Chapter Summary Of Chapters By Robert T. Kiyosaki
Robert T. Kiyosaki focuses on the different life decisions that determine or contribute to a person’s future in hopes that people will realize that they could turn their life around if they really were determined to do so. In chapter one, Mike and Robert Kiyosaki feel like outcasts `because they go to an elementary school full of rich students where they seem to be the only ones who are poor and it hurt them but “that hurt was good, because it inspired us to keep thinking of a way to make money” (Kiyosaki 10). Mike and Robert’s first scheme on becoming rich was a counterfeit nickel making company but Robert’s “poor” dad immediately stopped them as it was illegal therefore they decided to take action into their hands and asked Mike’s “rich” dad for advice on becoming rich.
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Mike’s rich dad decided to teach them only if they worked for him which Mike and Robert agreed to until they realized that they were working so much and not getting paid enough which then enraged Robert and led him to confront Mike’s rich dad and Mike’s rich dad explained that the whole purpose was for them to hate working in such conditions which he called the “rat race”.
In chapter two, Mike and Robert are grown up and have had incredible results in regards to their finances and socioeconomic status but Kiyosaki discusses that getting money is easy but keeping it is the problem that most people face afterwards because “too many people are focused on money and not on their greatest wealth, their education” (Kiyosaki 44). Kiyosaki’s biggest and most important piece of advice that he frequently mentions throughout this book is that people should know the differences between an asset and a liability and work on building their assets as he claims that it will create a strong foundation for the rest of their
life. Kiyosaki strongly emphasizes that the problem poor people have is that they pile up on their liabilities instead of their assets which affects their balance sheets and income statements. In chapter three, Robert explains that too much people are too involved in other people’s lives such as their bosses instead of minding their own business because he argues that “financial struggle is often directly the result of people working all their lives for someone else” instead of focusing on themselves so that someday they will become their own boss and own their own businesses (Kiyosaki 74). Kiyosaki further emphasizes the importance of people building their assets so that they do not have to work at a mediocre job thinking that it is their only or best solution. The majority of poor people seek to be financially safe therefore they “cling to their jobs and play it safe” never taking any risks, chances, or opportunities because they are too scared of losing the little they have but they do not realize that they might be missing some great and life changing opportunities which the rich take advantage of (Kiyosaki 75). In chapter four, Kiyosaki explains that one of the biggest conflicts that poor people face is the manipulation by big machinery such as corporations because they do not know how to fight back whereas the rich use them to their advantage because “it is the knowledge of the legal corporate structure that really gives the rich a vast advantage over the poor and the middle class” (Kiyosaki 85). The best solution that Kiyosaki advices to poor people is to build their financial education such as investing, accounting, understanding the markets, and the law in order for them to find a way out of their daily mediocre job that keeps them in the rat race. In chapter six, Kiyosaki explains that it is not educated people who always get ahead in life but those who are brave and bold enough to take risks and opportunities instead of sitting around and waiting for something to get handed to them. Kiyosaki emphasizes that people must take risks and even fail in order to be successful because if “fear is too strong, the genius is suppressed” (Kiyosaki 94). People should also hire other people who are more intelligent than they are so that they could also benefit and capitalize from them because in the end all that matters is to be financially smart and have determination. Poor people often have the same opportunities of becoming rich right in front of their eyes but it is their education, mindset, lifestyle, and habits that impede them from becoming rich therefore Kiyosaki’s book is perfect as it explains everything necessary for someone to start making a change in their life if they want to.
Mike’s rich dad decided to teach them only if they worked for him which Mike and Robert agreed to until they realized that they were working so much and not getting paid enough which then enraged Robert and led him to confront Mike’s rich dad and Mike’s rich dad explained that the whole purpose was for them to hate working in such conditions which he called the “rat race”.
In chapter two, Mike and Robert are grown up and have had incredible results in regards to their finances and socioeconomic status but Kiyosaki discusses that getting money is easy but keeping it is the problem that most people face afterwards because “too many people are focused on money and not on their greatest wealth, their education” (Kiyosaki 44). Kiyosaki’s biggest and most important piece of advice that he frequently mentions throughout this book is that people should know the differences between an asset and a liability and work on building their assets as he claims that it will create a strong foundation for the rest of their
life. Kiyosaki strongly emphasizes that the problem poor people have is that they pile up on their liabilities instead of their assets which affects their balance sheets and income statements. In chapter three, Robert explains that too much people are too involved in other people’s lives such as their bosses instead of minding their own business because he argues that “financial struggle is often directly the result of people working all their lives for someone else” instead of focusing on themselves so that someday they will become their own boss and own their own businesses (Kiyosaki 74). Kiyosaki further emphasizes the importance of people building their assets so that they do not have to work at a mediocre job thinking that it is their only or best solution. The majority of poor people seek to be financially safe therefore they “cling to their jobs and play it safe” never taking any risks, chances, or opportunities because they are too scared of losing the little they have but they do not realize that they might be missing some great and life changing opportunities which the rich take advantage of (Kiyosaki 75). In chapter four, Kiyosaki explains that one of the biggest conflicts that poor people face is the manipulation by big machinery such as corporations because they do not know how to fight back whereas the rich use them to their advantage because “it is the knowledge of the legal corporate structure that really gives the rich a vast advantage over the poor and the middle class” (Kiyosaki 85). The best solution that Kiyosaki advices to poor people is to build their financial education such as investing, accounting, understanding the markets, and the law in order for them to find a way out of their daily mediocre job that keeps them in the rat race. In chapter six, Kiyosaki explains that it is not educated people who always get ahead in life but those who are brave and bold enough to take risks and opportunities instead of sitting around and waiting for something to get handed to them. Kiyosaki emphasizes that people must take risks and even fail in order to be successful because if “fear is too strong, the genius is suppressed” (Kiyosaki 94). People should also hire other people who are more intelligent than they are so that they could also benefit and capitalize from them because in the end all that matters is to be financially smart and have determination. Poor people often have the same opportunities of becoming rich right in front of their eyes but it is their education, mindset, lifestyle, and habits that impede them from becoming rich therefore Kiyosaki’s book is perfect as it explains everything necessary for someone to start making a change in their life if they want to.