Best Finance Books Australia

This book recommendation is for my fellow Australians. It’s a personal finance guide that really opened my eyes. When I read this book, I was shocked to learn that 30–40% of seniors in Australia are living in poverty—a terrifying statistic.

This book isn’t about teaching you how to become extraordinarily wealthy. It’s about basic, fundamental, sensible ways to manage your money so you can avoid ending up in a grim situation when you’re older and powerless to do much about it.

The book is called The Barefoot Investor. It covers three key areas:

1. Earning Money – Making sure you’re earning enough to support your life and financial goals.
2. Money Management – Splitting your money into multiple accounts, like expenses, investments, and even a “splurge account” for fun activities and going out.
3. Optimising Finances – Choosing the right superannuation account, minimizing fees, and cutting unnecessary spending.

The goal is to help you live a good life now while also setting yourself up for financial security in the future. This isn’t about sacrifice—it’s about balance. It’s about enjoying life while ensuring you’re not 80 years old and forced to survive on rice and beans.

One important takeaway from the book is understanding the impact of inflation. For example, if you think having half a million dollars in cash is enough, inflation will devalue that money over time. Simply keeping money in the bank isn’t enough; you need to invest just to keep pace with inflation, let alone grow your wealth.

This book is about fundamental personal finance—basic but essential principles that every Aussie should know. It’s a reminder that setting up your financial future is crucial. You can live a nice life now while still securing your future for the remaining years ahead.

I think The Barefoot Investor is a must-read for every Australian. It’s a straightforward guide to ensuring your financial stability and enjoying life to the fullest.