7 of 8 people found the following review helpful
A wonderful guidebook for those seeking financial FREEDOM,
By A Customer
This review is from: The Millionaire Next Door (Paperback)
I'm frugal, yet this book excited me so much that I bought a pile of them and gave them to many close friends with strong urgings to read. The second time this has ever happened to me. This book presents a realistic method for becoming financially independent. The key element is saving 15% of your pre-tax income, and investing that for the long term. What a small price to pay for true financial freedom! A core idea implied here is changing the typical American "order of operation". By sacrificing some spending now, one can then have plenty of toys and goodies later, if that is important. Or do whatever you want - free of a ball-and-chain job. An unexpected bonus was a look into the (counter-intuitive) effects of parents giving substantial sums of money to adult children. Hint - it usually makes them worse off financially in the long run. They also had some excellent data on thinking about your investments in AFTER-tax terms. This was before index funds became the rage, and I hadn't thought enough about this. Simple, practical advice that helped me seek out better alternatives, and therefore a more lucrative long term strategy. What I really liked about this book was that it presented the "live an honest, frugal, and hardworking life" in a practical context - that of reaping the substantial reward of financial freedom. For so many of these people, the independence they had gained, and the personal pride and contentment in that freedom made them so happy, it's hard to imagine any amount of consumer goods providing that. Life, liberty, and the pursuit of happiness...hmmm - sound familiar? For me it was a great motivator. While I'm much younger than the typical late 50ish to early 60ish millioniare interviwed, it showed me that I'm well on track if I just keep at it. That has REALLY helped for the past several years. If you're looking for a quick fix or magic bullet, or you can't stand the idea of giving up some of your pretax income for now - to have a much better financial life down the road, then this book isn't for you. However, if you are willing to consider some spending moderation, and are looking for practical advice that will truly work - this book is definitely for you. ***ANYONE*** with a moderate (say $30K and up) income, plus some desire and self discipline can become truly self sufficient financially - let freedom ring! I think that's truly wonderful, and this book can set you on that path.