Retire Early” and it discusses how people can plan for retirement while they are working, the different factors that will affect when someone can retire, and the best ways to save money early in life so that they have a good foundation of savings. The author also gives examples of real case studies of people who retired early or are on track to retire early.
Chapter four is titled “Retire Sooner” and it discusses why you should look at retiring sooner rather than later, even if that means possibly working in your 70s before you can officially retire. The author also talks about how many people end up living longer than they expect, so it is important to save money for the later years so you are not stuck unable to retire when you want.
Chapter five is titled “The Lure of Adventure” and it discusses how people can plan on traveling if they want to retire early, what type of lifestyle that might entail, and where they should go to find the best travel deals. The author also gives examples of people who retired early and took advantage of the freedom to explore the world on their own terms.
Chapter six is titled “Five Stages of Retirement” and it discusses how someone can plan for different stages in retirement, including whether they are trying to retire before or after certain milestones with their spouse and children. The author also discusses which stages of retirement can be most difficult, and how to deal with those difficulties.
Chapter seven is titled “Surviving Retirement” and it discusses what might happen if someone retires early and something unexpected happens later in life, such as a divorce or the death of a spouse. It also talks about how someone can find fulfillment if they are forced to retire early.
Chapter eight is titled “A Retirement Reading List” and it discusses how reading these books can influence someone’s mindset on retirement, whether that person wants to retire before their parents do or not. The author also recommends a few other book series for people interested in money management and a life on the road.
Chapter nine is titled “A Final Checklist” and it discusses some last tips for someone who wants to retire early, including how they should think of their life in terms of purpose rather than money, and visualizing what they want out of retirement before it actually happens so that there are no surprises later.
“Clear, accurate, insightful. This might be the best introduction to financial freedom I’ve ever found.” -J.D. Roth author and founder of GetRichSlowly.
Personal finance and investing don’t have to be complicated, intimidating or boring. Imagine having a guide to walk you through everything you need to chart a path to financial freedom. Forbes Deputy Editor Rob Berger has written your guide.
Find everything you need to get out of debt, control spending without painful budgets, manage multiple financial goals, and start investing for retirement. And yes, you’ll even learn how to retire early if FIRE (Financial Independence, Retire Early) is your goal.
Here are just a few of the topics covered:
The Money Audit: Learn how to save money without sacrifice. This step-by-step plan walks you through how to reduce your spending without changing your lifestyle.
FIRE Math: You’ll master the simple math behind early retirement. You’ll also be able to determine how your daily, weekly and monthly decisions affect your journey to financial independence.
Simple Investing: The days of being intimidated by mutual funds or the stock market are over. This book provides everything you need to build a simple investment portfolio that you can actually understand.
Retirement Accounts: From 401(k) and 403(b) accounts to a Roth IRA and HSA (Health Spending Account), you’ll learn how these accounts work. You’ll also get a simple plan you can follow to decide which accounts are best for you.
Get Out of Debt: Debt doesn’t have to hold you back from your financial goals. The book walks through a simple way to pay off your debt in a sensible way while still saving, investing, and pursuing other financial goals.
Life Experiments: Learn how your daily habits are affecting your finances and how you can master those habits by asking “what if” questions and running 21-day experiments.
The book is designed for anybody wanting to master their money, but is tired of all the complicated jargon.
Readers are already enjoying Retire Before Mom and Dad:
“I thoroughly enjoyed this book and will go back and re-read, study & refer to many of its sections. The author writes in plain English and provides some really smart advice about our money and some really cool suggestions & referrals.”-Wesley, Goodreads Review.
“Probably one of the most straight forward and easiest to understand personal finance books with simple next action items to set yourself up for success on your journey towards financial freedom.”-Jeffrey Diritto, Goodreads Review.Source: Amazon | Retire Before Mom and Dad: The Simple Numbers Behind A Lifetime of Financial Freedom
11. “Get Good With Money: Ten Simple Steps To Becoming Financially Whole” written by Tiffany The Budgetnista Aliche.
In the eleventh book on our list of the Best Personal Finance Books, “Get Good With Money: Ten Simple Steps To Becoming Financially Whole”, Aliche provides the reader with an easy list of do’s and don’ts to “getting good with money”. Each of the ten steps Aliche mentions in her book is introduced through a story from one of her followers. She does not claim to be a financial expert, rather she tells anecdotes about how she used to be bad with her money and how she became good. She does this is in order to relate to the reader and make them feel like they are not alone in their struggles, providing several examples of different situations that people can identify with.
The main point Aliche tries to convey through each of the ten steps is the fact that you have to have a plan when it comes to your money. Each step deals with a different aspect of being financially sound from having a budget, saving up 3-6 months’ worth of expenses, and investing in yourself. Aliche then takes the reader through how to achieve each step by breaking them down into smaller steps that are easier to follow. She provides several different tools for her readers to use on their own time in order to achieve the ten steps, like creating a monthly budget and setting up automatic withdrawals. Aliche also gives some advice on how to talk to your partner about money by making it fun and showing them how much you are worth. She shows the reader that being financially sound does not have to be a scary prospect, but rather something to look forward to with the tools she provides in “Get Good With Money”.
Know Your Worth
This is the first step to becoming financially sound is knowing what you are worth.
Figure Out Where Your Money Goes
Figure out where all your money goes, which involves creating a budget and tracking your spending. Aliche claims that having good spending habits will only come from knowing exactly where every dollar is going.
Save Up Three to Six Months of Expenses
Save up the money you have earned for a rainy day, even if it’s only $20-$200 per month. Aliche stresses the importance of saving every dollar you can for emergencies and keeping your savings account separate from your main account.
Live Within Your Means
Live within your means by spending less than you make and tracking your progress every month. Aliche stresses the importance of cutting back on what you spend on food, clothes, beauty products, and entertainment in order to save more money for emergencies and retirement. She also states that she is a big believer in getting rid of your bad habits and suggests people stop smoking, drinking, gambling, and eating out as a way to save money.
Invest In Yourself
Invest in yourself by continuing to educate yourself on how to improve your finances. Aliche states that the key to living within your means is teaching yourself how to spend your money wisely, which includes learning about all the different types of financial products.
Plan For The Long Term
Plan for the long term by securing your retirement through an IRA or 401k. Aliche stresses that not investing in yourself today will lead to living off the government when you retire.
File Your Taxes (Even If You Have to Do It Yourself)
File your taxes even if it’s by yourself, which Aliche claims will lead to saving money in the long term. She stresses that people have to educate themselves on tax breaks and different deductions in order to get the full amount of money back on their taxes.
Get Good With Credit
Get good with credit by doing your due diligence and checking your credit score every six months for free. Aliche stresses that you need to check your credit report regularly in order to notice any mistakes or fraudulent activity that would affect how much money you are spending on interest.
Get A Partner
Get an accountability partner- that will make you feel empowered and able to better achieve your goals. She also states that having an accountability partner will help you stay committed to saving money every month.
Build On Your Financial Freedom
Build on your financial freedom by sharing the information you have learned in this book with others. Aliche encourages her readers to share what they have learned with their family and friends in order to build a financially fit community that will help each other become stronger financially.
NEW YORK TIMES, WALL STREET JOURNAL, AND USA TODAY BESTSELLER • A ten-step plan for finding peace, safety, and harmony with your money—no matter how big or small your goals and no matter how rocky the market might be—by the inspiring and savvy “Budgetnista.”Source: Amazon | Get Good with Money: Ten Simple Steps to Becoming Financially Whole
“No matter where you stand in your money journey, Get Good with Money has a lesson or two for you!”—Erin Lowry, bestselling author of the Broke Millennial series
Tiffany Aliche was a successful pre-school teacher with a healthy nest egg when a recession and advice from a shady advisor put her out of a job and into a huge financial hole. As she began to chart the path to her own financial rescue, the outline of her ten-step formula for attaining both financial security and peace of mind began to take shape. These principles have now helped more than one million women worldwide save and pay off millions in debt, and begin planning for a richer life.
Revealing this practical ten-step process for the first time in its entirety, Get Good with Money introduces the powerful concept of building wealth through financial wholeness: a realistic, achievable, and energizing alternative to get-rich-quick and over-complicated money management systems. With helpful checklists, worksheets, a tool kit of resources, and advanced advice from experts who Tiffany herself relies on (her “Budgetnista Boosters”), Get Good with Money gets crystal clear on the short-term actions that lead to long-term goals, including:
• A simple technique to determine your baseline or “noodle budget,” examine and systemize your expenses, and lay out a plan that allows you to say yes to your dreams.
• An assessment tool that helps you understand whether you have a “don’t make enough” problem or a “spend too much” issue—as well as ways to fix both.
• Best practices for saving for a rainy day (aka job loss), a big-ticket item (a house, a trip, a car), and money that can be invested for your future.
• Detailed advice and action steps for taking charge of your credit score, maximizing bill-paying automation, savings and investing, and calculating your life, disability, and property insurance needs.
• Ways to protect your beneficiaries’ future, and ensure that your financial wishes will stand the test of time.
An invaluable guide to cultivating good financial habits and making your money work for you, Get Good with Money will help you build a solid foundation for your life (and legacy) that’s rich in every way.
Best Personal Finance Books Key Takeaways | “Get Good With Money“
12. “The Simple Path to Wealth: Your Road Map to Financial Independence and a Rich, Free Life” written by JL Collins
In the twelfth book on our list of the Best Personal Finance Books, “The Simple Path to Wealth: Your Road Map to Financial Independence and a Rich, Free Life”, JL Collins wrote about his own personal story of how he accumulated a fair amount of wealth. He recounts to the reader his early life and career as a businessman, then later on becoming a full-time stockbroker. After being laid off from a major brokerage firm during a recession in 1993, he decided to quit his job to pursue his lifestyle of being frugal.
As the years go by, he made sure that he lived below his means, spending on things that are necessary, while ignoring luxurious items. He said that by doing this trick, one is able to save money for future use and invest in value assets with a long-term perspective where the probability of losing money is small. He emphasized the importance of avoiding short-term risks in order to achieve financial freedom and become financially secure in the long run.
After living frugally for years, he was able to earn extra cash from his investments and decided to make a move to live out his dream life and retired at the age of 44. He also mentions the importance of having a positive mindset and pointed out that people should not be afraid to take risks because this will allow them to become successful in life.
The book ends with his assurance that by following his simple guide, anyone can become financially independent and live out dreams without worrying about getting old and dying poor.
“In the dark, bewildering, trap-infested jungle of misinformation and opaque riddles that is the world of investment, JL Collins is the fatherly wizard on the side of the path, offering a simple map, warm words of encouragement and the tools to forge your way through with confidence. You’ll never find a wiser advisor with a bigger heart.” — Malachi Rempen: Filmmaker, cartoonist, author and self-described ruffian
This book grew out of a series of letters to my daughter concerning various things—mostly about money and investing—she was not yet quite ready to hear.
Since money is the single most powerful tool we have for navigating this complex world we’ve created, understanding it is critical.
“But Dad,” she once said, “I know money is important. I just don’t want to spend my life thinking about it.” This was eye-opening. I love this stuff. But most people have better things to do with their precious time. Bridges to build, diseases to cure, treaties to negotiate, mountains to climb, technologies to create, children to teach, businesses to run.
Unfortunately, benign neglect of things financial leaves you open to the charlatans of the financial world. The people who make investing endlessly complex, because if it can be made complex it becomes more profitable for them, more expensive for us, and we are forced into their waiting arms.
Here’s an important truth: Complex investments exist only to profit those who create and sell them. Not only are they more costly to the investor, they are less effective.
The simple approach I created for her and present now to you, is not only easy to understand and implement, it is more powerful than any other.
Together we’ll explore:
Debt: Why you must avoid it and what to do if you have it.
The importance of having F-you Money.
How to think about money, and the unique way understanding this is key to building your wealth.
Where traditional investing advice goes wrong and what actually works.
What the stock market really is and how it really works.
Why the stock market always goes up and why most people still lose money investing in it.
How to invest in a raging bull, or bear, market.
Specific investments to implement these strategies.
The Wealth Building and Wealth Preservation phases of your investing life and why they are not always tied to your age.
How your asset allocation is tied to those phases and how to choose it.
How to simplify the sometimes confusing world of 401(k), 403(b), TSP, IRA and Roth accounts.
TRFs (Target Retirement Funds), HSAs (Health Savings Accounts) and RMDs (Required Minimum Distributions).
What investment firm to use and why the one I recommend is so far superior to the competition.
Why you should be very cautious when engaging an investment advisor and whether you need to at all.
Why and how you can be conned, and how to avoid becoming prey.
Why I don’t recommend dollar cost averaging.
What financial independence looks like and how to have your money support you.
What the 4% rule is and how to use it to safely spend your wealth.
The truth behind Social Security.
A Case Study on how this all can be implemented in real life.
Don’t let any of this intimidate you. Those that have gone before you say:
“….in his patented no-frills and often humorous style, JL makes it both approachable and simple. And powerful.”
“…effective message told in a visual, funny style.”
“…a refreshingly unique and approachable take on investing.”
“JL Collins has the gift of making boring financial concepts funny and interesting.”
“Instead of esoteric equations about measuring a stock’s alpha and comparing it to its beta, he lights up the campfire and starts telling stories.”
Enjoy the read, and the journey!Source: Amazon | The Simple Path to Wealth: Your road map to financial independence and a rich, free life
The thirteenth book on our list of the Best Personal Finance Books, The Automatic Millionaire by David Bach is a book about being financially stable. The main points of this book are as follows:
- Save 10% of your income
- Pay yourself first
- Invest in tax-advantaged accounts, such as 401(k), 403(b), and IRA’s (preferably Roth)
- Live on 90% of your after-tax income (the other 10% should go to retirement savings).
The Automatic Millionaire by David Bach follows the general financial and economic principles of saving and investing.
– The book talks about saving 10% of your income, which is a reasonable number to consider when trying to save money for later use or investment. Oftentimes people spend more than half their income working towards paying bills for necessities such as food and shelter. If you can allocate 10% of your income towards investments, you will be able to start saving for yourself and aim for financial freedom.
– Secondly, the book suggests that people pay themselves first. That is, make sure you invest in tax-advantaged accounts before considering any other expense. David Bach takes it a step further by telling us to actually take 10% of our after-tax income and pay it towards our retirement savings. This is again, a great step in the right direction for achieving financial freedom.
– Next, David Bach mentions that you should be able to live on 90% of your after-tax income. The other 10% will go towards saving for yourself in order to achieve financial freedom through dividend stocks and growth.
– Finally, the book tells you to invest in tax-advantaged accounts such as 401(k), 403(b), and IRA’s (preferably Roth). These accounts will help allow your money to grow faster with less taxable income. The US federal government actually does offer tax savings for people who choose these types of accounts.
– Another thing to take into consideration is that the book tells you to invest for growth, in order to get a high return on your investment. This will not only help generate more money but it will also keep up with inflation. The Automatic Millionaire by David Bach helps provide a step-by-step guide in achieving financial freedom and independence.
– One last thing to take into consideration is that the book tells you to invest for growth, rather than trying to play it safe with dividend stocks. Dividend stocks are great for providing a small return on your investment, however, you will not be able to generate enough money fast enough in order to achieve financial freedom. The book also suggests that you should invest for growth because dividend stocks are easily accessible, whereas investments in growth can be harder to access. The Automatic Millionaire by David Bach is an excellent book for generating money, without taking too much of a risk in the process of achieving financial freedom.
OVER 1.5 MILLION COPIES SOLD—#1 NEW YORK TIMES, WALL STREET JOURNAL, USA TODAY, BUSINESSWEEK BESTSELLERSource: Amazon | The Automatic Millionaire, Expanded and Updated: A Powerful One-Step Plan to Live and Finish Rich
What’s the secret to becoming a millionaire?
For years people have asked David Bach, the national bestselling author of Smart Women Finish Rich, Smart Couples Finish Rich, and Start Late, Finish Rich what’s the real secret to getting rich? What’s the one thing I need to do?
Now, in the newly revised The Automatic Millionaire, expanded and updated, David Bach is sharing that secret.
The Automatic Millionaire starts with the powerful story of an average American couple–he’s a low-level manager, she’s a beautician–whose joint income never exceeds $55,000 a year, yet who somehow manage to own two homes debt-free, put two kids through college, and retire at 55 with more than $1 million in savings. Through their story you’ll learn the surprising fact that you cannot get rich with a budget! You have to have a plan to pay yourself first that is totally automatic, a plan that will automatically secure your future and pay for your present.
What makes The Automatic Millionaire unique:
· You don’t need a budget
· You don’t need willpower
· You don’t need to make a lot of money
· You don’t need to be that interested in money
· You can set up the plan in an hour
David gives you a totally realistic system, based on timeless principles, with everything you need to know, including phone numbers, websites and apps, so you can put the secret to becoming an Automatic Millionaire in place from the comfort of your own home.
This powerful little book has the potential to secure your financial future. Do it once–the rest is automatic!
The Automatic Millionaire is one of the most popular financial books of our time. It was a runaway hit when it was first published in 2004, spending thirty-one weeks on the New York Times bestseller list and appearing at at number one simultaneously on the New York Times, USA Today, BusinessWeek, and Wall Street Journal business bestseller lists. It has sold over 1.5 million copies and been translated around the world in over a dozen languages. This is the first update since 2005 and includes updated information on taxes, investments, technologies and apps to automate your financial life as well as David’s latest systems for making the entire process even easier.
The fourteenth book on our list of the Best Personal Finance Books, “I Will Teach You To Be Rich” was Written by Ramit Sethi. The book is made for anyone who wants to take control of their money. He proclaims he can teach you to be rich by making six figures or more within the next few years. This is something that everyone should want because that’s what makes you free. The book is broken down into three parts, each containing several chapters.
Part One – Mindset
Chapter 1 – How Rich People Think.
Poor people blame it on other people. Rich people blame it on themselves. Everyone has the ability to get what they want out of life, but not everyone takes action on doing so. This chapter focuses on how you can make your actions matter by focusing more on your goals and thinking like a rich person.
Chapter 2 – Own Your Life.
Explains how your mindset has to change to be successful. There are three things that must take place: Destroy your old dream, give yourself a new narrative, and believe it. You have to convince yourself you can do what you think is impossible. Rich people tell themselves things like “I’ll figure it out” or “I’ll learn as I go.” Being able to adapt is key.
Chapter 3 – Money Beliefs.
Rich people have money beliefs that they carry with them through each day of their lives. They don’t even know they exist. You must find yours and understand how they affect your life. If you want to change, this is step one. | Explains the three types of money beliefs. Each holds a different meaning and affects each person in their own way: Money is good, money is bad, and money isn’t important. From here you can choose which type to get rid of in order to improve your life.
Chapter 4 – The Story of Your Life.
If you don’t take control of your story, you’re just the person everyone reads about. | Changing your mindset can change your story. You have to be able to get out of your comfort zone and navigate your way to where you want to go. To do so, you need five things: Confidence, clarity, ambition, energy, and guts.
Chapter 5 – How to Get Rich.
The process of getting rich is not a quick one. You have to put in the time and work before you can see any results. Lottery winners are proof of this because most lose it all within a matter of years. Once your mindset changes, everything else falls into place.
Part Two – Savings & Investing
Chapter 6 – Save Like You’re Poor.
You must change your mindset and realize that saving is not the same as deprivation. Rich people don’t deprive themselves of things; they just spend differently. If you can change the way you save, you’ll be more open to changing other areas of your life as well.
Chapter 7 – The Myth of the Gap.
No one sits down and creates a budget. They create spending plans which they try to make fit their lifestyle.
Chapter 8 – Fearless Retirement.
Retiring is not the end of your life, it’s just another phase that you can choose to embrace or shy away from. You must find something that fills the void. | You can take three steps to make sure your retirement is effective: Save, save, save; Invest in yourself; Live like no one else in order to save like no one else.
Chapter 9 – The Automatic Wealth System.
There’s always an easy way to do something and there’s always a hard way. For most people, their normal routine requires little work and brings in a steady stream of results. The hard way is when you take on more and make sacrifices to get ahead. The key is realizing which one gets you closer to your dream life.
Chapter 10 – Investing 101.
There are two types of investment: Active and Passive. You can’t beat the market, but you can get closer to it by investing passively. It’s better to use index funds instead of choosing individual stocks or trying to pick a winning mutual fund because your chances are slim. | To make money, you must start with yourself before anything else. Once your mind is right, nothing can stop you from getting what you want.
Chapter 11 – Investing 102.
There are many myths that circulate about investing and getting rich. Some of the most popular include: You need a high salary to invest, you have to be at a certain age before you can start, being financially literate gives you an edge over the market, etc. All these are just false.
Chapter 12 – Investing 201.
If you can get a 25% annual return on your money, the amount of money you have doubles in less than four years. This is what compounding is all about and it’s how rich people accumulate their wealth. By putting in $100 per month and using investments with returns over 10%, the process will double your money every 7 years. Even if you start late, you can still catch up by paying more into investments each month.
Chapter 13 – Investing 301.
As long as the public has money to invest, there will always be opportunities to make more inside of it. The stock market is not a place for amateurs; you have to know what you’re doing or else you’ll be taken advantage of. You need time, knowledge, and money in order to make the stock market work for you.
Chapter 14 – Investing 401.
The best way to make your money grow is by investing in yourself. No one can take away the skills that you learn or the knowledge that you gain. If you spend $10,000 on a class to learn how to manage your money and it ends up doubling or tripling your net worth over time, then you’ve made the same amount of money as someone who invested $25,000 and took their skills elsewhere.
Chapter 15 – Investing 501.
The stock market is a waiting game and it’s why most people fail. The key to investing is having the mental fortitude to keep going, even when you’re losing money. It takes time and you might lose some along the way, but that’s just part of the process. You must understand human psychology and how it works in order to be better than everyone else.
Chapter 16 – Investing On Autopilot.
Once you’ve started your investments and saved up enough money, your goal is to make it work without having to think about it at all. You want it to be effective so you don’t have to worry about the future, whether you’re growing older or entering retirement. The key is to automate your investing so you’re not doing more than what’s required.
Chapter 17 – Investing On Autopilot, Part II.
You can set up your investments with index funds by using a retirement account. Roth IRAs are useful because the money you contribute is already taxed, but they also fluctuate depending on market changes. Set up a taxable brokerage account if your money is not being taxed and you have less control over your investments. Control what you can, learn everything else, and keep going forward even when things get tough.
Chapter 18 – In Closing.
In order to be rich, people have to think differently about the world around them. They must be determined to never again do things the old way and to constantly work towards a better future that’s outside of their current conditions. You must first become a person who deserves money before anything else happens. It all starts within, so invest in yourself!
The groundbreaking NEW YORK TIMES and WALL STREET JOURNAL BESTSELLER that taught a generation how to earn more, save more, and live a rich life—now in a revised 2nd edition.Source: Amazon | I Will Teach You to Be Rich, Second Edition: No Guilt. No Excuses. No BS. Just a 6-Week Program That Works
Buy as many lattes as you want. Choose the right accounts and investments so your money grows for you—automatically. Best of all, spend guilt-free on the things you love.
Personal finance expert Ramit Sethi has been called a “wealth wizard” by Forbes and the “new guru on the block” by Fortune. Now he’s updated and expanded his modern money classic for a new age, delivering a simple, powerful, no-BS 6-week program that just works.
I Will Teach You to Be Rich will show you:
• How to crush your debt and student loans faster than you thought possible
• How to set up no-fee, high-interest bank accounts that won’t gouge you for every penny
• How Ramit automates his finances so his money goes exactly where he wants it to—and how you can do it too
• How to talk your way out of late fees (with word-for-word scripts)
• How to save hundreds or even thousands per month (and still buy what you love)
• A set-it-and-forget-it investment strategy that’s dead simple and beats financial advisors at their own game
• How to handle buying a car or a house, paying for a wedding, having kids, and other big expenses—stress free
• The exact words to use to negotiate a big raise at work
Plus, this 10th anniversary edition features over 80 new pages, including:
• New tools
• New insights on money and psychology
• Amazing stories of how previous readers used the book to create their rich lives
Master your money—and then get on with your life.
15. “The Money Manual: A Practical Money Guide to Help You Succeed On Your Financial Journey” written by Tonya B. Rapley
The fifteenth book on our list of the Best Personal Finance Books is “The Money Manual: A Practical Money Guide to Help You Succeed On Your Financial Journey” written by Tonya B. Rapley. Tonya B. Rapley is a financial counselor for ABC Company in Arizona. She has written this book to help people with their money problems and give them the tools they need to fix these problems with personal finance. The most important thing for people to know about money management is that there are many ways to use it to save your money.
Rapley talks about the basic concepts of personal finances, which are budgeting and saving money. She gives people different ways to find their spending habits and how people can control them. There are also chapters that talk about paying off debt, investing, saving for retirement, and using credit wisely.
Rapley also talks about how debt can be a heavy burden to carry and that people should try not to buy things on credit. If you do have debt, she says the best way to solve this is to make a commitment to pay it off as fast as you can. People shouldn’t use credit cards unless they know they can pay them off at the end of the month.
You don’t need fancy degrees or certifications to become a better manager of your money.
All you need is information designed for you that empowers you to take action. The Money Manual was designed to help you cut through the clutter that often leads to feeling overwhelmed and anxious.
In this book you will learn:
How to manage your money without feeling overwhelmed
A simple method for creating and implementing achievable financial goals.
Ways to use money as a tool to improve your life.
The best way for you to tackle financial basics such as budgeting, saving, improving or building credit, and eliminating debt.
How to navigate your student loan debt, understand your rights, and determine the best payment strategies available to you.
It’s time you move from financially insecure to secure.
This book will give you the skills and knowledge you need to improve your financial situation in the next 6 months—it’s a must have on your journey to financial well-being!Source: Amazon | The Money Manual: A Practical Money Guide to Help You Succeed On Your Financial Journey
The sixteenth book on our list of the Best Personal Finance Books, “The Psychology of Money” written by Morgan Housel is a book that addresses the concept of money and how it relates to psychology. The author uses historical events to explain his theories on why we value things the way we do, why we overvalue some things and undervalue others. He draws comparisons between groups in society and shows us where they may be similar in terms of how they value money. He is looking at the whole picture of money and how it affects all groups in society.
The author describes the idea that people value things more when they have less of them, even if it’s just a perception. For example, if you look at rich people versus poor people, they both think that their respective standards of living are the best. When you look at it deeper, poor people think having money will make them happy and rich people think more money will make them happier. The author explains that both sides see what they lack as valuable, even if it’s not an accurate opinion; they both believe their situation is better than the other. The psychology of money rests in the idea that people have different values and opinions on money, but they do not realize how skewed their perceptions are. People seem to think that if they just had more money, they would be happier. There is a whole story behind this notion and it has been going on for centuries.
The author uses the example of the housing market crash. The housing market crashed because of a bubble that had been building up for decades and finally popped. People thought they would win big if they bought houses and put zero money down, even though it was obviously not a good deal. They thought removing all of their money from the equation would leave them more room to make a profit because the value of the house would go up.
The author believes that people have a skewed view of how much money is worth, and he uses multiple examples to support this theory throughout his book. He talks about how having more or less money does not affect our lives in ways we think it will. If someone wins the lottery, for example, they think that it will change their lives for the better. It doesn’t turn out that way though, in fact, most people who win things like lotteries end up in bankruptcy because of their poor understanding of money. The author believes that we value these materialistic objects and we underestimate what we actually need to be happy.
In the end, we have to take care of our own happiness and money will not solve that.
Doing well with money isn’t necessarily about what you know. It’s about how you behave. And behavior is hard to teach, even to really smart people.Source: Amazon | The Psychology of Money: Timeless lessons on wealth, greed, and happiness
Money―investing, personal finance, and business decisions―is typically taught as a math-based field, where data and formulas tell us exactly what to do. But in the real world people don’t make financial decisions on a spreadsheet. They make them at the dinner table, or in a meeting room, where personal history, your own unique view of the world, ego, pride, marketing, and odd incentives are scrambled together.
In The Psychology of Money, award-winning author Morgan Housel shares 19 short stories exploring the strange ways people think about money and teaches you how to make better sense of one of life’s most important topics.
17. “A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing” written by Burton G. Malkiel
In the seventeenth book on our list of the Best Personal Finance Books, “A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing”, author Burton G. Malkiel talks about the ideas of the efficient market hypothesis and random walk theory as two major influential theories behind modern-day investing. In today’s market, big data is extremely valuable to anyone wishing to achieve success in the stock market. The book discusses how anyone can use big data to their advantage, and avoid making costly mistakes that could lead to an unproductive portfolio.
Burt G. Malkiel is an American economist who has worked closely with the efficient-market hypothesis (EMH) for decades, alongside other economists such as Eugene Fama. Malkiel has won several awards in honor of his work in finance and economics. He was awarded the John Bates Clark Medal in 1973, which is given every two years to economists under 40.
The efficient market hypothesis (EMH) states that all information is fully reflected in prices; thus, no one can consistently achieve returns in excess of average returns, except by chance.
Random walk theory states that the movement of a share’s price is unpredictable and will follow an apparently random pattern over time.
The main takeaway from this book is that it is not possible to ‘beat the market’ or gain an advantage by using any one strategy. If anyone were to succeed in finding the perfect strategy, someone else would immediately develop exactly the same strategy. The stock market is in a way like any other game where there are no shortcuts to winning, but it can be beaten if everyone works together and focuses on their strengths.
Burt G. Malkiel hopes that this book will convince individual investors that they should stop trying to beat the market and instead invest in index funds. He believes that investing is not a game, and it is important for everyone to consider their strengths and weaknesses when deciding on an investment strategy. A passive approach may seem boring for some, but Malkiel argues that his approach is better than anything else because of its honesty and peace of mind. In general, the book serves as a guide for investors in an attempt to diminish bias and cultivate a mindset that leads to better investment choices.
An efficient market is a market where asset prices fully reflect all available information resulting in no opportunity for “market-beating” returns, or excess return from stocks when compared with bond yields. In other words, if someone could predict which stocks would rise or fall, they could buy low and sell high. If this were possible, everyone else would immediately act upon the prediction as well. The person who made the prediction would become rich beyond imagination by trading up until the predicted price movement was just about to occur.
The efficient market hypothesis is a model that explains why investors face a tough challenge when trying to identify mispricing in the market. It’s based on three assumptions:
1) Investors can trade anonymously and instantaneously with one another without any information or transaction costs.
2) All assets are perfectly divisible into smaller units, so there is a large number of tradable stocks at any point in time.
3) Investors’ expectations about future asset prices are correct. There is no price bubble or market crash.
The Price = Value assumption is the most important assumption in support of the efficient-market hypothesis. If this is true, any information available to the public today must be quickly reflected in stock prices without delay.
The best investment guide money can buy, with over 1.5 million copies sold, now fully revised and updated.In today’s daunting investment landscape, the need for Burton G. Malkiel’s reassuring, authoritative, and perennially best-selling guide to investing is stronger than ever. A Random Walk Down Wall Street has long been established as the first book to purchase when starting a portfolio. This new edition features fresh material on exchange-traded funds and investment opportunities in emerging markets; a brand-new chapter on “smart beta” funds, the newest marketing gimmick of the investment management industry; and a new supplement that tackles the increasingly complex world of derivatives.Source: Amazon | A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing by Burton G. Malkiel
18. “The Bogleheads Guide to Investing” written by Taylor Larimore, Mel Lindauer and Michael LeBoeuf
The eighteenth book on our list of the Best Personal Finance Books is “The Bogleheads Guide to Investing”. Written by Taylor Larimore, Mel Lindauer, and Michael LeBoeuf, this book is a beginner’s guide to building wealth through investing in common stocks, mutual funds, and other securities. The authors provide a sound foundation for beginning to invest by giving you a fundamental knowledge of how the stock market operates and what risks are involved when people purchase shares of stock.
The nine chapters covered in this book include Chapter 1-Stocks, Bonds and Bills; Chapter 2-Investing for the Long Run; Chapter 3-Getting Started; Chapter 4-Setting Your Objectives; Chapter 5-A Winning Strategy; Chapter 6-Sensible Investing; Chapter 7-Common Sense on Mutual Funds; Chapter 8-Portfolio Construction and Management; and, Chapter 9 – Putting it All Together.
This book is about taking control of your financial destiny. As the reader, you will learn how to manage your investments for success. You will also learn that building wealth through successful investing isn’t nearly as difficult or mysterious as Wall Street would like you to believe!
The irreverent guide to investing, Boglehead style
The Boglehead’s Guide to Investing is a DIY handbook that espouses the sage investment wisdom of John C. Bogle. This witty and wonderful book offers contrarian advice that provides the first step on the road to investment success, illustrating how relying on typical “common sense” promoted by Wall Street is destined to leave you poorer. This updated edition includes new information on backdoor Roth IRAs and ETFs as mainstream buy and hold investments, estate taxes and gifting, plus changes to the laws regarding Traditional and Roth IRAs, and 401k and 403b retirement plans. With warnings and principles both precisely accurate and grandly counterintuitive, the Boglehead authors show how beating the market is a zero-sum game.
Investing can be simple, but it’s certainly not simplistic. Over the course of twenty years, the followers of John C. Bogle have evolved from a loose association of investors to a major force with the largest and most active non-commercial financial forum on the Internet. The Boglehead’s Guide to Investing brings that communication to you with comprehensive guidance to the investment prowess on display at Bogleheads.org. You’ll learn how to craft your own investment strategy using the Bogle-proven methods that have worked for thousands of investors, and how to:
Choose a sound financial lifestyle and diversify your portfolio
Start early, invest regularly, and know what you’re buying
Preserve your buying power, keeping costs and taxes low
Throw out the “good” advice promoted by Wall Street that leads to investment failure
Financial markets are essentially closed systems in which one’s gain garners another’s loss. Investors looking for a roadmap to successfully navigating these choppy waters long-term will find expert guidance, sound advice, and a little irreverent humor in The Boglehead’s Guide to Investing.Source: Amazon | The Bogleheads’ Guide to Investing
19. “Why Didn’t They Teach Me This in School?: 99 Personal Money Management Principles to Live By” written by Cary Siegel
The nineteenth book on our list of the Best Personal Finance Books, “Why Didn’t They Teach Me This in School?: 99 Personal Money Management Principles to Live By”, is a book on how anyone can better manage their money. The author explains why personal finance relates to everyone and helps readers understand the demands of our current financial system through history, politics, culture, and life. Throughout the book, the author uses many different examples from himself as well as others to describe each principle he discusses. Each chapter ends with a ‘Frankl’ to bring the book together and help readers use this information in their everyday life. The author never asks the reader to believe all of his advice, but rather use it as a way to think about a different point of view.
Chapter 1-6: History and Systems
Chapter 1 starts with a question that many people have asked themselves at some point in their life: “Why didn’t they teach me this in school?” The author writes about how he wishes someone would have given him a guidebook to help make sense of it all after leaving high school. The book then dives into the history of money and financial systems.
Chapter 2 describes the current financial system the author lives in, including many elements like banks and how money can be transferred. The chapter also discusses how there are three different categories of debt: consumer debt, business debt, and national debt.
Chapter 3 dives into the history of banking and fiat currency. The History section describes how societies used to trade using bartering or other forms of exchange, then slowly transitioned into using gold or precious metals to trade.
Chapter 4 talks about the history of credit cards and how they have become so common. Readers will learn about places that used to be cash-only like strip clubs and other businesses where customers would show up with stacks of money to spend on services. These days it’s easier than ever to get credit, which is what makes the chapter so interesting.
Chapter 5 describes how the housing market has changed over time, but also talks about inflation and deflation in terms of real estate. Many factors go into determining whether a home will increase or decrease in value, including age, size, location, renovations done on the property, etc.
Chapter 6 talks about the history of investments and how they’ve changed over time. There are many types of investments for people to make, including financial markets like commodities or stocks, but also other forms like social impact or vintage clothing. The author discusses different ways to invest wisely and how it’s important to know historical data on prices before making any type of investment.
Chapter 7-10: Financial Planning
Chapter 7 explains how professional financial planners are important to have in order to help anyone take their money to the next level. The author touches on topics like brokers, fees, and tax implications. This section also lists different types of investments that people can make. If an individual invests in the stock market, they should be aware of how different types of stocks can affect their money. Some examples mentioned in the chapter include growth companies, value companies, and income-producing securities.
Chapter 8 discusses the importance of having a financial plan that everyone commits to following. Everyone has a long-term goal for their financial future, but many people don’t know how to get started or put their ideas into practice. The author gives advice on how people can learn more about personal finance, both online and through books.
Chapter 9 talks about budgeting for individuals in order to take control of their finances. Many people do not start this process until they are already in debt, but if people can learn from the beginning they will have a much better chance of overcoming their problems. The author discusses many topics in this chapter, including how to create a budget that is accurate and suitable for different types of people. People need to be able to consider things like mortgage or rent payments, utility bills, car notes or leases, etc. when creating a budget. They will also need to think about their total income and see where that money is going.
Chapter 10 discusses the new financial order of millennials, which includes new rules for purchasing a home, saving money, and investing in retirement accounts. The final sentence of this chapter reads “There is no right answer when it comes to personal finance. It’s about what is right for you”. This statement summarizes the entire chapter, which lists many new changes like buying homes later in life and investing differently than previous generations did.
The final section
The final section of the book goes over negotiation tactics.
Chapter 11 discusses how to avoid getting tricked when buying or selling an item. The author encourages readers to go into negotiations with an agreement in mind, which can help ensure that they don’t get tricked into buying too much or too little.
Chapter 12 talks about how to effectively negotiate salary for a job, including helpful tips like letting the other party make the first offer and not giving away your current salary information if it’s not necessary.
Chapter 13 explains why giving gifts can sometimes hurt people’s finances. People may overspend when they give gifts because they associate them with celebration and happiness, which is a time to spend money. The author encourages readers to keep the prices of gifts in mind and gives tips on how to save money when giving presents.
Chapter 14 talks about the importance of charitable donations, both to non-profits and to people in need. The author discusses research that found that donating money makes people happier than spending it on themselves, which is important because the cost of living is constantly rising. People can help society by giving their time as well as their money for good causes like children’s charities, hospitals, and organizations like Meals on Wheels.
Chapter 15 talks about how to nurture a relationship with your bank. People need to feel comfortable with the person at their bank who they talk to the most, and the author recommends seeing them as more than just someone who can give or take away money. This chapter also provides information on how people can make sure their finances are in good condition before any kind of major purchase.
Chapter 16 explains the importance of getting good legal advice so people don’t get taken advantage of by contract terms they do not understand. People need to have someone they trust look over any documents that are important, including rental agreements, loan agreements, etc., before signing them or committing to anything. Chapter 17 discusses how to use alternative methods of help for people who are having financial problems. Community organizations, credit counseling agencies, and legal aid can all be helpful if people need someone to talk to or advice on what to do next.
Chapter 18 talks about the importance of looking forward in life instead of back at past mistakes. Mistakes are okay as long as people learn from them and do their best not to repeat them. The final sentence of this chapter says “Mistakes are okay as long as we realize what they cost us and make the necessary changes”.
Bestselling 5 Star Graduation Gift for both College and High School grads! Recommended by eBay, Forbes, Lifehack, Elite Daily, Real Simple and Bustle. Why do high schools and colleges require students to take courses in English, math and science, yet have absolutely no requirements for students to learn about personal money management?Why Didn’t They Teach Me This in School? 99 Personal Money Management Lessons to Live By was initially developed by the author to pass on to his five children as they entered adulthood. As it developed, the author realized that personal money management skills were rarely taught in high schools, colleges and even in MBA programs. Unfortunately, books on the subject tend to be complicated, lengthy reads. The book includes eight important lessons focusing on 99 principles that will quickly and memorably enhance any individual’s money management acumen. Unlike many of the personal money management books out there, this book is a quick, easily digested read that focuses more on the qualitative side than the quantitative side of personal money management. The principles are not from a text book. Rather, they are practical principles learned by the author as he navigated through his financial life. Many are unorthodox in order to be memorable and provoke deeper thought by the reader.Not only an excellent graduation gift for high school and college students but also a great read for any adult! ALSO AVAILABLE IN SPANISH – “POR QUE NO ME ENSENARON ESTO EN LA ESCUELA?”Source: Amazon | Why Didn’t They Teach Me This in School?: 99 Personal Money Management Principles to Live By
In the twentieth book on our list of the Best Personal Finance Books, “Raising Financially Fit Kids” by Joline Godfrey, the author begins with her own personal story about how her father was incarcerated and the effects it had on her family. She goes into great detail about what happened after his incarceration and how they dealt with it financially; this really helps the reader understand where she’s coming from. It is amazing that even though her father was incarcerated, she still has a positive outlook on life and strives to make it better for herself and others.
Joline goes into depth about the importance of financial education in young children; this is essential because they are not able to make money or earn money but they can save what they do have. She gives three reasons why children should be given financial education: they are not born with money, but they are born with the ability to earn it; their understanding of money is incomplete, and children should learn how to become financially responsible before they turn 18 because that’s when many life-changing events occur.
She insists that the best way children can learn about money and cash flow is to explain it through real-life examples; this makes the information more approachable for them. Another way children can develop their understanding of personal finance is by starting an allowance at a young age and allowing them to earn even more as they grow older or take on more responsibility. An important point she discusses is not to use money as a way of controlling their children’s behavior because that leads them to resent it later on in life.
Another point she makes is that you should teach your children how credit works if they are going to have any, even if it is just for emergencies; this will help them understand why they need to pay credit cards on time. When they start getting a job, it is important to communicate with them about their spending and saving money. Godfrey emphasizes that implementing these ideas from an early age will help your child grow into being a financially responsible adult.
This combination parenting and personal finance book helps parents teach their children key money skills–such as saving, spending, budgeting, investing, building credit, and donating–that they’ll need to become financially secure adults.Source: Amazon | Raising Financially Fit Kids, Revised
In this updated edition of Raising Financially Fit Kids, Joline Godfrey shares knowledge gleaned from two decades of preparing children and families for financial independence and stewardship, philanthropic effectiveness, and meaningful economic lives. At the heart of the book are three big ideas:
• Financial education is not just about the money; it’s
about building great families and raising self-confident kids who have the tools to realize their dreams.
• Financial sustainability means living within one’s means and acquiring skills to create and manage human and financial capital.
• Giving wisely is a global citizen’s responsibility.
Designed for parents, grandparents, mentors, advisors, and educators, Raising Financially Fit Kids uses ten core money skills applied across five developmental life stages: children, tweens, middle schoolers, high schoolers, and twenty-somethings. Each stage includes age-appropriate activities that make financial fitness fun, from mall scavenger hunts to financial film festivals.
In this global economic landscape, we all need financial fluency. Whether your child is five, fifteen, or twenty-five years old, it’s never too late to teach financial literacy. Raising Financially Fit Kids prepares your children for the complexities of living in a global economy and helps your family up your game from good to great.
The twenty-first book on our list of the Best Personal Finance Books, “The Total Money Makeover” written by Dave Ramsey, is aimed at getting families to get their finances in order so they can get on track for financial freedom.
Dave Ramsey, America’s most respected authority on debt-free living, challenges and equips you to take control of your money once and for all. On Dave’s show, The Money Game®, thousands of callers have gotten the straight talk about the money they need to break free from financial bondage and rediscover true prosperity. Now, for the first time ever, listeners can access that same straightforward advice in book form—a tool to transform their lives just as it has transformed millions of others.
In the pages of this straightforward primer, you’ll find simple steps and concrete strategies to:
– Establish a rock-solid foundation in your relationship with money.
– Chart a sure course for a secure future.
– Reconcile irreconcilable paydays (such as Christmas).
– Enhance an emergency fund.
– Build wealth by buying—and living in—a house that’s right for your family.
– Design life of meaning and significance, not just material success.
The Total Money Makeover will guide you to a completely debt-free lifestyle filled with the peace of mind, true prosperity, and the security of knowing you are free to live the life you want, not the one you’re stuck with.
New York Times bestseller! More than Five million copies sold!
You CAN take control of your money. Build up your money muscles with America’s favorite finance coach.
Okay, folks, do you want to turn those fat and flabby expenses into a well-toned budget? Do you want to transform your sad and skinny little bank account into a bulked-up cash machine? Then get with the program, people. There’s one sure way to whip your finances into shape, and that’s with The Total Money Makeover: Classic Edition.
By now, you’ve heard all the nutty get-rich-quick schemes, the fiscal diet fads that leave you with a lot of kooky ideas but not a penny in your pocket. Hey, if you’re tired of the lies and sick of the false promises, take a look at this—it’s the simplest, most straightforward game plan for completely making over your money habits. And it’s based on results, not pie-in-the-sky fantasies. With The Total Money Makeover: Classic Edition, you’ll be able to:
Design a sure-fire plan for paying off all debt—meaning cars, houses, everything
Recognize the 10 most dangerous money myths (these will kill you)
Secure a big, fat nest egg for emergencies and retirement!
Includes new, expanded “Dave Rants” sidebars tackle marriage conflict, college debt, and more. All-new forms and back-of-the-book resources to make Total Money Makeover a reality.
Dive deeper into Dave’s game plan with The Total Money Makeover Workbook: Classic Edition. The Total Money Makeover: Classic Edition is also available in Spanish, transformación total de su dinero.Source: Amazon | The Total Money Makeover: Classic Edition: A Proven Plan for Financial Fitness
22. “Rich Dad Poor Dad for Teens: The Secrets about Money–That You Don’t Learn in School!” written by Robert T. Kiyosaki
The twenty-second book on our list of the Best Personal Finance Books is “Rich Dad Poor Dad for Teens: The Secrets about Money–That You Don’t Learn in School!”. Written by Robert T. Kiyosaki, this book is written with the intention of teaching teens how to have a successful financial life. It tells readers that if they want to be rich they have to learn about money and that they won’t learn in school.
This book is a collection of anecdotes from his own life as well as the life of his best friend’s son. Robert learned lessons about money from his “Rich Dad”, and he wanted to share those lessons with readers so that they too could learn to be financially stable and independent.
Robert starts out by telling readers that there are two different types of people: those who work for money, and those who have money work for them.
He says that being poor, middle class or even wealthy are not good enough reasons to have money work for you. He also tells readers that they need an “emotional financial plan” so people can feel comfortable with their money decisions and be prepared to take care of themselves financially.
Robert refers to the lessons he learned from his “Rich Dad” as the “lessons of money”.
The first lesson is that knowledge equals power, and once you learn how to play the game, you will win.
He also says that information isn’t enough because even if someone knows everything there is to know about how credit cards work or what interest rates are–that’s still not enough. He says that “smart people” are the ones who learn how to buy companies with money, so they can sell them for more.
Having an open mind is another important lesson about having money work for you, he tells readers that it is very difficult for someone who has always been poor to suddenly become rich–because their mind will go back to what they grew up with.
However, Robert then talks about how it is possible for someone who has always been wealthy, to lose everything they worked for and become poor (because they grew up in a different environment). He says that both of these things are good examples of why we need an “emotional financial plan”.
The next lesson is to get out of the “Rat Race”, meaning stop working for money and have money work for you. He says that someone who works for money can never have enough–because there will always be more bills that need to be paid. However, someone who has their money work for them will always be able to make more money, and will always have a safety net.
The fourth lesson is to “mind your own business,” which is important because when you mind other people’s business you are letting them control you–and that’s why most poor or middle-class people can’t get ahead in life. He says it doesn’t matter what you’re good at, just find something that is profitable and work it.
The fifth lesson about money is to “create multiple sources of income”. He says that the more places your money come from; the more secure you are–because if one place fails, other sources will continue to make money for you.
Robert also talks about how people can get trapped by their work, and that they need to find the right balance between work-life and family/home life. He says that because most businesses are run by men, women have trouble getting ahead in business even if they are just as intelligent or educated as their male counterparts.
The sixth lesson is about taxation. He explains how most people will work for money, but the government takes taxes right off of their paycheque so not only are they working all the time to make enough money for themselves, but they are also working to give it away.
The seventh lesson is about “specialization”. He says that everyone has had an experience where they don’t know how to do something–so they ask a specialist to help them with it. He gives the example of going to the dentist because you don’t know how to fix cavities or going to an accountant because you don’t know how taxes work.
Robert says that as soon as people find out what they’re good at and what they enjoy doing, then they should try to become the best at that thing. He says that once someone becomes specialized in their field, they can control their own destiny and make money while they’re sleeping.
The last lesson is to focus on buying good business rather than renting property–because when you are renting something, it never gets paid off. He says that if you are patient, it is better to buy good business- because most companies don’t last long.
Robert talks about how he made his first million at the age of 29 with no money or experience–because he found a few “good deals” and invested in them wisely. He also tells readers that one way to get the education they need to be successful is by reading books about money and success.
****Small trim size that fits in your pocket****
You’re never too young to learn the language of money… and the lessons that rich dad taught Robert. Like it or not, money is a part of our everyday lives and the more we understand it, the better the chance that we can learn to have our money work hard for us—instead of working hard for money all our lives. That starts with learning the language of money.
This book, created from the international bestseller Rich Dad Poor Dad, shares Robert’s inspiring person story but teaches how to make smart choices. Packed with straight talk, sidebars, and quizzes, this book will jumpstart a child’s personal and financial success by teaching: How to speak the language of money, ways to make money work for you, tips for success (including: “Work to learn, not to earn.”), and why games can help you understand money, investing, and ways to choose your best path to financial freedom.Source: Amazon | Rich Dad Poor Dad for Teens: The Secrets about Money–That You Don’t Learn in School!
The twenty-third book on our list of the Best Personal Finance Books, “Principles: Life and Work” written by Ray Dalio, is a business book that talks about the history, principles, and thoughts of the author. The author has a clear message in mind: Life is both simple and complicated that needs principles to live by.
The book was written by Ray Dalio. He graduated from Long Island University with a bachelor’s degree in finance and accounting in 1975. Later on, he worked at several companies including the New York mercantile exchange where he started his own company Bridgewater Associates in 1975. Now, this company is one of the biggest hedge funds worldwide.
Later on, Dalio wrote down his principles which make up most of the book “Principles: Life and Work” written by Ray Dalio.
The first part of the book talks about the history and the evolution of Dalio’s love for trading and his idea to become a “depression-era kid.”
He was inspired and got hooked on trading at a very young age. He also talked about how he started his company Bridgewater Associates, leading to the first part of “Principles: Life and Work” written by Ray Dalio.
The second part talks about the principles that he has learned throughout his life which is composed of 5 parts. These are the “life playbook”, “truths about reality”, “how to make good decisions”, “principles for interacting with others”, and “how to manage your life.”
The last part of “Principles: Life and Work” written by Ray Dalio is about the keys that Dalio use throughout his career including how he started Bridgewater Associates and led them to success and dealing with people according to their culture.
In conclusion, “Principles: Life and Work” written by Ray Dalio is a book that talks about the author’s thoughts, principles, and career. It was inspired by the financial crisis in 2008 but reached its popularity over time as it was published on April 5th, 2017. The book has a clear message throughout the book, which is to adhere to principles. And it talks about how principles can apply in all aspects of life, not just business or money. Dalio was able to maximize his career and life because he had the right set of principles that he stuck through.
#1 New York Times BestsellerSource: Amazon | Principles: Life and Work
“Significant…The book is both instructive and surprisingly moving.” —The New York Times
Ray Dalio, one of the world’s most successful investors and entrepreneurs, shares the unconventional principles that he’s developed, refined, and used over the past forty years to create unique results in both life and business—and which any person or organization can adopt to help achieve their goals.
In 1975, Ray Dalio founded an investment firm, Bridgewater Associates, out of his two-bedroom apartment in New York City. Forty years later, Bridgewater has made more money for its clients than any other hedge fund in history and grown into the fifth most important private company in the United States, according to Fortune magazine. Dalio himself has been named to Time magazine’s list of the 100 most influential people in the world. Along the way, Dalio discovered a set of unique principles that have led to Bridgewater’s exceptionally effective culture, which he describes as “an idea meritocracy that strives to achieve meaningful work and meaningful relationships through radical transparency.” It is these principles, and not anything special about Dalio—who grew up an ordinary kid in a middle-class Long Island neighborhood—that he believes are the reason behind his success.
In Principles, Dalio shares what he’s learned over the course of his remarkable career. He argues that life, management, economics, and investing can all be systemized into rules and understood like machines. The book’s hundreds of practical lessons, which are built around his cornerstones of “radical truth” and “radical transparency,” include Dalio laying out the most effective ways for individuals and organizations to make decisions, approach challenges, and build strong teams. He also describes the innovative tools the firm uses to bring an idea meritocracy to life, such as creating “baseball cards” for all employees that distill their strengths and weaknesses, and employing computerized decision-making systems to make believability-weighted decisions. While the book brims with novel ideas for organizations and institutions, Principles also offers a clear, straightforward approach to decision-making that Dalio believes anyone can apply, no matter what they’re seeking to achieve.
Here, from a man who has been called both “the Steve Jobs of investing” and “the philosopher king of the financial universe” (CIO magazine), is a rare opportunity to gain proven advice unlike anything you’ll find in the conventional business press.
24. “Financial Freedom: A Proven Path to All the Money You Will Ever Need” written by Grant Sabatier
The twenty-fourth book on our list of the Best Personal Finance Books is “Financial Freedom: A Proven Path to All the Money You Will Ever Need” written by Grant Sabatier. The book starts with Grant’s upbringing when he was young and the financial situation his family was in. He always knew that he had to get a high-paying job, and after college, he did just that – only to realize it wasn’t making him happy. Once Grant realized how important of a factor happiness is in the overall success of a person, he decided to calculate how much money one actually needed in order to live a comfortable life. With the help of this new, calculated number of money – $1,000,000 in savings – Grant set out on his path to financial freedom. At first, he was spending like crazy and putting off saving for retirement or investing it into anything else. Slowly but surely, he started to realize his mistakes and how it was hurting him financially. He soon became very interested in learning about money management, investments, taxes, stocks…anything related to not losing money rather buying things for less. After 2 whole years – which is basically an eternity in the investing industry- Grant had reached financial freedom. His book is a how-to manual for people to follow and learn from, so they too can reach financial independence.
Chapter 1: Living paycheck to paycheck? – The first step towards reaching financial freedom is understanding what you’re doing wrong with your money. By living on the same budget month after month, these people usually have no idea how much money is coming in and going out. To find it out, one needs to keep track of all their expenses, whether it’s their phone bill or food shopping. Once one has a clear idea of where the money goes every month, one can start changing things around and optimizing their spending habits. By doing so, one can save 30 percent of their income every month.
Chapter 2: Why do we work? – In order to reach financial freedom, it’s important to be able to understand the reasons why we spend money and invest it in the first place. For example, investments are a form of savings for later on down the road; when one is still young and working for a company. What people don’t realize is that they are actually the ones working for their money – as opposed to it being the other way around. The more one invests, the less work they have to do later on in life.
Chapter 3: Why you should invest early on and use compound interest and dividends– This chapter talks about how all the money one is putting away in their savings for later on in life can add up and grow, making them richer than they would be if they had just spent that same amount of money when it came in. By investing early on though, one takes advantage of compound interest – which basically makes people rich if their money grows at a good rate. Dividends are profits that a company pays to its shareholders. Every investor gets paid dividends for being a part of the company, and just by holding onto one’s stocks – instead of selling them off – these people can get dividends as well. Once you reach financial freedom, you are able to live on your dividends alone since the money isn’t invested anymore – it’s already made its way to you.
Chapter 4: Stock dividends– Stocks are another investment tool one can use to make more money. They can be bought and sold on exchanges (exchange markets). When one buys stocks, he/she is basically buying ownership of a company; part of the company belongs to them. Then, that company goes out and makes money – usually in the form of dividends. These are profits that come every quarter; investors usually get them through their broker (or stock trading account) automatically.
Chapter 5: Stock market volatility– To someone who doesn’t follow the stock market, it can seem like nothing but chaos. The fact is, though, the market has no choice but to keep going up and down, based on the company’s performance – or how well it is doing. This makes it hard for someone to choose whether or not they want to invest their money into stocks; since there is no telling what the next day will look like. The best thing one can do before investing is to buy something called “insurance”. This is basically a contract someone signs with their broker so that if the stock they are buying drops dramatically in price, they are not losing money on them.
Chapter 6: Mutual funds– Investing in things like mutual funds can be another way to make more money. People who choose this option are basically investing in a compilation of different stocks. Instead of picking them one by one, they let someone else do it for them. This way, the person is still getting the same amount of money back as if they were to pick out each individual stock themselves – but without all the hassle that goes along with doing so. The only downside here though is that the person in charge of doing it for you isn’t going to do a better job than you would if you were picking out stocks yourself.
Chapter 7: Bonds– These are basically IOUs given to someone by an organization or company; whoever takes the bond agrees to pay them back at some point in time – and in a set amount of money. This is considered risky by many people because the company that issues the bond could go bankrupt and not have enough money to pay you back – but this risk comes with a reward as well. People who take out these bonds are usually getting them from companies that have really good reputations, so there is less of a chance of them going bankrupt. Many people use these as a way to earn interest on their money – and the longer the bond is, the higher the interest rate it comes with.
Chapter 8: Stocks vs. bonds– This chapter talks about how each investment has its perks and downfalls so someone has to choose which one they want to go with. For example, if someone wanted to invest in bonds – they would be able to get a good return on their money. Bonds also come with less risk than stocks do. The downside though is that you can’t control the company you’re investing in; instead, trust someone else to do it for you. This is why some people prefer stocks over bonds. In terms of risk, they are a little riskier than bonds since you have to pick the companies yourself.
Chapter 9: Index funds– Index funds are considered to be safer than mutual funds because instead of owning shares in many different companies, the investor owns a share in a “basket” – which is basically a group of companies that are in the same industry. This makes it easier for people who don’t know much about the stock market because they will be getting returns on all of them at once, rather than having to get returns from each one individually.
Chapter 10: Analysis– In this chapter, Grant talks about how he actually got started investing and what led him to where he is today. He ended up making $150,000 in his first year – which was when he realized that there might be something to this investing thing. He now spends most of his time thinking about how he can make more money than what he’s already doing.
Chapter 11: Automation– This chapter talks all about automation, which is Grant’s favorite thing to do when it comes to investing. He basically invests through an automated service; which makes it easier for him since he doesn’t have to worry about anything that has to do with money anymore. He has someone else invest everything for him, and then sends him reports on how much they’ve made every few days.
The International BestsellerSource: Amazon | Financial Freedom: A Proven Path to All the Money You Will Ever Need
“This book blew my mind. More importantly, it made financial independence seem achievable. I read Financial Freedom three times, cover-to-cover.”
Money is unlimited. Time is not. Become financially independent as fast as possible.
In 2010, 24-year old Grant Sabatier woke up to find he had $2.26 in his bank account. Five years later, he had a net worth of over $1.25 million, and CNBC began calling him “the Millennial Millionaire.” By age 30, he had reached financial independence. Along the way he uncovered that most of the accepted wisdom about money, work, and retirement is either incorrect, incomplete, or so old-school it’s obsolete.
Financial Freedom is a step-by-step path to make more money in less time, so you have more time for the things you love. It challenges the accepted narrative of spending decades working a traditional 9 to 5 job, pinching pennies, and finally earning the right to retirement at age 65, and instead offers readers an alternative: forget everything you’ve ever learned about money so that you can actually live the life you want.
Sabatier offers surprising, counter-intuitive advice on topics such as how to:
* Create profitable side hustles that you can turn into passive income streams or full-time businesses
* Save money without giving up what makes you happy
* Negotiate more out of your employer than you thought possible
* Travel the world for less
* Live for free–or better yet, make money on your living situation
* Create a simple, money-making portfolio that only needs minor adjustments
* Think creatively–there are so many ways to make money, but we don’t see them.
But most importantly, Sabatier highlights that, while one’s ability to make money is limitless, one’s time is not. There’s also a limit to how much you can save, but not to how much money you can make. No one should spend precious years working at a job they dislike or worrying about how to make ends meet. Perhaps the biggest surprise: You need less money to “retire” at age 30 than you do at age 65.
Financial Freedom is not merely a laundry list of advice to follow to get rich quick–it’s a practical roadmap to living life on one’s own terms, as soon as possible.
25. “The One-Page Financial Plan: A Simple Way to Be Smart About Your Money” written by Carl Richards
The twenty-fifth book on our list of the Best Personal Finance Books is “The One-Page Financial Plan: A Simple Way to Be Smart About Your Money” written by Carl Richards. Richards believes that there are three important people who need to be included in the financial planning process – you, your significant other, and your Certified Financial Planner. He also believes that financial goals should be written out on a single page, in order to expedite the goal-setting process. The chapter headings include:
Chapter 1: Three Financial People You Need to Talk To
– The person you used to be. This is the person who spent money without much thought and accumulated a lot of debt throughout their younger years. He or she needs to be in control in order for this financial plan to work long-term.
– Your future self. Your future self is the person who has made financial changes to become more responsible with their money. It is this person who can help you stop making bad decisions, even when other parts of your life are really busy.
– Your CFP® Professional. A Certified Financial Planner will be able to take all of your ideas and intentions for your financial future and put them into a clear, concise plan that is easy to follow.
Chapter 2: The One-Page Financial Plan
The goal of the one-page financial plan is to summarize your entire financial life onto one page. It is short enough that it’s easy enough for you to remember and show your spouse, who may not be involved in the financial planning process at all.
Chapter 3: Getting Started
Chapter 4: How Much Do I Need to Save?
– The Robo-advisor Wealthfront produced an interesting tool that can help you get a rough idea of what your retirement savings should look like. This is a great way to get started.
– The key idea behind this plan is to save 15% of your paycheck each month, in order to retire with the lifestyle you want at your age.
– There are some important questions that need to be answered before you can determine how much you should save toward retirement:
1) What do you want your retirement lifestyle to look like?
2) When do you want to retire?
3) What is your risk tolerance?
4. How Much Do You Need in Emergency Savings?
– This part of the plan should be completed before determining your monthly savings, and it might include:
1) Identifying how much you should save.
2) Identify the type of account where you will be saving your emergency fund.
– Richards recommends having between three and six months’ worth of expenses saved in an easily accessible savings account, such as a regular checking or savings account.
– You can determine how much money you need to save for your emergency fund based on the following equation:
Monthly expenses x months until you retire = the desired amount of savings.
– Richards also recommends keeping a cushion in your checking account, so that if an unexpected cost comes up, you will still have the money to pay for it.
– When determining how much extra money to put toward your emergency fund each month, Richards suggests saving 10% of your monthly expenses.
– If you only have $25 extra dollars per month to put toward savings, it is recommended that you save this money for retirement instead. It may be hard enough to set aside the minimum required amount of savings each month; saving what little extra money you have will be an even greater challenge.
– For those who make less than $30,000 per year, it may not make sense to save for retirement, as there are no tax benefits associated with saving money in a 401k or IRA account.
Chapter 5: How Much Do I Need for Retirement?
– Use the following equation to figure out how much you need to save for retirement:
Monthly expenses x months until you retire = the desired amount of savings.
– It’s important to remember that this equation does not include your yearly rate of inflation, which is usually around 2%. This means that if your monthly expenses are $2,000 per month, you will need around $2,000 * 12 months = $24,000 per year to support your lifestyle.
– A traditional rule of thumb says that if you plan to retire early (at age 62), you will only be able to draw on 4% of your retirement savings each year; if you want to retire at 70, you will be able to withdraw up to 5%. This rule of thumb takes taxes into account.
– It’s important to note that these are general guidelines, and retirees should seek professional financial advice before making any decisions based on this information.
Chapter 6: How Much Should I Save for My Children?
– Richards recommends saving 15% of your income toward college expenses.
– One of the most important things to consider when determining how much money you should save for your children is what kind of lifestyle they will be able to enjoy after attending college.
Chapter 7: How Much Do I Need in Retirement?
– While there are some basic guidelines, each person’s retirement plan should be tailored to their specific situation.
– Richards recommends figuring out how much you want to spend each year in retirement and multiplying this number by 25. The resulting amount is the minimum amount you need in savings upon retirement in order to have the lifestyle that you want at your age.
– This sum does not include inflation.
– If you have a 401k or IRA account, it’s important to remember that your funds will be taxed as income when you withdraw them. Withdrawing before the age of 59 can result in penalties and fees (unless there is an exception such as death).
– For those who are self-employed, it’s important to note that you will most likely need to pay multiple times more in taxes during the years you withdraw your retirement savings.
– It is also suggested that those looking for an additional source of income in their golden years look into annuities. There are many different types of annuities, and this is a personal choice that should be made and researched with professional financial help or advice.
Chapter 8: How Much Debt Should I Have?
– One of the first questions people often ask about their financial plan is to determine how much they should save and how much they should spend.
– In order to determine how much you should save, Richards suggests using the same equation as he did when determining how much you need for retirement: Monthly expenses x months until you retire = the desired amount of savings.
Whenever I tell people about my job as a financial advisor, the conversation inevitably turns to how hopeless they feel when it comes to dealing with money. More than once, they’ve begged, “Just tell me what to do.”
It’s no surprise that even my most successful friends feel confused or paralyzed. Even if they have a shelfful of personal finance books, they don’t have time to make sense of all the information available. They don’t just want good advice, they want the best advice—so rather than do the “wrong thing,” they do nothing. Their 401(k) and bank statements pile up, unexamined or maybe even unopened.
What they don’t realize is that bad calls about money aren’t failures; they’re just what happens when emotional creatures have to make decisions about the future with limited information. What I tell them is that we need to scrap striving for perfection and instead commit to a process of guessing and making adjustments when things go off track. Of course we’re going to make the best guesses we can—but we’re not going to obsess over getting them exactly right.
The fact is, in a single page you can prioritize what you really want in life and figure out how to get there. That’s because a great financial plan has nothing to do with what the markets are doing, what your real estate agent is pitching, or the hot stock your brother-in-law told you about. It has everything to do with what’s most important to you.
By now you may be wondering, “What about the details? How much do I need to invest each year, and how do I allocate it? How much life insurance do I need?” Don’t worry: I’ll cover those topics and many more, sharing strategies that will take the complexity out of them.
The most important thing is getting clarity about the big picture so you can cope with the unexpected. Maybe you’ll lose the job you thought was secure; you’ll take a financial risk that doesn’t pan out; you’ll have twins when you were only budgeting for one. In other words: Life will happen.
But no matter what happens, this book will help you bridge the gap between where you are now and where you want to go.Source: Amazon | The One-Page Financial Plan: A Simple Way to Be Smart About Your Money
The twenty-sixth book on our list of the Best Personal Finance Books is “How to Manage Your Money When You Don’t Have Any” written by Mr. Erik Wecks. In the beginning, Erik Wecks reveals that he was a “financial idiot” because he didn’t know about taxes and how to manage his money. He also states his reason for writing this book, is to teach other people about finance in a different way because when he tried to learn how to manage his money from a regular teacher, he felt that it wasn’t making any sense.
In the second chapter, the author tells the readers about his childhood and how he was raised. He talks about how his family didn’t have a lot of money, so they usually had to share things. He also mentions how he wasn’t a very good student and wasn’t interested in studying. In the third chapter, the author tells about his bad financial decisions throughout his life and how he couldn’t pay his taxes. He tells readers about the different things people do to survive when they don’t have any money.
In the fourth chapter, Mr. Wecks mentions what people usually do when they have problems with their money and he also talks about how he got a job. He tells readers about how he met his wife and why they later moved to Denmark, which is where they live today. In the fifth chapter, the author talks about how he got into financial trouble once again and discusses different methods that can help you manage your money.
In the sixth chapter, Mr. Wecks tells readers about how to start managing your money by starting out with small steps. He also talks about how he was able to pay off his debts and why it’s important to have a good credit score. In the seventh chapter, Mr. Wecks talks about financial matters and things related to saving money. He tells readers about how he deals with his money now that he is a grown-up.
Unlike many personal finance books, How to Manage Your Money When You Don’t Have Any was specifically written for Americans who struggle to make it on a monthly basis. It provides a respectful, no-nonsense look at the difficult realities of our modern economy, along with an easy to follow path toward better financial stability that will give hope to even the most financially strapped households. Created by a financial expert who hasn’t struck it rich, How to Manage Your Money When You Don’t Have Any offers a first hand story of financial survival in the face of rough times. Rather than emphasizing wealth creation, How to Manage Your Money When You Don’t Have Any teaches readers to do the best they can with their income no matter its size. Content rich, personal, and jargon free, the book is opinionated and at times humorous. Full of current everyday references, it is meant to be a quick read that will appeal to the average reader just struggling to make ends meet.Source: Amazon | How to Manage Your Money When You Don’t Have Any
The twenty-seventh book on our list of the Best Personal Finance Books, “The Only Investment Guide You’ll Ever Need” written by Andrew Tobias, is an easy-to-understand guide that is meant for beginners investors who want to get started or are unsure of where they should be putting their money. It lists a number of useful methods that lay out the basics of investing and then it lists a number of specific situations to use those methods on.
A few of the most important ideas in this book are that there is no such thing as a “get rich quick” method but that good and steady investing is the only way to really grow your money. It includes a list of different methods that work for different people and different situations and it also includes a number of scenarios that you can use those methods on.
The author begins by explaining what kind of an investor you want to be and then he lists a number of methods that you can use depending on what kind you want to be. There is the “idiot model” which is meant for those who just want to put their money in and let it sit and grow and the “active investor model” which is for people who want to contribute more than just their regular paychecks and income. He also lists many examples that you can use if you are not yet sure what kind of an investor you want to be.
The main idea in this book is that there is no “get rich quick” method and that even though some people may have a smaller paycheck, they will be able to grow their money more than the person with a higher paycheck because they are willing to contribute more than just their regular paycheck.
“The Only Investment Guide You’ll Ever Need . . . actually lives up to its name.” — Los Angeles TimesSource: Amazon | The Only Investment Guide You’ll Ever Need
“So full of tips and angles that only a booby or a billionaire could not benefit.” — New York Times
For nearly forty years, The Only Investment Guide You’ll Ever Need has been a favorite finance guide, earning the allegiance of more than a million readers across America. This completely updated edition will show you how to use your money to your best advantage in today’s financial marketplace, no matter what your means.
Using concise, witty, and truly understandable tips and explanations, Andrew Tobias delivers sensible advice and useful information on savings, investments, preparing for retirement, and much more.
Conclusion on The Best Personal Finance Books to Read
Being an adult is hard, especially when it comes to finances. One of the best gifts you can ever give yourself is proper financial knowledge and planning. This way, you can achieve your goals without sacrificing too much to get there. Since not all personal finance books are the same, we hope this article gave you some of the best ones to read.
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Updated: March 29, 2022 by FinPins