Preparing for retirement? Here’s a Recommended Reading list

Many people contemplating early retirement ask me if I have any tips I can share with them. Here’s my recommended reading list. I’ve broken it into three categories: 

1) books that can help you decide when it’s the right time for you to retire.

2) books that help you prepare mentally and emotionally. I’ve organized it this way because I’ve decided sometimes your most important decision isn’t “what?” but “when?”  

3) books that can help you prepare financially because these are classic good ones that can help everyone improve their knowledge of personal finance – at any age or stage of life.

1st: When is the right time? (Read now or at any stage of life)

These books can help you decide your personal timeframe of when it would be ideal (emotionally, mentally and physically) for you to retire. They briefly cover financial readiness, but as each states, that’s not their focus because there are plenty of other books and resources that cover financial readiness. I recommend reading these now or at any stage of life:

• “Die with Zero” – Bill Perkins (this one is a little extreme, but he has interesting concepts on the importance of balancing money, time and health. His chapter on time buckets is a must read!)
• “The Joy of Not Working” — Ernie Zelinski (excellent book on how to maximize the value you get from your leisure time). Includes advice for people who are retired or unemployed as well as how people who are currently employed can get more enjoyment out of their time away from work (whether that’s weekends, evenings, vacation time or shifts not scheduled to work).
• “You Can Retire Sooner Than You Think” — Wes Moss (good overall book to help figure out the kind of lifestyle you want to have and how much you’ll need for it – and very helpful in overcoming the big fear we all have that causes us to put off retiring: “outliving our nest egg.”) Also, he has a blog and a podcast worth checking out.
• “What the Happiest Retirees Know” – Wes Moss (follow up to previous book). Moss writes about surveys he’s conducted on habits of the happiest retirees and habits of the unhappiest retirees. Interesting stuff! 
• “Die Broke” — Stephan Pollan (this one is a little dated but it still has good points)
• “Career Asset Management:  Getting Ahead, Staying Ahead and Using your Head to Maximize Your Career” — Michael Haubrich (excellent book for people who may not want to retire completely, but want to dial back or switch careers)
• “The Joy of Retirement” – David C. Borchard. A career coach provides advice for the next chapter in your life.

2nd: Preparing mentally and emotionally for retirement (read 1 to 5 years before planned retirement or immediately upon unplanned retirement)

Once you’ve picked a timeframe to retire, these books are helpful in preparing mentally and emotionally for retirement. They include mental exercises for planning out the kind of retirement you want to have. I recommend reading these when you are anywhere from 1 to 5 years from your planned retirement timeframe. Read immediately if you find yourself retired suddenly and unexpectedly.

• “How to Retire Happy, Wild and Free:  Wisdom you won’t get from your financial advisor” — Ernie Zelinski (how to plan for retirement from the psychological perspective, instead of the financial perspective. Includes some overlap from his other book “The Joy of Not Working” but they are different enough that it’s worth reading both )
• “Thrive in Retirement” — Eric Thurman (another great book to help you mentally prepare for the next chapter in your life)
• “The Blue Zones of Happiness:  Lessons from the World’s Happiest People” — Dan Buettner (good book on what truly brings people happiness). Spoiler alert:  neither long working hours nor money make the list. He also has a show on Netflix, but I haven’t watched it yet because I’m more of a reader.

3rd: Learning some personal finance basics

Maybe you’re not ready to retire, but you’re looking for help to get you in the best possible financial position for a future date. These are classic books on financial planning that everyone should read at least once in their lives. The earlier you read them, the longer time frame you have to apply their wisdom and reap the benefits:

• “Your Money or Your Life” — Vicki Robin and Joe Dominguez (if you read only one book on personal finance, make sure it’s this one. This is THE book on understanding your spending and how transformative that can be.)
• “The Next Millionaire Next Door:  Enduring Strategies for Building Wealth” — Thomas J. Stanley and Sarah Stanley Fallaw (both this and his other book listed below will make you rethink many purchases).
• “Stop Acting Rich” — Thomas J. Stanley (this book will cause you to look at people’s spending habits in a much more realistic light).
• “Everyday Millionaires” – Chris Hogan (a very convincing argument that with enough time, consistent investing and keeping spending in line anyone in the United States can become a millionaire).
• “Retire Inspired” – Chris Hogan (a great book to help you imagine the kind of retirement you want so you remain motivated to achieve it).
• “Uncommon Sense” — Lynn G. Robbins  (really great basic info on managing your personal finances. I discovered this book in my early 20s and it is the one that put me on my original path to financial independence. It goes in and out of print. Whenever I see it’s in print, I buy some copies so I have them to give as graduation gifts.)

In true frugal fashion, I got most of these books from my local library system. However, I include the Amazon links here for your convenience. 

For people who are afraid to retire:  “Happy Retirement: The Psychology of Reinvention” by Kenneth S. Shultz.

I hope this list helps you.  Happy reading!

From a very happy retiree (who clocked out for the very last time at age 53 and has never looked back.) I believe early retirement puts a bounce in my step and is adding years to my life!

Engage with us! In the comments, what resources have you found helpful? Do you have any recommendations to help friends prepare for retirement? Recommendations for good books, podcasts, blogs, videos or other resources on the topic?