If you want to take control of your finances and stop living paycheck to paycheck these are the books for you. If you are curious about investing but think that it is too overwhelming a subject, give these books a read. They’ll show you how a little bit of saving and investing can have huge payoffs down the road.
I want you all to know that I’ve personally read and in many cases re-read all of these books and have found them all to be very good entry-points into the wonderful world of personal finance that will help anyone to get control of their finances and start down the path toward financial freedom. These books ares staples on my reading shelf, so I have no problem recommending them to my readers. If I find anything else out there that’s a really great read and would be useful to my readers I’ll be sure to add it to the list below. But for now, I think these are the “best of the best.”
I want to be upfront and completely honest with my readers so I want to tell you that I’m an affiliate of Amazon and if you click on any of the books below you will be redirected to Amazon.com. If you decide to buy any of these books I will be paid a small commission on the sale.
My Favourite Personal Finance Books
1. Robert Kiyosaki, Rich Dad Poor Dad
This classic book is a personal favourite of mine. This book, like many others on this list, teaches its readers to think differently about money. Kiyosaki has a knack for challenging some popularly held ideas about personal finance which makes the book all the more interesting. His main point is that even a little financial education can go along way. This book is inspiring and gives the average person some basic pointers on how to get started on the path toward financial freedom.
2. David Bach, The Automatic Millionaire
I highly recommend this book for anyone setting out on their journey to financial freedom. You can read this book in a few hours and it will change the way you think about your money. I blog regularly about the advantages of automatically saving and investing my money and many of these principles are reflected in this book. Bach’s basic argument in the book is that anyone can become a millionaire if they use a system of automation to its full potential. This means setting up automatic savings plans, automatic investment plans and much more.
3. Ben Graham, The Intelligent Investor
From the man who taught Warren Buffett, the most successful investor of all-time. Anyone considering an investment in stocks, mutual funds, exchange-traded funds etc., should definitely read this classic book on investing. This book teaches people how to assess and value businesses so that they can apply these principles to stocks (which after all represent partial ownership in a business). I especially love the chapter on Mr. Market. It is by far the single most important book a stock investor should read.
4. David Chilton, The Wealthy Barber (Returns)
David Chilton’s best-selling personal finance book. This book is a staple on the personal finance shelf at your local bookstores and for good reason. It is packed full of useful information about personal finance and structured in an easy to read conversational manner. But don’t let this books entertaining quality fool you. Underneath it all are some very powerful insights about personal finance.
5. Thomas J. Stanley, The Millionaire Next Door
Many people imagine a typical millionaire to be someone who drives a fancy car, lives in a mansion, owns a yacht and spends their money on all sorts of luxuries and expensive vacations. Thomas Stanley’s books shows that, for most millionaires, nothing could be further from the truth. Contrary to popular perceptions, the typical millionaire lives in an average house and drives a 10 year old vehicle – in other words, they live below their means and are diligent savers and investors. They’ve accumulated their wealth over the long term by following the tried and true personal finance rules of living below their means and saving and investing their money.
6. Napoleon Hill, Think and Grow Rich
It’s only money! How many times have we all heard this? This is another classic dealing with how rich people think. It’s no secret that wealth is created in our minds. How they think about and use money is what ultimately sets rich people apart from all the rest. I think one of the most important chapters for investors is Chapter 15: How to Outwit the Six Ghosts of Fear. How many times have you held yourself back because of indecision, self-doubt or fear? Taking calculated risks and believing in oneself is one way the rich think differently than the average joe.
7. George S. Clason, The Richest Man In Babylon
This all-time personal finance classic is a must read for anyone new to personal finance. Its fundamental, life-altering lessons are structured as a series of parables that the average person can relate to.
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