Robert Kiyosaki is an American businessman most famous for his bestselling book – Rich Dad, Poor Dad. In addition to this global bestseller, Robert Kiyosaki has authored over a dozen books. These books talk about taxes, how to invest in real estate, small and big businesses and other money related topics.
But Rich Dad, Poor Dad has been his most influential and bestselling book and this book is the catalyst behind his immense fame.
“We go to school to learn to work hard for money. I write books and create products that teach people how to have money work hard for them.” – Robert Kiyosaki.
It all started at a very early age for him. He was nine years old when he was first enlightened with the knowledge of how money works by his ‘Rich Dad’, his best friend’s father. His friend’s dad was really rich and he owned many a convenience stores.
Kiyosaki was given a small job in one of them, even though it was not what Kiyosaki wanted to do. His income was ten cents for a week’s work and he had worked for three. He couldn’t bear the job anymore and by informing his ‘Rich Dad’, he quit the job.
His Rich Dad told him that he did not learn the art of making a fortune but instead he has learned something which has a far greater value. That day he came to an understanding that working for a petty sum of money will not take him to heights of life.
This lesson was something that Robert took as a serious base tool for building his career, later on in his life. He says that he is not the man he is today by working his brains out on a daily basis and saving money.
He says his trick was to learn the art of taking risks. He took risks, managed them and eventually made the money work for him. His definition of classes is simple, straightforward and frank, “The poor and middle class work for money. The rich have money work for them. The rich buy or create assets that work for them so they don’t have to.”
He says, “We are in the Information Age and more than job security we all need financial security. You can no longer rely on your employer or your government to take care of you.”
How You Can Make Money Work for You?
Don’t Run after Money; Let it Run after You
Money doesn’t solve all our financial problems; most of the time, it just makes things worse. Kiyosaki says that if most people are given much amount of money they will lose themselves in a pile of heavy debt.
His assertion is that contrary to popular belief, the solution to all our problems is not money. The trick of solving problems is to learn the handling of money and making it work for us.
Experience is Better than First Income
You must work for experience and not for the amount of money that you will be paid to work. Experience is an asset which overwhelms a lot of factors. Experienced is like the reinforced nails of a kung fu artist. A kung fu artist hits his finger tips against hard wood for years. In this process he breaks the bones into micro particles over and over again.
And every time his finger tip bones rejoin, they are reinforced and ultimately the kung fu artist has the ability to perform the Tiger Claw, i.e., have the ability to pull out the throat of any living thing with his bare claws. Experience is the same.
You will stumble many at times, incur losses, get paid low but over a period of time, you will only grow stronger.
Difference between an Asset and a Liability
Kiyosaki heavily favors assets over liabilities. According to him an asset is anything which brings money to your pocket. And liability is anything which takes money out of your pocket. He is of the opinion that one must lean heavily toward assets and minimize their dependence on liabilities.
He says liabilities will only become stumbling blocks in your path to take control over money and discarding them slowly will make your road lighter and you will travel easier and faster. In the same way, assets will be your guards and will come to your help whenever you are in dire need of them.
Financial Know-How is more important than Formal Education
Kiyosaki says “Academic qualifications are important and so is financial education. They’re both important and schools are forgetting one of them.”
This means one needs to think out of the box, one needs to take the road less travelled and become a cornerstone of guidance for others.
Robert Kiyosaki is a man who has created a plethora of wealth and guidance on the basis of what he learned from his two dads and his experiences. If not anything, he is an inspiration for sure for thousands. It is your job to be inspired and put your ideas into action like he did.