Rich Daddy, Poor Father
Robert Kiyosaki and Sharon Lechter
This guide was written about a man who had " two fathers” ' one who a new Ph. D and the additional who scarcely finished eighth grade. Among the fathers was really his pal's father, but someone who mcdougal looked up to and liked very much. The other father was his own ' who he also looked up to and appreciated, yet who did not teach him much about money or finance.
The first lesson of this publication is: the rich may work for cash. It depends on two young boys (the author and a friend) who plan to go into a alliance together to make money. After their initial try for making business lead nickels was unsuccessful, they decided to acquire advice from " the rich dad”. When they met with him, the rich father told them he would pay out them 12 cents 1 hour to work for him. So , instead of going to try out baseball, the 2 boys chose to stay and work. After working for that low salary for a few weeks, the author was ready to leave. However , after a talk with " rich dad” the author discovered this ' the poor and middle category work for cash; the wealthy have money work for them”. It is easy to fall into the idea of " job security”, but it should be more thrilling to search for some thing with a little more risk that provides more possibilities for monetary growth.
The next lesson of the book is approximately teaching economic literacy. It is currently about how very much money is made, but the amount of money you keep. Secret one of this kind of chapter is definitely: you must know the between an asset and a liability. If you wish to be rich, you must spend money on assets. The chapter says that wealthy people get assets even though the poor and middle class acquire debts that they think are possessions. In the book, we have a diagram of cash flow that may be very simple, yet important. Possessions = Income and Financial obligations = Price
Basically, an asset is a thing that puts profit your pocket or purse and a liability is simply the opposite. The chapter procedes explain that...