The 20 Biggest Lessons I Learned From 'Rich Dad, Poor dad'

Last month I decided I was going to read the book ‘Rich Dad, Poor Dad’ by Robert Kiyosaki. I had heard a lot about the book and how it can change your perspective on money, so I thought it was time to finally read it.

I’m not going to lie; the book was a bit of a challenging read for me. I’m not the best when it comes to reading about finances and economics (I much prefer fiction), but I powered through and finished it and was also able to write down the key points that I took away from the book.

If you haven’t read ‘Rich Dad, Poor Dad’ yet, I would definitely recommend doing so because despite being a bit of a dry read, the book was packed full of valuable lessons. Here are 20 of the biggest lessons I learned from ‘Rich Dad, Poor Dad’:

1. The rich don’t work for money

Money works for the rich. If you work for money, it’s easy to develop a scarcity mindset and always feel like the only one who isn’t living comfortably. But if that same amount of cash is working in your favor, then things will be different; instead of feeling poor all day long with no hope or future aspirations because “there just isn’t enough.” You’ll know what abundance feels likes — and have plenty on hand! Rich people get hard-working employees as the backbone of their business.

2. Don’t be controlled by emotions when it comes to money

Most working-class individuals are controlled by two emotions of fear and greed. They fear being poor by working hard continuously for long hours and not seeing any improvement in their quality of life. The other is greed, where people want to get rich quickly by winning the lottery or taking unnecessary risks with their money.

3. Invest in yourself first

You must invest in your own financial education before anything else. Robert Kiyosaki’s rich dad would say, “The biggest investment you can make is in yourself.” By investing in yourself, you are increasing your human capital, which is the biggest asset you have.

4. Acquire Assets

Don’t buy things that will lose value over time (liabilities). Instead, invest your money in things that will appreciate in value or give you passive income (assets). The rich continue to acquire assets until their passive income covers all their expenses so that they can live a life of financial freedom.

5. Always remember the KISS principle

Keep it simple, stupid. This acronym is key in business and personal finance. When it comes to money, don’t over-complicate things. The more complex something is, the greater the chance for human error. Many people struggle with these concepts initially, but breaking them down into their simplest forms will make it easier to understand them a lot better.

6. The rich focus on opportunities

While the poor focus on salaries. Rich people are always looking for opportunities to make more money. They are not content with just working for a salary because they know that salaries will never make them rich. They are always looking for new opportunities to invest their money in and grow their wealth.

7. Don’t be financially illiterate

Yes! A person with all the education in the world can be financially illiterate. This means that they do not know how to manage their money properly. Many people are in debt because they do not understand the basic concepts of money and how it works. This is why it is so important to educate yourself on personal finance, even if you have to read a few books or hire a financial advisor.

8. You need multiple streams of income

The rich know they cannot rely on just one source of income. They have multiple income streams, so if one stream dries up, they still have others to fall back on. This is why it is so important to have multiple sources of income, whether it be from investments, business ventures, or even a side hustle.

9. Be Focused

If you have a job, keep your career and start an online business. Use the time spent on anything other than work (like partying) to build this side hustle so it can help support yourself financially and pay off student loans or save money for retirement later down the line!

10. Train Your Mind

What’s your biggest asset? Your mind. Many people watch opportunities with their eyes, but if you train it well enough and focus on what might happen in the future, some amazing things may come true!

11. Learn Digital/Technical Skills

If you want to be wealthy, you have to be willing to change with the times. This means keeping up with technology and learning new skills. The rich know they must continuously learn and adapt to keep up with the Joneses.

12. You must take risks

If you want to be rich, you have to be willing to take risks. This doesn’t mean going out and gambling your life away, but it does mean being willing to invest in new opportunities and businesses. Many people are too scared to take risks, but the rich know that to make more money, they must be willing to lose some first.

13. Learn Sales and Marketing

You can’t be successful without the skills of sales and marketing. These days, it seems like everyone is trying to sell something or talk someone into doing something they don’t want to. Still, if you’re going up against a tough competitor in this day and age, these two things will determine whether your business makes any money!

14. Manage fear

“Failure is the begin of success” — this is something that wealthy people understand very well. Without taking risks, you will never achieve anything significant in life. The rich know that they must face their fears head-on and use them as motivation to succeed. Managing fear will help you become wealthy in the long run.

15. Have A Driving Force

Everyone wants to be rich, but many don’t want to struggle and work hard. To be wealthy, you must have a driving force behind your actions. These could be goals like retiring early or simply wanting to live a better life. Whatever it is, ensure your actions are driven by something, and you’ll be well on your way to success.

16. Get a Mentor

The Rich Dad was Robert Kiyosaki’s mentor, who taught him everything he knew about wealth. A mentor can teach you the ropes and help you avoid costly mistakes. Find someone who is already wealthy and learn from them!

17. Be coachable

Many people think they know everything and are unwilling to learn from others. The wealthy know they don’t have all the answers and are always looking for new ways to improve. They are coachable and learn from their mentors, books, and courses.

To be wealthy, you must be coachable. This means being willing to learn from those who have already achieved what you want. Find a mentor or take some courses so you can start making progress towards your wealth goals.

18. Be persistent

The wealthy know that success takes time and are willing to put in the hard work to make their dreams a reality. They are persistent and never give up, even when things get tough.

19. Use Assets To Buy Luxuries

Yes! This might sound stupid, but the wealthy know how to use their assets to buy luxuries. Many people think that being rich means having a lot of money in the bank, but that’s not always the case. The wealthy know how to use their assets (property, stocks, etc.) to generate income and live a comfortable life. For example, when a working-class person gets paid, the first thing he buys is new clothes or a car. Rather, focus on buying assets that will make you more money. Buy an asset, and your asset will pay you for your luxuries. Poor buy luxuries first, and the rich buy luxuries last.

20. Read Books!

Robert Kiyosaki says, “Rich people have libraries. Poor people watch television”. This is so true! The wealthy know that they must continuously learn and grow to get ahead. They read books to gain new knowledge and skills. If you want to be wealthy, start reading more books!

These are the lessons I have learned from the ‘Rich Dad, Poor Dad’. I hope you enjoyed reading them. Do you have any comments or suggestions? Please let me know in the comments section below. Thanks for reading!❤️

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