ROBERT T.

KIYOSAKI
with SHARON L. LECHTER

There is a need.
Does school prepare children for the real
world?

Study hard, get good grades and you will
find a high paying job with great benefits
Sharon and husband Michael
have good paying jobs and
great benefits but their
savings are not substantial
One day her kid comes and asks her
Why should I study that which Ill never
use in real life?
She gives the same advice If you dont
get good marks
Son lectures Mom.
Are the richest the most educated
people?
--Maddona
--Michael Jordan
--Bill Gates was a drop out of
HARVARD founded MICROSOFT.
Now She realised that
the world around has
changed but the advise
is still the same.
She had to look for new ways to guide
her childrens education
Sharon Lechter meets
Robert Kiyosaki

He explains what is called the
RAT RACE
An average man-child goes to school-gets
good grades-goes to college-starts
working-makes his own money
The happy couple born 35
years ago is now trapped in
the rat race. They work for
the owners of the company,
for the government paying
taxes and for the bank
paying off a mortgage and
credit cards
Then they advise their own
children to study hard, get
good grades and find a safe
job or career. The process
repeats into another hard-
working generation. This is
the rat race.
RICH DAD POOR DAD
Never finished
eighth grade
Highly educated
Intelligent
Went to Stanford,
Chicago and
North western
university on full
financial
scholarship.
The love of money is the
root of all evil

The lack of money is the
root of all evil
Stay in school, study hard

Money is not taught in
schools
I cant afford it

How can I afford it
Rich should pay more in taxes to
take care of those who are less
fortunate

Taxes punish those who produce
and reward those who dont
produce
Study hard so that you can
find a good company to work
for

Study hard so that you can
find a good company to buy
The reason I am not rich is
because I have you kids

The reason I must be rich
because I have you kids
When it comes to money,
play it safe, dont take
risks

Learn to manage risk
I am not interested in
money. Money doesnt
matter

Money is power
Get a good job and work
for money

I dont work for money,
money works for me
It was difficult for Robert to decide
whom to follow,
The rich was not yet rich, the poor was
not yet poor.
Finally at the age of 9 he made the
decision.
The Rich Dont Work For Money
Dad, can you tell me how to get
rich
The Lessons Begin..
Ill pay you 10 cents an hour
Waiting In Line On Saturday
Ill teach to you how life teaches,
Life pushes you around and you
get pushed
Why teach financial literacy?
SOME OF THE RICHEST PEOPLE DIED
BROKE!!!!!!

WHY?
Rule no.1 :KNOW THE DIFFERENCE
BETWEEN AN ASSET AND LIABILITY
INCOME
EXPENSE
ASSET LIABILITY
INCOME
EXPENSE
ASSET LIABILITY
POOR DAD RICH DAD
ASSET ASSET LIABILITY LIABILITY
HOME
HOME
CASH FLOW
MIDDLE CLASS RICH CLASS
INCOME
INCOME
EXPENSE
EXPENSE
ASSET ASSET LIABILITY
LIABILITY
WHY THE RICH GET
RICHER?
INCOME
EXPENSE
ASSET
LIABILITY
INCOME
1
EXPENSE 2
ASSET LIABILITY
3
1. YOU WORK FOR
OWNER

2. YOU WORK FOR
GOVERNMENT

3. YOU WORK FOR
THE BANK
It is very important to know that what
business are we all in.
McDonalds
What is His business?
MIND YOUR OWN BUSINESS
I am in the business of Real
Estate
Income
Work for
Owner
Work for
government
Asset
Your
Business
Liability
Work for
Bank
Expenses
For adults keep your expenses low, reduce
your liabilities and diligently build a base
of solid assets.
The rich people focus on their assets whereas
the poor or the average focus on their
income statements.
IMPORTANT DISTINCTION
BETWEEN THE RICH AND THE
POOR
Business not requiring my presence
Stocks
Bonds
Mutual Funds
Income generating Real Estates
Anything else that has value, produces
income or appreciates and has market
value
THE HISTORY OF TAXES AND THE
POWER OF CORPORATIONS
Poor Dad :-- Robin Hood is a Hero
Rich Dad :-- Robin Hood is a Crook
Lets look at the historical
perspective of taxes
Poor and Middle class pay
taxes


Rich save them


Why ?????????
Poor Dad:-- Work your way
up the corporate ladder


Rich Dad:-- Why not own
the ladder
How did Robert Kiyosaki
Quit the Rat Race ??????
What is financial IQ made
up of ?
Financial IQ should be built up from
the four broad areas of expertise:
Accounting
Investing
Understanding the Markets
Know the Law to break the Law
The Rich with
Corporations

1. Earn
2. Spend
3. Pay Taxes
People who
work for
corporations
1. Earn
2. Pay Taxes
3. Spend
THE RICH INVENT MONEY
Talent is not enough, knowledge
is required
Often in the real world it is not the
smart that get ahead but the BOLD

Why develop financial
intelligence ????????
You Have A Job
You Own A Job
You Own A System &
People Work For
You

Money Works for You
Henry Ford once said,
Thinking is the hardest work there is. That
is why so few people engage in it.
Its not so much how much you make,
but how much you keep, how hard it
works for you, and how many
generations you keep it for.
Your profit is made when you buynot
when you sell.

When the stock markets crash people
sell
When the economy does well and estate
prices grow people buy..

Why ?????



The more people you are indebted to, the
poorer you are.

The more people you have indebted to
you, the wealthier you are.

That is the game.
You bosss job is to give you a job.
Its your job to make yourself
rich.
WORK TO LEARN- DONT WORK
FOR MONEY
Robert Kiyosakis
interview
Poor Dad:-- Specialise
Rich Dad:-- Know a little about
a lot
Movie : Jerry Maguire
History and formation of trade
unions
Main management skills needed for
success
1) The management of Cash flows
2) The management of Systems
3) The management of people



OVERCOMING
OBSTACLES
Five reasons why financially literate people
do not develop abundant asset column
Fear
Cynicism
Laziness
Bad Habits
Arrogance
GETTING STARTED
Ten Steps to develop your powers
I need a reason greater than reality
I choose daily
Choose friends carefully
Master a formula and then learn a new one
Pay yourself first
Pay your brokers well
Be an Indian giver

Contd.
Pay your brokers well
Be an Indian giver
Asset buy luxuries
The need for heroes
Teach and you shall receive

STILL WANT MORE? HERE
ARE SOME TO DOS
To dos to get started
Stop doing what you are doing
Look for ideas
Find someone who has done what you want to do
Take classes and buy tapes
Why consumers will always be poor
Learn from history
Action beats inaction
Three Incomes
1. Earned Income

2. Passive Income

3. Portfolio Income
Thank You