Do you want to achieve financial freedom? It’s a healthy goal to have. There are many ways to achieve it, but many people face obstacles in the early stages. That’s why I’ve put together a list of my favorite financial freedom books.
These books cover a wide range of personal finance ideas. And with them, you can achieve a wealthier and more fulfilling life. Whether you’re a beginner or an experienced wealth builder, these books can help. Now, without further ado, let’s dive in to some of the best texts on financial freedom and how they can help you reach your goals.
Best Financial Freedom Books
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The Millionaire Next Door
Authors: Thomas J. Stanley and William D. Danko
Original Publication Date: 1996
The Millionaire Next Door hits a few big ideas home. To start, anyone with a steady income can reach financial freedom. And the appearance of wealth can be misleading. Many millionaires walk among us, but you wouldn’t be able to pick them out of a crowd.
The authors have identified seven common traits shared by wealth-building millionaires. Overall, this finance book is packed with research. And, more importantly, it’s easy to read. You’ll find useful examples and ideas that you can put to work on your path to financial freedom.
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Rich Dad Poor Dad
Author: Robert T. Kiyosaki
Original Publication Date: 2000
Rich Dad Poor Dad highlights two different financial stories. The author shares his real (poor) father’s financial approach in comparison with his friend’s (rich) father. Through these perspectives, you’ll learn how mindset and lifestyle have a huge impact on your financial outcome.
This financial freedom book is a top seller for good reason. It’s helped improve the way tens of millions of people think about money and investing. Rich Dad Poor Dad has sold more than 36 million copies.
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I Will Teach You to Be Rich
Author: Ramit Sethi
Original Publication Date: 2009
This finance book provides a six-week program for 20-to-35-year-olds, although readers from any age group can really benefit from its insights. It presents many overlooked yet simple techniques you can use to improve your finances.
The author has based this book around the four pillars of personal finance: banking, saving, budgeting and investing. He also focuses on the wealth-building ideas of personal entrepreneurship. The book is packed with useful financial advice.
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The 4-Hour Workweek
Author: Tim Ferriss
Original Publication Date: 2007
The 4-Hour Workweek focuses on one big idea… helping readers learn how to escape the 9-to-5 workday. And you can forget about the old concept of retirement. With the right mindset, you can boost your income and escape the rat race.
This finance book has an expanded edition that includes additional resources. You will find more than 50 tips and case studies. These come from readers who have doubled their income and reinvented their lives. With these personal studies, you can find ways to improve your income and lifestyle.
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The Automatic Millionaire
Author: David Bach
Original Publication Date: 2003
The Automatic Millionaire opens with the story of an American couple. Together, their joint income never exceeds $55,000 a year. Still, they manage to put two kids through college and retire at 55 with more than $1 million in savings.
To accomplish this, they didn’t need any budgeting. Instead, with some simple steps, they set up an automatic system to pay themselves first. This helped to reduce some common, continuous barriers that most people face when trying to save. When it comes to automatically building wealth, this book is a top guide.
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Thinking, Fast and Slow
Author: Daniel Kahneman
Original Publication Date: 2011
Psychology and building the right mental models are vital to reaching financial freedom. The author of this book is a renowned psychologist and economist. He received the Nobel Memorial Prize in Economic Sciences in 2002.
In this book, you’ll learn about two systems that drive the way we think. The first covers fast, intuitive and emotional thoughts. And the second covers slower, more deliberate and more logical thoughts. Understanding the way we think, along with its built-in pitfalls, can help you make better financial decisions.
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The Gone Fishin’ Portfolio
Author: Alexander Green
Original Publication Date: 2008
Once you’ve started saving – even a small amount – the next important step is investing. But investing in the financial markets can seem daunting. It doesn’t have to be. This financial freedom book shows readers a simple, hands-off approach to investing.
The strategies you’ll uncover in this book are battle-tested and take only 20 minutes to implement. And starting sooner rather than later has a huge impact. Each financial decision you make today compounds down the road. To see the power of compounding, check out our free investment calculator.
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The Little Book of Common Sense Investing
Author: John C. Bogle
Original Publication Date: 2007
This is a classic guide to the stock market by legendary investor John C. Bogle. He is the founder of the Vanguard Group and created the first index fund. This invention has helped millions of people enter the investing world at a lower cost.
In this book, Bogle shows readers keys to building wealth. You can buy and hold a mutual fund that tracks a stock market index such as the S&P 500. This approach has helped many people reach financial freedom. And since Bogle wrote this book, fees have come down for exchange-traded funds.
This book and the next both make our list of the best stock market books. There are four more on the list, so feel free to check them out.
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Get Rich with Dividends
Author: Marc Lichtenfeld
Original Publication Date: 2012
The Institute for Financial Literacy named Get Rich with Dividends its Book of the Year in 2016. The book has been published in three languages (soon to be four). It focuses on setting up a portfolio of great companies. They will then pay you a growing stream of dividends.
Written for both beginning and more experienced investors, this book shows why a portfolio of dividend-growth stocks will outperform the market, provide more income each year and help you compound your wealth.
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Think and Grow Rich
Author: Napoleon Hill
Original Publication Date: 1937
This book is the product of two decades of research from about a century ago. The author, tasked by Andrew Carnegie, set out to interview more than 500 successful people. They included Henry Ford, Thomas Edison, Alexander Graham Bell, John D. Rockefeller and many more.
In this timeless finance book, you’ll find the author has identified thirteen steps to success. And on top of that, he lists seventeen principles of success. Learning these steps and principles can transform your approach to building wealth.
There are a few core themes in the financial freedom books above. And one of the most important is setting up the right mindset. By digging into these books, you can form and reinforce healthy financial habits. And the benefits go much further than monetary gain.
To learn more about finance and investing, sign up for our free Investment U e-letter below. It’s packed with useful tips from investing experts. Also, if you want to, check out this powerful – yet simple to use – investment calculator. With it, you can see how your savings grow each year. Will it take you five, 10 or 20 years to reach financial freedom? How can you expedite the process?
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