Rich Dad Poor Dad Summary

Author: Robert Kiyosaki Date: 2-10-2021

Introduction

For example, one dad would say, “The love of money is the root of all evil.” The other, “The lack of money is the root of all evil.”

Money is not taught in schools. Schools focus on scholastic and professional skills, but not on financial skills. This explains how smart bankers, doctors and accountants who earned excellent grades in school may still struggle financially all of their lives. Our staggering national debt is due in large part to highly educated politicians and government officials making financial decisions with little or no training on the subject of money.

One dad had a habit of saying, “I can’t afford it.” The other used to say, “How can I afford it?” One is a statement, and the other is a question. One lets you off the hook and was a sign of mental laziness, and the other forces you to think.

One dad recommended, “Study hard so you can find a good company to work for.” The other recommended, “Study hard so you can find a good company to buy.” One encouraged talking about money and business at the dinner table. The other forbade the subject of money to be discussed over a meal.

One believed, “Our home is our largest investment and our greatest asset.” The other believed, “My house is a liability, and if your house is your largest investment, you’re in trouble.”

One dad believed in a company or the government taking care of you and your needs. He was always concerned about pay raises, retirement plans, medical benefits, sick leave, vacation days and other perks. He would often say, “I’ve worked hard for the government, and I’m entitled to these benefits.”

I noticed that people really do shape their life through their thoughts.

I noticed that my poor dad was poor not because of the amount of money he earned, which was significant, but because of his thoughts and actions.

“I don’t work for money!, Money works for me!”

Money is one form of power. But what is more powerful is financial education. Money comes and goes, but if you have the education about how money works, you gain power over it and can begin building wealth. The reason positive thinking alone does not work is because most people went to school and never learned how money works, so they spend their lives working for money.

Lesson 1: The Rich Don’t Work For Money

“If you learn life’s lessons, you will do well. If not, life will just continue to push you around. People do two things. Some just let life push them around. Others get angry and push back. But they push back against their boss, or their job, or their husband or wife. They do not know it’s life that’s pushing.”

“Life pushes all of us around. Some give up. Others fight. A few learn the lesson and move on. They welcome life pushing them around. To these few people, it means they need and want to learn something. They learn and move on. Most quit, and a few like you fight.”

“If you think I’m the problem, then you have to change me. If you realize that you’re the problem, then you can change yourself, learn something and grow wiser.”

“The poor and the middle class work for money.” “The rich have money work for them.”

You see, true learning takes energy, passion, a burning desire. Anger is a big part of that formula, for passion is anger and love combined. When it comes to money, most people want to play it safe and feel secure. So passion does not direct them: Fear does. When it comes to money, most people want to play it safe and feel secure. So passion does not direct them: Fear does.