Finance books essentially teach you to handle money better. At the basic level, you would learn to manage debts and save. And at a higher level, these books will teach you how to handle a business, deal with mortgages, save for your retirement, etc.
Ultimately, finance books help make you smarter with money and avoid financial pitfalls.
Here are some of the top finance books to change your orientation about money.
1. Rich Dad, Poor Dad
Rich Dad, Poor Dad is a book by Richard Kiyosaki published in 1997. Although this book has existed for two decades, its impact and lessons continue to stick around. Richard shares some things he learned from his poor father and friend’s father, who was the rich dad while growing up. Some of the lessons include not needing to make so much money to be rich; he learns about liabilities and assets and explains why schools refuse to teach children all they need to know about finance.
2. The Total Money Makeover
Managing debt is a significant skill that one must hone to manage their finances. A little help to achieving this would be to read “The Total Money Makeover” by Dave Ramsey. The New York Times bestselling author explicitly explains how one can get out of debt by avoiding pitfalls like cash advances, rent-to-own, and using credit. He also provides advice on how you can start an emergency fund and save for retirement and college.
3. The Psychology of Money
The Psychology of Money by Morgan Housel dives into how one’s pride or ego and preconceived notions can affect their financial decisions. The book will provide you with tools and tips for dealing with these notions and biases in 19 short stories which focus on the same topic.
4. The Millionaire Next Door
The Millionaire Next Door is a book by Thomas Stanley and William Danko. The book reveals the truth about being a millionaire, and it may not be what you’ve always imagined. The point the book covers is simply about spending less than one earns and building profits. This book is excellent for young individuals and new families; it is eye-opening.
5. Your Money, Your Life
Your money, Your Life by Vicki Robin published in 1992 helps readers understand what they define money as, how much money is enough, and how to attain financial independence. It does so by laying out an easy 9-step plan to follow. These steps generally help you create a better relationship with money and build wealth.
6. I Will Teach You to be Rich
Ramit Sethi’s I Will Teach You to Be Rich teaches readers how they can spend their money without guilt, so long as they have allocated and invested adequately. It talks about how one can avoid money pitfalls like saving every month, settling student loans, and how to speak one’s way out of late fees. This finance book is undeniably great for spenders.
Other great finance books include “The One-page Financial Plan,” “Broke Millennial,” “the Automatic Millionaire,” etc.