Rich Dad Poor Dad- Summary

Rich Dad Poor Dad- Summary

It is one of the greatest books that everybody should read as it focusses on basic finances that normal people forget or don’t pay attention to and especially if you are a teenager than this book is a must. It is one of the best-selling books of all time. This book is written by the famous author Robert Kiyosaki, who now a days also teaching about basic finances which everybody should know, through his YouTube channel.

Robert Kiyosaki

The main points that this book focuses on are:

• Fear and Desire: The author says that due to these 2 emotions, people tend to work throughout their lives and never get time to enjoy. He calls this a Rat Race. He says no matter how much your salary increases, you cannot be rich as salary increases, taxes increase, and monthly expenses also increase; if you want to be rich, you need to invest your money.

• Assets and Liabilities: Know the difference b/w assets and liabilities- Rich Dad. He says assets generate income for you without you working for them (e.g., House that you have rented), not those which you work and generate income (e.g., salaried jobs). The Poor and middle-class work for money while money works for the rich. Assets can be in the form of Stocks, Bonds, Real Estate, Precious metals, etc. He also says that only buy those assets that you love.

• Mind your own Business: Start a Side-Hustle. He says that if you are doing a job, continue it but don’t just rely on it; try to start your own business too. Most people just rely on their jobs and don’t try to build their own business. For Eg. Robert Kiyosaki did many jobs, but he also bought and sold real estate (which he loved).

• It is not the smart that gets ahead but the bold: He says that Financial Knowledge is the most important, but only having the knowledge doesn’t mean you can get rich; you also have to take some risk to get rich. He says financial knowledge reduces the risk.

• Work to Learn: He says that don’t work to earn rather work to learn. He says that try to learn as many skills so that if something goes wrong with an industry in which you have mastered 1 skill, you have many more options to go.

• Pay Yourself First: He says buy assets first and then go for expenses. Rich Dad said always buy assets first, and when you get the pressure of expenses, you will figure out ways to deal with that pressure.

• Give, and you Shall receive: He says if you want something to give that to someone else, i.e. if Rich dad wanted money, he helped someone else (financial help).

If you want, you can download the pdf of the book; you can do it from here.
And If you want to buy the book, you can buy it from here.
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