Rich Dad Poor Dad is a financial self-help book written by Robert Kiyosaki and Sharon Lechter. Basically, the authors try to get the reader to gain financial independence through investments, real estate, owning a business, and using finance protection tactics. The book is written in a set of parables and is based on Kiyosaki’s life experiences.
Kiyosaki says things at times that the reader may not want to hear, but the strategies and tactics he used to become rich have worked for him as well as many other wealthy people. Kiyosaki says at one point that a house is not an asset. This statement made me a little skeptical because I’ve always thought of real estate as an asset that can increase in value and is, therefore, a good investment. After thinking about his explanation, I realized that a house is more of an asset to the banks, real estate agencies, insurance companies, and local government agencies who charge taxes on the home. When a person buys a large house, it is supposed to be a symbol of wealth, when in reality that person is paying the bank a substantial amount during their 30 year mortgage.
I was so pleased to see that Kiyosaki discouraged debt connected to anything other than investments like real estate and stocks. There are so many people in this country who use their credit cards to pay for things they can’t afford (like dining out, clothing, and other non-essential items). Going into debt is a slippery slope, and some consumers need a wakeup call, like this book, to avoid or defeat poor spending habits.
For the most part, people either love this book, or they hate it. The topics covered and the opinions made by the authors could be debatable. Rich Dad Poor Dad has taken hits of criticism for years, and will continue to do so because of the controversial statements made by Kiyosaki. John T. Reed is a very open critic of this book and Kiyosaki’s money strategies. He has even said that this book holds “some of the dumbest financial advice… [he has] ever read.”
As for me, all of the comments have really opened my eyes to some of the financial problems people have in this country. I was taught at a very young age how to work hard, save money, and lead a successful life, but I was not prepared for some of the harsh facts of reality. With the help of this book, I also learned how to take responsibility for my life.
I believe there is a reason why Rich Dad Poor Dad was on the best seller list for years and continues to be a popular book today. This true story shows everyone, even the most financially unstable, that there is hope for a successful financial future.
Amy Young is the author of articles relating to business, marketing, and help with personal finance.