Rich_Dad_Poor_Dad

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					Title:
Rich Dad Poor Dad

Word Count:
592

Summary:
A book review of "Rich Dad Poor Dad
". This is one of the most popular
personal finance books on the marke
t today.


Keywords:
Rich Dad Poor Dad, personal finance
, investing, make money, real estat
e investing, Robert Kiyosaki


Article Body:
A lot of people have read Robert Ki
yosaki's books (and he has a lot of
 them), but this is the one that st
arted them all.

I think what endears people to Rich
 Dad Poor Dad is the story. It seem
s to me that whenever a non-fiction
 book teaches with stories, it does
 very well. So, if you're going to
write a non-fiction book, weave you
r info into a story.

Rich Dad Poor Dad is the story of R
obert learning the habits of the ri
ch from his best friend's dad. Robe
rt's own dad was a highly paid, hig
hly educated government official, b
ut who ended up poor (this is his "
poor dad"). His best friend's dad w
as not highly educated, but he star
ted lots of businesses, bought lots
 of real estate, and invested in st
ocks. He is "rich dad".

Some lessons or themes that keep com
ing up:

*School prepares you for a job whil
e financial education prepares you
for better financial habits that le
ad to a more prosperous life

*The rich invest in ways that the p
oor and middle class do not

*The rich invest in assets that pro
duce class flow, and then reinvest
that cash flow into other assets

*The poor invest in liabilities, or
 things that take money out of thei
r pockets

*The middle class tend to go to sch
ool, get a job, buy everything on c
redit, get raises, then buy bigger
houses and nicer cars, under-save a
nd under-invest, and then retire on
 less than what they should have.

*There are 3 kinds of income:
    -Earned income (what you make wh
en you're there)
    -Passive income (money that com
es to you when you're not there...t
hat can come through     businesses
, real estate income, intellectual
property, etc)
    -Portfolio income (money that a
lso comes when you're not there...b
ut specifically from stocks, mutual
 funds, and other such paper invest
ments)

As it turns out, Robert didn't go o
n to become a rich guy too soon int
o his adult years, like his best bu
ddy did. Robert went into the Navy
to learn how to sail ships, then to
 the Marines to fly helicopters in
the Vietnam war. I might have the t
imeline wrong, but he he was a top-
selling Xerox sales rep for several
 years. And then he went on to star
t a successful business importing/s
elling those Velcro nylon surfer wa
llets from the eighties. Remember t
hose? After a few years, that busin
ess went bust.

Eventually he made the jump into bu
ying assets...income producing real
 estate...and within 8 to 10 years,
 he and is wife retired. Then six m
onths later he came out of retireme
nt to start his financial education
 business...which includes his book
s, board games, tapes, seminars, et
c. In reality, it sounds like he's
started a whole ton of other busine
sses too, but that's what I've piec
ed together from other books of his
 that I've read. Notice that most
of his activities center around pas
sive income?

It's a great and easy read and shou
ld shock you out of your usual way
of looking at money. Another one of
 his books that I like a lot is one
 he didn't even write by himself...
aptly named "Success Stories". It's
 a collection stories by many of Ro
bert's students that have taken his
 advice and who started businesses
or are collecting assets that produ
ce cash flow.

There's so much more that can be sa
id, but it's time for you to start
the adventure of reading a new book
. Try to think of "Rich Dad Poor Da
d" as financial education; it will
make the purchase that much easier
to justify.

				
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posted:12/26/2010
language:English
pages:5
Monika Kamal Monika Kamal Jesus http://ineed4u.blogspot.com/
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