Rich Dad Poor Dad Evaluate

Since its debut in 1997, Robert T. Kiyosaki’s Robert Kiyosaki’s Rich Dad, Poor Dad has been a landmark amongst personal finance books, a best-seller that has sold practically 40 million copies worldwide.

I first read the book back in 2000, after I was nonetheless a budding entrepreneur. I figured I would re-read it now that I've more expertise beneath my belt. I also needed to see if it’s held up to the test of time, and if I would love it as much as I did when I first read rich dad poor dad guide to investing Dad, Poor Dad. A lot has occurred financially previously 20 years, and I’m curious if some of Kyosaki’s predictions came true.

When I first read the book, I primarily preferred how Kiyosaki considered the world from a different perspective. It bought me to think in another way about my business and investing than I had previously.

Kiyosaki seems to be a polarizing figure: You both love or hate his work. The Simple Dollar review of Kiyosaki’s work, for instance, adds a lot of personal bias, and I don’t think that’s fair.

I attempt to take a more impartial viewpoint and can overview the book based upon my expertise within the enterprise world.

Rich Dad, Poor Dad must be considered as a common starting point — a investment/startup abstract, moderately than a list of specific items to do as an entrepreneur.

Robert Kiyosaki emphasizes six key points via out the book. These factors — which differentiate between his "poor" dad (his real dad) and the "rich" dad that helped him understand enterprise and change into wealthy — are:

The rich don’t work for money
The significance of economic literacy
Minding your own business
Taxes and firms
The rich invent money
The need to work to learn and not to work for money

Good Points in the Book
Flawed Educational System
As Robert mentions many times in the book, our traditional educational system is flawed. Our training system is designed primarily to create workers and could possibly be a negative affect for an entrepreneur. As Kiyosaki mentions, he’s not suggesting that individuals skip higher education; he’s suggesting higher education doesn't help with "avenue smarts." Monetary literacy is something that is not often discussed in school, and if it is discussed, it's only at fundamental levels. Based mostly upon my personal background, I’ve made this a personal focus and will make sure that my children are well educated in this subject.
The price of schooling continues to extend a lot sooner than the rate of inflation. It’s changing into more clear our education system is broken. Robert’s statements about this subject are accurate.

Being an Entrepreneur Is Much less Risky
The popular belief is that proudly owning a business is riskier than working for somebody else. For my part, owning a business gives you all sorts of self-reliance abilities you would not get when working for someone else. If anything, with today’s "cradle to grave" mentality, we're creating more dependent individuals.

Owning a business has given me much more independence and lots of more invaluable abilities I could still use if I had been to work for somebody else. On a weekly foundation, I now do things I used to consider risky or could never imagine doing earlier than owning a business.

Your Main Residence Is NOT an Asset
Over the years it typically has been accepted that your main residence is an asset. Robert flat-out states (I imagine accurately) that your house isn't an asset, since it does not generate optimistic cash flow. The housing bubble and collapse proved this correct.