From Rags to Riches: What ‘Rich Dad Poor Dad’ Can Teach Us About Wealth Building
“Rich Dad Poor Dad” is a book by Robert Kiyosaki that imparts the lesson of financial education and explores different ways of making money with the help of two dads’ tales. The boy in the story has two dads: one is poor and recommends a good and secure job but still struggles for money, while the other, the rich dad, recommends professional skills and amazing assets that make money for you in the future. The rich dad wasn’t rich yet, and the poor man was not yet poor.
Money is not taught in school; schools focus on professional skills instead. It is taught in the house, and parents are the ones who are supposed to teach their children how to make money. The rich man left millions of dollars for his family after he died, while the poor man left bills to be paid.
So the boy has two fathers, and both are hardworking. One of them exercised his brain financially and thought, “How can I afford this?” On the other hand, the other dad was lazy and had the habit of sleeping, which led to financial problems, and he would say, “I cannot afford it.” This stops the boy’s mind from working. One dad advised him to work hard and use his skills to start his own business and take the risk of investment, while the other dad advised him to work hard to get a good job in a company and save his money instead of taking a risk on investment.
After receiving different pieces of advice from the poor and rich dads, the boy made up his mind about his finances and education. Because money is not power that you can just get out of nowhere, education is the key to making money. Robert (the boy) asked his dad how to get rich. He attended the same school where the rich sent their child, but after the sixth grade, they sent them to private school, which was unaffordable for Robert’s family. However, there was no answer to his question.
After that, he and Mike (the son of the rich dad) planned to start their own business by collecting waste toothpaste tubes and making lead white powder out of them. But eventually, they were caught by the poor dad, who said it was illegal, disappointing them both. The poor dad advised them to meet Mike’s dad, who owned restaurants and warehouses, where people worked for him. They both asked Mike’s dad how to make money. Instead of guidance, he offered Robert a job. The offer was 10 cents per hour and three hours every Saturday evening.
After a few weeks, Robert hadn’t seen Mike’s dad. Upon asking Mike about him, he got to meet his dad. After greeting each other, the boy asked Mike’s father, “You said you would teach me if I worked for you, but you haven’t taught me anything, so I had to quit my job.” He said life teaches you; it is the best teacher of life that pushes all of us, and some of us figure it out. If you learn, you become rich; otherwise, you will spend your life blaming your low-paying job. Then, I understood that he was right. People think that more money can solve their problems, but financial education is the problem. The rich dad explains the lesson that the poor and middle-class work for money, while the rich have money that works for them. Our experience increases according to our salary; this is called the rat race. Use your salary in the right place and do not increase your expenses with your income. The poor and middle-class people say they are not interested in more money, so why are they working eight to ten hours a day? And I flashback to my dad saying these words because he was afraid. The rich dad said, “I want to share with you my secret to wealth.”
My dad was always a hardworking man, but he never quite made it to the level of success he had hoped for. He was always just one step away from achieving his dreams, but it seemed like something always held him back. So when he met the rich dad, who was a successful entrepreneur and investor, he was all ears.
The rich dad sat down with my dad and shared with him his secret to wealth. He explained that it wasn’t just about working hard, but it was about working smart. He taught my dad the importance of investing in assets that generate passive income, such as real estate and stocks. He also stressed the value of financial education and learning how to manage money wisely.
These lessons had a profound impact on my dad, and he was determined to put them into practice. He started investing in rental properties and stocks, and he made a conscious effort to improve his financial literacy. Over time, his net worth grew, and he was able to provide a better life for our family.
As I look back on those words my dad shared with me, I realize the importance of having a mentor who can guide you and teach you valuable life lessons. Whether it’s in business, personal finance, or any other aspect of life, having someone to show you the way can make all the difference.
So if you’re just starting on your journey to success, don’t be afraid to seek out a mentor. Learn from their experiences, and take their advice to heart. Who knows, they may just have the secret to wealth that you’ve been looking for all along.
