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We should all be familiar with personal finance and financial literacy. Managing your money efficiently becomes very difficult without proper knowledge of personal finance, and overspending becomes easier.
There are many things to be aware of and practice regarding personal finance. Retirement planning, investing, budgeting, insurance planning… and so on.
Becoming a financially literate person cannot happen overnight! It takes years of practice and continuous learning to become an expert in financial management.
What better way to learn these essential skills than to read the best personal finance books!
In this article, I will share the top 5 personal finance books you should read in 2022. By reading these books, my knowledge of personal finance and financial literacy has been elevated to a new level.
- Rich Dad Poor Dad – Robert Kiyosaki
- Total Money Makeover – Dave Ramsey
- The Simple Path to Wealth – JL Collins
- Why Didn’t They Teach Me This In School? – Cary Siegel
- The intelligent investor – Benjamin Graham
Table of Contents
What Will You Learn From These Books?
The books in this article are written by some of the world’s top financial experts, businessmen, and investors. They are simple with concepts that are easy to comprehend. You will learn about the following –
1. How to manage your money: Including the rules of money management. You will know how to use your credit card correctly, the difference between an asset and a liability, when to buy or when to sell, etc.
2. How saving and investing work: Most people don’t know this but saving and investing are somewhat related. You will also learn about the different types of investments and other important concepts.
3. Tips and tricks: These books offer money-saving and making techniques and certain hacks to help you save more and spend less!
4. How to make your money work for you: This is the part where you will learn about the difference between passive and active income, how compound interest works, mutual funds, etc. You will also know what financial independence means and how it can help you retire earlier than everyone else!
5. Retirement planning: You will learn about retirement planning, including why you should invest for your future, choosing the best mutual funds, and how much money you need to retire.
Why Read These Top 5 Personal Finance Books?
First, they are written by some of the best financial experts in the world with real-world experience. Also, they appeal to people of different ages and backgrounds, regardless of whether you’re 18 or 60 years old.
You can be a college student or someone who just entered your first job… These books will still teach you all the essentials of personal finance!
If you want to learn more about personal finance and how to become financially literate, then definitely read these books!
So now let’s begin with the top 5 personal finance books that you should read in 2022!
1. Rich Dad Poor Dad – Robert Kiyosaki
The first book on our list is not a usual finance book. It was written by Robert Kiyosaki and it is about personal finance from a rich dad and poor dad’s perspective.
It teaches the difference between the two dads’ financial literacy and how it affects them even today!
What Will You Learn?
There are multiple ways to make money, not only by working a job.
There are clear differences between assets and liabilities. You’ll learn methods to becoming financially free by investing your money in assets instead of liabilities.
You will understand the types of investments that are necessary to becoming rich. You’ll also learn to assess risk and fix your finances by hearing personal stories!
2. Total Money Makeover – Dave Ramsey
The next book on our list is not a usual finance book as well. This money-saving and making guide will teach you the basics of saving, spending less, and avoiding debt!
The book also talks about many surprising money facts about American culture and how people of America view money. The main goal of this book is to teach about making sacrifices now and living a frugal life to secure your future and be financially stable!
What Will You Learn?
You will learn what true wealth is and why it’s more important than the number in your bank account. You’ll also learn how you can take control of your financial life.
Moreover, you will discover money-saving tricks inspired by the author’s personal story about becoming financially independent!
This book also touches on the basics of investments like mutual funds and stocks, so you can learn more about them! Dave Ramsey also writes about 7 baby steps to help people get out of debt and build real wealth!
3. The Simple Path to Wealth – JL Collins
JL Collins covers all the basics of personal finance, such as how to get rid of bad debt and keep investments simple. This book is ideal for people who want to start investing and learn how to grow their money.
It is a great starting point for people who want to know the basics of wealth management. The book also talks about different types of investment vehicles and how they can help you in your journey to financial independence!
What Will You Learn?
You will learn the power of long-term investments and how to utilize every opportunity that comes your way! The path to wealth doesn’t have to be complicated, and JL Collins does a great job of making investing an easy journey.
The author uses their experience to teach different types of assets and money management.
He talks about what true wealth and financial independence are! It will give you insights into research studies about spending habits and how they can affect your investments.
You’ll also learn why passive incomes are bad for you! If you are a beginner, this book is the best thing that will teach you all about personal finance!
4. Why Didn’t They Teach Me This In School? – Cary Siegel
Cary Siegel is a recognized financial expert who has appeared on numerous television shows, including ABC’s 20/20. The book is great for young people and couples! It teaches young investors about the money management BASICS that should have been taught in school.
He also talks about the importance of budgeting, saving, and staying out of debt. This book is ideal for people of ALL AGES on their journey to understanding how money works and how to manage it!
What Will You Learn?
You will learn how to create financial habits that are the building blocks of success. You’ll also discover secrets about financial markets and how they can help you become wealthy.
You’ll also get insights into why some things should be avoided while others can benefit your personal finance. The book is very famous for its 99 personal money management tips and why it is important to have good financial habits
5. The Intelligent Investor – Benjamin Graham
Last but not least, The Intelligent Investor, written by Benjamin Graham. As the name goes, it teaches how to be intelligent when investing.
Graham was one of the greatest finance experts, known for his teachings on value investing strategies, and was Warren Buffett’s mentor and friend.
The book focuses more on the philosophy of investing rather than looking at individual options and opportunities in the market. It talks about broad and general principles for investing and those who want to make wise choices when it comes to their investments.
What Will You Learn?
You’ll learn how to use your money as a tool, not as an object of desire. You’ll also realize why you should invest in stocks and avoid savings accounts and FDs.
This book is about becoming a wise investor and making the best of your money by understanding karma exists.
The author talks about how famous investors like Warren Buffet made a huge fortune with smart and long-term investments. The book is ideal for people who want to jump into the world of inventing and learn how to make smart decisions for long-term investments.
Conclusion
So there you have it! If you are trying to start on your journey of financial independence, these books are the perfect place to begin!
Make sure you do not invest in things you don’t understand. Have a long-term mindset and learn how to be smart about your money.
Make sure that you also keep track of your budgeting and spending carefully. Take what you need and start investing in your future now! Thanks for reading!
Disclaimer:
We hope the information in this article provides valuable insights to every reader but we, the Biesingers, are not financial advisors. When making your personal finance decisions, research multiple sources and/or receive advice from a licensed professional. As always, we wish you the best in your pursuit of financial independence!
