Lessons Learned From Rich Dad Poor Dad | PDF Summary

Robert Kiyosaki creates Rich Dad Poor Dad for a series of instructional books and private finance matches. The trademark is owned by Cashflow Technologies, a company founded in 1997 to market these books and games by Robert and Kim Kiyosaki. It’s about what the wealthy teach their children about money-not the poor or the middle class.

Summary of Rich Dad Poor Dad Book

Rich People Don’t Work For Money

Rich people work to learn. They use their feelings like Desire, Fear to make money, rather than becoming a money slave. Instead of responding they analyze and think of a way to get a better alternative.

Study Financial Literacy

Financial literacy on the difference between assets and liabilities. Assets put money in your pocket and Liabilities take money out of your pocket. Poor buy-in liabilities like loan, home, car while rich buys assets like stocks, bonds, notes, real estate, etc.

Mind Your Own Business

Financial struggle is often the direct result of people working for someone else all their lives. To become financially secure, a person needs to be mindful of his own business. Your business is centered around your asset column. Invest your money, try new ideas, and work on yourself.

The Power  of Corporation and the History of Taxes

Everyone must expand their expertise in the field of accounting, market analysis, finance, and law. This helps the company to build and run easily and effectively.

The idea of taxes began when people believed that it was intended to punish the rich. In reality, the poor and the middle class, the very people who accepted and voted for it, were disadvantaged. “Once the government had a taste of money, the appetite had grown,” said the rich father. The larger his organization, the more respected he is in the government. On the other hand, within my organization, the fewer people I hire, and the less money I spend, the more respect I have for my investors.

Don’t Work for Money

Most people just need to learn and master one more skill, and their income would jump exponentially. For example, if you’re a writer and if you learn sales and marketing skills, your income would jump dramatically. Look for work to learn, more than you earn.

Kiyosaki thinks that there are people who are “one skill away from great wealth.” Apart from the things we learn in school, we also need to learn the skills needed to achieve financial success. Rich people are seeking work for what they will learn, more than what they will earn.

Management and communication are some of the key areas to be addressed. Kiyosaki also emphasized the importance of sales and marketing skills. These are the specific knowledge that people need to acquire in order to help them reach the road to financial freedom.

Rich people see money differently. They know that it’s not enough to make money – you have to grow it, too, and learn how to manage it. One thing is to become financially independent, and another is to become financially literate. Knowing when it comes to money matters is essential not just for investors, but for everyone. The financial decisions that you face on a daily basis will have a major impact on your future, so you should know how to be responsible for them.

The Rich Invent Money

Robert urges you to take risks, to be bold, to bring out your genius, and to convert the fear of losing, of being broken into power and brilliance. Always welcome change, be creative, take calculated risks.

Here, Kiyosaki reiterated the importance of financial education. The rich don’t think they can make more money just by working harder; they also try to become financially literate in order to explore more options and have more power.

Overcome Obstacles in your Life

  • Overcome the Fear of losing money.
  • Cynicism, remove doubts about yourself and others, stop talking about negative things.
  • Arrogance, Arrogance is ego plus ignorance.
  • Bad Habits, our life is a reflection of our habits.

Why Rich Dad Poor Dad Is Very Important

  • It provides you a clear picture of how you can succeed
  • Rich Dad Poor Dad give you the keys to become successful
  • If you want to become wealthy, you have to follow Rich Dad Poor Dad

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See Also
The Lean Startup