The Book
Other Ways of looking at it:
Personal Finance for Frugal Folk
Independent Investing for Intrepid Individuals
Sailing the Wild Waters of the Investment Seas
Invest in What You Know So You Can Live the Life You Dream.
Genesis - How the book came to be.
In the beginning there was actually quite a lot of stuff. There were so many books about personal finance that I didn’t see the reason for yet another book. Yet every time I did a book reading for my other books or taught a class on self-publishing, I’d get a question about how I found the time to write books, or bicycle across America, or whatever. I’d tell them about retiring at 38 and they’d say, “Now, that’s a book that I’d buy.”
Even then I didn’t see the need yet another book about money. Almost my entire investing philosophy was embodied in three books: Your Money or Your Life, One Up on Wall Street, and The Millionaire Next Door. I learned things there, but also came across a lot that confirmed what I was already doing. The frugal side of me kept suggesting that they just go read those books.
I trust intuition a lot. Frequently that is simply my subconscious reaching a conclusion based on things I don’t remember observing. It can be good for me to listen to myself. I can also take a hint when it gets delivered a few hundred times.
Friends trusted me. Readers knew I could simplify the complexities of investing. That was enough to convince me that maybe I could summarize three books into one simple one. It wouldn’t answer every question, but it could get folks past the first hurdles. And then I talked to Vicki Robin. One of the co-authors of Your Money or Your Life happened to move to Whidbey Island at nearly the same time as me. We lived within three small-town blocks, so inevitably we met. I thanked her for helping me retire early, which is something she hears a lot and I pointed out the calls for my un-written book. I was surprised and honored when she asked me to join her team in re-writing her book, and also when she pointed out that my book fit a niche and was an extension, not a redundancy, of her work.
I continued to hold off. While it was true that I’d retired at 38, that was as a married person. I thought we had enough to retire. There was some disagreement about that. But one thing is for sure, half of “enough to retire for two” is not necessarily “enough to retire for one”. I had to cross the hurdle of being willing to write the book, even if the investment philosophy wasn’t backed by enormous personal wealth. Ironically, anyone writing a book about investing who has great credentials doesn’t need the money from the book. And anyone who needs money from the book might have questionable credentials. Personally what made the difference for me was my friends. Many of them came to me with questions even though they knew I wasn’t rich, but they knew that if I had an answer, there was a good chance that I could explain it to them simply.
So, the writing of the book was launched. I’d expected to take my time. I’d just finished writing four books in six years and was tired. But an auspicious deadline appeared when Vicki Robin announced that her book would be published by the end of 2008. It made sense to have my book available because I was actually in her book as a case study. She was gracious enough to provide a quote to the back cover of my book.
Any large project is a balancing act. Deciding to finish my book by the end of 2008 meant keeping is simple, which was a good idea anyway; accepting a few flaws in the final version, and nothing in life is perfect; and selling the first copies amidst the worst financial disaster which was coupled with my worst portfolio performance. Like I’ve said, it was an interested balance.
And yet, my intuition tells me that this is the right time. “Buy low. Sell high” or my version “Buy Small. Sell Big”, is the very thing to keep in mind at either extreme of a market. Late 2008 sees thousands of companies that are oversold that will recover in spectacular fashion. There is no better time to help friends improve their futures, by helping them take simple steps now that can lead to celebrations later. No guarantees, but I enjoy helping people increase their chances of a better life.
That’s an impact that can tip any balance.
Self-Publishing
Why self-publish? Why not? Even though I’ve self-published five books, I don’t think self-publishing is the answer for everyone. I’ve written a series of articles that explored the realities:
I also teach and consult about it as well.
All combined they are the long version.
The short version is simple. If you want to get your message out and think you can polish it well enough, then consider self-publishing. The more risk you take, the more control you get. If your work needs a lot of support, and you can stand a lot of rejection, then consider traditional publishing.
Money is usually used as an argument one way or the other, but most books never pay for themselves. Most authors are making less than the poverty level and must have regular jobs. Traditional publishing can spawn bestsellers, but the author deals with smaller royalties. Self-published authors keep more of the profits, but have a lot more work and a lot less support.
The industry is undergoing technological and demographic changes. High speed printers have replaced most industrial printers. Writers are required to do more of the work, including marketing and sales. Readers are more likely to read from electronic screens than pulp paper.
There is no clear answer because there are fewer clear distinctions.
The shortest version of my advice: Try to get published traditionally. If that works, congratulations. If it doesn’t, switch to self-publishing when the rejections hurt too much or the multiple submissions blow past your budget. You can self-publish for less than most writers spend on a conference or two. Either way, finish the book, learn from the process, and make the next one better.
