rich dad poor dad book summary

Rich Dad Poor Dad Summary

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Rich Dad Poor Dad

What do the rich teach their children about money – the poor and not the middle class!

In the best-selling personal finance book ever, Robert T. Kiyosaki challenges the way people around the world think about money and investment.

Think you need a high income to get rich? Do you think a house is a property? Do you know the difference between good and bad debt? Who is controlling your behavior? How does our cultural background cope with this pain and ignite an emotional fire from within?

Instead of placing it in a coffin, pay attention to many aspects, and start investing your money.

In Rich Dad Poor Dad, Robert Kiyosaki shares the story of two of his dads: his real one, the “poor father”, and the father of his best friend, the “rich father”.

The first father i.e. his real dad was well educated and worked all his life as an employee.

His second father is an entrepreneur and is very wealthy and he helped Kiyosaki become an entrepreneur.

About Robert Kiyosaki:

Rich Dad Poor Dad Writer

Robert T. Kiyosaki is an American-origin entrepreneur who was born on April 8, 1947. He is the founder and producer of the Rich Dad Company, which operates as a consultancy or educational firm providing services to individuals and other corporations.

The series’ original book, Rich Dad Poor Dad, remained on the New York Times bestseller list for six years and was named “USA Today’s No. 1 Money Book” for two consecutive years.

This prompted Kiyosaki to add several other titles to the series, which, combined, have sold nearly 30 million copies in more than 50 languages ​​and around 110 countries. Kiyosaki has been called on shows like Oprah and Larry King Live and co-authored a book with Donald Trump entitled We Want You to Be Rich: Two Men – One Message.

The “Rich Dad Poor Dad” Summary:

Two very different views on money, investment, and employment shaped Kiyosaki’s life and convinced him that financial education is important to all. The poor and middle classes strive for more cash, for higher salaries while the rich design a method so that money works for them.

In today’s world, people believe that to be rich, you have to get a higher salary. ‘Rich Dad, Poor Dad Summary questions this myth and challenges each of you to think about controlling your financial life. Learn about personal finance and identify common characteristics for rich people. Challenge the belief that your home is a property and your salary is enough to buy unnecessary things from your credit card.

What do our children want?

Lack of financial education in schools can contribute to creating irresponsible children. Teens often receive a regular salary from their parents in the form of credit cards, cell phones, and an allowance, but they rarely receive lessons about excessive spending, value for money, and how to invest it.

Children are expected to receive financial education from both schools and parents, but most of them hesitate to pass on the knowledge related to money management.

Here is a tricky fact.

Rich and poor parents look at money 99% of the time with a different set of eyes.

Rich Dad encourages his children to take risks and make decisions. To strive for financial independence, and advocate for success on a professional level.

They detest government dependency and want to see their children stand firmly as individuals, not as a part of the “whole”. Rich Dad believes that money is just the name of the game, all you have to learn is how to play it. In addition, you can use these techniques and as a result accumulate wealth.

Why is a good loser better than a bad winner?

It’s all about the risk !!

Poor and middle-class fathers prefer safe passage, comfort zones, job levels – where you can sit until retirement. Actually, they are risk-affected. They hate losing. Robert outlines two major factors for the occurrence of this phenomenon: fear and greed.

The fear that we “will die” falls, getting divorced if we somehow turn more to the other side of the road – a very serious mindset.

Your “safe” salary gives you stability, satisfaction, and keeps you working. We live our lives by a rule, eat, drink, pay debts, pay bills, and go on vacation. What we buy gives us a momentary pleasure is not the real thing. To earn more and buy more expensive things, we must change our approach.

This does not mean getting a better job that generates a higher income, but to be a courageous investor !!

If you thought that a house with a large mortgage is a property, think again. Kiyosaki argues that because it does not generate any positive cash flow, it is actually an obligation.

You would be better off investing in rental property, stocks, bonds, etc.

While that may take too long to make a point, Kiyosaki’s book is full of solid advice on how to become financially stable and make your money work for you rather than other ways. Take your time, because reaching a conclusion can lead to disaster.

“The Rich Dad” anticipates the situation, moves slowly according to his financial capabilities, and makes rational decisions.

children rich dad poor dad

Key Lessons from “Rich Dad Poor Dad”

1. Hardcopy, or real-life help
2. The Rich Formula
3. Push towards success

1. Hardcopy, or real-life help:

With so many economic fluctuations, or ups and downs, only financial expertise can put your money in the right place, regardless of the situation. If we focus on making profits or making money – then it is best to start with outside help.

For example, hire accountants or financial managers to analyze your investments and give you tips to move forward. Develop a mindset, eager to win, but don’t be afraid to lose !!

2. The Rich Formula:

It is better to choose the characteristics that you love about yourself. Again, financial knowledge can help us choose important assets that match our long-term interests and plans.

Everyone should continue to work on their improvement and pay extra attention to investing in assets. Finally, we should be careful when it comes to spending money on “stupid” and unnecessary things.

3. Push Towards Success:

Being skeptical and lacking in confidence is the recipe that spontaneously builds a wall between your potential and market opportunities. If we do not have the courage, and technical insistence can be of little use.

The best way to get out of this cycle is to learn and expand your knowledge on various economic topics.

“Rich Dad Poor Dad” Quotes

“Winners are not afraid of losing. But there are losers. Failure is part of the success process. People who avoid failure also avoid success. ”
– Rich Dad Poor Dad, Robert T. Kiyosaki

“It is not what you say with your mouth that determines your life, it is what you whisper to yourself that there is the most power!”
– Rich Dad Poor Dad, Robert T. Kiyosaki

“Failure motivates the winners. And failure defeats the losers. It is the biggest secret of the winners. It is the secret that the losers do not know. The biggest secret of the winners is that failure motivates the winning. ; Thus, they are not afraid of losing. ”
– Rich Dad Poor Dad, Robert T. Kiyosaki.

“In today’s fast-changing world, it’s not so much what you know that no longer matters, because often what you know is old.” This is how fast you learn. That skill is priceless.
– Rich Dad Poor Dad, Robert T. Kiyosaki.

“Always start at the end before starting. Professional investors always have an exit strategy before investing. Knowing your exit strategy is an important investment fundamental. ”
– Rich Dad Poor Dad, Robert T. Kiyosaki.

“In the real world, the smartest people are the people who make mistakes and learn. In school, the smartest people do not make mistakes.
– Rich Dad Poor Dad, Robert T. Kiyosaki.

 

 


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Talha

Hi, I'm Talha, an inspiring blogger with an obsession for all things tech, online earning. This blog is dedicated to helping people learn about freelancing and technology.

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