Money Truths are Simple

I'm a bit of a personal finance junkie. At age 18, my orthodontist gave me one book, As a Man Thinkest, by James Allen, and recommended Schwab as a place to invest. I was too young to invest (i.e., college student, no money), but bought Charles Schwab's Guide to Financial Independence, as my first education into the world of personal finance. Since then I've read many that have become favorites, Boglehead's Guide to Investing (for its wisdom in keeping costs low, through index funds--a Vanguard approach), many books by Suze Orman (for comprehensive and adapted approaches), Total Money Makeover (Dave Ramsey can't be beat for getting debt and wrecked finances under control), Smart Couples Finish Rich (Bach is great for goal setting, creating vision), The Millionaire Next Door (demonstrates that financial security is attainable on any income), Rich Dad, Poor Dad (my least favorite due to some dangerous advice, but has good points about generating income).

This week, however, I feel that I've found the grand poobah in which all other financial wisdom is based. Written in 1926 by George S. Clason, The Richest Man in Babylon is a hard hitter by the simplest of means: the parable. A story, or rather, an allegory of masters and slaves, fathers and sons, income and debts, security and folly.

   
The only thing I can say is read it. Savor it. Give it as a gift to every young man or woman about to embark on their life. Although I have heard of the title many  times before, only when I happened upon it at the public library did I finally check it out. It's 158 pages of equal parts wisdom and entertainment. The wisdom, if followed, can only lead to security, a good reputation, and a good measure of happiness.

Today, analyze your personal financial life. In the next blog, we'll list a few simple steps, taken from a collection of these readings, to take any money woes and turn them into an area of calm and directed action. If your finances are in chaos (even if it's just denying how much debt you have), it's time to unravel the tangled yarn and pick a stitch in which you will eventually create something of order, simplicity and beauty.

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