RICH DAD POOR DAD, Robert Kiyosaki(Book Review)

 

             RICH DAD POOR DAD, Robert Kiyosaki

Robert Kiyosaki had two dads. One which he called rich dad and another poor. He listened to his rich dad idea and he ultimately became rich. The entire idea that I am going to share is based on Robert’s rich dad idea.

Let us know about two words i.e. Assets and Liabilities. Assets are the thing that will bring or attract money in your pocket whereas liabilities are the thing that will make you lose some money from your pocket. Talking about liabilities, Car is a liability, you bought a car now every month you will lose some money in the name of tax of that car, you will lose money in the name of fuel and every time you are losing some money from your pocket because you brought that car and that car is liabilities. So, liabilities are the thing that will make you lose some money from your pocket. Talking about assets, the property is an asset, for example, you bought a house. What you did is you rented that house. Now, every month, every year you are receiving some money in your pocket because you invested that money in your house and that is an asset. So, the asset is the thing that will bring the money in the pocket. Rich people give priority to assets and only they by liabilities whereas others give priority to liabilities. This is the reason why rich  people get richer and richer and richer and poor gets poorer and poorer and poorer. Can you imagine it? Just knowing about two words i.e assets and liabilities you can be the richest person.

Let me go with the different ideas of the book. For example, there are two friends A and B. A earns100 thousand per month whereas B earns only  50 thousand per month. Who is rich? What if I say A spends around 90-95 thousand per month whereas B only spends around 5 thousand per month.Now, of course, B is richer. So, the idea from this illustration is that you aren’t rich by how much money you earn, you are only rich when there is a balance between your income and expenditure .If in future, if you ever face the financial struggle than instead of trying to struggle to earn more you can try thinking about how to reduce your expenditure. Can you imagine it? just knowing the idea of the balance between income and expenditure you will never have a financial struggle.

I talked about, firstly difference between two words assets and liabilities and the idea of balance between income and expenditure. Besides the ideas of the book, let me talk something else. The advantages of being rich are, firstly you will live more fulfilled, happy and healthy life as well as you can make others people life better. You can establish an orphanage and give food, cloth, shelter, and education to poor and needy people. So the awesome thing about being rich is that you will have your life better as well as you can make others people life better.

At last, I would love to share something. One of the most valuable thing that should be taught in school is financial education but unfortunately it isn’t . And, there is no point in complaining about to education system and teachers. Instead, we can get it on our own that is by reading this book “Rich Dad Poor Dad”.