Robert Kiyosaki, author of bestseller Rich Dad Poor Dad as well as 25 others financial guide books, has spent his career working as a financial educator, entrepreneur, successful investor, real estate mogul, and motivational speaker, all while running the Rich Dad Company.
Your Financial Statement
Now you’re ready to fill out your financial statement, to see where you stand today. Transfer totals for income and expenses from the worksheets in the previous sections and refer to the explanations in the following sections. Income The most important distinction is between income you have to work to earn (earned income), and income...
Take Control
Discipline is the key. To get rich you must take control of your finances, and that requires discipline—discipline to change your habits, discipline to take a realistic look at your personal financial health, and the discipline to learn when to ask for help to realize your financial goals. If you don’t have control over your...
Your Income Worksheet
Use the spaces below to list your different forms of income and where they come from. Salary includes income from your job, including any income earned through self-employment. Interest comes primarily from savings and bank accounts. Dividends are from paper assets such as stocks and bonds. Income from real estate is from properties that have...
Your Expenses Worksheet
Ask yourself: “Where does my money go?” You may think you know, but you’ll probably be surprised when you really take a hard look at your expenses. Use credit card bills, checkbook registers, household bills, and any other tools you’ve developed to help build a monthly record of expenses. You’ll be using the totals from this...
Where Do You Stand Financially?
Before you can make a plan for real estate investing, you need to know where you stand financially. In this section, you’ll identify all your income and expenses, assets and liabilities, and learn how to start turning things around if your finances are out of control. But most importantly, you’ll learn how to fill out...
Key Definitions for This Module
Cash flow: The difference between the money that flows in as income and the money that flows out as expenses. Asset: Something that puts money in your pocket whether you work or not. Assets include real estate, businesses, and paper assets such as stocks, bonds, and mutual funds. Liability: Something that takes money out of your...
Who’s On Your Team?
You’re on this journey to make money for yourself and your family, but you should never be on the journey alone. Even the most confident and experienced real estate investor uses knowledgeable advisors — and relies on competent professional assistance to handle specific areas of expertise like accounting, property management, home inspection, and so on....
Your Best Sources of Information
Here is a list of resources to assist you in your ongoing investment education. Your goal should be to increase your real estate IQ quickly and continually, so you can always be ahead of the curve… Robert Kiyosaki Rich Dad Poor Dad Rich Dadʼs CASHFLOW Quadrant (You should have received a free copy of this...
Here are Your Real Estate Investing Choices
You can build wealth through real estate in several different ways. Below are what those choices are — and which ones rich dad recommends… 1) Cash flow or capital gains? Long-term cash flow, with the potential for future capital gains. Cash flow assumes you’re going to hold on to a property to reap the benefits...
How Real Estate Builds Wealth
Real estate investments offer both tax advantages and the advantage of appreciation, the tendency of a property to increase in value over time. But the biggest advantage is leverage — using other people’s money (OPM) to purchase an investment worth many times what it costs you to buy. Using OPM in the form of a...