Author Topic: Best financial books as gifts for adult children?  (Read 3119 times)

NewDay2

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Best financial books as gifts for adult children?
« on: December 13, 2013, 12:36:26 PM »
I'd like to give each one of my adult children (ages 25 and 28) a finance related book for Christmas? They will be excited I'm sure ;)

Any recommendations?

AC 1 (28)- very frugal and good with finances, purchased a short sale home at a great price at 25. maxes out his 401k, rents out extra rooms to tenants to pay mortgage, etc. Has a budget.

For this one maybe a book on how to retire early?

AC (25) - does not budget despite repeated offers from me to help her create one. No savings and doesn't understand importance of. Lives pay check to pay check. I've posted on this forum regarding a car loan issue with this one.

For this one maybe a Dave Ramsey book?

It's amazing how two children can be completely different in respect to money :).


bogart

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Re: Best financial books as gifts for adult children?
« Reply #1 on: December 13, 2013, 12:44:33 PM »
A book that I really found helpful that doesn't involve budgeting (per se) but does group expenses into large and I think reasonably informative and useful categories is Elizabeth Warren's All Your Worth.  She talks some about how it's not "our" fault (not the fault of the reader who may be struggling -- which of course may or may not be true and may or may not be helpful depending on the person, but she points out some ways in which younger generations are more challenged than (recent) older ones), and her basic recommendation is that funds should be allocated as follows:  no more than 50% of available income to "must-haves," which aren't "needs," but rather commitments.  So if e.g. one has rented an expensive apartment and can't get out of the lease for, say, a year, then for the coming year that is a "must-have."  Then there is savings, which I think she recommends 30% on, and "fun stuff" (or optionals, I forget what she calls them -- but basically stuff we can decide on a case-by-case basis whether to buy, not stuff we (a) absolutely need or (b) have made a commitment to purchase -- like the lease example involves a commitment). 

I personally find this "big picture" approach a lot easier to apply (and more helpful, frankly) than the line-by-line budget idea. 

If nothing else you could buy the book and read it for yourself to get a sense of whether AC2 would find it helpful or not.

madmax

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Re: Best financial books as gifts for adult children?
« Reply #2 on: December 13, 2013, 12:49:53 PM »
I'm in the same age group as your children, here are a couple of suggestions.

For AC 1(28):
Boglehead's guide to retirement planning
The intelligent investor by Benjamin Graham
A random walk down Wall Street

For Ac 2 (25):
Millionaire Next Door
Dave Ramsey is good as well
Ramit Sethi's I will teach you to be rich
Rich Dad Poor Dad (controversial but worth a read)

gotaholen1

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Re: Best financial books as gifts for adult children?
« Reply #3 on: December 13, 2013, 01:08:24 PM »
AC1:

Stop Acting Rich and/or Millionaire Next Door

AC2:

Dave Ramsey Financial Peace DVD set possibly
What I Wish I Knew When I Was 20

arebelspy

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Re: Best financial books as gifts for adult children?
« Reply #4 on: December 13, 2013, 01:15:51 PM »
YMOYL for #1.

Back off from #2 for a bit.  A book will just drive them further to ignoring your message.
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MoneyCat

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Re: Best financial books as gifts for adult children?
« Reply #5 on: December 13, 2013, 02:14:07 PM »
When my little brother and little sister graduated from high school, I gave each of them a copy of "The Money Book for the Young, Fabulous, and Broke" by Suze Orman.  That's the book that got me started on the path of taking control of personal finance and it's a pretty good starting point for people in their 20s who are starting out in the world.

bexrayx91

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Re: Best financial books as gifts for adult children?
« Reply #6 on: December 13, 2013, 04:27:56 PM »
I haven't read a ton of financial literature but I did just finish reading A Random Walk Down Wall Street. I would definitely recommend this book for AC1.

gotaholen1

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Re: Best financial books as gifts for adult children?
« Reply #7 on: December 13, 2013, 05:04:38 PM »
YMOYL for #1.

Back off from #2 for a bit.  A book will just drive them further to ignoring your message.

arebelspy, I agree on #2 after thinking about it a bit.  Maybe still a book, but not about money/money management.