Books To Master Your Money Game | My Top Picks Of 2023
If there is one single habit that most millionaires have, it is “Reading”. There is so much wisdom in books that they can literally transform our lives. So in this blog, I will share the top 4 personal finance books that I read in 2023. These books will guide you in saving money, building wealth, and managing your finances effectively. These books changed my life for the better, and I hope they can do the same for you. So let's get started!
Book 1: Art Of Thinking Clearly
This book is not just about money, it is more of a practice in clear thinking.
However, since the author, Rolf Dobelli is a businessman with a doctorate in economics, there are many insights in this book from the world of Management and financial investments.
We often believe we are rational decision-makers, but in reality, we often make simple errors in our daily thinking. What's even more strange is that we may not recognize these mistakes unless we actively reflect on them. This practice is called metacognition.
By learning to identify these errors, we can avoid them and make better choices, whether in relationships, a career, or starting a business. For example, the very common confirmation bias is the tendency to interpret new information in a way that aligns with our existing beliefs. When we go on social media platforms, we tend to follow people and consume news and content from sources that reinforce our values, regardless of whether they are liberal, conservative, or somewhere in between.
Another interesting one is the contrast effect. Research shows that people are willing to go the extra mile, whether it's walking or driving, to save $10 on food. However, those same people wouldn't consider doing the same to save $10 on a thousand-dollar suit. Logically, ten minutes is ten minutes, and $10 is $10, so the decision should be consistent. But somehow that’s not how it works. The $1000 price on the suit acts as a psychological anchor, creating a barrier that distorts the decision-making process.
This book summarizes these types of cognitive biases in 99 concise chapters. So you are bound to find something that makes you say, "Oh, I didn't realize I did that!." There are many other books that go deep into cognitive biases and flaws in our thinking. If you have read books like "Thinking, Fast and Slow" by Daniel Kahneman or "Black Swan" by Nassim Taleb, you may find similar ideas there.
However, this book ties them all together and provides a TLDR version of those other authors' works, allowing you to identify topics that interest you and then explore them further.
The only drawback of this book is that you are likely to forget the majority of its content shortly after finishing it. Therefore, after you are done reading, I would recommend sitting down with a pen and paper, identifying the biases you encounter in your day-to-day life, and being mindful of them.
Book 2: Content Inc
This book is not for everyone because it mainly talks about content creation and marketing. But it is particularly interesting for those planning to start a personal brand and then scale it to sell products and make money. Existing entrepreneurs who need a boost in their brand could also get the most from this book. For someone new in the area of content marketing, this was a great beginner's guide for me, with lots of helpful suggestions.
“The absolute best way to start a business today is not by launching a product, but by creating a system to attract and build an audience.”
The important takeaway here is the importance of focussing on the audience and their needs and wants. From selecting a platform for your content to selling products through stories, this book has a lot of practical advice. But then this book was written in 2015.
Since the digital world is a rapidly changing environment, some of the content is already a bit outdated.
Book 3: 100 Million Offers
There are three types of people in the world. Those who love Alex Hormozi, those who hate him, and those who don't have a clue who he is.
But regardless of your feelings towards him, it doesn't diminish the value that this book offers. With 500,000 copies sold, it is one of the best-selling books on sales that I've ever read. Truth be told I was a bit skeptical after reading the title. But as they say, don't judge a book by its cover.
For a beginner entrepreneur, this is the ideal starting point. The book presents a framework for positioning your offering in a competitive market, allowing you to stand out and differentiate yourself from the competition.
It provides a wealth of valuable and practical information. You can also find helpful resources like checklists and templates to analyze your own business and strengthen your offer. There are a few quotes from this book that I found really interesting.
“If you play the same game as everyone else, you’ll get the same results as everyone else.”
“You want to be ‘the guy’ who services ‘this type of person’ or solves ‘this type of problem. I solve this type of problem for this specific type of person in this unique counter-intuitive way that reverses their deepest fear.”
This book is a must-read for everyone who wants to succeed in life and business as well.
Book 4: Die With Zero
Now, all the books we have discussed so far have focused on making and managing money. However, this book by Bill Perkins takes a different approach and offers an alternative perspective on how to spend your money and when to do so.
The title may be a bit confusing. But the book doesn't imply that you should refrain from giving money to your family, heirs, or charities. It encourages us to spend money on things that we love and not die with a huge bank balance. The book presents a thought-provoking philosophy and a practical guide to maximizing the value of our money and our life.
But I have to stress here that this book may not be for everyone. If you are currently struggling to make ends meet, if you are finding it hard to put food on the table for yourself and your family, then you may find the concepts in the book a bit overwhelming or detached from your immediate reality.
At 200 pages, this book is quite long and could have been easily condensed into a blog post. But that doesn't take away from the unique perspective the book offers and how it could influence a lot of people to live a more fulfilling life.
I hope you got at least one book to add to your 2024 reading goals. Keep exploring and let these books inspire your journey to financial wisdom and have a positive impact on your life.
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Disclaimer: The Content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. It is important to do your own analysis before making any investment.
