Rich Dad Poor Dad Summary
“Rich Dad Poor Dad,” teaches readers how to adopt the right mindset for building wealth. Even if you are not an expert in personal finance, the investing strategies outlined in the book can help you begin your journey to wealth. Similar to “I Will Teach You To Be Rich,” both books start off with a reminder that you must accept that you are the one responsible for your money.
In this book, Robert Kiyosaki learns about financial success from his two dads, one being his real father and the father of his best friend, and how their different approaches to finance shaped his views about money. Throughout the book, Kiyosaki contracts the financial habits and principles between his real father, a highly educated man who is poor and struggling, and his rich dad who is financially intelligent and has great business acumen. The book constantly challenges the idea that you must have a high salary to become wealthy. Instead, Kiyosaki says that adopting the right mindset can allow anyone to take control of their situation and start improving their finances.
Here are the six major lessons discusses in the book
Lesson 1: The Rich Don’t Work for Money
Lesson 2: Why Teach Financial Literacy?
Lesson 3: Mind Your Own Business
Lesson 4: The History of Taxes and The Power of Corporations
Lesson 5: The Rich Invent Money
Lesson 6: Work to Learn - Don’t Work for Money
A major takeaway that is apparent throughout this book is that financial intelligence is your most powerful asset. If you learn the basics of accounting and investing, then individuals can make smarter choices when it comes to building assets.
Another important theme presented is that your most powerful asset is your mindset. Many people are fearful of taking risks, but the book emphasizes that you should have a mindset of managing risks, rather than avoiding them. Learning about investments is critical to learning that playing it safe will not lead to big rewards. So long as you “work to learn,” rather than “work to earn,” you can start the journey of learning important life skills and building financial goals.
“Rich Dad Poor Dad,” which focuses on adopting an investor mindset, is distinct from I Will Teach You to Be Rich, which teaches personal finance to those who aren’t quite ready to start investing. Overall, Rich Dad Poor Dad provides sound financial advice alongside an easy to follow storyline.
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