Money under the covers

Searching for a present? How about a money book filled with financial know-how -- a gift that keeps on giving.

By Kara McGuire, Star Tribune

Last update: December 13, 2007 - 4:59 PM

Many of us learn about money through costly trial and error. But there are easier ways. This column, for one. Consider the ever-growing supply of personal finance books, which seem to multiply like wet Gremlins each year. If only money would do that.

I browsed at a local bookstore with a sizable personal-finance section and combed through the review copies I received from publishers to select what I think are some of the best personal finance books of 2007. Is your favorite new release not on the list? Want to tell others about what you think is the best personal finance book of all time? Then head to my blog and share your picks: www.startribune.com/kablog.

For the cheapskate on your list:

"America's Cheapest Family Gets you Right on the Money," by Steve and Annette Economides.

Yes, that's their real name (it means "son of the steward" in Greek). The family shares its tried-and-true strategies for spending less on clothing, utilities, vacations -- you name it -- in this enthralling guide to frugal living. Armed with two carts, walkie talkies, extensive lists and a boatload of coupons, the Economides make one massive grocery run per month. The monthly food tab? Only $350, or $50 per person.

For the person who has everything but time

"Grow Your Money! 101 Easy Tips to Plan, Save, and Invest," by Jonathan Pond.

The prolific Pond, who also stars in PBS specials, covers nearly every money topic you can think of: from career advice to investment strategies to using debt advantageously. Each lasts no more than a few pages. Best of all, Pond includes an age-based checklist suggesting which of his tips would most appeal to Generation Y, Generation X, the baby boomers, and beyond.

For the saver who wants to be an investor

"The Little Book of Common Sense Investing," by John Bogle, founder of the Vanguard Group.

The dean of index fund investing explains why he thinks picking stocks and attempting to beat the market is a fool's game. He makes a compelling case for buying a piece of each publicly held company through an index fund and holding it for a long, long time. A plus: The guide is small enough to fit into a Christmas stocking.

Alternate pick: "Financial Planning: Demystified," by Paul Lim.

For someone who'd like an accessible overview of stocks, bonds and mutual funds, this book written by Lim -- a senior editor at Money Magazine who also writes a column for the New York Times -- is a solid choice.

For the person in need of a primer

"Easy Money," by Liz Pulliam Weston.

The MSN Money columnist goes into a little too much detail on simplifying and automating one's financial life. But she makes up for it with chapters full of no-nonsense, achievable suggestions such as take charge of your spending with a "buy-nothing month" and "start with a goal of setting aside one week's pay" to build emergency savings.

Alternate pick: "On My Own Two Feet: A Modern Girl's Guide to Personal Finance," by Manisha Thakor and Sharon Kedar.

If it weren't for the red high heels on the cover and the pronouns, the book could have worked for guys just starting out too.

For the budding behavioral economist

"Your Money & Your Brain," by Jason Zweig.

The well-respected financial writer has penned a fascinating and entertaining read about the new field of neuroeconomics-- the study of psychology, economics, and the brain. Learn what monkeys with fruit juice can teach us about keeping up with the Joneses and why people base stock selling decisions on the past instead of the future.

Alternate pick: "Money Can Buy Happiness," by MP Dunleavey.

Also written by an MSN Money and New York Times columnist, this book is light on science, but heavy on self-reflection. The take away? Devote your money to areas that will bring happiness such as health, charity and freeing up time.

Kara McGuire • 612-673-7293 or kara@startribune.com