Book to help Youing Couple Get started on the right financial foot??

[haha]

Can anyone make suggestions about a book I might give my son and daughter-in-law to help them get going right? Although we were pretty frugal at home, neither of my kids seems to have that gene. His wife doesn't seem to either, although she is very sweet and I think reasonable, so I think if they get the information they may be able to follow through. I not really concerned about ER or anything as ambitious as that, but if there is a way to help them avoid some of the pain of financial errors I would like to give it to them.

Thanks for any suggestions-

Haha

 

[sgeeeee]

Do you think they would be affected by a book you would give them? Or would they feel resentment that you were trying to change their lifestyle?

Would it be better to teach by example and have patience for the lessons to take?

Frugal lifestyle was something I grew up with, so I wasn't impressed with the books I read on the subject. But a lot of people seem to have been affected by "The Millionaire Next Door" and some people really liked "Rich Dad, Poor Dad".

 

[Nords]

Can anyone make suggestions about a book I might give my son and daughter-in-law to help them get going right?

Well, I started with Sylvia Porter's Money Guide but that doesn't seem to have been updated for about two decades.  Maybe there's a modern version of a money guide that doesn't have ol' bug-eyed Suze on the cover.

I'd also recommend "Investing for Dummies" and "Mutual Funds for Dummies".

Could you point them to this board, or would that destroy family harmony?

As for Kiyosaki-- I wouldn't even use his books as a door stop or a charcoal starter.

 

[chris2008]

I can recommend "Your money, your life" (Dominguez / Robin).
"Smart couples finish rich" (David Bach) might also be a useful starter.

 

[johnlw]

You might want to check out "The Richest Man in Babylon".

John

 

[wildcat]

I don't agree with everything Dave Ramsey recommends but his book is a good starter for people with no financial background.

 

[FlowGirl]

The Automatic Millionare by David Bach is good if you just want to convince them to start saving. It's a simple message - by paying yourself first through automatic savings programs (401K, IRAs, etc) you can retire rich even on an average salary. Too basic for most of us here, but a good start for people who don't quite understand the benefits of compounding. The advice is pretty mild - save 10% and take advantage of 401K matching.

 

[Martha]

I took a look at the Investing for Dummies book at my sister's a few days ago and was pretty impressed with its straightforward manner. I would recommend it too.

Sure wish the "for Dummies" series could have caught on with a different name.

 

[justin]

I concur with Nords. Avoid Kiyosaki like the plague. Millionaire next door was pretty good. It will help them understand what it really means to be "wealthy". It would be helpful to have a supplement to this book that deals with saving/investing a little more since Millionaire next door is light on this subject. Something that gives the basics of investing in simple, easy to digest terms.

 

[Mr._johngalt]

  Avoid Kiyosaki like the plague.   

I think I just remembered the name of that third hors d'oeuvre
that landed me in the ER last Saturday.

JG

 

[bosco]

Sure wish the "for Dummies" series could have caught on with a different name.

I know what you are saying. I avoid reading "for Dummies" books, because I like to think I'm not one. Maybe this proves I are one....

 

[BigMoneyJim]

I hated "The Wealthy Barber" because it's written entirely as barber-shop conversations, but the advice was good and many people seem to prefer reading stories instead of studies or instructions. For those or other reasons a lot of people liked Wealthy Barber.

I liked Rich Dad Poor Dad when I fist read it but after reading about the author I got rid of the book.

A couple of early (in my financial life) ones that I liked were "Investing for Dummies" and "Get a Financia Life".

 

[charlie]

I bought copies of the new edition of "The Coffeehouse Investor"
by Bill Schultheis for my son and daughter. It is a very basic book
that follows the Bogle, Bernstein and Swedroe philosophy.

Cheers,

Charlie

 

[ESRBob]

Hi all,
Taking a break between vacations this summer.

Fred Brock (not to be confused with David Bach) has a pretty good book -- Live Well on Less than you think -- NY Times Guide to achieving financial freedom.

Not really about ER so much as it is about frugal lifestyle. Good for a young couple, and free from hype.

 

[shiny]

I think those David Bach books are good because in addition to his #1 rule ~ pay yourself first and automatically, he also gets his readers to analyze their spending showing how little bits of money here and there add up over time (he calls it the "latte factor") I felt this was a similar concept to "Your Money or Your Life" but a little more doable for people who are not looking to ER.

 

[haha]

Thanks for all the helpful comments. I will have to give more thought to SG's warning-will they take it as criticism of what they are now doing? This is always a hard thing to know, but for sure I can't just rush in here.

Ha

 

[shiny]

Well, David Bach has been on Oprah, maybe your DIL will catch him there sometime.

Alternatively... There is a magazine that I really don't care for called Prevention. My mother gets it and when I'm at her house I sometimes pick it up off the coffee table to see just how they expect me to LOSE THAT BELLY FAT FOR GOOD. So maybe it you had a book (from the library to make it look authentic) just sitting on the coffee table in plain view entitled "Smart Couples Finish Rich" either your son or DIL might just pick it up and leaf through it while waiting for you to finish cooking dinner.

 

[Patrick]

"The Money Book for the Young, Fabulous & Broke," by Suze Orman.

 

[BUM]

Can anyone make suggestions about a book I might give my son and daughter-in-law to help them get going right? Although we were pretty frugal at home, neither of my kids seems to have that gene. His wife doesn't seem to either, although she is very sweet and I think reasonable, so I think if they get the information they may be able to follow through. I not really concerned about ER or anything as ambitious as that, but if there is a way to help them avoid some of the pain of financial errors I would like to give it to them.

Thanks for any suggestions-

Haha

HiHi Haha,

I feel your concern. My newlywed daughter and son-in-law are great kids but need a primer on LBYM. DW and I try to lead by example, but that only goes so far.  I'm not sure that sending them the LBYM-book-of-the-month would be appreciated. Their behavior seems generational. They seem to be making the right moves on the big stuff (no macmansion nor hot new cars but the day-to-day comforts/luxuries and just plain disdain for thrift worries me.

Having babies can  force spending habits to change. God knows DW can't wait for that blessed event!


BUM

 

[sgeeeee]

HiHi Haha,
. . .
HeHe

 

[sparkee]

Just finished reading "All Your Worth--the Ultimate Lifetime Money Plan," by Elizabeth Warren and Amelia Warren Tyagi (you might recognize Elizabeth Warren's name as the Harvard Law Prof who was prominently featured in a PBS special talking about credit card companies--and one who argued against the recent bankruptcy law).

http://tinyurl.com/expob

It's surprisingly good. I say surprisingly, because I didn't necessarily expect a lot when I checked it out of the library. It's primarily about budgeting and has solid advice, but also has a good start to what to do when one starts saving. Not told as a story (as "The Wealthy Barber"), but enough real-life examples to make sense to someone with no background in this sort of thing.

Richard

 

[haha]

I was a child of the 60s. I very well remember my Dad talking to me about "net worth". I found the whole concept repulsive. I wish he were still alive so I could apologize for my ignorance and arrogance.

Haha

 

[Arif]

As for Kiyosaki-- I wouldn't even use his books as a door stop or a charcoal starter.

Well there goes one of my suggestion. Although he did get me started looking at real estate and business in a whole new light.

I think "The Millionaire Next Door" was the first book I ever read on LBYM. Classic book, I even enjoyed all the charts.

 

[unclemick]

I think books are dangerous - it's probably not a good idea to read any of them.

But - like hormones and investing and perhaps diet books - people will go ahead a do it anyway.

1994 - gave away copies on Bogle on Mutual Funds - oldest nephew actually read it.

I also gave him my patented Boglehead lecture on DCA, index fund - keep faith with De Gaul and keep plugging away via TSP. Any wise - my lecture or da book??

Get them to start with real money - they will learn which books to read later.

Bench mark TSM via DCA - then they can read and screw it up in the stretch. At least my nephew got ten years in before he read Four Pillars - not a book I'd recommend for the accumulation phase - distribution is another story.

 

[modhatter]

I think for young folks just starting out with what I refer to as the "credit card syndrom" a good book for them would be Suze Orman's "The Road To Wealth" It deals with all aspects of Money today and the problem young people get themselves into with too easy credit. (Buy now-pay later) Also, she is on TV and watched by alot of young people.

She also explains in short chapters all the different avenues for investing available out there.

It is very easy reading and it might spark their interest to start thinking about these things now, before it is to late.

Here are the different chapter:

1. Managing Debt (Talks a lot about credit cards and financing[/i])
2. Financiial Intimacy (Talks about how young couples get themselves in trouble and how important it is to discuss and agree on money matters with your partner.)
3. Home Ownership
4. Insurance
5. Paying for College
6. Retirement Planning
7. Stocks
8. Mutual Funds
9. Bonds and Bond Funds
10. Annuities
11. Wills and Trusts

I think # 1,2 & 3 are especially important for young people starting out.