Favorite Personal Finance Books....

[CheapCanuck]

As a primer for investing novices The Weathly Barber by David Chilton is still a favorite of mine. I tend to prefer books that read more like a story though...

[dapooh1]

"Your Money or Your Life" by Joe Dominguez and Vicki Robin changed my life. I was a graduate student at the time, and of course I spent every dollor that I made as a teaching assistant. After I read the book, I started to really think about what my values were and how I wanted my finances to reflect those values. That was the year that I saved enough to open a Roth IRA, and I started giving regularly to a few charities.

[Night Runner]

While it's not a personal finance book per se, "4-Hour Workweek" by Timothy Ferriss contains a lot of information that deals with improving the overall quality of life. His book (and his site) has lots of information on negotiating, starting your own business, using geographic arbitrage to your advantage, etc.

[72Tiger]

I like about 95% of Total Money Makeover by Dave Ramsey.

[kav122]

Originally Posted by 72Tiger

I like about 95% of Total Money Makeover by Dave Ramsey.

what is the 5% that you don't agree with?

I, too, agree with about 95%.
The 5% that I don't do, is that I cannot stop my 401(k) contributions. Also, I don't go smallest to largest with debt. I go most risky to least risky. And we got a pretty substantial emergency fund together for baby step one instead of the 1,000. Because we're chickens

[mbhunter]

Automatic Wealth by Michael Masterson. In a nutshell: Increase your income dramatically so that you can invest conservatively.

[reyn74]

I like The Total Money Makeover by Dave Ramsey, and I like David Bach's books. We do a modified Dave plan ourselves.

[Lynnae]

Anything by Dave Ramsey.
Anything by Mary Hunt.
And although it's not a personal finance book, I just finished It's All Too Much by Peter Walsh. It's an excellent book about your relationship with your stuff, which can have a huge impact on finances.
I like the Tightwad Gazette, too.

[72Tiger]

Originally Posted by kav122

what is the 5% that you don't agree with?

I, too, agree with about 95%.
The 5% that I don't do, is that I cannot stop my 401(k) contributions. Also, I don't go smallest to largest with debt. I go most risky to least risky. And we got a pretty substantial emergency fund together for baby step one instead of the 1,000. Because we're chickens

Just nitpicky things really, as I think his overall plan is well laid out.

For one, and this is more from his radio show than his books, He often says he thinks paid for real estate is a good investment. On a personal level, being a landlord is pretty high on my list of things to avoid in order to make my life simpler. There are just easier, less stressful ways to make money in my opinion.

Second, I have heard his advice to sell a car and buy a 'beater' over and over, without much thought put into particular circumstances. I know he has to keep his book somewhat generic, but it is worse on his radio program. Car trouble is the last thing people in high debt problems need, especially if their livelihoods depend on reliable transportation. I agree, that $30-40k wrapped up in a depreciating asset is bad news, but a lot of times a 'beater' can be a bad thing waiting to happen. Psychologically, a car repair bill at the wrong time can make someone abandon the bigger goal of getting out of debt.

Third, he uses a 12% rate of return as a 'gospel' number in a lot of his calculations. This is the one I have the hardest time with.

Fourth, I am a little more conservative in my emergency fund than he is. I am aiming for 6 months salary rather than 6 months expenses. I like the security that brings to my financial state of mind.

Overall though, I think his program is solid, and is as good a 'lock' to work as I have seen. The steps are logical, and go about removing risk. Other plans may work faster, but they are riskier. Getting out of debt, living on less than you make, and conservatively investing the excess is a good plan.

[KelR1]

Hi all! I'm new to the forum and am really enjoying it and finding it helpful so far! My favourite financial books are the Suze Orman and Dave Ramsey ones, as others mentioned earlier, and I also like Jean Chatzky's Make Money Not Excuses and Pay It Down. I try to read as much on money/debt reduction/saving as possible these days, hence my stumbling upon this site!