Reddit Reddit reviews The Wealthy Barber, Updated 3rd Edition: Everyone's Commonsense Guide to Becoming Financially Independent

We found 27 Reddit comments about The Wealthy Barber, Updated 3rd Edition: Everyone's Commonsense Guide to Becoming Financially Independent. Here are the top ones, ranked by their Reddit score.

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27 Reddit comments about The Wealthy Barber, Updated 3rd Edition: Everyone's Commonsense Guide to Becoming Financially Independent:

u/TelePhoney · 6 pointsr/personalfinance

I was a paycheck-to-paycheck guy for a lot of years and while I never got into real bad financial trouble, I had a lot of times when my bank balance was under $10 the day before payday. It wasn't a good feeling.

One day I was chatting with a colleague who had actually loaned me some money for lunch a couple of times when I was short, and he recommended a book for me to read - The Wealthy Barber - that turned my attitude around. Three words from the book "Pay Yourself First" really hit home for me. Instead of spending what I wanted to during the month and then putting whatever was left (if anything) into savings, I committed to putting 10% of my paycheck into savings right away. After seeing my savings account growing almost painlessly (amazingly, much of what I wanted to spend money on I didn't need to spend money on) I decided it was time to get more serious. The Wealthy Barber is a good start but it's just a start.

u/IRMuteButton · 3 pointsr/personalfinance

It's been years since I read it, but The Wealthy Barber provides some great information to help a beginner manage their money.

u/loluguys · 3 pointsr/cscareerquestions

I would also recommend David Chilton's The Wealthy Barber. Great book that helped me manage my cash flow quite a bit.

u/genmusetic · 2 pointsr/AskReddit

This. but of course I have to throw in a bit

I'm 47 and "semi" retired for the last couple of years and enjoying it. I was/am also a software engineer.

  • moderation and discipline to keep at it.

  • working for yourself or a small startup where you have stake in the company will raise you chances of retiring early - it will also raise your chances of being unemployed for periods of time, but employers tend to like entrepreneurship if you need to go back to a corporate setting. (speaking from a software development viewpoint, can't vouch for sales, marketing, etc...)

  • don't look at retirement as sitting on your duff browsing reddit all day. plan to do something you like that makes a little money or plan try the 10,000 hour thing.

  • definitely real estate now. buy what you can (there are bargains to be had), live in it and plan to rent it out later, but remember if you need cash, real estate takes a while to turn into money.

  • read The Wealthy Barber

  • financial plan - a good base of life insurance if you have a family, some conservative funds/bonds before buying riskier stocks/bonds

  • be cognizant of your liquidity (stocks, funds, money market) that you can turn into cash quickly when needed. do not go all in on fixed assets like real estate, classic cars, etc....

  • don't stew over missteps, it happens

  • enjoy life - as in don't live to work

u/Chummage · 2 pointsr/FinancialPlanning

I've read about half of these. Pretty dry reading. I would recommend the following:

The Wealthy Barber

I Will Teach You to be Rich

Bogleheads' Guide to Investing

All About Asset Allocation

The basic point of all of the books above and in the article is that you aren't going to beat the pros in investing, in fact the pros can't even keep up the same record from year to year. Index funds are the way to go. Other books above go over what the asset allocation looks like and also goes over insurance and other things to make your finances sound.


As an aside, I never could stick with a budget until using the software YNAB and now that I'm doing a monthly budget I am seeing massive benefits.

u/thumbnail_looks_like · 2 pointsr/personalfinance

The Wealthy Barber

https://www.amazon.com/Wealthy-Barber-Updated-3rd-Commonsense/dp/0761513116

I read it when I was young and first starting out. It has great advice about how to save, plan for the future, and retire in style, all written with the average working Joe in mind. Highly recommended.

u/Beard_of_Valor · 2 pointsr/ITCareerQuestions

Some good responses. I could never do the military thing. I've built my life around the idea of independence from authority since I was about 11. I can empathize with being unable to break out of the low income - low prospects loop.

I don't recommend the military but I see that's the path you've pretty much decided on, and it's not onjectively bad, just different strokes for different folks. What I do recommend is continuing to pursue this goal.

Right now you have few prospects, and few options to improve your lot in life. You're taking steps including the upcoming GED test. Let's say you pick a branch and get through boot camp and sign away a few years of your freedom. You'll be turning 21 and testing out booze (or letting loose out loud what you've been doing in private), you'll have more money than you've ever had, an itinerant lifestyle, easy lays in all liklihood... but the world is working against your personal wealth, and you won't usually learn information geared toward passing specific certifications.

  1. Wealth. The military grants you access to a credit union or more than one, pick one and open an account. Banks are constantly ripping people off in various ways, but a credit union generally is working with your best interest in mind. Your buddies will have Xbox and PS4, every new game, they'll go out on their free time to the bars around the base to get drunk and laid, keep chicks happy however they need (some of these chicks make their beau their meal ticket)... observe the first commandment of personal finance and pay yourself first. Decide how much from each check is off limits, a nest egg for taking classes when you get out to bridge the gap between excellent computer guy and certified IT guy, figuring out personal transportation, moving to a city with good public transit and tech jobs, first month and last month's rent and security deposit, a washer and dryer and vacuum and big screen TV and a couch... you won't have bills (maybe phone). You should be able to save 75% realistically and still have mad money for entertainment, but 20-40% is probably sufficient to ensure you never backslide into the no opportunity vicious cycle. I said I can empathize with your situation; my parents are complete idiots with money. If you want to break away from that, I recommend The Wealthy Barber. The book tells a story about a guy who had to drop out for a family issue but who got wealthy by being smart about it and planning ahead, and two people who've been going to him for years. One married with kids, one unattached, and how their plans should look. It's the least boring personal finance book and at least covers the bases so you can see the whole problem and make smart decisions for yourself.

  2. The military does not lead to a career in IT, though it can help. I know guys who did it. I think there was something where they ended up well prepared for the CISSP. I know other guys who didn't get any of that kind of stuff and they're mostly where they were when they started. Don't be that guy. Save up, talk to your buddies about this future shit, and keep your eyes open for opportunities to learn more advanced stuff in your duties.
u/MarioLutherKingJr · 2 pointsr/personalfinance

The Wealthy Barber- little drawn out but is exactly what you're looking for http://www.amazon.com/The-Wealthy-Barber-Updated-Edition/dp/0761513116

u/satansbuttplug · 2 pointsr/financialindependence

Another one of my favorites is David Chilton's *The Wealthy Barber" (http://www.amazon.com/The-Wealthy-Barber-Updated-Edition/dp/0761513116). It is written as an introduction to personal finance and investing in a story style.

u/Subject_Beef · 2 pointsr/personalfinance

I would recommend "The Wealthy Barber". In terms of general personal finance (not specifically investing) books, I really enjoyed the "The Millionaire in You: Ten Things You Need to Do Now to Have Money and Time to Enjoy It" by Michael LeBoeuf, and "Getting Rich in America: 8 simple rules for building a fortune and a satisfying life", because they cover not only how to succeed financially, but achieve happiness in all areas of life. I usually borrow my books from the library, but I liked these so much I have purchased multiple copies for my own library and to lend out to friends.

u/the_curious_task · 2 pointsr/pics

How to get your core finances in order and start saving: The Wealthy Barber

How to invest your savings: The Four Pillars of Investing

u/swordgeek · 1 pointr/AskReddit
  • The Wealthy Barber. Canadian Personal Finances made simple.
  • In Watermelon Sugar. I think it actually changed me more than On The Road, although possibly just because I read it first.
  • The Foundation Series. Really, only the three original books, but there are things in there which still strike me as ringing true (and truer with time) in modern society.
u/110_115_120 · 1 pointr/personalfinance

These are two of my most favorite PF books I've read to date:

The Wealthy Barber

The Millionaire In You

u/TomahawkChopped · 1 pointr/investing

I'm going to give you the pathway that I read that has me where I am today, its mostly going to steer you towards dollar cost averaging and passive management, but the easing of exposure to alternative strategies was invaluable and eventually brought me to value investing. Dollar cost averaging in low cost index funds is the training wheels of investing and should be the way every novice investor starts IMO.

  1. The Wealthy Barber - this is the sesame street book on investing and everyone should read it when they're starting. It'll expose you to the ideas of dollar cost averaging, low fee index funds, and the importance of using TIME as your biggest asset in slow growing your net worth. Its like $6 and 100 pages, you can read it in afternoon. http://www.amazon.com/The-Wealthy-Barber-Updated-Edition/dp/0761513116

  2. The Little Book Of Common Sense Investing - if you want to skip the previous book and go straight to this one that would make sense, they cover much of the same info but this one is written by John Bogle (founder of Vanguard) and very much pushes the idea of low cost indexed mutual funds as the only way the casual investor has a chance. If you read the wealthy barber, you'll be a little bored with this book, so take your pick. http://www.amazon.com/Little-Book-Common-Sense-Investing/dp/0470102101/ref=sr_1_1?s=books&ie=UTF8&qid=1425572242&sr=1-1&keywords=John+boggle

  3. A Random Walk Down Wall Street - its been recommended several other times in the thread and I recommend it too, but not as a starter book, read one of the two books above first. The ideas presented in Random Walk are a bit more advanced and will begin to expose you to the ideas and methods of identifying risk and diversity in a portfolio, such as alpha, beta, mordern portfolio theory, and discounting. In the end the book is going to push the novice towards low cost passively managed index funds, as it should IMHO. Absolutely worth reading once you have built a small nest egg.

    At this point if you've taken a year or two or more to invest using what you learned in the above books you'll have a better idea of what you really want to start doing with you're money. Perhaps its value investing, and now it starts to get more technical.

  4. The Little Book of Valuation - Good intro to valuing companies that begins getting into the technicalities of analyzing balance sheets. If you think this is the route you want to go then give it a read, but not until you've read the books above and cut your teeth for a year or two managing your money and exercising good decision making and patience with dollar cost averaging. http://www.amazon.com/Little-Book-Valuation-Company-Profit/dp/1118004779/ref=sr_1_1?s=books&ie=UTF8&qid=1425572657&sr=1-1&keywords=The+little+book+of+valuation

  5. The Intelligent Investor - now you're really ready to dive into the details of a companies financials to determine its worth in 5-10 years. This book by Benjamin Graham (warren Buffet's mentor) is the go to book on value investing, and I take this review seriously: "“By far the best book on investing ever written.” (Warren Buffett)". Do NOT start here, you'll just be confused, bored and frustrated. http://www.amazon.com/Intelligent-Investor-Definitive-Investing-Essentials/dp/0060555661/ref=la_B000APZXBQ_1_1?s=books&ie=UTF8&qid=1425575056&sr=1-1

    By this point you'll no longer be an investment padawan and be well on your way to a master of the force. Do not be tempted by the dark side of day trading and penny stocks. Much fear there. There is no need for level 2 quotes with value investing because you're relying on your due dilligence from the previous years and quarters to take your portfolio higher, without worrying about the road bumps in the market today. You'll be able to happily live your life until the next quarter or two when its time to reevaluate and rebalance your portfolio.

    Good luck.
u/Encinitas0667 · 1 pointr/vagabond

X3. You will pay a big tax penalty if you pull money out of your 401k. It's tempting, I know, but you'll be screwing yourself if you do this.

You need to sock as much money as you can into retirement accounts and investments while you're young. Don't work "under the table" jobs, either. You need those Social Security taxes to be paid so when you hit age 64 you can draw Social Security. I know it seems like retirement is a million years away, but it's not. Social Security will send you an accounting of your benefits every year after about age 55. You want to check and make sure your employer is paying it correctly. I know somebody whose employer deducted all that shit from his check for years, but didn't pay the government. Then the employer and his whole family hauled ass to Costa Rica and burned all their employees for all their income tax money.

A good rule of thumb is "Invest one hour's pay out of every paycheck, every week." If you're getting paid $15 an hour, that would be $60 a month invested. At 7%, over fifty years (from ages 16 to 66) you would wind up with $332,069 at retirement.

Here, calculate it yourself. https://financialmentor.com/calculator/compound-interest-calculator

There's a very good book about this, called "The Wealthy Barber."

https://www.amazon.com/Wealthy-Barber-Updated-3rd-Commonsense/dp/0761513116/ref=sr_1_2?crid=TW4KWKC7ZEH1&keywords=the+wealthy+barber+book&qid=1555218139&s=gateway&sprefix=book+The+Wealthy+Barber%2Caps%2C199&sr=8-2

u/antonbe · 1 pointr/jobs

This book helped me:

The Wealthy Barber
http://www.amazon.com/The-Wealthy-Barber-Updated-Edition/dp/0761513116

Talks about money, something you should be learning about right about now.

u/Kwibbian_Kel · 1 pointr/personalfinance

> I'm now so overwhelmed that I don't know what to do.

My go to advice for brand newbies is to read The Wealthy Barber.

It's written in an easy, folksy style. It's basically a story about a financial newb (such as yourself) who finds out that the guy who cuts his hair is well on his way to financial independence.

>How on earth do i decide what to do with money in my IRA and 529s

In general, the money you're saving for retirement won't be touched for at least 30 years. So you can be aggressive with those investments and put them 100% in stock index funds. (DO NOT BUY INDIVIDUAL STOCKS.)

The 529 money will be needed much sooner. So while you want some growth, you also want to mix in some investments that preserve capital (i.e., don't lose money when the market goes down.)

Read that book. It will give you some basic knowledge you need to start making your investments wisely.

Good luck! I didn't start saving for retirement until I was 27, and my financial situation was not as good as yours at the time. I'm on track to retire comfortably at 62, plus or minus a few years.

u/destinyland · 1 pointr/AskMen

Sometimes you hear about people who got hooked on the excitement of potential investing, and then lost their self-control and lost a bunch of money. So it's really good that you're educating yourself first.

Basically, individual stocks are high-risk/high-reward - so don't gamble with your grocery money. Mutual funds spread your risk around, so there's moderate-risk/moderate reward, though people usually tell you that thinking long-term helps you weather the day-to-day bumps.

The best book I ever read on personal finance was "The Wealthy Barber". It's a short book, so you're guaranteed to finish it, and it covers some of the common sense basics that include investing in the stock market and dollar-cost averaging.

http://www.amazon.com/Wealthy-Barber-Updated-3rd-Commonsense/dp/0761513116

u/Bonghitter · 1 pointr/reddit.com

"The Wealthy Barber".. It's helped me tons!

u/topgun169 · 1 pointr/AskReddit

Auto-withdraw 10% of every paycheck and DO NOT TOUCH IT. EVER. Just tuck it away, preferably in a long term savings account that earns compound interest. Start at 18 and you'll be a millionaire by the time you retire.
The Wealthy Barber is a very good book for simple financial advice.

u/Erik618 · 1 pointr/Watches

Do what I did. Read this book. It's a little dated, so it's not quite as fantastical as it sounds in the book, but If you are still set on your decision by the end, you will at least be weighing the costs maturely.

I'm only a bit older than you and yes, I'd love to get myself an Explorer 1. (if only they kept that 36mm)

u/calantorntain · 1 pointr/pics

"The Wealthy Barber" is one that my dad got me. It's a nice introduction to many concepts.

u/JCacho · 1 pointr/Economics

TIL Employer-provided health benefits are a scam... lol.

>the stock market and retirement funds have lost a lot of value in the last 4 years. full stop.

And yet they're on pace to recover and more... Also why are you talking like a telegram?

>why you oppose this notion so strongly? are you richer than warren? do you think you will ever be?

No and No, but I like to respect what people earn, as opposed to thieving it via the government.

>i thought u were in high school or college because statements like 80% of people can save 10% of their income. are u fuckin insane?

No, not insane. It's the truth. It's the premise behind best-seller books such as this one and this one.

>most people just cant save a penny, actually they are crazy indebted, go google some graphic about debt.

All that is saying is that there's a lot of people out there with poor money management skills. That I do not deny. All I've said is that 80% of the people are capable of saving 10%. Whether they actually do it or not is another story.

>go on. keep defending the interests of the rich. are you one of them?

Once again, no. But you said you were, so why are you arguing against what's in your best interest?

u/12V_man · 1 pointr/suggestmeabook

David Chilton's Wealthy Barber