Many look for job security.
However, it is better to aim for Financial security.
Showing posts with label rich dad. Show all posts
Showing posts with label rich dad. Show all posts
Tuesday, 17 September 2013
Your Guide to Wealth - The Importance of Financial Education (Rich Dad, Poor Dad)
Many look for job security.
However, it is better to aim for Financial security.
Thursday, 18 October 2012
The Author Of The 'Rich Dad, Poor Dad' Books Has Filed For Chapter 7 Bankruptcy
Jill Krasny
Oct. 11, 2012
Robert Kiyosaki, author of the bestselling "Rich Dad, Poor Dad" series, has filed for Chapter 7 bankruptcy protection after losing a nearly $24 million court judgment to The Learning Annex, The New York Post reports.
As one of Kiyosaki's earliest backers, The Learning Annex was responsible for arranging the speaking engagements and platform that led to his massive success.
But apparently the fame went to his head because according to court papers obtained by the Post, Kiyosaki, who published his first "Rich Dad" book in 1994, never paid the Annex its rightful share. Said founder and chairman Bill Zanker: "Oprah believed in him, and Will Smith believed in him, but he didn't keep his promise to us."
Kiyosaki's Rich Global company was ordered by a U.S. judge in April to cough up $23,687,957.21, which in turn led him to file for corporate bankruptcy on Aug. 20.
Despite the blow to the personal finance guru's reputation, Kiyosaki probably won't feel the pinch in his wallet. Forbes pegs his net worth around a cool $80 million, and Kiyosaki, who's written 11 books, operates as many as ten other companies. Rich Global was said to be worth a few million when it went under.
"Rich Dad, Poor Dad" became an overnight sensation when Kiyosaki made the rounds on feel-good daytime TV like "Oprah" and aired his speaking programs on PBS. Cash-strapped consumers identified with his inspirational story of learning how to manage money from one father who struck it big and another who died penniless and alone.
Of course, not everyone bought into the schtick. As Helaine Olen's wrote in Forbes Thursday, the guru's "tips ran the gamut from ridiculous to illegal and downright hurtful and included advocating for insider trading, arguing for the purchase of multiple real estate properties with little or no money down and telling followers they could purchase stocks on margin via unfunded brokerage accounts.
Read more: http://www.businessinsider.com/the-author-of-the-rich-dad-poor-dad-books-has-filed-for-chapter-7-bankruptcy-2012-10#ixzz29bQ4Ttcz
Thursday, 19 July 2012
Sunday, 17 May 2009
The Importance of Financial Education
3 Types of Education
Academic
Professional
Financial
Financial education is crucial and is seldom emphasized.
To be successful today, we need all 3.
Read:
Robert Kiyosaki
Rich Dad Website
Click the video http://www.richdad.com/
Rich Dad transformation
Knowledge - the new money. Its all about financial education. ESBI.
3 Types of Education
Academic, Professional, and Financial. Our school system does not teach us much about money. The lack of financial education is the reason for the big gap between the rich and the poor. You are responsible for your own financial education. 4 green houses = 1 red hotel = Monopoly game.
The CASHFLOW Quadrant
4 types of people in the world of business or money. E=Employee, S=Small business, Self Employed, B= Big Business or Enterpreneur, I= Investor. "Go to school and get a job." = Employee. "Doctor, specialist, small business person" = Small business or Self employed. You can get rich in all 4 quadrants. Rich Dad aims to teach you to move from the E and S to B and I.
Savers are Losers
More important to be an investor. E.g. invest in oil, gold, rental real estate and learn to be an enterpreneur or an investor.
Assets and Liabilities.
An asset has positive cashflow (Income > Expenses). Liability has negative cashflow and takes money from your pocket. A house can both be an asset or liability depending on the cashflow it generates. Therefore a house may not be an asset. A car is a liability. Don't call a liability an asset. Acquire asset, not liability.
Good Debt vs. Bad Debt
Debt is a 4 letter word. "Get out of debt." Good debt makes you rich and bad debt makes you poor. Mortgage = engage until death. To be rich, improve your financial IQ, engage good debt. Good debt used to acquire assets that generate positive cashflows. Bad debt used to acquire liability with negative cashflows.
Live Above Your Means
Live below your means, your spirit dies, especially if you are poor. Most people has a job and can only work so hard. Our goal is to increase Asset to increase Income or cashflow. The way to get rich is to buy asset first and liability later. Invest in an asset and the money from that investment pays off your liability. After completing this payment, one still has a positive cashflow generating asset.
3 Types of Income
Earned, Portfolio and Passive. Earned income = job. Portfolio income = Capital Gain. Passive income comes in on a regular basis, from interests, dividends, real estates and businesses. Taxes are your highest expense and is highest in earned incomes. Those in the E or I segment have earned income. Portfolio and passive income are taxed less. Work hard for Portfolio and Passive Income. Learn to be a B or I.
Investing Isn't Risky
What is risky is lack of financial intelligence or education (still your best asset). For sophisticated investors (whether fundamental or technical), risk is reduced through using insurance (put, stop, etc.) to counter the risk of volatility. Taking advice from those with no investing knowledge is risky.
Life's 4 Quarters
10 years quarters from age 25 years to 65 years. 1st Quarter = age 25 to 35 years. 2nd Quarter = age 36 to 45 years. Age 45 - half time. 3rd Quarter = age 46 to 55 years. 4th Quarter = age 56 to 65 years. At 65 - Overtime. After that - Out -of- time. Aim to retire in the 2nd Quarter!!!!! At which age will you win the game of money? Some are lucky, they were born rich. Work hard, save money, invest in mutual funds and 401-K may not be enough to retire early. You will have to work hard all your life. Why not retire young and enjoy life? Why retire old and continue to work overtime and out-of-time?
The CASHFLOW Game
2 tracks - the rat race and the fast track. Most people are stuck in the rat race. Get out of the rat race and get onto the fast track. Get the money to work for you. There are 4 levels of investing played in the game: small deals, big deals, fast track and sophisticated investing (or Cash Flow 202). You have to be a rich person to invest in the fast track. To invest in the fast track, one has to be rich and financially educated. The other part of this CASHFLOW Game is a financial statement. A financial statement is very important aspect of your education. Your banker never ask you for your report card, but your financial statement. This game puts investing and accounting together. Have fun, learn from mistakes through the game. Teach other people. The more you teach, the more you learn. Make mistakes, take risk, have fun and get rich. The "poor dad" is poor because he is terrified of making mistakes.
The Cone of Learning
Could the CASHFLOW Game enhance the knowledge of finance and business? Passive learning (reading, lecture) vs Active learning (doing the real thing, just do it, play games). Best way to learn is to do the real thing. 2nd best way is to stimulate the real experience. CASHFLOW Games 101 and 202 fulfill the active learning role. Beware, most financial advisors are sales people. Play the game over and over again before going into the real thing.
IT'S TIME TO GET OUT OF THE RAT RACE
http://www.richdad.com/store/ProductDetail.aspx?id=1
http://cashflow.vo.llnwd.net/o16/cashflow3.swf
CashFlow 101 the E-Game: Intorduction 1
http://www.youtube.com/watch?v=4ug483UeEXs&feature=related
Cashflow Game 101
http://www.youtube.com/watch?v=uqZayPhdUJc&feature=related
Cashflow 202, Introduction
http://www.youtube.com/watch?v=-zGqzbfEvug&feature=related
Robert Kiyosaki : Cashflow Game 202, Overview!
http://www.youtube.com/watch?v=BUbODHeQd1g&feature=related
Cashflow Board Game - Rich Dad Poor Dad Game
http://www.youtube.com/watch?v=X4WcGWhjUS0&feature=related
Cashflow 101 take 1
http://www.youtube.com/watch?v=KresjGfPIW8&feature=related
Cashflow 101 take 2
http://www.youtube.com/watch?v=MHxOSr_jqqg&feature=related
Cashflow 202 take 1
http://www.youtube.com/watch?v=ZnrWo3LDi9E&feature=related
Cashflow 202 take 2
http://www.youtube.com/watch?v=RCFyxC7dQQM&feature=related
Robert Kiyosaki in Israel October 2007
http://www.youtube.com/watch?v=SMLjNjXojmc&feature=related
Academic
Professional
Financial
Financial education is crucial and is seldom emphasized.
To be successful today, we need all 3.
Read:
Robert Kiyosaki
Rich Dad Website
Click the video http://www.richdad.com/
Rich Dad transformation
Knowledge - the new money. Its all about financial education. ESBI.
3 Types of Education
Academic, Professional, and Financial. Our school system does not teach us much about money. The lack of financial education is the reason for the big gap between the rich and the poor. You are responsible for your own financial education. 4 green houses = 1 red hotel = Monopoly game.
The CASHFLOW Quadrant
4 types of people in the world of business or money. E=Employee, S=Small business, Self Employed, B= Big Business or Enterpreneur, I= Investor. "Go to school and get a job." = Employee. "Doctor, specialist, small business person" = Small business or Self employed. You can get rich in all 4 quadrants. Rich Dad aims to teach you to move from the E and S to B and I.
Savers are Losers
More important to be an investor. E.g. invest in oil, gold, rental real estate and learn to be an enterpreneur or an investor.
Assets and Liabilities.
An asset has positive cashflow (Income > Expenses). Liability has negative cashflow and takes money from your pocket. A house can both be an asset or liability depending on the cashflow it generates. Therefore a house may not be an asset. A car is a liability. Don't call a liability an asset. Acquire asset, not liability.
Good Debt vs. Bad Debt
Debt is a 4 letter word. "Get out of debt." Good debt makes you rich and bad debt makes you poor. Mortgage = engage until death. To be rich, improve your financial IQ, engage good debt. Good debt used to acquire assets that generate positive cashflows. Bad debt used to acquire liability with negative cashflows.
Live Above Your Means
Live below your means, your spirit dies, especially if you are poor. Most people has a job and can only work so hard. Our goal is to increase Asset to increase Income or cashflow. The way to get rich is to buy asset first and liability later. Invest in an asset and the money from that investment pays off your liability. After completing this payment, one still has a positive cashflow generating asset.
3 Types of Income
Earned, Portfolio and Passive. Earned income = job. Portfolio income = Capital Gain. Passive income comes in on a regular basis, from interests, dividends, real estates and businesses. Taxes are your highest expense and is highest in earned incomes. Those in the E or I segment have earned income. Portfolio and passive income are taxed less. Work hard for Portfolio and Passive Income. Learn to be a B or I.
Investing Isn't Risky
What is risky is lack of financial intelligence or education (still your best asset). For sophisticated investors (whether fundamental or technical), risk is reduced through using insurance (put, stop, etc.) to counter the risk of volatility. Taking advice from those with no investing knowledge is risky.
Life's 4 Quarters
10 years quarters from age 25 years to 65 years. 1st Quarter = age 25 to 35 years. 2nd Quarter = age 36 to 45 years. Age 45 - half time. 3rd Quarter = age 46 to 55 years. 4th Quarter = age 56 to 65 years. At 65 - Overtime. After that - Out -of- time. Aim to retire in the 2nd Quarter!!!!! At which age will you win the game of money? Some are lucky, they were born rich. Work hard, save money, invest in mutual funds and 401-K may not be enough to retire early. You will have to work hard all your life. Why not retire young and enjoy life? Why retire old and continue to work overtime and out-of-time?
The CASHFLOW Game
2 tracks - the rat race and the fast track. Most people are stuck in the rat race. Get out of the rat race and get onto the fast track. Get the money to work for you. There are 4 levels of investing played in the game: small deals, big deals, fast track and sophisticated investing (or Cash Flow 202). You have to be a rich person to invest in the fast track. To invest in the fast track, one has to be rich and financially educated. The other part of this CASHFLOW Game is a financial statement. A financial statement is very important aspect of your education. Your banker never ask you for your report card, but your financial statement. This game puts investing and accounting together. Have fun, learn from mistakes through the game. Teach other people. The more you teach, the more you learn. Make mistakes, take risk, have fun and get rich. The "poor dad" is poor because he is terrified of making mistakes.
The Cone of Learning
Could the CASHFLOW Game enhance the knowledge of finance and business? Passive learning (reading, lecture) vs Active learning (doing the real thing, just do it, play games). Best way to learn is to do the real thing. 2nd best way is to stimulate the real experience. CASHFLOW Games 101 and 202 fulfill the active learning role. Beware, most financial advisors are sales people. Play the game over and over again before going into the real thing.
IT'S TIME TO GET OUT OF THE RAT RACE
http://www.richdad.com/store/ProductDetail.aspx?id=1
http://cashflow.vo.llnwd.net/o16/cashflow3.swf
CashFlow 101 the E-Game: Intorduction 1
http://www.youtube.com/watch?v=4ug483UeEXs&feature=related
Cashflow Game 101
http://www.youtube.com/watch?v=uqZayPhdUJc&feature=related
Cashflow 202, Introduction
http://www.youtube.com/watch?v=-zGqzbfEvug&feature=related
Robert Kiyosaki : Cashflow Game 202, Overview!
http://www.youtube.com/watch?v=BUbODHeQd1g&feature=related
Cashflow Board Game - Rich Dad Poor Dad Game
http://www.youtube.com/watch?v=X4WcGWhjUS0&feature=related
Cashflow 101 take 1
http://www.youtube.com/watch?v=KresjGfPIW8&feature=related
Cashflow 101 take 2
http://www.youtube.com/watch?v=MHxOSr_jqqg&feature=related
Cashflow 202 take 1
http://www.youtube.com/watch?v=ZnrWo3LDi9E&feature=related
Cashflow 202 take 2
http://www.youtube.com/watch?v=RCFyxC7dQQM&feature=related
Robert Kiyosaki in Israel October 2007
http://www.youtube.com/watch?v=SMLjNjXojmc&feature=related
Subscribe to:
Posts (Atom)