Rich Dad Poor Dad is a 1997 book written by Robert T. Kiyosaki and Sharon Lechter. It advocates the importance of financial literacy (financial education), financial independence and building wealth through investing in assets, real estate investing, starting and owning businesses, as well as increasing one's financial intelligence (financial IQ).

Rich Dad Poor Dad
AuthorRobert Kiyosaki and Sharon L. Lechter
Cover artistInSync Graphic Design Studio
CountryUnited States
SeriesRich Dad Series
GenrePersonal finance
PublisherWarner Books
Publication date
April 1, 2000
Media typeHardback and paperback
Pages336 or 207
332.024 22
LC ClassHG179 .K565 2000

Rich Dad Poor Dad is written in the style of a set of parables based on Kiyosaki's life.[1] The titular "rich dad" is his best friend's father who accumulated wealth due to entrepreneurship and savvy investing, while the "poor dad" is claimed to be Kiyosaki's own father who he says worked hard all his life but never obtained financial security.

The existence of Kiyosaki's "Rich Dad" remains unproven, and there is no documentation on Kiyosaki's alleged vast reserves of wealth earned before Rich Dad Poor Dad was published.[2]

Summary edit

The story begins with the author as a young boy, observing the contrasting financial mindsets and behaviors of his two dads. His poor dad, who held a high position in education, emphasized the importance of academic success, job security, and living within one's means. On the other hand, his rich dad, a successful entrepreneur, believed in building assets, investing wisely, and acquiring financial knowledge. It describes how rich dad teaches the author and his friend finances by using actual life situations.

Throughout the book, Kiyosaki shares anecdotes and conversations that he had with his rich dad, who guided him on various aspects of money, wealth creation, and financial independence. He learns valuable lessons about the difference between assets and liabilities, the power of financial education, and the importance of taking calculated risks. Kiyosaki emphasizes the significance of acquiring assets that generate income, such as real estate and businesses, as opposed to liabilities that drain money, such as excessive consumer debt and unnecessary expenses. He introduces concepts like the cash flow quadrant, which categorizes individuals as employees, self-employed, business owners, or investors, highlighting the advantages and disadvantages of each quadrant.

The book also delves into the mindset and beliefs around money, discussing the importance of developing a positive relationship with wealth and overcoming limiting beliefs. Kiyosaki stresses the need for financial literacy and encourages readers to take control of their financial destinies by seeking out opportunities, learning from mistakes, and continuously educating themselves about money. This book was not only to help create ideas on how to become wealthier, but to motivate people to work for themselves and not for others.[3]

Reception edit

Reception edit

Rich Dad Poor Dad has sold over 32 million copies.[4] Upon its release, the book was an immediate critical and commercial success.[5] It was published in 1997 and sold very quickly all around the world. The book had a resurgence in popularity following its widespread acclaim on TikTok.[citation needed] The book has been translated to over 51 languages across 109 countries, and has been on the New York Times bestsellers list for over six years.[6] It launched a series of books and related products; and received positive reviews from some critics.[7] Actor Will Smith said he taught his son about financial independence by reading the book.[8] PBS Public Television station KOCE aired a 55-minute presentation of Kiyosaki titled "A Guide to Wealth" in 2006, which essentially summarises his Rich Dad Poor Dad book. PBS also honored him with an excellence in education award in 2005.[9] Donald Trump did a literary collaboration with Kiyosaki in 2006 called Why We Want You to Be Rich: Two Men, One Message, and a second book called Midas Touch: Why Some Entrepreneurs Get Rich — And Why Most Don't in 2011.

In 2014, he filed for bankruptcy for one of his companies.[10]

American fashion entrepreneur and investor Daymond John has called the book one of his favorites.[11]

Criticism edit

A competing financial self-help writer, John T. Reed, says, "Rich Dad, Poor Dad contains a large amount wrong advice, much bad advice, and virtually no good advice." He also states, "Rich Dad, Poor Dad is one of the dumbest financial advice books I have ever read. It contains many factual errors and numerous extremely unlikely accounts of events that supposedly occurred."[12]

Slate reviewer Rob Walker called the book full of nonsense, and said that Kiyosaki's claims were often vague, the narrative "fablelike", and that much of the book was "self-help boilerplate", noting the predictable common features of such books were present in Rich Dad, Poor Dad. He also criticizes Kiyosaki's conclusions about Americans, American culture, and Kiyosaki's methods.[1]

Publishing success edit

The book was normally self-published in 1997 before being picked up commercially to become a New York Times bestseller. It has since sold over 32 million copies and become a household name.[13] In his audio-book Choose to be Rich, Kiyosaki said that every publisher turned him down, and Barnes & Noble refused to stock the book initially. He places his focus upon talk shows and radio show appearances, of which The Oprah Winfrey Show had the biggest influence on book sales.[14] In April 2017 a 20th Anniversary edition was published and in a preface to this 20th Anniversary edition Kiyosaki asserts that an estimated 40 million copies of the book had been sold globally.[15]

References edit

  1. ^ a b Walker, Rob. "If I Were a Rich Dad", Slate, June 20, 2002.
  2. ^ Olen, Helaine (October 10, 2012). "Rich Dad, Poor Dad, Bankrupt Dad?". Forbes. Retrieved January 2, 2020.
  3. ^ Rohde, Jeff. "Rich Dad Poor Dad - a quick book summary and review". Retrieved November 9, 2023.
  4. ^ "Top Selling Personal Finance Book of All Time; Rich Dad Poor Dad NOW Available for FREE Download!". March 16, 2015. Retrieved July 30, 2017.
  5. ^ "Robert Kiyosaki Net Worth: Financial Facts About This Rich Dad and His Books". ABC Action News Tampa Bay (WFTS). March 14, 2023. Retrieved November 7, 2023.
  6. ^ "New York Times Best Selling Author of Rich Dad Poor Dad Robert Kiyo Saki". May 6, 2016. Retrieved July 30, 2017.
  7. ^ "Rich Dad, Poor Dad Review – Revisited Ten Years Later". Investor Junkie. December 29, 2011. Retrieved January 24, 2016.
  8. ^ Will Smith on making his kids read Rich Dad Poor Dad. September 24, 2010. Archived from the original on November 11, 2020. Retrieved January 24, 2016 – via YouTube.
  9. ^ "PBS Honors The Rich Dad Company with Excellence In Education Award – Press Releases on". Retrieved July 30, 2017.
  10. ^ Susanna Kim (October 12, 2012). "'Rich Dad, Poor Dad' Author Files for Bankruptcy for His Company". ABC News. Retrieved May 31, 2014.
  11. ^ "The Making of — An Interview with Daymond John". Tim Ferris. Retrieved May 31, 2014.
  12. ^ Reed, John T. (September 3, 2015). "Spare us the finance evangelists and their false profits". Retrieved September 3, 2015.
  13. ^ "GURUSPEAK : Robert Kiyosaki". The Financial Express. Retrieved January 24, 2016.
  14. ^ Choose to be Rich, Audiobook ASIN: B000CSXWXW
  15. ^ Kiyosaki, Robert T. (2017). Rich Dad, Poor Dad. Plata Publishing. p. 7. ISBN 978-1-61268-019-4.

Bibliography edit

  • Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not!, by Robert Kiyosaki and Sharon Lechter. Warner Business Books, 2000.