Rich Dad Poor Dad by Robert Kiyosaki, A Book Review

Rich Dad Poor Dad by Robert Kiyosaki, A Book Review

Rich Dad Poor Dad, authored by Robert Kiyosaki, is an enlightening story of a boy growing up having two fathers; his biological father and his friend’s father that treated him as his own son.

The biological father was the one which he considers his Poor Dad, while his close friend’s dad is the one that is said to be the Rich Dad. The poor dad is compared to other poor fathers all over the world who encourage their kids to succeed in school and to be able to find a great job later in life. In contrast, his Rich Dad recommends him to learn the power and knowledge of investment. Given the advantage of having 2 fathers having such different views, he was capable to compare and contrast the two and create his own view.

All through Rich Dad Poor Dad, Robert Kiyosaki came to understand six very important lessons:

The Rich Do Not Work For Money. During this section of the tale, Robert Kiyosaki learns to take risk. The majority of people do not learn this and wind up playing it safe for the majority of their life and they are never able to financially get ahead. His Rich Dad shows him that poor people are afraid, so they work for money and security, but do not see the opportunities that lay right in front of their eyes.

The Importance of Financial Literacy. With this lesson, Robert Kiyosaki is older and learns through the misfortune of others that you need to have financial literacy to stay safe. He finds out that the key reason for monetary problems is not understanding the difference between assets and liabilities. That’s why so many people have problems staying wealthy, once they get rich. Kiyosaki’s Rich Dad tells him basically, “An asset is something that puts cash into my wallet, and a liability is something that takes cash out of my pocket. If you want to be wealthy, just spend your life obtaining assets. If you wish to be poor or middle class, spend your lifetime buying liabilities.”

Minding Your Own Business. During this lesson, Robert Kiyosaki finds out from his Rich Dad that to be able to become financial self sufficient you need to discover a method to become your own boss and worry about your own business. He learns from his Poor Dad that the major reason for economic struggle is spending all your life doing work for someone else.

Taxes and Corporations. Robert Kiyosaki’s Rich Dad taught him that rich people do not let themselves be run over by corporations, but instead they use the big corporations safeguard their money and assets. He learned that he could help himself by taking courses about marketing and advertising, investing, accounting, etc.

The Rich Invent Money. The primary point Kiyosaki learns from his Rich Dad throughout this lesson is you must make your own luck. You can not just sit around and wait for the perfect opportunity to show up! It won’t take place if you don’t put effort into it. During this lesson “fear” once again comes into play. According to Kiyosaki’s Rich Dad, it’s not the well educated people that become wealthy, but it is the people prepared to take a risk and make it happen.

Work to Learn, Do Not Work For Money.Kiyosaki discovered that the wealthy do not work for cash, they work for knowledge and skill. When you spend time and effort running after a dollar, you’ll find it to be an illusive goal. If on the other hand, you pursue wisdom and knowledge, the money will effortlessly follow.

Robert Kiyosaki sums up his account of Rich Dad Poor Dad with the five main obstacles that limit financial growth.

Fear
Cynicism
Laziness
Bad habits
Arrogance

Overall, this book is an excellent read. It will help you build a strong foundational base for a long and profitable entrepreneurial career. I would highly recommend this book as a primer to your business education and learning and a must read for anybody who would like to create wealth and financial freedom.

thecomingdepression.info We are either going into a Depression or Hyperinflation. The Dollar will be coming down and things will get tough. The Government is inflating the stock market along with the banks.