Rich Dad Poor Dad Book Review

I am always a little nervous about copyright laws, so I hope that I am able to give credit where credit is due. I recently finished reading "Rich Dad Poor Dad" by Robert Kiyosaki. I found the book very entertaining, honest, and educational and recommend it for anyone who wants a good starting point for building individual wealth. There were many parts and sections of the book that I particularly enjoyed and hope to give them justice throughout this post.

Robert discusses the difference between the upper, middle, and lower classes by how their cash flows through (caution: accounting words up ahead!) their balance sheets and their income statements. His observation was this:

• Low class individuals have only income (from work, welfare, or other sources of income) and expenses (rent, food, utilities, etc.). Their Income pays for their expenses which leaves them with hardly any money left over.

• Middle class individuals have income, expenses, and liabilities (car payments, mortgage, insurance, anything past "needs"). They earn a little bit more than lower class individuals and therefore purchase more things. Their cash flow is as follows: Income pays expenses and liabilities with not much left over.

• Upper class individuals, in his opinion, have income, expenses, liabilities, and assets. The asset portion is what really separates them from the rest of us. Robert defines an asset as something that generates money. Thus, the difference is that the rich obtain assets which pay for their expenses and liabilities.

This was quite the awakening for me, and I am grateful to Robert for his shared wisdom. One of my new goals is to acquire enough assets to pay my way through college.

I have plans to start investing money in the stock market as a good starting point. I have also been looking at an investment rental property to generate some extra income. I have started reading "Beating the Street" by Peter Lynch so I can understand how to invest and I will be sure to give updates as I go!

My Story!

Well, I thought it would be appropriate to give a little background information about who I am and what I hope to accomplish! I am a 23 year old working college student. I am married to an amazing person who supports me in just about everything I do. I rent an apartment, work 8 to 5, budget my monthly expenses, and read a lot of books (mostly business related).

I have been brought up hearing, "Go to school, get a good job, save your money, retire early." I have nothing against this saying at all. My education will be the best investment I ever make. There is no substitute for a satisfying career and hard work. I want to retire early and travel with my wife, take care of my parents and in-laws and teach college courses (is that really too much to ask?!?). I do feel, however, that I will need to do more to achieve my financial goals. This blog will hopefully help me achieve that purpose. My plan is to document what I learn and what I put into action as I go throughout this process. I will also ask for help along the way and rely on wisdom from outside sources to guide and direct me.

Let the journey begin!