The sections involving children are especially worrisome.
Hoarding money by not giving to charity, or even your own children, does it's own kind of spiritual damage. Saving money by not going on vacation deprives both you and your children potentially life changing experiences. Living in better neighborhoods might be more expensive, but they are often safer, provide better schools, and may generally provide a better investment in real estate. Single minded dedication to amassing wealth is often penny wise and pound foolish. But there are issues with some of the advice the authors provide. The book provides many examples of folks who did, indeed find financial success. Careful planning, living below one's means, adequate income and proper investing can lead to economic self sufficiency. If you wish to retire as a paper millionaire, the basic advice presented in this book is sound, particularly if you happen to have disposable income.
So if you say to yourself,'I already know most of this stuff', then look around and ask yourself 'Am I the Millionaire Next Door?'. I guess I always knew all this, but apparently I needed this great book to tell me knowing but not doing is just as bad as not knowing at all. Once I calculated that I was really paying 40% of my net worth in income taxes, it became painfully obvious that simply increasing my net worth contributions will automatically reduce my income taxes and therefore burn down this 40% ratio from both ends. Finally, I learned that the govt taxes earnings and not necessarily net worth. Simply put more away and I will be in the same position at the end of the month, penniless but with a higher net worth.
Truth is, I am spending whatever is left. I thought that because I ran out of money at the end of the month that I must be saving as much as I could afford at the beginning of the month. The extra $10k I might spend on a luxury import will translate into $100k less I'll have 15 years from now. I have always tried to become rich so I could drive a great car.
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