The Little Book of Main Street Money: 21 Simple Truths that Help Real People Make Real Money

Street Smart Tips for Main Street
Content from author Jonathan Clements

1. Don’t pay an insurance company to shoulder risks you can afford to shoulder yourself.
2. To make it easier to amass enough for retirement, aim to start saving no later than age 30
3. Make it a point to sock away tax refunds, year-end bonuses, overtime pay, and any other extra money you receive
4. Mentally divide your portfolio into growth money and safe money – and expect a rough ride from the former and comfort from the latter
5. The harder you try to beat the market, the more likely you are to fail, thanks to the investment costs involved.
6. By building a portfolio that is unlikely to suffer big short-term losses, you should improve your long-run investment compounding.
7. Unless your health is poor, plan on a retirement that lasts until age 90 – and maybe longer.
8. Resist following the crowd, whether it’s chasing hot performers in bull markets or shunning stocks during market declines.
9. Before purchasing a house, make sure you will stay put for at least five years and preferably longer.
10. If you’re a conservative investor inclined to buy bonds, consider making extra principal payments on your mortgage instead.


21 Simple Truths that Help Real People Make Real Money
Content from author Jonathan Clements

1. Our finances are bigger than a brokerage account
2. We can’t have it all
3. Money can buy happiness – if we spend it carefully
4. Even the best investors need to be great savers
5. Time is as valuable as money
6. No investment is risk-free
7. Portfolio performance – it’s all in the mix
8. Stocks are worth SOMETHING
9. To add wealth, we need to overcome the subtractions
10. Aiming for average is the only sure way to win
11. Wild investments can tame our portfolios
12. Short-term results matter to long-term investors
13. A long life is a big risk
14. Markets may be rational, but we aren’t
15. Our homes are a fine investment that won’t appreciate much
16. Paying off debts could be our best bond investment
17. Saving taxes can cost us dearly
18. A tax deferred is extra money made
19. Insurance won’t make us any money – if we’re lucky
20. Even if we have a will, we may not get our way
21. Financial success: it’s about more than money

Book Reviews:

"A gem from one of the most brilliant minds in personal finance."
—Ben Stein, author, actor, TV personality, and New York Times columnist

"Investing, as it is said, is simple but it is not easy. Jonathan Clements's fine new Little Book underscores the priceless (and price-less) value of simplicity. And his sage advice on living the good life and on spending well and saving wisely will surely make it, if not easy, at least easier for us to achieve financial peace of mind."
—John C. Bogle, founder of Vanguard and author of Enough

"Nobody, and I mean nobody, can make the world of investing as easy to understand as Jonathan Clements can. In this wonderful book, he teaches Main Street how to beat Wall Street at its own game-and how to have fun along the way. This book does not stop at merely making you richer and smarter; it will even help you lead a better life."
—Jason Zweig, author of Your Money and Your Brain and editor of Benjamin Graham's The Intelligent Investor

"Jonathan Clements is one of our wisest and finest writers in the field of personal finance. This Little Book contains gems of wisdom not only about investing, but also about living a full and satisfying life."
—Burton G. Malkiel, author of A Random Walk Down Wall Street

"Easy to read, easy to understan-and easy to put to work-this Little Book is a winner. I'm getting copies for our children-and their children, too."
—Charles D. Ellis, author of Winning the Loser's Game