On Becoming Rich - Book review: Rich Dad Poor Dad
One of the most influential books on changing your mindset from poor, to rich.
Did you know that with the advent of the Federal Reserve Bank (which is not federal, has no reserves, and isn't a bank) the entire monetary world was turned on its head? It used to be savings got you ahead in life. Now, "Savers are the biggest losers" - Robert Kiyosaki. And if you want to know how the banking system really works, read the rules to the game of Monopoly. In 1971, when Richard Nixon took us off the gold standard, the rules of Monopoly became the rules of money and the banking industry.
Robert Kiyosaki challenges many of your beliefs about money. Things like "your house is your biggest asset", and the line "go to school, get a job and save for retirement" and shows you how these are recipes for disaster.
"Job is an acronym, it stands for Just Over Broke" - Robert Kiyosaki.
After going over the basics of the upside down financial world we find ourselves in, he then goes on to teach financial education. He starts you off with the basics of cash flow and a financial statement. What is an asset and what is a liability.
An asset is something that puts money into your pocket.
A liability is something that takes money out of your pocket.
Thus, instead of "Your house being your biggest asset" like all the financial pundits say, you learn that your house is your biggest liability. (not that you shouldn't spend money on a good house) Further, its the banks asset. And the bank, through fractional reserve lending, just made up money out of thin air to pay for the house that you gave them, while you trade your hard work to pay them back.
This is a great book. It is fun and easy to read. Robert is very good at showing why certain things matter to your financial well being with personal stories and anecdotes. Show how his poor dad thought, and so although he had a good job, it left him completely broke, while his rich dad believed almost the complete opposite when it came to money and ended up owning much of Hawaii.
"We can't afford that." - poor dad
"How can I afford that?" -rich dad
And he goes further. To rich dad, the words, "I can't afford that" are life destroying, dream destroying words, and forbade his son from ever using them. Because the words we use about money are what creates our financial future.
The only turn off to this book is that it isn't a really deep book. It just gives you the over view. Also, Robert's way of making cash flow during this time was through housing. (but now we have crypto markets) He also wrote books for Amway, so there is also a bit of MLM. (not that it is bad, just as long as its not a ponzi scheme)
If you don't already know why the FED is evil, and already have a laundry list of the financial lies you have been told, then this is a must read.
(If you already know all about the FED, and you run your own business... you probably already read this book)
Image from Amazon Books, copyright Robert T. Kiyosaki
https://www.amazon.com/Rich-Dad-Poor-Teach-Middle/dp/1612680194/ref=asap_bc?ie=UTF8
I have this book on my self and as I am starting to really buckle into the realization that I need to start getting my buisness life/future rolling, I've been telling myself "read rich dad/poor dad"!
Thanks for the insightful summary and the kick in the pants. I'll start reading. Great post! :)
p.s. I can relate to the house = liability DOH
Now is the time to start rewriting your neural pathways to accept more abundance into your life.
I'm all about rewriting my neural pathways!
And abundance. :)
Do it, read it! Why are you reading this post, when you could be reading Rich Dad?!
Haha! I started it last night. Hard to really tuck in like I want with a 2 year old and a 9 year old on the loose but I'm really enjoying it so far.
This is a great book that can 'wake up' those still living in the old ways. I know it did that to me when I read it years ago.
It doesn't give you any details about how, it just opens your mind to the possibilities that are all around. For that, it is a great book. I recommend it.
There! My whole post. I should have just wrote that.
I enjoyed this book when I was considering what to study in college. It helped me decide on business administration. While I didn't get anything I wanted out of that degree, the concepts in this book helped shape the rest of my path through life as an entrepreneur.
Of course, there are plenty of people who speak badly about the author, stating he wasn't rich until he wrote the book and remarking on his personal character.
Others who are more educated say that the whole thing is simplistic and offers nothing new.
I think it is a great story that gets people to where they need to be, true or not.
Like my last line said, if you already run your own business, most of this is the 101 stuff.
I am glad you became an entrepreneur. There really is no job with as much satisfaction.
Is it ok for women to read?
I really do not know what kind of question is that.
There are books written by his wife, Kim Kiyosaki. Such as "Rising Time" that you may like a lot.
But, I would start at the beginning by reading this book.
I just never heard of women reading it. I know lots if men who love it. I thought it was a "man thing". I may not understand. Lol
Well... it is a man thing. Men start businesses much more often then women and make twice as much income from each business.
It is a man thing to take the risks necessary.
But, there are women who play baseball and other sports.
It is not the exclusive area of men, it is just something that men are more inclined to than women.
The information has nothing to do with men or women, its all about finances, and reshaping your mind to understand the real world that is money.
The second book, Cashflow Quadrant is co-written with a woman. And it is an even more important read. After you know the basics.
Thank you. Joy
I've run into this book over the years. I think this time I will read it, thanks for reminding me @builderofcastles!
I actually really liked that book and Cashflow Quadrant but a book that I thought was even better in that same space was called "Millionaire Fastlane." It was really solid stuff.
I will check it out
This is one of my favorite books. This book should be required reading in high schools across the nation. Especially Unfair Advantage by Robert Kiyosaki, that is actually my favorite book of his.
Rich Dad/Poor Dad is not my favorite, it just happens to be the first one, and so the one to tell all the people to start.
Unfair advantage was a really good book. It was about the time Robert came across the book (drat, brain won't remember title) about being a professional (in a world populated by half assed amateurs). It is the real crux about using the gifts you've got. Don't hamstring yourself.
I think my favorite is The Cashflow Quadrant, well its the one that affected me the most.
Haven't read it but I've been meaning to. If not for educational purposes, to at least know references to it when I hear them. This book has been recommended to me by several people, so I know it's got some good stuff in there, I just think I know most of it from other sources. Maybe in a couple decades when my kids finally let me get some sleep and read once in a while again.
Read it to your kids! It is actually very easy reading.
When Kiyosaki wrote this it was cutting edge stuff. Now, it seems like everyone has heard of the evils of the FED.
Do you think when Robert Kiyosaki dies, a ton of self made millionaires will show up?
I know I will!
Although a simple and easy to read book, I can't overstate the impact Rich Dad and Cashflow have had on my finances. Wow, just wow.
Robert Kiyosaki has a lot of close friends, ... I think the funeral will probably be a closed affair. Although, if they held a $10k per plate wake, there would be a shortage of seats. He has helped a lot of people. Just understanding the simple things he writes about is huge.
So, I don't really know. But, I can say that he was a great first stepping stone. And so, I share it here with everyone.
This was my first book. It has life changing lessons.