Rich Dad Poor Dad is a New York Times best-selling book on financial knowledge by Robert Kiyosaki. Originally self-published in 1997, this book only caught the attention of a major publisher after the author has promoted it in seminar circuits. This Rich Dad Poor Dad review is a brief look at the ideas presented in the book such as financial know-how and the ability to free one’s self from running the unending rat race and working hard for money. The book gained much popularity since its release in 2001 and has been used and endorsed by financial experts and advisers. This Rich Dad Poor Dad review is spurred from this fact and the phenomenal wave of financial power it brought about that swept many countries and inspired many people. The book’s writing is simple and free from financial jargons. It is suitable reading for people from different backgrounds.
The book is largely based on Robert Kiyosaki’s life growing up in Hawaii. It started out with Kiyosaki narrating his experience as a young boy with “two dads”, both very influential to him. One is his biological dad which he refers to as his “poor dad” and the other is his bestfriend’s dad, his “rich dad”. His “poor dad” was highly educated but grappled for money all his life and died leaving behind debts to be paid while his “rich dad” never finished eighth grade but became one of the richest people in Hawaii. Both had opposing views on money and success which created confusion in Kiyosaki as a young boy since both dads at the time we’re both still starting out financially. But this made him curious and intrigued at the same time. This eventually taught him to choose for himself which views made more sense and which would work best for him.
Throughout the book, Kiyosaki compares his two dads- their financial views and principles. His poor dad was less dynamic and did not have a strong business sense. He believed in getting a good education and then a good job. His rich dad believed in empowering one’s self through financial literacy to be able to have more money and avoid the vicious cycle of waking up, going to work and paying bills. The following are the insights introduced by the rich dad and which have been instilled in Kiyosaki’s young mind from then on:
Financial skill is not taught in school but is learned at home and if parents are not financially literate, that is what is passed on to the children.Financial education is power.Exercising the mind and sharpening its knowledge on making money.Maintaining a mindset of a rich man notwithstanding financial setbacks.Not working for money but to work in order to learn and make money work to one’s advantage.Confront the fear of money by thinking and not reacting emotionally.Accounting, made simple, is an important subject to learn in order to get rich.Importance of knowing the difference between assets (which one should acquire and have more of) and liabilitiesThis Rich Dad Poor Dad review has summed up the learnings that Kiyosaki has chronicled in his book and contends that Rich Dad Poor Dad is a useful manual for people struggling to understand how money works and how it can work to their advantage and ultimately, acquire money to live a financially successful life.