Mar 13, 11
Read in March, 2011
This is a good beginning financial book for anyone who needs one, and a good check in for anyone further along in their financial life.
For me, I'm happy that it answers two questions that always nag me: do we have enough saved for retirement and how much should we save this year?
Farrell breaks it down into ratios: you need to save x times your income to maintain a good savings rate and you need to have x amount in the bank to retire comfortably at age 65. He also explains how he obtains these numbers (they are dependent on your age) and the (conservative) assumptions he used.
Other topics he goes into are insurance: life, disability, long term care -- what kind you need and how much, and general investment ratios (stocks vs. bonds -- he doesn't go much further than that; basically he suggests intermediate T bills and 500 index funds).