Rich Dad Poor Dad is a personal account of two different fathers who shaped the author’s life. The author’s biological father is a poor dad, and his childhood best friend Mike’s father is a rich one. He grew up with both and benefited from both fathers’ different approaches and learned which one made more financial sense.
Rich Dad’s advice to poor dad
Robert Kiyosaki’s book “Rich Dad, Poor Dad” has received both positive and negative attention since its release. Some people have expressed skepticism about the book and have questioned whether it’s true. Some people believe that it’s merely a motivational book with little expert advice, while others think it is a guide for people who are on the road to financial independence. While this book is not a financial advice manual, it does contain several powerful life lessons that are applicable to many people.
The first goal of Rich Dad, Poor Dad is to shake readers out of the mindset of being passive and to teach them how to become more proactive. The book also explains the differences between the mindset of a poor dad and a rich one, and exemplifies the two mindsets.
Rich Dad’s specializing didn’t translate into earnings
My friend Mike was once told about his rich father. His father had never finished elementary school and had already built a business empire in Hawaii. He was the owner of several small supermarkets, warehouses, restaurants, and even a construction company. He was adamant that you should get financial and educational education. He didn’t believe in the typical career or investing plan that most people follow.
Rich Dad’s approach to real estate investing
Rich Dad Poor Dad’s approach to real-estate investing has received some mixed reviews. There are some pitfalls in the book, and readers should not invest their hard-earned money blindly. The book is full of hype, and Kiyosaki does not address many of the risks associated with real-estate investing. Some of the risks associated with investing in real estate include debt, poor tenant screening, and the potential for bankruptcy.
One of Kiyosaki’s principles is that you should tailor your spending and investing to your individual needs. It is more important to invest in your education and skills than your paycheck. Learning more than what you know will pay off much more in the long run.
Lessons from Robert Kiyosaki’s book
The book Rich Dad Poor Dad was originally published in 1997. However, nearly every publisher rejected it due to the book’s lesson that houses are not assets. The lesson was particularly controversial, as historically, people have believed that their home was their biggest investment. The book’s message, however, has since become much more relevant as subprime borrowers began defaulting on their mortgages.
The book teaches readers that money is the key to independence, but that wealth comes with risks. Instead of spending your money foolishly, you should invest it to make more money. The idea is to invest and grow your money in a way that will yield a positive return in the future. As Robert learned through experience, fear drives our actions. We are driven by the fear of not having enough money. While we work hard to earn money, we end up spending it in ways that don’t make our lives better.