Financial literacy is one of the best ways to prepare for life after college, helping you make informed decisions regarding issues like earning, saving and investing, protecting, spending and borrowing money.
Personal finance books can be found anywhere – at your local library, bookstore, online e-commerce sites and social media. Here are a few books that will increase your financial literacy:
The Simple Path to Wealth by J.L Collins
This book provides a guide for amassing wealth and becoming financially independent. The primary theme is that becoming rich has less to do with how much you make than what you spend – Collins provides an easy framework that anyone can follow to build wealth: spend less than what you earn, invest the surplus money wisely and avoid debt.
Collins stresses the importance of staying away from debt as one of his major lessons, since debt can impede your efforts at building and sustaining wealth. Additionally, he advises his readers to invest in index funds – low-cost investments that mirror stock market performance – as an effective long-term strategy. While not usually taught in school settings, such knowledge is crucial for creating and maintaining wealth.
The Complete Idiot’s Guide to Investing by David Bach
Financial literacy refers to understanding how money works, from investing and budgeting, through to debt repayment and retirement savings plans. Financial literacy can provide essential knowledge that can help you establish a comfortable future, whether your goal is paying off debt, saving for retirement, or just organizing finances more efficiently. We consulted experts and curated some of the best personal finance books that provide guidance in making smart choices about your money.
Robert Kiyosaki’s Rich Dad Poor Dad is one of the most widely read personal finance books, using two fathers to demonstrate how wealth and financial independence are achieved through investing. For anyone wanting to gain financial knowledge and start investing, this must-read is essential reading!