5 Transformative Books To Jumpstart Your Personal Finance Journey
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There are many elements to managing your finances, and the sheer amount of information available can quickly become overwhelming.
Most people who become financially successful have had at least one mentor who taught them the ins and outs of budgeting, investing, and much more.
But if you’re like most of us and need to learn everything from scratch, a solid book by an industry expert is the next best way to understand how to build wealth.
When I started my financial journey, these five books taught me valuable lessons in finance and entrepreneurship I still use today. Let’s dive into the list and how they can help you reach your goals!
1. Rich Dad, Poor Dad
Initially published in 1997, Rich Dad, Poor Dad discusses Robert Kiyosaki’s two “fathers” during his childhood back in Hawaii. While the “poor dad” worked for the local university and earned a salary, the “rich dad” was a wealthy entrepreneur.
Kiyosaki’s exposure to these two worlds helped him understand the behavioral differences between the wealthy, the middle class, and the poor. He built a multimillion-dollar fortune using his rich dad’s lessons and continues to empower people to become financially literate.
If there’s one book on this list I’d start with, it’s this one. Kiyosaki’s anecdotes and timeless strategies will inspire you to shift your mindset about money in no time.
2. Nomad Capitalist
If you’ve ever dreamed of becoming a digital nomad, Nomad Capitalist will inspire you to leap.
Andrew Henderson is a well-known financial consultant who has traveled to over 100 countries and legally reduced his taxes by obtaining residence in tax-friendly jurisdictions. His philosophy inspires readers to “go where you’re treated best.”
While not everyone will agree with his views on “legacy brand” nations, this book shows you that you’re not “stuck” in an overpriced city (or country!) forever. You have plenty of places in the world that will help you cut your tax burden, start your dream business, and live the good life at a fraction of the cost.
3. The End Of Jobs
The “9 to 5 till you’re 65” is slowly becoming a part of the past. Wages have been stagnant for decades, and even highly qualified professionals find it hard to make ends meet.
So what comes next?
Taylor Pearson’s The End of Jobs claims that we’re heading into a new world where the self-employed entrepreneur is the safest bet for building wealth. The book gives millennials countless practical tips for creating a new work structure away from the traditional ideal of what a job should be.
With automation, online courses, apprenticeships, and cheaper business software, Pearson recognizes that creating a business on your terms is easier than ever. All you need is valuable skills to take advantage of the changing economy!
4. Think And Grow Rich
Sometimes, changing your mindset around money is the perfect way to transform your life. Since the height of the Great Depression, Napoleon Hill’s Think And Grow Rich has helped millions of readers envision a more prosperous future.
This self-improvement classic is inspired by American entrepreneurs like Andrew Carnegie and Bill Gates. It explains how their mindsets about their future plans encouraged them to succeed.
However, this book doesn’t stop at stories. Hill gives you guidelines called his “13 Steps To Riches,” which you can use to plan your future in detail, put your goals into action, and believe you can make it happen.
5. The Millionaire Next Door
You might think you need to be a celebrity to become a millionaire. However, Thomas J. Stanley’s The Millionaire Next Door shows that this idea couldn’t be further from the truth. Anyone can be a millionaire through self-discipline, living modestly, active saving, and passive investing.
Throughout the book, you also see examples of people making huge sacrifices to reach seven figures.
It’s eye-opening because it shows most everyday millionaires rarely flash their cash. You won’t see them driving luxury cars or spending thousands on a YSL or Hermes bag. Stanley claims that those who care more about looking like a millionaire will never get truly there.
The book was written back in 1998, so a few of the examples might be outdated. Still, this book is a gem for those who want practical tips on making their millionaire dream a reality.
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