Monday, August 31, 2015

Read and learn: Personal Finance Books as a Tool for Financial Literacy

There are few things as liberating as achieving financial literacy. But for first-time learners, money matters can be too much to take in. Good thing resources are available for those who need them—personal finance books, for example.

Personal finance books are written not only to educate people but also to empower readers to correct their financial mistakes and misbeliefs. Reading these books is an effective starting point for studying finance since there are tons of varieties to choose from, most of them having a specific target audience.

Image sourceAlthaeasoaps.com

For example, Tamsen Butler’s “The Complete Guide to Personal Finance: For Teenagers” helps teenagers start taking money matters seriously. The writer opted to go for an entertaining route in the lectures to keep the youth interested; she doesn’t preach but educates teens of their financial options.

Meanwhile, Farnoosh Torabi’s “You’re So Money: Live Rich Even When You’re Not” is perfect for 20-somethings who are earning entry-level salaries. The book mainly talks about people’s habit of splurging and the importance of setting financial priorities.

Then there are the tried-and-tested personal finance books that have helped many attain financial freedom. An example of these is “The Millionaire Next Door” by Thomas J. Stanley and William Danko. First published in 1998, the book discusses the habits that build wealth and provides seven simple rules to being wealthy derived from the lifestyles of self-made millionaires.

Image source: BusinessInsider.com

These are just some of the books available to those willing to learn about personal finance. Of course, reading about finance is just the first step; people will still need to have a full grasp of their financial situation and map strategies for their specific financial plans. Regarding these matters, consulting with financial and investment advisors is still recommended since they have the tools and experience needed to explain difficult financial concepts to their clients.

Tony Amaradio is the founder and chief strategist at Select Portfolio Management Inc. Through the company, he offers wealth management assistance to individuals, families, and business owners. Learn more by visiting this website.