Author; Robert Toru Kiyosaki (born April 8, 1947) was born and raised in Hilo,Hawaii. A fourth-generation Japanese American, He is an American investor, businessman, self-help author, motivationalspeaker, financial literacy activist, and occasional financial commentator. Robert Kiyosaki, is a multi billionaire by all standards Kiyosaki also operates his own blog and writing about his latest thoughts on global economics, investing, business, world financial markets. Rich Dad Poor Dad book review by Ebin K. Jose
Co- author Sharon L. Lechter Born in January 12, 1954, An American accountant, author, businesswoman, investor, international speaker, and philanthropist. Lechter is best known as the co-author of the international best-selling book Rich Dad, Poor Dad Rich Dad Poor Dad book review by Ebin K. Jose
Introduction Rich Dad, Poor Dad for Teens: The Secrets About Money —That You Dont Learn in School! The book basically is about what people must learn and practice in order to become financially independent. Two different points of view about attaining financial independence. Rich dad Vs. Poor dad Rich Dad Poor Dad book review by Ebin K. Jose
The rich don’t work for money Don’t work for money i.e. don’t depend your boss to make you rich Learn how to make money work for you cutting your expenses moderately, investing wisely and creating opportunities to earn passive incomes outside of salaries Seek to be a business owner and/or an investor, rather than an employee Rich Dad Poor Dad book review by Ebin K. Jose
Master Financial Literacy Financial intelligence equips you with the what is required to make money that will last for generations, while money without financial intelligence is soon gone It does not matter how much money you make, but how much money you keep. Differentiate between an asset and liability, and invest in assets Assets generate income, while liabilities generate expenses; i.e. your GSM mobile phone could be an asset or liability depending on what it is used for.. Rich Dad Poor Dad book review by Ebin K. Jose
Mind Your Business Mind your own business. i.e. while excelling with your qualifications and keeping your day time job, also look for other opportunities elsewhere to accumulate wealth Do not depend only on a salaried job. Some sources of unearned income: Dividends Interest Payments Rent Royalties Rich Dad Poor Dad book review by Ebin K. Jose
Learn to minimize the taxes you pay Where the cash flows make sense, you are better off managing your finances through a corporation rather than as an employee, because of the different tax advantages you can get As an individual, your income is taxed, and what you have left is your disposable income As a corporation, you first make your money, then you take out your expenses. The profit is what is taxed, hence you pay less tax Rich Dad Poor Dad book review by Ebin K. Jose
The rich invent money It takes money for you to make money, but you don’t necessarily have to use yours For you to be wealthy, the earnings from your assets (investments) should be enough to fund your expenses. Seek to attain a point where if you resigned from your job, you could fund your lifestyle using unearned income from your investments Rich Dad Poor Dad book review by Ebin K. Jose
Work to learn, don’t work for money Don’t grab a job for what you can earn, pick a job to learn about business systems, about managing people and other skills that would prepare you to run your own business, or manage your own investment Money can be illusion that clouds good judgment. Fear and greed do not allow people make rational decisions Rich Dad Poor Dad book review by Ebin K. Jose
Quotes from the book Skills make you rich, not theories. In school we learn that mistakes are bad, and we are punished for making them. Yet, if you look at the way humans are designed to learn, we learn by making mistakes. We learn to walk by falling down. If we never fell down, we would never walk.” Business is like a wheel barrow. Nothing happens until you start pushing. Starting a business is like jumping out of an airplane without a parachute. In mid air, the entrepreneur begins building a parachute and hopes it opens before hitting the ground. Rich Dad Poor Dad book review by Ebin K. Jose
Conti… “If you own a butcher shop, don’t hire vegetarians. To hire the right people, you have to let the wrong people go.” “Start small and dream big.” The most life destroying word of all is the word tomorrow The ability to sell is the number one skill in business. If you cannot sell, don’t bother thinking about becoming a business owner.” Rich Dad Poor Dad book review by Ebin K. Jose
Conclusion The author concluded by stating that parents should teach these lessons to their children early enough, in order to guarantee their children’s financial future It is never too late to start building your financial empire. You could start right now, with your next pay check, or by looking around you, to see which need you can fulfill Rich Dad Poor Dad book review by Ebin K. Jose
A particular slide catching your eye?
Clipping is a handy way to collect important slides you want to go back to later.