10 Lessons Learned From The Book "Rich Dad Poor Dad"

   

10 Lessons Learned from the book "Rich Dad Poor Dad" by Roberts T. Kiyosaki.

1. Overcome Obstacles:

All opportunities lie across the risk.

Broke people are always afraid of risk.

There is no rich person who has never lost money.

Rich people are willing to take more risks.

4 Reasons, why people stay broke:

- Fear
- Laziness
- Arrogance
- Bad habits

2. Work to Learn, Don't work for Money:

Don't focus on the money as much as you should focus on learning and developing your skills.

You don't earn for the luxuries, earn for the necessities.

Learn as if you were to teach it to someone else.

it is the best method to learn.

3. 3. Pay yourself FIRST:

You will only begin building wealth when you start to realize that a part of all the money you earn is yours to keep.

Pay yourself first. You always pay others for goods and services.

Pay yourself as much as you can, and then pay the bills.

4. Financial literacy is the key:

You must learn how to manage your money.

Making Money is good, but handling money is more important.

Important is to know the difference between an asset and a liability.

An asset puts money in your pocket but a liability takes it.

5. Buy Real Estate:

It is an Asset with minimal risk to build a fortune.

You own a physical asset that is said to be the safest investment in the world.

Real estate investing, even on a very small scale, remains a tried and true means of building cash flow and wealth.

6. Learn Sales & Persuasion:

One must spend time and money improving their selling and communication skills to become rich fast.

Improve on your selling skills, after all, everything around you has been sold once.

The ability to sell is the number one skill in business.

7. Teach, Give back to society:

When you give smile you get a smile in return, when you teach and you get life lessons, same with the money, give money and get the same back.

Don't expect much in return important. Just Give.

Law of Money: “Give, and you shall receive".

8. Learn Specialised Knowledge:

4 areas to Master to retire financially free:

- Investing
- Accounting
- Understanding Laws
- Understanding Markets

Rich people earn, spend the money as much as possible, and then get taxed on rest.

Poor people get taxed, and then spend & save.

9. Develop your Mindset:

Intelligent minds don’t always get ahead, but brave minds do.

If fear is too strong, the genius is suppressed.

Money has got no power but your mind does.

Feed it with the right information and choose your friends wisely.

It's all about the Mindset.

10. Buy Appreciating assets:

Wealth is the cash flow that comes from the assets and covers your expenses. 

Assets can be stocks, bonds, real estate that makes money, units of mutual funds, royalties and so on.

Rich people stay rich by labouring all their money.