Review of Rich Dad's Conspiracy of the Rich, The Eight New Rules of Money by Robert Kiyosaki
This book is the result of the author, Robert Kiyosaki 's life time research. He believes that the US government is controlled by the multinational corporations, which is controlled by the rich people. The rich want us to “Go to school, study hard, get a degree and find a good job.”- the Poor Dad's philosophy.
The rich want us to become good employees, so we can work hard for them. Then the government can get paid in the form of tax and our pensions are invested in the stock markets by purchasing the shares of multinational corporations, which makes the rich becoming even richer.
Robert Kiyosaki emphasize that financial education is more than important ever in this information age and he states that the rules of money has been changed.
New Rule of Money #1: Money is knowledge
Today, you do not need money to make money, all you need is good knowledge. The information age has created many young billionaires more than ever before. This includes the founder of Microsoft, Bill Gates; the founders of Google Sergey Brin and Larry Page, the founder of Yahoo, Jerry Yang etc.
New Rule of Money #2: Learn How to Use Debt
Most people regard debt is bad or evil, they do not realise that there is good debt and bad debt. The rich knows how to use good debt to leverage the banks and other people's money (OPM) to make them richer and richer.
An investment property that brings you monthly positive cash flow is good debt as you leverage the bank's money as a form of mortgage, usually 70%- 85% loan to the property value. Initial Public Offering (IPO) is a good example of using OPM by the corporations.
Robert Kiyosaki says that today debt is money; if you are poor, one of the reasons is that you do not have enough good debt.
New Rule of Money #3: Learn to Control Cash Flow
If you want to financial freedom and one day become rich, then you need to learn how to read numbers and need to know how to control your personal cash flow and monitor the global flow of jobs, people and money.
New Rule of Money #4: Prepare for Bad Times and You will Only Know Good Times
By increasing your financial IQ, you will be able to see the future better and therefore you can prepare for the worst.
New Rule of Money #5: The Need for Speed
Today, we are operating digital money, we can transact money online at the speed of light. Many people are struggling financially because they are simply too slow- they cannot make money faster than the banks are printing.
New Rule of Money #6: Learn the Language of Money
Rich dad said when it comes to money 90/10 rule applies. 90% of the world's wealth is controlled by 10% of the population. Most people are financially struggling because they have never been taught the language of money.
By learning the words of money you have a better chance not to be fooled by the false prophets of money - save money, buy a house, get out of debt and invest for the long term in well-diversified portfolio of mutual funds.
Inflation is rising fast and the banks are printing money even faster! If you saved £100 last year, then it is only worth £94 this year.
New Rule of Money #7: Life is a Team Sport, Choose Your Team Carefully
In this world, no one has achieved great wealth without the help, collaboration and assistance of others.
New Rule of Money #8: Since Money is Becoming Worth-less and Less, Learn to Print Your Own Money
Today, the world is in a crisis of financial ignorance and incompetence. Our wealth is being legally stolen via taxes, debt, inflation, and retirement accounts. Since it is the lack of financial education that got us into this crisis, it is financial education can lead us out.
Robert Kiyosaki believes that we have been financially brain washed and the rich have been benefiting most. It is time for us to increase our financial education by learning the language of money.
Learn to create, build and buy your own assets and the secret of success is to sell. The rich always have the products and services that they can sell to you, while the majority of the middle and poor classes often have nothing to sell.
Ask yourself now: "Do I have any products or services to sell to make any profits?" Remember you can not sell your jobs!
The more people you serve the richer you will become!
The rich want us to become good employees, so we can work hard for them. Then the government can get paid in the form of tax and our pensions are invested in the stock markets by purchasing the shares of multinational corporations, which makes the rich becoming even richer.
Robert Kiyosaki emphasize that financial education is more than important ever in this information age and he states that the rules of money has been changed.
New Rule of Money #1: Money is knowledge
Today, you do not need money to make money, all you need is good knowledge. The information age has created many young billionaires more than ever before. This includes the founder of Microsoft, Bill Gates; the founders of Google Sergey Brin and Larry Page, the founder of Yahoo, Jerry Yang etc.
New Rule of Money #2: Learn How to Use Debt
Most people regard debt is bad or evil, they do not realise that there is good debt and bad debt. The rich knows how to use good debt to leverage the banks and other people's money (OPM) to make them richer and richer.
An investment property that brings you monthly positive cash flow is good debt as you leverage the bank's money as a form of mortgage, usually 70%- 85% loan to the property value. Initial Public Offering (IPO) is a good example of using OPM by the corporations.
Robert Kiyosaki says that today debt is money; if you are poor, one of the reasons is that you do not have enough good debt.
New Rule of Money #3: Learn to Control Cash Flow
If you want to financial freedom and one day become rich, then you need to learn how to read numbers and need to know how to control your personal cash flow and monitor the global flow of jobs, people and money.
New Rule of Money #4: Prepare for Bad Times and You will Only Know Good Times
By increasing your financial IQ, you will be able to see the future better and therefore you can prepare for the worst.
New Rule of Money #5: The Need for Speed
Today, we are operating digital money, we can transact money online at the speed of light. Many people are struggling financially because they are simply too slow- they cannot make money faster than the banks are printing.
New Rule of Money #6: Learn the Language of Money
Rich dad said when it comes to money 90/10 rule applies. 90% of the world's wealth is controlled by 10% of the population. Most people are financially struggling because they have never been taught the language of money.
By learning the words of money you have a better chance not to be fooled by the false prophets of money - save money, buy a house, get out of debt and invest for the long term in well-diversified portfolio of mutual funds.
Inflation is rising fast and the banks are printing money even faster! If you saved £100 last year, then it is only worth £94 this year.
New Rule of Money #7: Life is a Team Sport, Choose Your Team Carefully
In this world, no one has achieved great wealth without the help, collaboration and assistance of others.
New Rule of Money #8: Since Money is Becoming Worth-less and Less, Learn to Print Your Own Money
Today, the world is in a crisis of financial ignorance and incompetence. Our wealth is being legally stolen via taxes, debt, inflation, and retirement accounts. Since it is the lack of financial education that got us into this crisis, it is financial education can lead us out.
Robert Kiyosaki believes that we have been financially brain washed and the rich have been benefiting most. It is time for us to increase our financial education by learning the language of money.
Learn to create, build and buy your own assets and the secret of success is to sell. The rich always have the products and services that they can sell to you, while the majority of the middle and poor classes often have nothing to sell.
Ask yourself now: "Do I have any products or services to sell to make any profits?" Remember you can not sell your jobs!
The more people you serve the richer you will become!
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