Robert Kiyosaki is famous for his polorizing description of a Job. He states that a “Job is an acronym for ‘Just Over Broke.’ He believes that “A person can be highly educated, professionally successful, and financially literate.” The author is a big advocate for financial literacy across the world, he has written 26 books and sold over 41+ million copies. If you haven’t read one of his books you have probably seen him speak a few polorzing words regarding real estate, economics, gold, silver or bitcoin. Rich Dad Poor Dad Summary


In his book Rich Dad Poor Dad, Kiyosaki shares his story of growing up with two fathers – his own, who was a highly educated but poor man, and his best friend’s father, who did not have all the important educational accreditations but became very wealthy. From these two very different role models, Kiyosaki learned some valuable lessons about money and success.


Here are the top 10 lessons from Rich Dad Poor Dad:

The Rich Don’t Work For Money – They Make money work for them.

This simply means that they invest their money in assets that will generate income, rather than using it to purchase things that depreciate in value.


For example, they may invest in a rental property or a business, rather than buying a new car. By taking this approach, they are able to steadily grow their wealth over time.



The book focuses on how wealthy people focus on building their assets, rather than trying to keep up with the Joneses. In other words, they are more concerned with increasing their net worth, rather than spending money on status symbols.


It’s Not What You Earn, It’s What You Keep That Counts

He explains that there are two ways to increase your income: you can either earn more money or you can reduce your expenses.


Kiyosaki encourages readers to take a close look at their spending habits and find ways to reduce their expenses. Increasing your income may make more of an impact on your fincial freedom than saving on that daily coffee but its good to focus on both. Your ability to increase your own income will bring you long-term freedom much more efficiently than reducing your expenses will.


Debt Can Be Your Friend – If Used Wisely

Kiyosaki’s “rich dad” taught him that debt can be a powerful tool if used wisely.


By investing in assets such as real estate and businesses, and using debt to finance those investments, rich dad was able to amass a large fortune. While there is always some risk involved in using leverage, if done carefully it can be a powerful tool for creating wealth. Understanding health debt and unhealthy debt is important to understand.

You Must Have Multiple Streams Of Income To Become Wealthy.

Kiyosaki explains that most people only have one source of income, which is their job. While this can provide a comfortable lifestyle, it will never make you wealthy. To become rich, you need to have multiple sources of income that are not dependent on each other. This way, if one stream dries up, you will still have others to fall back on.


Kiyosaki provides a number of examples of how to create multiple streams of income, such as investing in real estate or starting your own business. He also emphasizes the importance of financial education, which is essential for making wise investment decisions.


Don’t Put All Your Eggs In One Basket – Diversify!

Robert Kiyosaki advocates for diversification in both your personal and professional life. He believes that putting all your eggs in one basket is a recipe for disaster. If you have all your money invested in one stock, for example, and that stock tanks, you could lose everything. The same is true for putting all your eggs in one job basket. If you’re relying on a single source of income, you’re putting yourself at risk.


Kiyosaki recommends diversifying your portfolio to spread the risk and protect yourself from financial ruin. He also advises diversifying your skillset so that you’re not reliant on any one particular skill or ability. By diversifying, you’re creating a safety net for yourself that will cushion the blow if any one area of your life takes a hit.

Make Your Money Work Harder Than You Do.

Kiyosaki argues that the key to financial success is to make your money work harder than you do. He provides several examples of how this can be done, such as investing in a rental property or starting a business.


While some of Kiyosaki’s advice may seem unrealistic for the average person, the underlying message is clear: if you want to be rich, you need to think differently about money. By taking advantage of opportunities and using your money wisely, you can create wealth that will work for you instead of against you.

Leverage OPM (Other Peoples Money)

Kiyosaki talks about the importance of learning to use other people’s money to make more money. He believes that this is a key lesson that can help people become financially successful. Kiyosaki says that most people are afraid to take risks and instead, they save their money and invest it in low-risk ventures.

While most people view debt as a burden, rich dad saw it as a way to leverage Other People’s Money (OPM) to build wealth. By taking calculated risks while using other people’s money, you can potentially make a lot more money than you would by saving your own money.

Insure Your Risk

Robert Kiyosaki explains the importance of having adequate insurance protection. He writes that the biggest mistake people make is not having enough insurance to cover their liabilities. He goes on to say that many people only carry insufficient insurance because they are afraid of the cost. However, he argues that the cost of not being insured can be much greater.


He gives the example of a family who was sued for $1 million after their child was injured in an accident. The family had to declare bankruptcy because they didn’t have enough insurance to cover the damages. Kiyosaki warns that this is a common scenario and urges people to make sure they have enough insurance protection to cover their liabilities. Ultimately, he argues that the cost of being underinsured is much greater than the cost of premiums.


Optimize Your Credit

Kiyosaki uses the example of two friends, one with good credit and one with bad credit, who want to buy a house. The friend with good credit is able to get a loan at a much lower interest rate than the friend with bad credit, meaning that he will end up paying less for his house overall.


In today’s world, where so much emphasis is placed on credit scores, it’s important to make sure you’re taking care of your own credit score so that you have access to all the financial tools available. Check out our links in the description if you think you are looking for tips to optimize your credit.


If You Desire Liabilities, Have Your Assets Pay For Them

Instead of focusing on how much money we can make, he says we should focus on building assets. Assets are anything that put money in your pocket, like investments, rental properties, or businesses. Liabilities are anything that takes money out of your pocket, like credit card debt or a mortgage. The goal is to have more assets than liabilities, so that your cash flow is positive.


Recently Kiyosaki has been a large advocate for for financial literacy and teaching the world how the financial systems work. His education states that everyone has the potential to be wealthy if they understand the game of money. He states “The single most powerful asset we all have is our mind. If it is trained well, it can create enormous wealth.” So if you are a visual learner or are interested in teaching your family the laws of wealth, Kiyosaki has a great board game called The Cash Flow Game where you and you family can get started.


Too many people depend on others to manage their finances for them, when they could be doing it themselves. With a little education, anyone can learn to invest their money wisely and build a bright financial future.


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