I’m sorry, I just realized I never posted about the book I read in January as part of my 12 books in 2012. Last month I read the book, Saving for Retirement without living like a pauper or winning the lottery.
This was an easy read about subjects that can sometimes be confusing or difficult to understand, things like investing, stock market, IRA’s, mutual funds, and more.
Although not a new fact to me, the main thing I came away with after reading this book was the sooner you start saving the better. I alway find it interesting to see charts comparing two individuals who invested the same amounts of money but at two different ages and then seeing the difference that interest and compounding can make.
This book was written in 2007, so the examples the author uses of compounding are seem outdated. She consistently used an 8 -10% expected return on investment to illustrate how small amounts of money could grow over time. Years ago, that may have been a reasonable rate of return, but not in this economy I feel that is no longer a true number to use.
If you have not started saving for retirement than this book would be a good motivator. Just remember the illustrations she uses will likely not be the same for you in this day and age.