I did not move towards financial independence alone, and I did so with the help of many people, some from a distance, through books. Below are some personal finance books that have helped me along the way.
I like this book because of its simplicity and detailed account of how to start your journey. It helps you achieve your financial goals without budgeting, but rather “consciously” how you put your money towards a goal. Ramit focuses on automation and simplicity, and it’s a great book.
A drawback of this book is that it is difficult to understand this philosophy if you are a planner. Another downside is having a problem with credit cards (which most people do). It tells you some steps to make sure you never have a balance on your credit card.
It was the first finance book I had ever read and the first financial guru I had listened to and studied. If you’re in debt and need a plan to get out of it, this book is for you. And if you take his classes, he covers a wide range of excellent financial topics. Most people have a problem with Dave’s approach because of his stance on credit cards. I don’t, and I’ll tell you why. More than half of people who use credit cards don’t pay them back at the end of the month. Most of us don’t need a credit card. It is too tempting to overspend. If you overspend or don’t pay off your card every month, it takes away with interest (pun intended) any benefits you would earn.
Recently, I went on a rant about credit cards in this article.
The only downside is Dave Ramsey’s approach to actively managed funds for investing. But everything else, good stuff.
This was the second book I read, and I loved it. It opened my eyes to assets versus liabilities, which is why I started investing in real estate; this book deals with the concepts of balance sheet and income and expenses. Everyone should read it.
However, I did not want to quote one because I questioned the integrity of Robert Kiyosaki. Especially around the “educational” programs they offer. They use high-pressure sales tactics, asking you to put their expensive coaching and mentoring on credit cards as “good debt.” I know because I fell for it. I’m not saying he shouldn’t charge for his programs, but they were a bit excessive, and asking people to go into debt just to pay for a course that I’m sure most people drop out of is like praying for the weak who are looking for a miracle.
Suppose you want to spend a lot of money on a real estate course. Why not use that money to buy a house instead? You will get more education from it and you will have an asset at the end. Additionally, bigpockets.com has plenty of free resources.
That being said, this book is great, and I wouldn’t want to deprive you of the opportunity to broaden your mind by not reading it. His second book “Cashflow Quadrant” by Robert Kiyosaki, is also excellent.
“Simple Path to Wealth” by JL Collin is the big one that I didn’t include. It’s because I haven’t read it. I know *gasp. I plan to read it in the future, and it will most likely be on my list.
“Freelance to Freedom” by Vincent Pugliese This is an excellent book. Although it’s not really about personal finance and more about becoming independent, I think everyone should read it.
Some of these books will help you find the right path to financial independence. This article is not an exhaustive list of books; there are bigger ones. If you have a book you recommend, please comment on the post or send me a message Twitter!
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This article is for informational purposes; it should not be considered medical, financial or legal advice. Not all information will be accurate. Consult a health, financial or legal professional before making important decisions
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