Books about personal finance may improve your approach to financial management. Learning the fundamentals of personal finance will help you become more knowledgeable and secure with managing your money. This includes things like understanding the value of paying yourself first and the best ways to manage and eliminate debt. But that’s not all. You may develop a healthy relationship with your finances with their guidance on topics such as investing, mortgage management, saving for a rainy day, and more. It’s not exactly beach reading, but your pocketbook and your financial account will be grateful you did.
Here are our picks of the best personal finance books.
Best Overall: Why Didn’t They Teach Me This in School?
Almost everyone would say that they wish they had spent more time in class learning about financial matters. Specifically, “Why Didn’t They Teach Me This in School?” is the title of a book by Cary Siegel that discusses the author’s wish to have learned better money management skills in school. Retired business executive Siegel organises the book into the 99 principles you should have mastered by high school and the eight financial lessons you should have learnt in college but didn’t. After realising his five children weren’t adequately prepared for adulthood in terms of personal finance, Siegel wrote this book to share his knowledge and experience with them. It has since become a best-seller and is widely regarded as an invaluable resource. This straightforward guide is great for recent graduates or anybody else who wants to get their financial footing on the right track.
Best Memoir: Rich Dad Poor Dad
The book “Rich Dad Poor Dad” by Robert Kiyosaki has been popular for over twenty years, and with good reason. One of the best-selling books ever written on the subject of personal finance, “Rich Dad, Poor Dad” is based on lessons Kiyosaki gained from both his own father and the “rich dad” of one of his best friends. The lectures include topics such as the difference between an asset and a liability, and they tell parents why their children won’t learn these things at school. In celebration of this book’s 20th anniversary, the author has written a brand new afterword in which he discusses the state of the economy, investment, and personal finance in 2018.
Best for Debt Management: The Total Money Makeover
How well you handle your debt has a significant impact on your financial well-being. Find yourself in need of some assistance in this particular field. Check out “The Total Money Makeover” by Dave Ramsey. This New York Times best-seller doesn’t pull any punches when it comes to explaining how to improve your financial situation and get out of debt by avoiding typical financial hazards including rent-to-own agreements, cash advances, and the use of credit. In addition to helping you get started with Ramsey’s famous “Snowball Method” for paying off debt, this book is packed with helpful tips for saving for emergencies, higher education, and retirement.
Best for Building Wealth: The Automatic Millionaire
To be a billionaire is a dream of almost everyone. Business best-sellers like “The Automatic Millionaire” by David Bach will teach you the ropes. The book begins with the tale of a couple that started off with $55,000 in yearly income and went on to accomplish all of their financial goals. Consider a couple that buys two houses, sends their kids to college, and retires at 55 with a million dollars saved. What is it? Creating an automated mechanism of paying yourself first with your money. Also by Bach are the books “Smart Women Finish Rich,” “Smart Couples Finish Rich,” and “Start Late, Finish Rich.”
Best for Beginners: Broke Millennial
This is the best book on personal finance for those who can decode #GYFLT. In social media parlance, “get your financial life together” is abbreviated as “#GYFLT.” In “Broke Millennial,” Erin Lowry uses her unique conversational tone to show people in their twenties how to take charge of their financial futures. This book addresses the most pressing financial concerns of today’s millennials, from developing a healthy relationship with money to coping with student loan debt to discussing money matters with a significant other.
Runner-Up, Best for Beginners: The One-Page Financial Plan
Are you unsure about how to handle your own finances, whether it be via prudent investment or the face of unanticipated hardships? Money management might seem intimidating, but Carl Richards’ “The One-Page Financial Plan” removes all of the guesswork. This book provides a straightforward, one-page road map for achieving your financial objectives. Richards writes a column for the New York Times and has a CFP certification.
Best for Spenders: I Will Teach You to Be Rich
Not spending any money at all is not what being affluent is about. Ramit Sethi, author of the New York Times and Wall Street Journal bestseller “I Will Teach You to Be Rich,” discusses how to invest and organise your money so that you may spend it without feeling guilty. From avoiding late penalties to maximising your monthly savings, this book covers all the bases when it comes to personal finance. This revised and updated version celebrates the book’s tenth anniversary with new material on economics, psychology, and technology, as well as testimonials from readers who have become financially independent thanks to the advice in Sethi’s book.
Best for Women: Clever Girl Finance
According to the U.S. Department of Labor, the wage gap between mothers and dads is even worse, with moms earning just $0.71 for every dollar earned by a father. 1 In a nutshell, women still face more obstacles to financial success. By discussing topics like budgeting, credit management, saving for retirement, and taking charge of one’s own financial future, “Clever Girl Finance” by Bola Sokunbi hopes to inspire and instruct a new generation of women. Sokunbi is the Chief Executive Officer and Certified Financial Education Instructor (CFEI) of the personal finance website Clever Girl Finance.
Best Psychology: The Psychology of Money
This book is a fascinating exploration of the mind’s influence on financial choices, including the role played by one’s own conceit, prejudice, and sense of self-importance. Not surprisingly, this isn’t the most effective method for managing your financial portfolio. Morgan Housel’s “The Psychology of Money” provides advice and strategies for overcoming these prejudices in the form of 19 related short tales. Housel has been a writer for The Wall Street Journal and now works as a partner at The Collaborative Fund.
Best for Budgeting: Your Money or Your Life
The best-selling book “Your Money or Your Life” by Vicki Robin provides a simple, nine-step method for improving one’s relationship with money. This book covers all the bases, whether you’re looking for advice on getting out of debt, making your first investment, building your wealth, or cutting costs with Robin’s trademark mindfulness approach.
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