Rich Dad, Poor Dad

MoneyBestPal Team
Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not! 

Robert Kiyosaki's best-selling book "Rich Dad, Poor Dad" shows you how to develop financial literacy and riches. The book is based on Kiyosaki's personal experiences of having two fathers while growing up: his biological father, who was educated but poor, and the father of a friend, who was affluent despite having dropped out of school. Each of them taught Kiyosaki something new about money, work, and life.

The book has six main lessons that Kiyosaki learned from his "rich dad":
  • Lesson 1: Rich people make money work for them rather than working for it. Instead of relying on a paycheck from a job, they construct assets that generate income for themselves using their financial knowledge and talents.
  • Lesson 2: Why should we educate financial literacy? Knowledge of how money functions and how to use it to your advantage is known as financial literacy. It requires understanding how to manage them, as well as the distinctions between assets and liabilities, income and outlays. Your ability to make wise financial decisions and accomplish your goals depends on your level of financial literacy.
  • Lesson 3: Take care of your own business. Your business is not your job, it's your assets. Your assets are things that put money in your pocket, such as investments, businesses, or real estate. Your liabilities are things that take money out of your pocket, such as debts, expenses, or taxes. You should focus on building your assets and reducing your liabilities, rather than working for someone else's business.
  • Lesson 4: The development of taxation and the power of corporations. Taxes were initially designed to target the wealthy, but over time they began to target the middle class and the poor. Rich people utilize corporations as a form of legal entity to shield their assets and pay less in taxes. Rich people can take advantage of tax regulations and incentives while paying less in taxes than workers or self-employed individuals thanks to corporations.
  • Lesson 5: The wealthy create money. The wealthy develop chances and find solutions that generate income using their imagination and innovation. They go out and make it happen rather than waiting for the money to come to them. Because they learn from their mistakes and try again, they are not afraid to take chances or fail.
  • Lesson 6: Don't work for money; work to learn. Learning how to learn is the most valuable talent anyone can possess. You should always try to get better and learn new things that will help you succeed in life. Working for value you can add and experience you can earn is more important than working for money alone.

By putting these principles into practice, you can improve your financial acumen and become wealthy like Kiyosaki's "rich dad." You can also go through the challenges like fear, cynicism, sloth, poor habits, or arrogance that keep most people from obtaining financial freedom. Setting goals, looking for mentors, selecting friends carefully, or educating yourself are all actions you may take to begin your journey toward wealth creation.

If you follow the advice of "Rich Dad, Poor Dad," it has the power to transform your life. You can use it to build the life you want by learning how money functions.

You can purchase this book through the link below: