Rich Dad Poor Dad PDF & Summary: A Beginner’s Guide to Investing in Real Estate

Have you read the Rich Dad Poor Dad book or are you thinking about reading it? In this review, I will discuss my thoughts on this book and whether it is worth your time to read it.

Are you ready to start making changes?

Are you ready to start making a difference in your life and others?

It all starts with education.

Education is the new currency. 

You are educated on various subjects in school and college but not really on business or finances. 

You are told to save your money and live below your means.  I’m not against saving money but living below your means is seldom fun.  It may be a necessary sacrifice in some situations, but it is not the only solution.

And this book offers some insight on that.

Affiliate Disclaimer: I earn commission (get paid) if you click on the links and purchase a product below. My earnings do not impact the price you pay.



Rich Dad Poor Dad Review

Robert Kiyosaki’s “Rich Dad Poor Dad” is a personal finance book that compares the financial mindsets and strategies of two types of people; one who goes with the flow and tries to make income from jobs and employment. And another who looks to make money his way through investing and saving. The book teaches readers how to think differently about money, assets, liabilities, and financial freedom.

The book emphasizes financial education’s role in achieving financial success and freedom. As per the book, continuous learning and self-improvement in financial education will help achieve financial goals and independence.

Rich Dad Poor Dad Summary of the Book

Below, let’s see what the book discusses and figure out ways that may help us in financial decision-making. 

Background of the Author 

Robert Kiyosaki is an American businessman, author, and speaker. With over 26 books written by him on personal finance, Kiyosaki solidifies himself as an advocate of financial education and entrepreneurship. “The Rich Dad series” is a part of this endeavour toward financial education and personal finance. 

Overview of the two main characters: Rich Dad and Poor Dad.

The two characters in the book, Rich Dad and Poor Dad, represent two contrasting ways of earning money and managing your finances. Poor Dad is Kiyosaki’s own father, who works as a government employee. He is a hard worker but struggles financially.

On the other hand, Rich Dad is Kiyosaki’s best friend’s father, who is depicted as a successful entrepreneur and businessman. He invests money to make more money. The two characters portray the importance of making smart money decisions and learning finance well.

Key themes and lessons from the book:

The book argues on some points that determine a person’s financial growth. The arguments and their brief explanations are as follows:

1. The difference between assets and liabilities

The book states that assets make you money and increase your value over time. But liabilities make you take money out of your pocket periodically. 

The author suggests acquiring assets like passive income options or rentals that will add value for us in the long run and reduce liabilities like a car with monthly payments or a house with a mortgage, the flow out cash.

2. The importance of financial literacy

The author explains that financial literacy is pivotal in achieving financial freedom. He argues that many people need to be more financially literate to reduce the lack of knowledge that creates financial struggles.

3. The power of passive income

The author promotes building your own business besides a job, having a stable monthly income source, and investing in assets through the business until your assets eventually become your primary income source. Your business initially would be your side hustle or passive income and grows into a long-term source of income. 

4. The mindset of the rich versus the poor

Kiyosaki argues that rich people hold a different view of money management than poor people. To the author, rich people emphasize acquiring assets and enhancing wealth, but the poor focus on working for someone else to ensure a stable monthly income.

5. The role of education in achieving financial success

Here, the author argues that having a stable monthly income, fearing losing money through business, will undoubtedly cost you money when you receive an increase in your salary.  Because, you will feel inclined to “buy” something once you receive a pay raise. And it may be something as expensive as a car, leading to cash outflow or a decrease in money. 

The author advises investing that extra money into something that builds wealth, like stocks or bonds. These may have risks, but they also have the potential to make money for you. 

The above scenario shows why he believes traditional education does not financially educate you. It helps if you have educated yourself about finance by learning about investing and managing money. This practice will help you achieve financial independence.

Analysis of the Book: Rich Dad Poor Dad Review

Following, you can see the book’s critical analysis that shows how you can benefit your financial well-being and stability. 

The book’s strengths and weaknesses

Like any piece of writing, this book has its positives and negatives: 

The Positives:

The Negatives:

  1. The book argues financial growth and well-being with unique points contradictory to common financial knowledge and practices. 
  2. The author encourages you to reduce spending and expenses as much as possible and invest more to turn your income into profitable assets. 
  3. The book highlights the benefits of real estate investing compared to other assets.
  4. The author emphasizes the power of continuous learning
  1. The work presents unique success examples that you may find difficult to repeat in real life. 
  2. Several sections of the book lack adequate details, making applying the concepts difficult. 
  3. The book discourages you from earning through full-time employment in the long run or going with the flow.

Evaluation of the book’s relevance and Impact

The book feels quite relevant if viewed from a “results” perspective. Investing in assets and cutting down on unwanted expenses help you create future sources of income. However, not everyone can save and invest their current income in assets. So demeaning common ways of earning money may not be the best way forward. 

Examination of the author’s credibility and background

Robert Kiyosaki, is best known for simplifying finance and investing ideas to his readers and helping them become more financially literate and independent. 

He talks about making money and sustaining income in nontraditional ways, primarily through investing. This book came out in 1997, preceding 26 other books. 

Robert and his wife, Kim, developed and launched the CASHFLOW board game in 1996 to teach people about money and investing creatively and excitingly. They also established The Rich Dad Company in 1997.

Application of the Book’s Lessons

Here, you can learn about the book’s connection to real life.

Strategies for applying the book’s lessons in real life

The book’s themes apply more than ever in today’s unstable world of employment and business. 

As the pandemic impacted jobs worldwide, and as more economic instabilities and disruptive technologies put people out of jobs, stable sources of income feel less prevalent. 

So, you can invest or enter freelance jobs or real estate businesses like property investing that give you a side flow of income. This strategy ensures you have an income you can build on if you lose your job. 

Steps for building wealth and achieving financial freedom

As per the book, there are ten steps you can apply to gain financial freedom:

  1. Have a purpose, driven by passion, to earn money in the long run.
  2. Choose your actions carefully and plan daily
  3. Choose your friends carefully by associating with those having common interests and the courage to move forward.
  4. Become a continuous learner and use learned knowledge to make money.
  5. Become self-disciplined first and set priorities among people, time, and investments or income.
  6. Select competent people for your team and remunerate them accordingly. 
  7. Focus first on getting back your invested amount, then the return on investment (or profit).
  8. Buy luxuries from money generated by assets you own and continue the cycle to create more cash. 
  9. Follow a particular person or principle to set your path forward.
  10. Understand that if you want something, you must give up on something else. 

Common pitfalls to avoid on the path to financial success

The book also suggests you avoid the following:


The higher risk you take, the bigger returns you gain. You can see that the businesses that make the most profits usually have the most risks involved. So, avoid the fear of losing money at all costs.


Avoiding self-doubt helps to succeed. Many people discourage you on your path to success. Assess their words with your best knowledge but advance to attain your goal accordingly. 


It would be best if you avoided procrastination and laziness at all costs. Don’t fall behind the “rat race,” but make sure you have refreshment time also. 

Bad Habits

We suggest you cut down on habits that kill productivity. Stop consuming things that don’t create value, like watching excessive, unnecessary movies or playing games to enjoy the “extra” hours. 


You should never undervalue the knowledge of others you don’t know. You never know how that know-how might benefit you. For instance, there is no wrong in applying an investment technique that another person knows but you don’t. That method may have some different value that expedites your work. 

By asking yourself the tougher questions, it can open you up to receive new information and possibly change the way you view things.

If you plan on being successful in life, it’s not just about making money.  It’s about being educated and knowing how to make and hold on to that money. 

For instance, think about how much money you lose each year from taxes. You may be wondering…what do you mean? I get money back for taxes.

That may be true, but most people overpay in taxes during the year and that is why they get money back. That’s giving away a tax free loan that you could have invested over the year.

Do you just accept that each year or is there something you can do about it? 

Below is a link to my book list so you can find out yourself.

You can get a copy of the book now from my list of books for entrepreneurs.

I recommend you read this book if you haven’t already. Regardless of what anyone says in a review, it is best to explore the information yourself and make your determination about whether the advice is worth following or not.

Personally, I like to revisit this book from time to time because I always feel like I find new advice every time I read it. Maybe I heard it before and just forgot. Or maybe I wasn’t at a point in my life where the lesson made sense or applied to me.

Also, while you’re reading or when you finish reading this book, you can go to The Rich Dad website.  Here you can sign up for free and it will give you access to play his Cashflow game. 

You may think it’s a kid’s game but you’ll be surprised how much you can learn. 

Plus, you’ll be able to test what you learned from the book. 

I enjoyed the interactive version of the game better than the classic version. I remember years ago, I would play whenever I found time. And of course, whenever I got cocky, I would crash and burn.

If you are looking for advice for the current state of the economy, Market Watch shared Robert Kiyosaki’s recent advice: “Don’t save your money!”

In this case, it’s not so cut and dry. He’s talking about the government giving everyone free money. But he doesn’t mean…don’t save it and spend it. He means…don’t save it, invest it.

His advice often catches you off guard, but there is usually more to it.

Enjoy!  I hope you found this Rich Dad Poor Dad review helpful.  If you haven’t read the book, I recommend you do.

In your journey to success, you may also find the following resources helpful.

Download Rich Dad Poor Dad PDF

Recommended Reading List

Resources Membership Site


Robert Kiyosaki’s “Rich Dad Poor Dad” may not be everyone’s “cup of tea.” Like all writing pieces, it has its good sides and questionable content. But if you want to expedite your move as an investor, especially in real estate, or if you want to gain financial literacy and freedom, this book could be the game-changer for you. So, do give it a try.

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