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19 Best Finance Books That The Richest People Read

19 Best Finance Books That The Richest People Read

If you want to become one of the richest people, should you just read what they read?

Maybe.

But there’s more. Besides getting the information the wealthy are getting, more importantly, you should also learn thinking about money and prosperity like they do.

You Need These 2 Types of Finance Books:

1. The financial information in black and white, tried and true. Follow it and you’re bound to succeed.

2. Your own inside ideas and beliefs about money may need to be shifted. Without doing this, no black and white money plans will ever work for the long term or even at all.  There are books that deal with both below.

Read both types of books and you may be well on your way to be a rich.

    The Law of Divine Compensation, On Work, Money and Miracles

    by Marianne Williamson

    According to Marianne Williamson, our thoughts create our financial reality.

    “In our ability to think about something differently lies the power to make it different”.

    This is a book of work, money and miracles.

    eBook |Print |  Audiobook


      The Science of Getting Rich

      by Wallace Wattles
      This book from 1910 provided the intellectual framework for many personal wealth-building seminars.  Wallace Wattle believed that how you think about your ability to accumulate wealth is how you create wealth. If you believe that money is evil, you won’t be wealthy.

      eBook | Print | Audiobook


        The 50th Law

        by 50 Cent and Robert Greene

        Robert Greene is an American author and speaker known for his books on strategy, power and seduction. He has written four international bestsellers: The 48 Laws of Power, The Art of Seduction, The 33 Strategies of War, The 50th Law with 50 Cent.

        This book is recommended by top entrepreneur’s, with the central theme of this being fearlessness, something much needed in re-framing your thoughts about wealth, being rich, and that anyone can make it financially.

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        eBook | PrintAudiobook


          Secrets of the Millionaire Mind

          by T. Harv Eker

          This is my personal favorite. It is written by T. Harv Eker, a man that made it to the top a few times and delves into the mind and beliefs of wealthy people.

          It has strategies that are simple to follow and he offers a free, live event to learn the tools in this book. He says the change of attitude is just as important as financial education and he shows you just how to do this.

          eBook | Print | Audiobook


            How to Get Out of Debt, Stay Out of Debt & Live Prosperously

            by Jerrold Mundis

            This may be the book you want to pick first.  Many wealthy individuals live frugally at first and understand the importance of eradicating your debt. Then you can go ahead and create your wealth.

            Don’t skip this one.

            eBookPrint |  Audiobook

              Think and Grow Rich

              by Napoleon Hill

              This book was written after the 1929 great depression and took two decades of research that the author Napoleon Hill conducted.

              He was a poor journalist and interviewed over five hundred people that were successful. John D. Rockefeller, George Eastman, W. Wrigley Jr., and Charles Schwab, and more. This book is his research in the form of steps that are still relevant today.

              Books on Financial Information:

              eBookPrint |  Audiobook


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                The Automatic Millionaire

                by David Bach

                This book is a great start. It’s a common sense approach that is step by step.

                eBookPrint |  Audiobook


                  The Intelligent Investor of Practical Counsel

                  by Benjamin Graham and Jason Zweig

                  Written in 1949, Warren Buffet has turned to this book often.

                  “Chapters 8 and 20 have been the bedrock of my investing activities for more than 60 years,” he says. “I suggest that all investors read those chapters and reread them every time the market has been especially strong or weak.”

                  eBook | Print | Audiobook


                    The Investment Answer

                    by Daniel C. Goldie, CFA, CFP and Gordon S. Murray

                    Gordon Murray teamed up with his financial adviser, Daniel Goldie after he was diagnosed with brain cancer. This is a simple guide to investing.

                    “I don’t think you can get a better unbiased approach. The guy has nothing to gain other than to give his last and best advice,” says Steve Lockshin, founder and chairman of Convergent Wealth Advisors.

                    eBook |  Print | Audiobook


                      Jim Cramer’s Get Rich Carefully

                      by James J. Cramer
                      Jim Cramer’s new book if full of research and logic.

                      eBook | Print | Audiobook


                        One Up On Wall Street

                        by Peter Lynch

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                        The Author, Peter Lynch gives you information on how he invests and uses a sensible approach.  He includes how to view important factors when making an investment choice such as how to analyze a company.

                        eBook | Print |  Audiobook


                          Screw It, Let’s Do It: Lessons In Life

                          by Richard Branson

                          “In Screw It, Let’s Do It I’ll be looking forwards to the future. A lot has changed since I founded Virgin in 1968, and I’ll explain how I intend to take my business and my ideas to the next level and the new and exciting areas – such as launching Virgin Fuels – into which Virgin is currently moving.

                          But I have also brought together all the important lessons, good advice and inspirational adages that have helped me along the road to success”.

                          eBookPrint |  Audiobook


                            The Richest Man in Babylon

                            by George S. Clason
                            George S. Clason’s parables about acquiring wealth have inspired investors since the 1920s.  He emphasizes charitable giving, and saving over spending.

                            eBookPrint | Audiobook


                              The Millionaire Fast Lane

                              by M J DeMarco

                              One of his strategies:  to use the volatility of the financial markets to get rich quickly and enjoy it now.

                              “Show me a 22-year-old who got rich investing in mutual funds. Show me the man who earned millions in three years by maximizing his 401k. Show me the young twenty-something who got rich clipping coupons. Where are these people? They don’t exist.”

                              eBook | Print | Audiobook


                                The Millionaire Next Door

                                by Thomas Stanley and William Danko

                                By an Amazon reviewer: “Every now and then very, very special book comes along with a “aha” and this is such a book. Many people are spending their way through high incomes—keeping up with the “JONESES” high profile lifestyle’s encumbered with high debt and zero savings. I worked for a millionaire one time who said “Money buys clothes, clothes don’t buy anything!” He advised us to buy our “toys” clothes, cars, vacations etc. off profits of profits and never spend principal!” That is the basic premise of this book – build profits, then enjoy them – but don’t spend principal.”

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                                eBookPrint | Audiobook


                                  Rich Dad Poor Dad

                                  by Robert T. Kiyosaki

                                  “An eighth-grade dropout who spends less than he earns is smarter than a college professor who can’t make ends meet”

                                  This book makes it to most lists on financial freedom and wealth. He says that the key to great wealth is a person’s ability to convert earned income, such as a paycheck into passive income.

                                  eBookPrint | Audiobook


                                    Spirit Driven Success

                                    by Dani Johnson
                                    This book is based on her personal experience as one of the most sought after success coaches in the world, and a self-made multi-millionaire. Inside, you’ll discover the spiritual keys that unlock the door to true wealth. You’ll also uncover the habits that lead to poverty and the lies about money.

                                    eBook | Print | Audiobook


                                      The Little Book of Common Sense Investing

                                      by John C. Bogle
                                      The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns is a 2007 book on index investing, by John C. Bogle, the founder and former CEO of the Vanguard Group.

                                      eBook | Print | Audiobook


                                        Market Wizards

                                        by Jack D. Schwager

                                        Market Wizards is a book written by Jack D. Schwager and published in 1988 in which he interviews a wide range of traders with excellent track records of profitability.

                                        eBook | Print | Audiobook

                                        You are now armed with 19 books on how to think like the rich and how to invest like they do.

                                        Here is my challenge:

                                        Read one book a week for the next 19 weeks and in less than a half a year you could be well on your way to a future of wealth, profit and freedom to live the life you desire.

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                                        Lifehack Reads is the curated collection of our favorite books, carefully categorized and sorted by our Editorial Team.

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                                        1 The Definitive Guide to Get out of Debt Fast (and Forever) 2 25 Easy Tips on How to Save Money Fast 3 What Is a Good Credit Score (And How to Get One) 4 9 Millionaire Success Habits That Will Inspire Your Life 5 10 Reasons Why Following Your Passion Is More Important Than Money

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                                        Last Updated on July 10, 2020

                                        The Definitive Guide to Get out of Debt Fast (and Forever)

                                        The Definitive Guide to Get out of Debt Fast (and Forever)

                                        Debt can feel crushing, like a weight that is always weighing you down. Looking at those numbers, it can feel as if you’ll never get out from under it. However, if you really want to learn how to get out of debt, it is possible with a great deal of focus and self-control.

                                        Getting out of debt isn’t impossible. Like any big goal, all that it takes is an action plan to identify where you are and creating a plan to zero out your debt.

                                        Identifying All of Your Debts

                                        The first part of paying off your debt is getting a complete picture of what you owe. When you have everything written out in front of you, it makes it much easier to create an action plan. Depending on how much you owe, it might also help you realize it’s not as bad you might have originally thought.

                                        Here’s how you can get started identifying your debts:

                                        1. Own Your Debt

                                        Before you start identifying all of your debts, take a moment to process that you have debt but want to get out of it.

                                        Forgive yourself for any past mistakes, missed payments, or overspending. It might be painful to accept how much debt you have at first, but you must own it.

                                        2. Make a Debt Tracker

                                        It’s astonishing how few people ever created a tracker to understand their total debts. Most likely, it comes from not wanting to accept the guilt of having debt, but, if avoided, it can make it nearly impossible to get out of debt.

                                        Open up a new Google or Microsoft Excel sheet and list out all of your debts. Start with the name of the creditor, interest rates, total balance, loan term length (if any), and the minimum amount due each payment. This will include student loans, credit cards, and any other type of debt owed.

                                        3. Get Your Debt Number

                                        Once you’ve made your debt tracker and taken the other steps, identify your total payoff number. This is crucial, as you will have a starting point and a clear goal that you are trying to achieve.

                                        Prioritizing Your Debts

                                        All debt is not created equal. It’s imperative to understand that there are different types of debt.

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                                        1. Understand Bad and Good Debts

                                        Bad debts are usually paying for things you want instead of always need. While there might be some emergencies that max out your credit cards, often times it’s excessive spending[1].

                                        There are three main types of bad debt:

                                        • Credit Card Debt: The average American household owes over $16,000 in credit card debt!
                                        • Auto Loan Debt: According to CNBC , the average auto loan in the US is $30,032!
                                        • Consumer Loan Debt: Consumer loan debt isn’t as common as credit card and auto loan debt, but it’s still considered bad as interest rates are usually between 10-28%.

                                        Good debt is identified as investments in your future. Here are three common types of good debt:

                                        • Student Loan Debt
                                        • Mortgage Loan
                                        • Business Loans

                                        2. Decide Which Debt to Pay off First

                                        Once you know each type of debt and their interest rates, you can begin to pay off debt quickly.

                                        Focus on paying off bad debt first, regardless of if it is a credit card or auto loan. Start by paying off the loan with the highest interest rate first.

                                        If you have several credit cards with different interest rates, you want to focus on the one with a higher APR. You will actually save more money by eliminating the card with the highest interest rate.

                                        3. Don’t Pay the Minimum Amount

                                        Paying the minimum amount digs you into a hole as interest rates will offset your payment. Even a small amount more than the minimum can help you pay off debt much faster.

                                        Removing Obstacles to Pay off Debt Quickly

                                        Creating a debt tracker and prioritizing a plan is simple, but avoiding temptation can be difficult.

                                        1. Set a Reminder to Track Your Debt

                                        “If you can’t measure it you can’t manage it.” -Peter Drucker

                                        It’s so important to track your debt to ensure that you get it paid off quickly. Similar to working out and measuring your results, you need to track your debt constantly. Start with a weekly reminder, where you sign on and log your updated number. Did you increase, decrease, or stay the same?

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                                        Regularly tracking your student loan balance can be incredibly motivating, as well. You will get a huge confidence boost each time you see your total debt amount decreases.

                                        Set weekly and monthly goals so you can have short term wins and keep the momentum going.

                                        2. Hide Your Credit Cards

                                        If your biggest debt is credit cards, you need to eliminate temptation and remove them from your wallet.

                                        Some people have gone to extreme measures by freezing their credit cards. Why? This would create an ice block around your card, which would require you to chip away at it slowly. This will give you time to think if it’s the best idea to buy that thing you’re about to buy.

                                        3. Automate Everything

                                        Willpower can be a huge downfall to paying off your debt. By automating your bills each month, you will ensure that willpower isn’t involved.

                                        4. Plan Ahead

                                        Getting out of debt will require some sacrifices, but with enough planning, you can make it work.

                                        For example, if you know that you have a friend’s birthday or family dinner coming up, plan ahead for the costs. Whether you need to cut back on spending the week before, pick up a side job, or meet them after dinner, do what is needed.

                                        5. Live Cheaply

                                        The only way to get out of debt is to make some sacrifices on your spending habits. Find ways to save money each month so you can apply that amount to your outstanding debts. Here are some ways to save money each month:

                                        • Live with roommates
                                        • Cook dinners and prepare lunches for work instead of eating out
                                        • Cut cable and choose Netflix or Amazon Prime
                                        • Take public transit or bike to work

                                        Finding the Lowest Interest Rates

                                        The higher your interest rates, the harder (and longer) it will take you to pay off any debt.

                                        If possible, you want to find ways to lower your interest rates to help get out of debt quickly. Here’s how you can get started:

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                                        1. Maintain a High Credit Score

                                        Your credit score will have a large impact on your ability to refinance your loans and receive a lower interest rate. If you have a low credit score, it’s unlikely you will be able to refinance your loans. Use these credit tips to increase and maintain an excellent score:

                                        • Never miss a payment
                                        • Don’t exceed 30% of your credit limit
                                        • Don’t sign up for more than one card at once
                                        • Limit hard inquires, like auto-loans and new credit cards
                                        • Monitor frequently with free credit-tracking software

                                        2. Find Balance Transfer Offers

                                        Start by opening a free account on credit.com. Credit.com offers you the chance to open a free account and see what type of balance transfer offers you can receive. Some of your existing credit cards might already have 0% or lower APR balance transfer offers available.

                                        Contact each of your credit card providers to ask about lowering your rate for a one-time balance transfer offer[2].

                                        If you do take advantage of this option, make sure that you use a balance transfer and not a cash advance. Cash advances have a ton of high interest fees (15-25%, depending on your credit card) and will only compound your debt problem.

                                        How to Get Rid of Debt Forever

                                        Setting up a plan, removing temptations, and getting the lowest interest rates is the first step to get out of debt.

                                        1. Keep Monitoring and Adjusting

                                        Once you have a plan, don’t get comfortable. Track your debt payoff plan and make the necessary adjustments when needed.

                                        Monitor your credit scores with a free site like CreditKarma. The higher your credit score climbs, the more likely you will be to secure a new, lower-interest loan.

                                        2. Earn More Money

                                        There are only so many ways to save money. Instead of clipping another coupon or making sacrifices for your morning coffee, find ways to earn more money!

                                        Think about it…it is much easier to find ways to earn an extra $1,000 per month than find $1,000 to cut from your budget.

                                        Here are some examples of ways to earn more money:

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                                        Talk to Your Boss

                                        Have a conversation with your boss about current salary and/or commission rates. If you’re not satisfied or want a change, don’t be afraid to look around at other positions. Some of them might even have a student loan debt reimbursement plan!

                                        Start a Side Hustle

                                        This could be coaching students on the weekends, driving for Uber, or taking paid online surveys. There are tons of ways to make money outside your 9-5. Now that you have a clear plan to pay off your debts, you’ll be more motivated than ever to figure out creative new ways to earn money.

                                        Build an Online Business

                                        There are so many websites and blogs that earn money from ads, affiliates, and other online products. Find your niche and get started.

                                        3. Celebrate Your Wins

                                        As you progress in your debt payoff journey, don’t forget to celebrate your wins. You need to always reward yourself for the hard work and discipline that is required to get out of debt.

                                        While you shouldn’t celebrate so big that it increases debt, make sure to factor in little rewards to keep you motivated.

                                        4. Set New Financial Goals

                                        Eventually, with a plan and these steps, you can rid yourself of your debt. Once you do, make sure to celebrate your monumental achievement, but don’t stop there.

                                        Now, you can focus on acquiring wealth and increasing your net worth. Set new financial goals so you have a new target to aim toward. Here’s how to set financial goals and actually meet them.

                                        These could be anything now that you are debt free! Think about where you want to travel, buying your first home, or saving for your future retirement. Just like before, make sure that your goals are specific, measurable, and achievable.

                                        Conclusion

                                        Congrats, you can now set a plan in motion to finally pay off your debt quickly (and hopefully forever)!

                                        Remember, if you want to get out of debt quickly, it’s not always easy. Just like any big goal, there will be sacrifices, challenges, and problems to overcome.

                                        More Tips on Getting out of Debt

                                        Featured photo credit: Pepi Stojanovski via unsplash.com

                                        Reference

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