Rich Dad Poor Dad

最好的self-help financial books

Title: Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not!
Authors: Robert T. Kiyosaki
Edition: 2
Finished Date: 2019-02-09
Rating: 5
Language: English
Genres: Financial
Level: Entry
Publishers: Plata Publishing
Publication Date: 2017-04-11
ISBN: 978-1612680194
Format: Pdf
Pages: 336
Download: Pdf

Title: Rich Dad’s CASHFLOW Quadrant: Rich Dad’s Guide to Financial Freedom
Authors: Robert T. Kiyosaki
Edition: 2
Finished Date: 2019-02-09
Rating: 5
Language: English
Genres: Financie
Level: Entry
Publishers: Plata Publishing
Publication Date: 2011-08-16
ISBN: 978-1612680057
Format: Pdf, EPub
Pages: 360
Download: Pdf

The poor and the middle class work for money: High education => find a safe, secure job

The rich have money work for them.

Lession 1: The Rich don’t work for money. Let money to generate passive income

Avoid one of life’s biggest traps: Rat race because of Fear & Desire/greed. use them in favor not against you

Most people have a price: the amount earned per hour

They have a price because of human emotions named fear and greed.

  1. the fear of being without money motivates us to work hard
  2. reaction without thinking: once we get that paycheck, greed or desire starts us thinking about all the wonderful things money can buy.

The pattern of get up, go to work, and pay bills is then set

Rat race: Offer them more money and they continue the cycle by increasing their spending

higher income => higher taxes

They feel the fear so they go to work, hoping that money will soothe the fear, but it doesn’t. It continues to haunt them and they return to work, hoping again that money will calm their fears, and again it doesn’t. Fear keeps them in this trap of working, earning money, working, earning money, hoping the fear away.

People also work for money because of desire. They desire money for the joy they think it can buy. But the joy that money brings is often short-lived, and they soon need more money for more joy, more pleasure, more comfort, and more security. So they keep working, thinking money will soothe their souls that are troubled by fear and desire. But money can’t do that.

Rich people but do not have passive income fear, too.

The reason many rich people are rich isn’t because of desire, but because of fear. They believe that money can eliminate the fear of being poor, so they amass tons of it, only to find the fear gets worse. Now they fear losing the money. People who have millions who are more afraid now than when they were poor. They are terrified of losing it all. The fears that drove them to get rich got worse. That weak and needy part of their soul is actually screaming louder. They don’t want to lose the big houses, the cars and the high life money has bought them. They worry about what their friends would say if they lost all their money. Many are emotionally desperate and neurotic, although they look rich and have more money.

What intensifies fear and desire is ignorance.

A job is only a short-term solution to a long-term problem

Seeing what others miss

The sooner you forget about needing a paycheck, the easier your adult life will be.

Keep using your brain, work for free, and soon your mind will show you ways of making money far beyond what I could ever pay you: identify an opportunity to make money, star own business

It’s not how much money you make. It’s how much money you keep.

Lesson 2: Finance literacy

  • accounting: if you want to be rich long-term, it could be the most important subject.

    • read and understand financial statements which allows you to identify the strengths and weaknesses of any business
  • investing

  • understanding markets: technical aspects of market, fundamental or economic aspects of an investment
  • law: understand the tax advantages and protections provided by a corporation
  • tax advantages

    By owning your own corporation, your vacations can be board meetings in Hawaii.

    Car payments, insurance, repairs, and health-club memberships are company expenses.

    Most restaurant meals are partial expenses, and on and on

  • protection from lawsuits

    The rich hide much of their wealth using vehicles such as corporations and trusts to protect their assets from creditors.

    The rich control everything, but own nothing.

    The poor and middle class try to own everything and lose it to the government or to fellow citizens who like to sue the rich.

If you own any kind of legitimate assets, I would consider finding out more about the benefits and protection offered by a corporation as soon as possible. To read books about setting a corporation.

Rich people acquire assets. The poor and middle class acquire liabilities that they think are assets.

An intelligent person hires people who are more intelligent than he is.

Schools were designed to produce good employees, instead of employers.

Rule 1: understand the difference between an asset and a liability, and buy assets

  • An asset puts money in my pocket.
  • A liability takes money out of my pocket.

When I want a bigger house, I first buy assets that will generate the cashflow to pay for the house.

Why the Rich get richer

The asset column generates more than enough income to cover expenses, which the balance reinvested into the asset column. The asset column continues to grow and, therefore, the income it produces grows with it.

Why the middle class struggle

Primary income is from salary.

income increases => taxes increases => expenses and liabilities increases => work for the company, the government & the bank, not yourself

focus efforts on acquiring assets instead of a bigger paycheck Most people must keep their job and rely on their wages to fund their acquisition of assets

Wealth is a person’s ability to survive so many number of days forward – or, if I stopped working today, how long could I survive?

Wealth is the measure of the cash flow from the asset column compared with the expense column.

I am not rich, but I am wealthy if the cashflow from the asset column can fully cover expense + liabilities

assets > expense + liabilities


  • The rich buy assets.
  • The poor only have expenses.
  • The middle class buys liabilities they think are assets.
  • The rich focus on their asset columns while everyone else focuses on their income statements.

Lesson 3: keep day job, but mind your own business

  • profession: data analyst
  • choose an asset I like, then do business revolves around your asset column, not your income column

    • business that do not require my presence: I own them, but they are managed or run by other people. If I have to work there, it’s not a business. It becomes my job.
    • stocks bonds
    • income-generating real estates
    • Notes (IOUs)
    • Royalties from intellectual property such as music, scripts, and patents
    • Anything else that has value, produces income or appreciates, and has a ready market

Lesson 4: create corporation to reduce tax

My high educated dad always encouraged me to land a good job with a strong corporation. He spoke of the virtues of “working your way up the corporate ladder”
The rich dad only chuckled, “Why not own the ladder?”

顺序 Business owners with corporations Employees who work for corporations
1 Earn Earn
2 Spend Pay Taxes
3 Pay Taxes Spend

Lesson 5: the rich invent money

Seek work for what they will learn, more than what they will earn. Look down the road at what skills they want to acquire before choosing a specific profession and before getting trapped in the Rat Race.

Highly specialized; then unionize.

If you are unwilling to work to learn something new and instead insist on becoming highly specialized within your field, make sure the company you work for is unionized. Labor unions are designed to protect specialists.

Skills do not necessarily transfer from industry to industry. Because my life would be dedicated to learning a skill that was valuable in only one industry. If I were pushed out of that industry, my life’s skill would not be as valuable to another industry

The world is filled with talented poor people. Because they focus on perfecting their skills at building a better hamburger rather than the skills of selling and delivering the hamburger. Maybe McDonald’s does not make the best hamburger, but they are the best at selling and delivering a basic average burger.

  • Poor dad wanted me to specialize. The more specialized you become, the more you are trapped and dependent on that specialty.
  • Rich dad advised to groom ourselves.

    Many corporations do the same thing. They find a young bright student just out of business school and begin grooming that person to someday take over the company. So these bright young employees do not specialize in one department. They are moved from department to department to learn all the aspects of business systems. The rich often groom their children or the children of others. By doing so, their children gain an overall knowledge of the operations of the business and how the various departments interrelate.

The main management skills needed for success are:

1. Management of cash flow
2. Management of systems
3. Management of people
4. the most important specialized skills are sales and marketing

* the ability to sell – to communicate to another human being, be it a customer, employee, boss, spouse, or child

Communication skills such as writing, speaking, and negotiating are crucial to a life of success.

The better you are at communicating, negotiating, and handling your fear of rejection, the easier life is.

work with people smarter than we were and to bring smart people together to work as a team

If you have little money and you want to be rich, you must first be focused, not balanced. If you look at any successful person, at the start they were not balanced. Balanced people go nowhere. They stay in one spot. To make progress, you must first go unbalanced.

If you have any desire to be rich, you must focus. Do not do what poor and middle-class people do: put their few eggs in many baskets. Put a lot of your eggs in a few baskets and FOCUS: Follow One Course Until Successful.


When it comes to money, most people want to plan it safe and feel secure. Fear is the motivation.

More money will not solve people’s problems: make a lot of money but still cannot pay their bills. Most people, given more money, only get into more debt

the fear of not paying their bills, the fear of being fired, the fear of not having enough money, and the fear of starting over. That’s the price of studying to learn a profession or trade, and then working for money.

It’s easier to learn to work for money, especially if fear is your primary emotion when the subject of money is discussed.

“I am not interested in money”

“I work because I love my job.”

4 Quadrants

  • E: works for the system
  • S: is the system => cannot leave
  • B: create, own and control a system. People working for B
  • I: invest money into the system. Money working for I.

B’s ability

  • bring smart people together and work as a team
  • master of words: one word may excite one person while that same word would completely turn off another person.

    example: “risk”

    • excite a person in the I quadrant
    • evoke total fear to someone in the E quadrant
  • leadership
  • technical skills of business

    • read financial statements
    • marketing
    • sales
    • accounting
    • Management
    • production
    • negotiation
      learn to work with and lead people
  • work with people

    “The technical skills of business are easy. The hard part is working with people.”

Words & Core difference


  • words
    • I am looking for a safe, secure job with good pay and excellent benefits.
  • core
    • secure: a word often used in response to the emotion of fear
    • benefits
      • When it comes to money and jobs, there are many people who simply hate the feeling of fear that comes with economic uncertainty: hence, the desire for security. The word “benefit” means people would also like some kind of additional reward that is spelled out, a defined and assured extra compensation, such as health insurance or a retirement plan.
    • The key is that they want to feel secure and see it in writing. Uncertainty doesn’t make them happy; certainty does. Their internal workings say, “I’ll give you this if you promise to give me that in return.”
    • They want their fear reduced by the presence of some degree of certainty, so they seek security and strong agreements when it comes to employment.

S-quadrant: do-it-yourselfers

  • words
    • My rate is $75 per hour.
    • My normal commission rate is 6% of the total price
    • I can’t seem to find people who want to work and do the job right.
    • I’ve got more than 20 hours into this project.
  • Core

    • be their own boss
    • do their own thing
    • do not like to have their income dependent on other people, i.e., words, if S’s work hard, they expect to get paid for their work.
    • S’s don’t like having the amount of money they earn dictated by someone else or by a group of people who might not work as hard as they do. If they work hard, they expect to be paid well. Conversely, they also understand that if they don’t work hard, then they don’t deserve to be paid much. When it comes to money, they have fiercely independent souls.
    • The people in this quadrant respond to fear, not by seeking security, but by taking control of the situation and doing it on their own.
    • Self-employed people are often hard-core perfectionists. They often want to do something exceptionally well. In their mind, they don’t think anyone else does it better than they do, so they really don’t trust anyone else to do it.
    • For people in this group, money isn’t the most important thing about their work. Their independence, the freedom to do things their way, and being respected as experts in their field are much more important than mere money. When hiring them, it’s best to tell them what you want done and then leave them alone to do it. They don’t need or want supervision.
    • They often have a hard time hiring other people to do what they do simply because, in their mind, nobody else is up to the task. Also, if this group trains someone to do what they do, that newly trained person often ends up leaving to “do their own thing,” to “be their own boss,” to “do things their way,” or to “have a chance to express their individuality.”
    • Many S types are hesitant to hire and train other people because, once trained, they often end up as their competition. This, in turn, keeps the S types working harder at doing things on their own.
  • professional

    • well-educated professionals who spend years in school
      • doctors
      • lawyers
      • dentists
    • direct-commission salespeople
    • real estate agents
    • small business owners
      • retail shopkeepers
      • cleaners
      • restaureurs
      • consultants
      • therapists
      • travel agreements
      • car mechanics
      • plumbers
      • carpenters
      • preachers
      • electricians
      • hair stylists
      • artists


  • words
    • I’m looking for a new president to run my company.
  • core
    • surround themselves with smart people from all 4 categories: E,S,B, and I
    • like to delegate
    • The true motto of a B is, “Why do it yourself when you can hire someone to do it for you, and they can do it better?”


  • words
    • Is my cashflow based on an internal rate of return or net rate of return?
  • core
    • They don’t have to work because their money is working for them
    • the playground of the rich

Once we know who the person we are interviewing is at their core, at least for that moment, we will know what they are really looking for, what we had to offer, and what words to use when to speaking to them.

Is it the product or the business system?

difference between the Rich and Everyone Else

the rich

most rich receive 70% of their income from investments, i.e., less than 30% from wages

everyone else

the poor and middle class: at least 80% of their income comes from wages from the E or S quadrants, and less than 20% from investments in the I quadrants

fear of losing money divide investors into 4 broad categories

  1. People who are risk-averse and do nothing but play it safe, keeping their money in the bank
  2. People who turn the job of investing over to someone else, such as a financial advisor or a mutual-fun manager
  3. gamblers
  4. investors

If you want to get rich, you need to learn how to take risks. Learn to be an investor.

financial intelligence determined, not so much how much money you make, but

  • how much money you keep
  • how hard that money works for you
  • how many generations you can keep it.

Success on the right side requires financial intelligence. If people lack basic financial intelligence, they’ll find it hard to survive on the right side of the CASHFLOW Quadrant.

My rich dad was good with money and with people at work. He had to be. He was responsible for

  • creating money
  • managing as few people as possible
  • keeping costs low
  • keeping profits high.

Those are the skills necessary for success on the right side.

Unfortunately, financial security and financial freedom are seldom found in the E or the S quadrant. True security and freedom are only found on the right side.

Many people spend their life in search of security or freedom, but wind up instead going from job to job.

being an S can be extremely rewarding—and the most risky.

The S quadrant is the hardest quadrant there is.

  • The failure rates are high and, if you make it, being successful can be worse than failing.

    That’s because, if you’re successful as an S, you’ll work harder than if you were in any of the other quadrants, and you’ll work harder for a long time.

  • The reason S’s work the hardest is because they typically are the proverbial “chief cook and bottle washer.” They have to do, or be responsible for, all the jobs that are done by many managers and employees in a bigger company.
  • An S just starting out often

    • answers the phone, pays the bills
    • makes sales calls
    • tries to advertise on a small budget
    • handles customers
    • hires employees
    • fires employees
    • fills in when employees don’t show up
    • talks to the tax man
    • fights off the government inspectors
    • and on and on.

      Many wise S’s sell their businesses at their peak, before they run out of steam, to someone with energy and money. They take some time off and then start something new. They keep doing their own thing and love it. The key is to know when to get out.


If people earn money in the E quadrant, the only tax break they’re offered is to buy a bigger house and go into greater debt.

the pattern for job security

the pattern for financial security

Instead of just putting money into a retirement account and hoping for the best, try to study to become a professional investor

the pattern for financial freedom / the ultra-rich

Your boss’s job is not to make you rich. His job is to make sure you get your paycheck. It’s your job to become rich if you want to.

the difference a rich and a poor is what they do in their spare time.

If you work hard on the left side, you’ll work hard forever. If you work hard on the right side, you have a chance of finding freedom.

the hard thing about building a company is that 2 big variables: the system & the people building the system

Managers often see their subordinates as inferiors. Leaders must direct people who are often smarter.

To learn about all the systems necessary in a big company, you’ll need to spend 10 to 15 years there and learn all the different aspects of the business. You should then be prepared to leave and start your own company. Working for a successful major corporation is like being paid by your mentor. Even with a mentor and/or years of experience, this first method is labor-intensive. Creating your own system requires a lot of trial and error, up-front legal costs, and paperwork. All of this occurs at the same time you’re trying to develop your people.

“You can’t do that” doesn’t necessarily mean you can’t. It more often means they can’t.

Your profit is made when you buy, no when you sell.

If you take on debt personally, make sure it’s small. If you take on large debt, make sure someone else is paying for it.


“You’re more worried about your own personal survival than keeping your dream alive. Your fear has pushed aside your passion. The best way to keep going is to keep the flame in your heart alive. Always remember what you set out to do, and the trip will be easy. Start worrying more about yourself, and your fear begins to eat away at your soul. Passion builds businesses, not fear. You’ve come this far. You’re close, so don’t turn back now. Remember what you set out to do, keep that memory in your heart and keep the flame going. You can always quit. So why quit now?” With that, rich dad wished me luck and hung up the phone. He was correct. I had forgotten why I set out on this journey. I had lost my dream and allowed my fears to fill my head as well as my heart. I had forgotten my passion.

For every liability you have, you are somebody else’s asset

start cash-flow management plan

  1. put aside a set percentage from each paycheck or each payment you received from other sources
  2. deposit that money into an investment savings account
  3. once money goes into the account, NEVER take it out until you are ready to invest it.