Knowledge: Top Five Personal Finance Book Review
One of the reasons why the rich get richer is because they continuously enhance their knowledge by reading books and other relevant material. Over the past two years, I’ve been on a rampage when it comes to reading. Last year (2017), I read approximately 30 personal finance books. As of the date of this publication, I’ve read 15 books so far this year, which is projected to far exceed the number of books I read last year. My goal is read at least 60 books this year, which is the average number of books a CEO reads each year. The average person? Just one book and it most likely has nothing to do with personal finance. Are you starting to see why there’s a large wealth gap in society? A CEO reads 60 books. The average person reads just one. That’s 60x more knowledge from a book perspective each and every year.
Before 2016, I barely read any books. Ever since I took ownership of my wealth journey, I can’t stop reading. Why? I too want to live a lifestyle that only the rich are fortunate enough to have. I want to donate tons of money to charity and ensure that I leave a meaningful legacy once I leave this planet. What’s my secret to reading so many books? I listen to audiobooks via Audible. Anytime I’m eating or have some “free” time (time is not free), I’m usually listening to an audiobook. As a bonus, I listen to Bloomberg Radio every single morning for at least an hour.
Through my readings so far, I’ve identified five very powerful books that can change your life. They aren’t in the order of importance, but simply reading these five books and applying the principles in them will truly enhance your wealth. They are: Rich Dad Poor Dad, Cash Flow Quadrant, How to Win Friends & Influence People, The Power of Broke, & Money Master the Game.
Book 1: Rich Dad Poor Dad by Robert Kiyosaki
I seriously believe everyone on this planet should be forced to read this book. That’s how good it is. It’s arguably the best personal finance book of all time and it’s certainly at the top of my list. Rich Dad Poor Dad is a book that talks about how the “rich” and “poor” think about money. Basically, the rich acquire assets that produce income while the poor acquire liabilities that produce expenses. Robert talks about how his rich dad applied various principles of money to allow his money to work for him for a very long time while his poor dad (his real dad) worked for money only to end up passing away with nothing to show. It’s a very powerful book that I urge you to read. It has changed my life forever. I’m now a member of the rich dad community and teach these same principles at workshops and various community outreach events.
Book 2: Cash Flow Quadrant by Robert Kiyosaki
Cash Flow Quadrant is the part two of Rich Dad Poor Dad. There are four quadrants that a person can fall in: employee (worst quadrant to be in), self-employed or small business owner, big business owner, and investor (best quadrant to be in). Employees usually pay very high taxes and work for money while investors pay no taxes and let money work for them. The rich don’t work for money and tend to fall in the investor side of the quadrant, which is why the rich keep getting richer. Another very powerful book that I urge you to read. Most of my businesses are slowly transitioning into the investor and big business side of the cash flow quadrant, which is the best side to be on.
Book 3: How to Win Friends & Influence People by Dale Carnegie
Okay, so this isn’t really a personal finance book, but I added it on the list anyway. Why? Because to be a wealth builder, you have to know how to influence people. This book holds the keys to how to build successful relationships. It has helped me become a better leader and guides me throughout various conversations with clients, team members, and investors. For example, during feedback sessions with my team, I usually start off with what my team member is doing well. Then I transition into the “however, here are some things that can be improved upon.” This is much more effective than simply telling someone they’re doing something wrong. This is one of many gems that this book provides and is certainly a must-read!
Book 4: The Power of Broke by Daymond John
This book right here is the epitome of how to make something out of nothing. How when you have nothing to lose, your only choice is to go out and get it! This book will truly inspire you to push harder, especially if you don’t have much to begin with. I advise you to check this book out to find out more of what this amazing book has to offer.
Book 5: Money Master the Game by Tony Robbins
Written by arguably the most powerful motivational speaker of all time, this book holds virtually all the keys you need to know about Wall Street and money in general. Why you may want to think twice before investing in a mutual fund and how fees can eat you alive. Tony Robbins interviews the top money folks out there such as Warren Buffett and what they have to share is truly mind-blowing. Must-read!
So there you have it. Those are my top five personal finance books of all time (so far; I still have plenty more to read). Without reading, you simply won’t be able to keep up with your financial life. It is extremely critical to your wealth-building journey. I challenge you to read at least one of these books. Audible comes with one free book so the excuse of “I can’t afford it” is long gone. Cheers to success.