Rich Dad Poor Dad: Lessons in Financial Intelligence

Robert T. Kiyosaki’s book, Rich Dad, Poor Dad, uses the contrasting philosophies of two father figures to advocate for personal financial education. A central theme is the importance of understanding financial literacy, defined as the ability to discern assets—items that put money in your pocket—from liabilities, which take money out. Kiyosaki argues that most people are trapped in the "Rat Race" because they focus only on earning a paycheck and acquiring liabilities (such as homes they consider assets), rather than investing in income-generating assets. He stresses that true wealth requires developing a strong financial IQ through knowledge of accounting, investing, marketing, and law, skills not taught in the conventional educational system. The excerpts also describe how to overcome common psychological barriers, like fear and cynicism, and adopt habits such as paying yourself first to secure financial freedom. Ultimately, the book encourages readers to learn how to have money work for them rather than spending their lives working solely for money.