(Image from Barnes & Noble)

With the U.S. economy crumbling around us, it's no wonder everyone has money on the brain. We all want to know how to get it, how to keep it, and how to use it most wisely. Even those with money in the bank are creating budgets, forgoing large purchases and begging their penny-pinching, coupon-clipping, frugal-minded friends for tips We all want to know how to survive, let alone thrive, in this down economy.

Lloyd Watts, PhD, who is the Chairman and Chief Technology Officer of Audience, Inc., which he began in 2000, has the answers. Not only does he know how to generate wealth, but he describes the process in simple, straightforward language that even the most financially clueless person (me) can understand. Basically, his philosophy involves keeping living expenses low and using money to invest in things which generate passive income. This way, you no longer have to rely on job income. He suggests spending less than you make; paying a percentage of your salary into an investment account; using funds in the investment account for things that will generate passive income; and delaying instant gratification in favor of long-term financial independence, among other methods. He also advocates cutting up credit cards and getting away from the "Piggy Bank and Allowance" idea, which basically teaches us to save until we have enough for a coveted item, then spend all our money on that product. His idea is that investing in our financial future means that not only can we enjoy a more peaceful existence, but also that we can use our resources to give back to our communities by fulfilling our "higher purpose."

Although Watts says that managing time works much in the same way as managing money, he doesn't spend nearly enough space explaining how. His rushed advice basically boils down to use a planner. So, while I was thrilled with his money advice (which makes so much sense, even to me), I was disappointed with the measly section on time management.

All in all, I found The Flow of Time and Money to be an excellent overview of how to manage money wisely in order to create a stable financial future. For those already versed in the subject, the book may be too simplistic. For me, however, it provided a quick, clear introduction to managing, investing and generating income. I wanted the same kind of advice on time management, but ended up disappointed with Watts' rush-rush treatment of the subject. So, for the most part, I found this book useful, especially because of the clear, easy-to-understand way that Watts presents his material. If the economy has you down, do what Watts suggests and educate yourself - The Flow of Time and Money is a good place to start.

Grade: B