Rich dad

I have a problem with too much money. I can’t reinvest it fast enough, and because I reinvest it, more money comes in. Yes, the rich do get richer.

What an eye opener.

But at the same time, what an encouraging reminder of the basics of leading a financially successful life.

Making money is one thing, keeping money is quite another and managing your wealth yet still another skill – all of which are covered in superbly accessible detail in the Rich Dad Poor Dad series of books.

I avoided reading these titles for many years – in fact the copy of Rich Dad Poor Dad I read a few days ago was actually purchased in 2005 but I just couldn’t bring myself to read it (!)

The basic premise is that when Robert Kiyosaki was growing up he had two fathers- one was his natural father and the other was a friend’s father. Both men were successful but one worked for a living and the other ran his own businesses.

This juxtaposition provides the perfect contrast between the mindset of those who are rich (financially) and those who are not.

It’s interesting to note the distinct difference in thought process and how regardless of which business or job you find yourself you can begin to think in a “rich” way and thus improve your financial affairs simply through challenging your thought processes.

The book is ultimately split into the following 5 sections –

  • Why the rich don’t work for money
  • Why teach financial literacy
  • Minding your own business
  • The power of corporations
  • The rich invent money

Whether you have your own business or whether you work for yourself; this book makes you challenge your approach to everything financial- from paying yourself first, to investing, to paying less tax to planning for the future- this book is worth many times it’s cover price.

The Rich Dad Poor Dad concept has spawned a series of books covering various areas of financial literacy but this original title is the first stepping stone and a step well worth taking.