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Rich Dad Poor Dad Summary

Here’s the Rich Dad Poor Dad summary. Learn the proper mindset and wealth building strategies to build your financial success. Also learn more about the financial vehicles that will make you rich.

Overview

Rich Dad Poor Dad author Robert Kiyosaki tells the story of his 2 Dads. One is poor (his biological father) and the other is rich (his best friend’s dad).

He learned a lot from both his 2 dads. But when it comes to money, he learned the proper mindset from his best friend’s father. He knew the difference between assets and liabilities. He also learned how to raise his financial IQ.

About the Author

Robert Kiyosaki  is an American businessman, investor, author, and motivational speaker. Aside from his international bestseller Rich Dad Poor Dad, he also wrote over 25 other books.

Those books are about financial education, entrepreneurship, investing, and personal finance. He teaches people how to be financially smart. He’s doing that by teaching the right mindset to prepare one’s self for wealth building.

You can learn more about him through his Rich Dad website.

Main takeaways: Rich Dad Poor Dad Summary

Let’s discuss the key takeaways from his book:

  1. Work to learn
  2. Start building assets
  3. Develop more skills

Work to learn

Most people are working to earn. But the rich know something most people don’t. The rich (or those who plan to become rich) work to learn. They master their field. They also become much better than anyone else.

Working for money is a shortsighted activity. Why? You work and then you get paid. You spend that money and it’s gone forever. It just allowed you to get by for a week or month.

But if you’re working to learn, you get much more. You can use what you’ve learned to build businesses. The lessons also accumulate and you can combine them.

Working to learn is a long-term strategy. You can use the lessons to earn more instead of just getting by. That’s why whatever field you’re in, learn and master the field.

If you work to learn, you also get to focus on bigger things. You can explore the possibilities. You can come up with interesting ideas. Those ideas might lead to something great. You might start businesses because of those ideas.

Start building assets

This is also one of the key lessons from Rich Dad Poor Dad. If you want to get rich, start building assets. Those assets will put money in your pocket even while you sleep.

There are 3 kinds of assets. These are Business, Real Estate, and Paper. The first 2 are obvious. The last one (Paper assets) refer to bonds, stocks, mutual funds, and other forms of investments.

You have to get into at least one of those assets. This is the path to getting rich. Without assets, you will continue working for money. Assets will help you get wealthy much easier.

If the money that comes from your assets always exceed your expenses, you have a greater chance of getting rich. You will also have more time to build your wealth.

Building and growing your assets is semi-automated. This is true especially if you know what you’re doing. You have to learn and develop more skills. This way you will work less and earn more.

Develop more skills

If you want to build wealth, you have to develop more skills. This is the way to work smarter. You have to know how money works. You also have to know other skills outside of your job.

I mentioned that Business is one of the asset types. If you plan to start a business in the Philippines, you have to learn a lot of things. You should know how to sell, hire people, market your business, and more.

You should also learn how to become a true entrepreneur. This way you will be able to grow your business. If you’re a freelancer, you need to be skilled in selling. That is the way if you want to secure clients.

If you have valuable skills, you will never have to worry about work again. People will seek you. Or you can use those skills to create value for your clients or customers.

Aside from working to learn, building assets, and developing more skills, you will also read the following from Rich Dad Poor Dad:

  • The history of taxes and power of corporations
  • How rich people think about money
  • The difference between assets and liabilities
  • Why you should start a side business even if you have a job
  • How to get started

My personal takeaways

Rich Dad Poor Dad made me realize that there are many paths to wealth. As a beginner, I appreciate that the lessons were presented in a simple way.

I learned that rich people think differently. They know how money works. They also know how to make money work for them. They have skills in business, selling, marketing, leadership, and more.

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