Rich Dad Poor Dad: What the rich teach their kids about money
Build wealth by acquiring assets, not liabilities—and shift from working for money to making money work for you
- Asset: Anything that makes you money (Businesses, Real estates, Paper assets)
- Liability: Anything that costs you money (Car, Phone, House where you live)
- Rich buy assets, Middle class buy liabilities (look rich), Poor buy useless stuff
- It’s not how much money you make it’s how much money you keep
- Rich make corporation, if they buy something they buy it through corporations (less tax)
| Rich Dad | Poor Dad |
|---|---|
| The lack of money is the root of all evil | The love of money is the root of all evil |
| Never finished 8th grade | Highly Educated and Intelligent |
| How can I afford it? (Brain is put to work) | I can’t afford it! (Turns off brain) |
| Exercising his brain in finances | Putting his brain to sleep when it comes to finances |
| Study hard to find a company to buy | Study hard so you can find a company to work for |
| The reason I must be rich is because I have you kids | The reason I’m not rich is because I have you kids |
| One encourage taking about money and business on the dinner table | Forbade subject of money to be discussed at a meal |
| Learn to manage risk | When it comes to money play it save |
| Total financial self-reliance | Company or Government takes care |
| Created investments | Struggled to save a few dollars |
| Refers himself as rich. I’m a rich man and rich people don’t do this | I’ll never be rich |
| Money is power | I’m not interested in money not important |
| Study to be rich, how money works | Study hard to become a profession |
| Money works for me | I work for money |