Say that you were on an airplane, heading to New York. You sit down, open your laptop, and then realize that Jack Bogle, Dave Ramsey, or Mark Cuban sat down next to you. Realizing that you just fell into the chance of a lifetime, you ask them for the secret to their success.
Your financial hero looks you in the eye, stares deep into your soul, and tells you that they are going to cough up all the secrets that made them who they are today. But that you have to pay a price; they can’t give you this information for free.
Of course, you are wondering how much money you could beg, borrow, or steal in the next five minutes. Does that mother with the crying baby in front of you have her eye on her purse, or do you reckon you could sneak it from her? With a gulp, you ask them how much its going to cost you.
With a knowing wink, they tell you the price. $12.99. Of course you are going to pay them! You’ve got the chance to learn so much information, from an expert, in so little time!
That story right there is why 1000 Lives has a recommended reading list. These books should kick-start your knowledge. Your return on investment will be absolutely astronomical. So, look through some reviews, and chose a few to get started with, as you laugh to yourself at the deal that your getting. Maybe Jack Bogle isn’t so bright after all!
The Millionaire Next Door
When I was little, I thought wealth meant having a pool-side mansion, the kind you would see on MTV’s Cribs. Parties with scantily-clad women, a tiger on a leash, and a raging hangover in the morning. A mini-giraffe, running on a treadmill, while I sat on my gold-plated couch in a jumpsuit. This book will change that perception. Guess what? Millionaires are normal, frugal people. More often than not, they practice “Stealth Wealth”. They don’t worry about people’s perception, they care more about their bank accounts. And this book will show you the habits and lifestyle of real millionaires, and show you how to become one.
Rich Dad Poor Dad
This is another great book to help foster a wealth-building mentality. Robert Kiyosaki understands intimately the mindset of people who become wealthy. He writes about his perspective growing up; his natural born father was an employee, stuck in an employee mindset; while his best friend’s father was a budding entrepreneur. The book is filled with stories about the difference in the mindset of normal people, and those that go on to build great wealth. Other solid books in the Rich Dad Poor Dad Series include Tax-Free Wealth, Guide to Investing, and the ABCs of Real Estate Investing.
The Automatic Millionaire
In this popular finance book, David Bach shows the importance of “Paying Yourself First”. Bach covers in depth the importance of putting money aside regularly, before you get your grimy paws on it. Another important basic concept covered in the book is the power of compound interest. Small, regular contributions can grow immensely given enough time, and Bach has plenty of illustrations to prove it. In addition, Bach covers the controversial “Latte Factor”. Though some people in the personal finance world will scream bloody murder, the importance of small, non-value added transactions throughout a given month or year definitely add up. As part of your self-education, this book is definitely worth a look.
The Intelligent Investor
Benjamin Graham is the father of “value investing”. His keystone book, The Intelligent Investor, describes the process of successfully investing in individual stocks. Graham successfully utilized the idea of investing with “A margin of safety”, or buying a stock at a price below its intrinsic value. In addition, he harps on the idea of investing as if you are making a business deal with a partner, “Mr. Market”. Only YOU decide if and when you buy or sell a stock. He also preaches developing principles, and sticking to your guns. You may not have heard of Graham, but you’ve undoubtably heard of his most famous student, Warren Buffett. This book has been described by Buffett as the greatest book on investing ever written.
The Index Card
Following a dare, Harold Pollack was challenged to write everything a person would ever need to know about personal finance on a notecard. The following photo went instantly viral, and inspired the book explaining each of the principles Pollack advocates. While the points covered are fairly basic and fundamental, that is the books true strength. If you have never read another personal finance book before, or don’t know where to start, the information on Pollack’s index card and in his book will set you up for life.