5 Must-Read Budgeting Books

Apr 17

A red dragon and cat journal and look out the window in a city. — Reading is the secret to financial success.

Are you tired of living paycheck to paycheck, wondering where all your hard-earned money goes each month? Are you ready to take control of your finances and start building wealth for the future? Look no further than these five budgeting books that will help you save money and achieve financial freedom. From practical tips on cutting expenses to strategies for investing wisely, these books are a must-read for anyone looking to improve their financial situation. Get ready to transform your life with the power of smart budgeting!

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1: You Need a Budget, Jesse Meecham

It’s natural for this list to be led by a book by Jesse Meecham, who founded an online budgeting product by the same name as his book. The You Need a Budget fan club or YNABers for short is an active community of people using the rules laid out in this book to improve their financial lives. I am one of them myself and a big fan of the YNAB Budgeting Tool. Jesse uses induced scarcity and a method where you “give every dollar a job” as soon as it hits your bank account. This makes budgeting much easier than other methods, where you essentially cringe while looking at last month’s spending. This book comes with a community and online platform that will support you in your learning, it’s why I stick around.

2: I Will Teach You to Be Rich, Ramit Sethi

This book is not specifically about budgeting, but it does cover asking yourself big questions. Questions like, “What does my rich life look like?” or “What could I spend lavishly on?” Budgeting normally comes from a place of frugality, but I wanted to include this book because it shows that you can cut expenses on things that are not important, and turn up the dial on your passions. This book is written in an engaging tone and will be a great introduction to anyone starting to consciously improve their money game.

3: The One Page Financial Plan, Carl Richards

A budget, in essence, is just a tool. Now, tracking expenses is important, but without a plan, you will find yourself a bit lost. Carl Richards helps you create a financial plan, which is a wonderful companion to any budget. It’s important to understand the big picture, as it will guide your budget to help you improve specific areas of your life. He does also get into the nitty gritty detail of personal finance, but the main purpose of this book is to “bridge the gap from where you are now and where you want to go.”

4: Spend Well, Live Rich, Michelle Singletary

This book is full of down-to-earth advice that the author Michelle learned from her grandmother “Big Mama.”This book resonates so well because it is written by someone with humble beginnings. Michelle also writes for the Washington Post as a columnist, so she has “seen it all” when it comes to personal finance. You will learn about Michelle’s 7 Money Mantras, but I’ll let you buy her book to read about them yourself.

5: The Psychology of Money, Morgan Housel

This book will walk you through some sensible and thought-provoking concepts at the heart of personal finance. Morgan asserts that what matters most is not how much you earn, but how much you save. An incredibly fun and engaging read, it’s a must-have for centering your personal finance habits.

Budgeting Articles

These books are some of my favorites when it comes to budgeting, yet some of them don’t seem to focus on budgeting much at all. That’s because the best budgeting books aren’t about the tool, but rather the methodology. It’s equally important to focus on what is guiding you because the budget is just a tool to help you get there. Americans really are burning through their savings, and they need these books now more than ever.

The first book I mention, You Need a Budget, really is an awesome guide to the budgeting world and a welcome invitation to a community of budgeters. I do have a few articles that talk more about the basics of budgeting and budgeting for couples if you do not share finances and if you want to learn more before diving into that book.

Cash Budgeting

It’s important to note that some people prefer to use cash as a budgeting method. It helps them to control their spending by creating a hard limit when they run out of money in their envelopes. Baddies & Budgets make great cash planners for anyone interested in trying this method.