I Loved reading ” Rich dad, Poor dad” book by Robert Kiyosaki
This book is not just about money. It’s about how we are taught to think; how we are programmed by schools, family, and friends to look at the rich as greedy no good bloodsuckers and opportunities as risks. It is an attempt to reprogram minds to look at why we do what we do.. why do we buy all these shoes, clothes, cars, jewellery.. have we earned it or are we just trying to maintain an image?
Here are the Six lessons from this book
The Rich don’t work for money- They let the money work for them, which means they own a business which generates money, instead of working for money.
Why Teach Financial Literacy?- Its extremely important to be financially literate to achieve financial independence. One has to know the real difference between an asset and liability. If it doesnt generate cashflow, it aint an asset no matter how much you paid for it.Learn to correctly identify assets and then buy assets. For most people, a home is a liability not an asset. Assets put money back into your pocket. Make every dollar you get work for you. Invest it. Then it will come back as more income. Easy!
“Build and keep your asset column strong. Once a dollar goes into it, never let it come out. Think of it this way, once a dollar goes into your asset column, it becomes your employee. ” — Robert T Kiyosaki
Mind your Own business- Businesses that don’t require your presence, managed funds, stocks, bonds, royalties and income-generating real estate.These are assets.
The History of taxes and the Power of Corporation- When we study the history of taxes , an interesting perspective emerges. The passage of taxes was only possible because the masses believed in the Robin Hood theory of economics, which was to take from the rich and give to everyone else. The problem was that the government appetite for money was so great that taxes soon needed to be levied on the middle class, and from there it kept” trickling down”. The rich, on the other hand, saw an opportunity. The rich created the corporation as a vehicle to limit their risk to the assets of each voyage.
People with Corporation
People who work for Corporation
The Rich Invent Money- By investing smartly
Work to learn, Don’t work for money.
Financial intelligence is made up of these four main technical skills:-
- Financial literacy.The ability to read numbers.
- Investment Strategies
- The market.Supply and Demand
- The law. The awareness of accounting, corporate, state and national rules and regulations.
There are people who are against this book and they say this makes us greedy, but there are people ought there who wants to serve people but they don’t have enough, they are ready to do anything. Go for this book , one will gain good insight about financial independence.