Book review: Rich Dad Poor Dad

In a materialistic world where one is attacked constantly by billboards, advertisements and peer pressure, financial management is a big issue.

As college students who are blessed with an allowance, it is never too young to start learning to manage our money, especially if we are regularly over spending every month.

Having said that, the book Rich Dad Poor Dad by Robert Kiyosaki addresses this issue. The book is a narration of Kiyosaki who grew up with two father figures. His biological father was the poor dad, and his childhood best friend’s father Mike was the rich dad.

Both figures teach the author how to achieve financial success but with contrasting approaches. Kiyosaki compares the fathers’ principles, ideas and their financial practices. Poor dad was well educated with a lucrative job but retired poor due to ill management of his wealth. Rich dad on the other hand was not as educated but multiplied his fortune through investments and entrepreneurships.

The book is an interesting read as it avoids business jargons and substitutes it with a fictional novel of Kiyosaki’s life experience. It is written in a way that makes learning about money and finance interesting. Rather than a step-to-step guide in becoming rich, the book is made to educate readers on the fundamentals of money.

Some of the main themes in the book include identifying assets and avoiding liabilities. Kiyosaki defines an asset as something that adds money into our pockets while a liability takes out money from our pockets. Another main idea that Kiyosaki tries to convey is that we should not work for money but allow it to work for us as a means to escape the Rat Race. Last but not least his idea on saving our hard earned money is something worth understanding and applying to our daily lives.

(By Thomas Yap)