8 September 2021
Highlight: Being financially literate is not easy, but once mastered, it can significantly reduce life’s burdens. To get started in this field, read the best-selling financial literacy books.
Financial literacy is obviously a critical life skill. After all, it’s your gateway to knowledge and skills to effectively manage your money. In its absence, your actions and decisions regarding savings and investments will lack a solid foundation. On the other hand, financial literacy will assist you in better understanding financial concepts and enabling you to manage your finances efficiently. It will also assist you in making financial decisions and achieving financial stability.
There are many personal finance books available today that cover a wide range of topics. These topics include debt management, wise investing, better budgeting, and a variety of others. Each of them can assist you in better managing your money while also teaching you about useful tools and techniques. Some may be more relevant than others, depending on your specific financial situation.
With this in mind, here are five of the best personal finance books you should read.
You’ve most likely heard of Robert Kiyosaki’s “Rich Dad, Poor Dad,” but there’s a reason it’s been around for more than two decades. In one of the most successful personal finance books of all time, Kiyosaki shares what he learned growing up from his father and a friend’s father, the latter of whom is referred to in the title as the “rich dad.” These lessons include how you don’t have to make a lot of money to be wealthy, how to define assets and liabilities, and why schools won’t teach your children what they need to know about personal finance.
The book is a fun story in which the author shares his learning and experiences from his two fathers, one he refers to as the “Poor Dad” and the other as the “Rich Dad.”
If you need debt management advice, this New York Times best-seller is one of the best personal finance books to read. Author Dave Ramsey introduces readers to his “snowball method” in a straightforward manner. Similarly, he covers a wide range of topics, such as avoiding renting-to-own, cash advances, and credit cards. He also assists you in budgeting for future emergencies, retirement, and college.
The notion that our spending decisions are solely based on logic and education has long been disproven. We now understand that our financial decisions are frequently influenced by emotions and subconscious desires. Readers are treated to the inner workings of the human mind when it comes to dealing with money in Dan Ariely and Jeff Kreisler’s book “Dollars and Sense: How We Misthink Money and How to Spend Smarter.” Ariely, the James B. Duke Professor of Psychology and Behavioral Economics at Duke University, and comedian Kreisler have collaborated to create an engaging read that blends scientific evidence with entertaining real-world examples.
In an ideal world, you would approach each decision logically and rationally. However, when it comes to money, ego, emotions, and pride can all get in the way. If you want to manage your money more effectively, you’ll need to overcome these potential roadblocks. And that is what Housel aims to accomplish in his current book, which discusses the psychological aspects of financial decisions. He tells 19 short stories to highlight key points and help you make better financial decisions. Given that Housel previously wrote for the Wall Street Journal, it’s no surprise that this is one of the most popular personal finance books.
Siegel, a retired business executive, has a wealth of knowledge about financial management. However, educating his five children about good financial practices inspired him to write his book. The 99 principles and eight-core lessons included can also help you manage your money better. The material is not only easy to read, but it is also full of useful advice and personal experiences. As a result, it has quickly established itself as one of the best personal finance books available today.
You can also read Best personal finance books for 2021 for guidance on personal finance management.