Financial Peace Revisited

My most recent book i’ve read is Financial Peace Revisited by Dave Ramsey.  In this book Dave gives you Peace Puppies.  Things such as plant seeds and handle credit report corrections yourself.  This book is an updated version of Financial Peace and adds a couple of chapters.  I’ve never read Financial Peace for the same reason college classes use the newer versions of textbooks; updated information.

Having started my own financial plan and listened to The Dave Ramsey show nothing in this book was all that new to me.  I’d describe this as the back story and build up to his baby steps.  The book was designed to be uplifting and give you a sense that you can have financial peace.  It does i good job of doing so.  It does not, nor was it designed to, go in-depth into his baby steps.  Having not read it my guess is that is what The Total Money Makeover is.

Each chapter ends with Dave’s wife Sharon giving her two cents.  This is followed by the Peace Puppies.  I’d have liked the key points to be highlighted separately. Dave lists all the Peace Puppies you’ve gone through every chapter.  I’d like just the new ones and all of them listed just at the end.

What did you think of this book.  Share in the comments.

I Will Teach You To Be Rich

Today i finished reading I Will Teach You To Be Rich by Ramit Sethi.  Much like Dave Ramsey has his plan for financial success, Ramit Sethi has a plan for financial success. His 6 week plan sets up financial automation, replaces a budget with a Conscious Spending Plan, and starts a retirement fund.  He frequently points out the biggest (and possibly only) hurdle to being rich is planning and getting started.

Ramit asks his readers “Would you rather be rich or sexy?”  He does this because often the path to riches are not sexy.  Sure some people play professional sports.  Some win the lottery.  This book is not for them.  This book is written for people under the age of 35.  He gives advice for every age group but expects the 20-35 group to be the ones reading.

Having followed the blog at IWillTeachYouToBeRich.com the first chapters sounded real familiar.  Ramit uses the same examples on his blog as in his book.  I have no problem with this as it reiterates what he is saying. His plan and the advice on his blog is great.  The biggest problem with the book was it was hard to finish.  With all the action steps i’d read something, put the book down, then go do what Ramit said.  I’d then start doing something else and have to come back to the book later.  This book is top of the three i’ve reviewed so far.

 

Have you read this book, Rich Dad, Poor Dad or The Millionaire Next Door (check out my reviews)?  Give your thoughts in the comments.

Rich Dad, Poor Dad

Being another staple in many financial libraries my next read was Rich Dad, Poor Dad by Robert Kiyosaki and Sharon Lechter.  This book is subtitled ‘What the Rich Teach Their Kids About Money - That the Poor and Middle Class Do Not!’  This book left me with conflicted feelings.  While reading it was suggested that the Rich Dad was made up.  I did not have a problem as he was a means of teaching the points of the book.  For the first half of the book all the points are backed by a story of how Rich Dad taught through practice then followed up with the lecture.

The second half of the book the feeling changed.  The points were no longer about Rich Dad as much as they were “Here is how i did it through Real Estate speculation.”  Each example through real estate was followed with a caveat of don’t do it this way.  Just learn the principle.  The last couple of chapters suggest to learn the process for real estate speculation go to seminars.  I was not surprised to learn that Richard Kiyosaki has a series of seminars on learning real estate.

Anterior motives aside, the principles seem sound.  The book does not ever teach you how implement the principles.  This is a good thing.  It allows the book to remain relevant longer.  Implementation is also dependant on your situation.  Many other subjects teach in a similar way.  Computer Science is one; the implementations change over time so principles are more important than thing to do.  There is a chapter at the end on things to do.  It is sparse and seems an afterthought.

Have you read this book or The Millionaire Next Door (check out my review)?  Give your thoughts in the comments.

The Millionaire Next Door

Since i’ve gotten a few books from the library i thought i should share my findings.  My most recent read is The Millionaire Next Door by Thomas J Stanley & William D Danko.  This book has a great reputation that is well deserved.  It is based on years or research and interviews with millionaires.  It is easy to read.  It gives great insight into the difference between millionaires and their neighbors.  None of the millionaires are the ones seen on TV.  Reading this book was a great vindication for the things i’m doing.  To see i’m as or more frugal that the average millionaire in my spending habits is great confirmation that i’m on the right track.

This book is not for everyone.  This book does not teach you how to become rich.  It teaches you what those who are already millionaires are doing.  Since this is a research book it is full of research and the results.  This book will be most enlightening to those who are not frugal.  It’s biggest point is defense vs offense.  Defense of being frugal.  Defense of planning for the future.  Offense to say you must make a decent wage.  This book often tells you both are required to become a millionaire.  If you are reading personal finance blogs you are likely not going to learn many groundbreaking things in this book.  It will make you feel better about yourself that you seem to be on track.

I recommend this book to anyone reading personal finance blogs.  It can seem long winded at times.  Some people would rather skim for the bold type only.  Don’t.  Read it.  Otherwise you’ll miss learning that the profession with the largest percentage of millionaires is …