he’s an American businessman investor
self-help author and motivational
speaker he’s the founder of the Rich Dad
company he has an estimated net worth of
80 million dollars he’s Robert Kiyosaki
and here are his top ten rules for
success so the last thing I want to talk
about debt is one of the best
investments I made because I started off
with no money like most people you know
my first investment was a little 18,000
dollar condo in Hawaii and I made a
whopping 25 dollars a month I didn’t
make much money on that deal but every
time I did an investment be it real
estate or business I got smarter because
experience makes you smarter so I
started with just a little eighteen
thousand dollar unit I broke up my
credit card I paid the two thousand
dollar down payment with my credit card
so 100% financed now most experts will
tell you that’s stupid you don’t do that
but but if you know what you’re doing
you can do it a number of years ago I
bought a 7 million dollar commercial
building I paid for it with zero down
and every month after everything is paid
for it puts about $30,000 a month income
in my pocket or three hundred sixty
thousand dollars a year for no money
down so that is the price of having a
good education or a bad education a good
education is knowing the good debt
versus bad debt and how debtors can win
if you know what you’re doing I don’t
know what the heck with people think
about money but that’s what I get a lot
of is kind of this well you know money
is not spiritual I’m just saying it’s
your attitudes you know the person’s
attitude towards money I make a lot of
money but I give a lot you know what I
mean
it goes to biblical principle the more
you give the more you receive so when I
meet somebody who’s not doesn’t have any
money it just means that they’re not
giving something yeah you know so a lot
of times there’s people who would like
more but they’re not giving anything so
they’re like my poor debt you know he
belonged to the labor unions and he
wanted to work less and get paid more
well that’s and
religious to me yeah if you want to get
paid more work more give more that’s how
I see it
discipline I had to get into was always
pay myself first even when I had no
money and would have all these bill
collectors calling me I use them as
inspiration really Oh wonder how the
government’s hounding you bill
collectors call that because I’ve been
broke so I can you understand what it
feels like to be pro when those guys are
calling you instead of you know
shrinking and going into the shell and
eating my pizza I use it as motivation
to go out and make more money so I used
it I used my bill collectors as
motivation and that’s why I paid myself
first even though sometimes I would you
pay yourself I was blunt assets I buy a
house or I’d put money in the bank and
things like this but it was just a habit
exact what you’re talking about it’s up
here it’s about changing the way you
think you said what the whole book is
about that’s because we’re our biggest
asset we’re also my biggest liability
but the common wisdom the the old
intelligence idea is to diversify and
what I believe in this is something else
is increase your financial IQ you
financial like intelligence and instead
focus and what focus stands for is this
focuses follow one course till you’re
successful and so that’s what I did in
1973 I signed up for my first real
estate investment of course and I just
did it and did it and did it you know I
bought this one little $18,000 place and
I did it again and I did it again and I
did it again until the point where I
understood it and then I went into
becoming an entrepreneur and I did it
and I did it and did it I’m still
learning and I’m still learning about
real estate and the reason 1966 I got
into oil when I went to work for the
Standard Oil Company so today I’m still
focusing I invest in oil and oil and oil
and I don’t diversify you know doesn’t
mean I don’t lose sometimes I move
sometimes I make mistakes and all this
but I just don’t buy good as with all
the bad if you’re going to be successful
as it investor do you know
diversification is good for the average
investor that’s what you want to be have
a good life but what I’d rather do is be
able to know the good ones from the bad
ones the good investments for the bad
investments the good advisers from the
bad advisors and what’s good for me
and what’s not good for you because what
I do is not necessarily what’s gonna
work for you and vice versa later so
that’s why I really think instead of
diversification or diversifying the new
rules of money say follow one course
until you’re successful and then keep
doing it because once you find that way
of being successful you can do it again
and again and again the thing is you see
when people economies go up economies go
down we might go into a depression
the worldwide like I said I Francis had
very big trouble German is okay
England’s in big trouble China’s in
trouble so if we go that we go to a
worldwide depression that might take ten
years you know to come out of it but
during these times this is the best time
I have made more money in the last three
years than ever before in my life you
know I bought five I bought five golf
courses last year on a bank that’s
impressive
well the banks was yeah Donald bought
ten they’re giving them away no one told
me yeah but you have to know how to
operate them you know yeah Etha be an
entrepreneur yeah so the bank’s just
call you up and they say that there was
this one it was five golf courses in one
hotel in the States in Arizona
yeah golf Mecca you know and but this
Japanese company had it and they asked
me if I want to buy it about five years
ago for 260 million I said does it make
sense you know it doesn’t make sense at
260 million so they told me I didn’t
know what I was doing this I’ll get by
and then lasts this one year ago this
summer the city bank called up and says
you want those golf courses and they
gave me the money to buy him just to
reiterate was in nineteen price of 1975
I came out with this product and we’re
extremely successful but we kept running
out of money but the more successful we
got the more we ran out of money so
that’s when I went to my rich dad I
tried to borrow $100,000 and he chewed
me out he says why would I invest in a
dumb product when you have a bad
business and so that’s what that’s when
he began teach me the next level of my
entrepreneurial education it’s not about
the product it’s about how to design a
business that doesn’t need me to keep
raising the capital in other words how
do you design a business that keeps
raising money automatically and today
the Rich Dad company is cash rich cash
keeps pouring in because the ability to
raise money constantly was designed into
the business and once again this is the
diagram this is the BI triangle these
are the eight pieces that make up a
business when a business is hurting
oftentimes is because one of these eight
pieces is missing
for example many times people have a
great product but their legal is really
bad or those communication systems are
bad or their audit you know their
internal order processing is a bad or
the manufacturing is bad with a
marketing spent and they don’t want to
have bad cash flow management another
part
of your financial IQs and no there’s
three types of income so if you’re gonna
say it work hard most people are working
hard for earned income and that’s what
these guys are working for the trouble
with earned income in America attacks
rates approximately fifty percent or as
warren buffett says is a shame that his
secretary pays a higher percentage in
taxes and he did although he makes
billions of dollars so when you say to a
child go to school and get a safe secure
job you telling the word for earned
income the worst type of income the
second type of income is portfolio
income and today as I speak and they’re
trying to change this it’s about 20% and
portfolio income is generally known as
capital gain so if I buy a stock for ten
dollars and I sell it for $50 the forty
dollar gain is taxed at 20% or if I buy
a house for a hundred thousand I sell it
for two hundred thousand that’s a
capital gains type of event so you pay a
lot of tax for that and the third type
of income which is the which is the best
type of income excuse me I can’t spell
again it’s passive income and this is
income that just comes in a regular
basis one of the reasons I am wealthy
and is able to retire at a young age is
because I worked hard for passive income
not earned income I don’t flip real
estate generally not portfolio income I
don’t flip stocks I want passive income
so today the new rules of money it’s
important to understand what are you
going to school to become es
entrepreneur or investor and what kind
of income you’re working hard for earned
portfolio or passive and if you know
what you’re doing
you can pay zero pratense percent taxes
legally and this can be done all over
the world people saying we can’t do it
in my country well these people can’t do
it in any country but in most parts of
the world governments need these people
so they’re always giving tax incentives
for for investors and business owners
who are for passive income so those are
some of the new rules of money you’ve
really got to know what you’re working
hard at and what kind of work are you
performing what kind of income are you
working hard for well most successful
entrepreneurs have gone bust yeah you
know Henry Ford an old-time entrepreneur
he went bust five times
okay look look at Steve Jobs yep his own
board fired him yeah you know Bill Gates
was taken before the Supreme Court for
monopolistic practices right here my
friend Donald Trump went down a billion
dollars yeah I only went down a million
so the average person is so afraid of
those losses they never get ahead
because at school they teach you if you
make a mistake or if you fail you’re a
failure well that’s not real life
a baby alarms to walk by standing up and
falling down standing up and falling
down and our school system punishes you
for making mistakes that’s why my poor
dad an academic what’s so unsuccessful
he was terrified of making mistakes but
key to raising money this is Ken McElroy
company is called MC companies Ken
McElroy’s business is in the business of
acquiring assets
that’s why his company gets richer and
richer and richer every year he adds
probably a thousand new apartment units
to his inventory so Ken’s company gets
richer and richer because MC core
company is designed to increase assets
poorly designed businesses never have
any assets they have huge liabilities I
trust that make sense to you
so Ken macro is business gets stronger
and stronger and stronger because every
year she’s increasing more assets the
Rich Dad company gets stronger and
stronger and stronger because every year
we add more assets this year we’re
adding franchising to our mix we’re also
you know rich brother rich sister the
book has come out we come out with the
real book of real estate etc etc and
every one of those products every year
continues to send money into our product
so that’s an idea of a well designed
business if you have a well designed
business I don’t care it’s for real
estate or making you know cash flow
board games if it’s well designed
investors will put give money to you
because this is a well designed business
I think the big mistake is I hear so
many people say it’s important to save
that’s ridiculous and the reason that’s
ridiculous is because what happened in
1971 is crucial in 1971 the US dollar
stop being money in 1971 the US dollar
became a currency and what that meant is
Richard Nixon in 1971 the president took
us off the gold standard that’s like
giving an alcoholic free rein to the bar
or it’s like giving somebody we can’t
control their spending unlimited credit
cards so what’s happening is all the
savers today are losers you know the
problem with 1971 is that the federal
government keeps printing money so the
value of your money keeps going down so
these people I’m saving saving saving
and if you notice as the value of the
dollar goes down prices go up so they
call this inflation you know you look at
in 1997 oil was about I think $10 a
barrel ten years later it’s about a
hundred thirty five a barrel so they say
it’s inflation but really what it is is
the dollars value coming down so savers
are getting wiped out today so just keep
saying to yourself and to your kids to
save money that is not the new rule
that’s an old rule so a very big problem
for most people to stop using the word
save and use the word hedge you’ve got
to hedge your money hedge against losses
like when I buy a stock I put a hedge
and I put a stop loss or a put inside of
it or a call whatever I’m doing I want
to stop it so today I don’t save money
I’m hedging so I in 1997 I started
investing in oil gold and silver so as a
dollar drop oil gold and silver went up
so I’m not betting so much on oil gol
and silver I’m betting against the US
dollar and that’s why this idea that
you’re going to tell people you need to
save money that’s really really an
obsolete idea because the idea went
obsolete in 1971 the US dollar in the
last few years has lost almost 80% of
his purchasing power and the prediction
is because this has happened throughout
history it happened thousands of years
ago with the Romans with the Greeks with
the Germans with the English the
Japanese and the Chinese every time
they’ve made money money into a currency
something you could print and unlimited
every time they have that has happened
the currency has gone to its true value
which is zero so I am afraid as is
economic volatility continues the savers
who were operating by the old rules of
money are just gonna get wiped out
because the purchasing power of their
dollar is going to go down so even with
a bank paying you five to ten percent
Interest you can’t keep up with the
bank’s printing money so that’s the old
rule of money is saving money and the
new rule is hedge you’ve got to be able
to see what’s coming up as something
else is coming down thank you so much
for watching I made this video because
the bee thong asked me to so if there’s
a famous entrepreneur that you want me
to profile next leave it in the comments
below and I’ll see what I can do
I’d also love to know which of Robert
Kiyosaki’s top 10 rules had the biggest
impact on you leave it in the comments
below and I’m gonna join in the
discussion thank you so much for
watching
pitch in to believe and I’ll see you
soon
self-help author and motivational
speaker he’s the founder of the Rich Dad
company he has an estimated net worth of
80 million dollars he’s Robert Kiyosaki
and here are his top ten rules for
success so the last thing I want to talk
about debt is one of the best
investments I made because I started off
with no money like most people you know
my first investment was a little 18,000
dollar condo in Hawaii and I made a
whopping 25 dollars a month I didn’t
make much money on that deal but every
time I did an investment be it real
estate or business I got smarter because
experience makes you smarter so I
started with just a little eighteen
thousand dollar unit I broke up my
credit card I paid the two thousand
dollar down payment with my credit card
so 100% financed now most experts will
tell you that’s stupid you don’t do that
but but if you know what you’re doing
you can do it a number of years ago I
bought a 7 million dollar commercial
building I paid for it with zero down
and every month after everything is paid
for it puts about $30,000 a month income
in my pocket or three hundred sixty
thousand dollars a year for no money
down so that is the price of having a
good education or a bad education a good
education is knowing the good debt
versus bad debt and how debtors can win
if you know what you’re doing I don’t
know what the heck with people think
about money but that’s what I get a lot
of is kind of this well you know money
is not spiritual I’m just saying it’s
your attitudes you know the person’s
attitude towards money I make a lot of
money but I give a lot you know what I
mean
it goes to biblical principle the more
you give the more you receive so when I
meet somebody who’s not doesn’t have any
money it just means that they’re not
giving something yeah you know so a lot
of times there’s people who would like
more but they’re not giving anything so
they’re like my poor debt you know he
belonged to the labor unions and he
wanted to work less and get paid more
well that’s and
religious to me yeah if you want to get
paid more work more give more that’s how
I see it
discipline I had to get into was always
pay myself first even when I had no
money and would have all these bill
collectors calling me I use them as
inspiration really Oh wonder how the
government’s hounding you bill
collectors call that because I’ve been
broke so I can you understand what it
feels like to be pro when those guys are
calling you instead of you know
shrinking and going into the shell and
eating my pizza I use it as motivation
to go out and make more money so I used
it I used my bill collectors as
motivation and that’s why I paid myself
first even though sometimes I would you
pay yourself I was blunt assets I buy a
house or I’d put money in the bank and
things like this but it was just a habit
exact what you’re talking about it’s up
here it’s about changing the way you
think you said what the whole book is
about that’s because we’re our biggest
asset we’re also my biggest liability
but the common wisdom the the old
intelligence idea is to diversify and
what I believe in this is something else
is increase your financial IQ you
financial like intelligence and instead
focus and what focus stands for is this
focuses follow one course till you’re
successful and so that’s what I did in
1973 I signed up for my first real
estate investment of course and I just
did it and did it and did it you know I
bought this one little $18,000 place and
I did it again and I did it again and I
did it again until the point where I
understood it and then I went into
becoming an entrepreneur and I did it
and I did it and did it I’m still
learning and I’m still learning about
real estate and the reason 1966 I got
into oil when I went to work for the
Standard Oil Company so today I’m still
focusing I invest in oil and oil and oil
and I don’t diversify you know doesn’t
mean I don’t lose sometimes I move
sometimes I make mistakes and all this
but I just don’t buy good as with all
the bad if you’re going to be successful
as it investor do you know
diversification is good for the average
investor that’s what you want to be have
a good life but what I’d rather do is be
able to know the good ones from the bad
ones the good investments for the bad
investments the good advisers from the
bad advisors and what’s good for me
and what’s not good for you because what
I do is not necessarily what’s gonna
work for you and vice versa later so
that’s why I really think instead of
diversification or diversifying the new
rules of money say follow one course
until you’re successful and then keep
doing it because once you find that way
of being successful you can do it again
and again and again the thing is you see
when people economies go up economies go
down we might go into a depression
the worldwide like I said I Francis had
very big trouble German is okay
England’s in big trouble China’s in
trouble so if we go that we go to a
worldwide depression that might take ten
years you know to come out of it but
during these times this is the best time
I have made more money in the last three
years than ever before in my life you
know I bought five I bought five golf
courses last year on a bank that’s
impressive
well the banks was yeah Donald bought
ten they’re giving them away no one told
me yeah but you have to know how to
operate them you know yeah Etha be an
entrepreneur yeah so the bank’s just
call you up and they say that there was
this one it was five golf courses in one
hotel in the States in Arizona
yeah golf Mecca you know and but this
Japanese company had it and they asked
me if I want to buy it about five years
ago for 260 million I said does it make
sense you know it doesn’t make sense at
260 million so they told me I didn’t
know what I was doing this I’ll get by
and then lasts this one year ago this
summer the city bank called up and says
you want those golf courses and they
gave me the money to buy him just to
reiterate was in nineteen price of 1975
I came out with this product and we’re
extremely successful but we kept running
out of money but the more successful we
got the more we ran out of money so
that’s when I went to my rich dad I
tried to borrow $100,000 and he chewed
me out he says why would I invest in a
dumb product when you have a bad
business and so that’s what that’s when
he began teach me the next level of my
entrepreneurial education it’s not about
the product it’s about how to design a
business that doesn’t need me to keep
raising the capital in other words how
do you design a business that keeps
raising money automatically and today
the Rich Dad company is cash rich cash
keeps pouring in because the ability to
raise money constantly was designed into
the business and once again this is the
diagram this is the BI triangle these
are the eight pieces that make up a
business when a business is hurting
oftentimes is because one of these eight
pieces is missing
for example many times people have a
great product but their legal is really
bad or those communication systems are
bad or their audit you know their
internal order processing is a bad or
the manufacturing is bad with a
marketing spent and they don’t want to
have bad cash flow management another
part
of your financial IQs and no there’s
three types of income so if you’re gonna
say it work hard most people are working
hard for earned income and that’s what
these guys are working for the trouble
with earned income in America attacks
rates approximately fifty percent or as
warren buffett says is a shame that his
secretary pays a higher percentage in
taxes and he did although he makes
billions of dollars so when you say to a
child go to school and get a safe secure
job you telling the word for earned
income the worst type of income the
second type of income is portfolio
income and today as I speak and they’re
trying to change this it’s about 20% and
portfolio income is generally known as
capital gain so if I buy a stock for ten
dollars and I sell it for $50 the forty
dollar gain is taxed at 20% or if I buy
a house for a hundred thousand I sell it
for two hundred thousand that’s a
capital gains type of event so you pay a
lot of tax for that and the third type
of income which is the which is the best
type of income excuse me I can’t spell
again it’s passive income and this is
income that just comes in a regular
basis one of the reasons I am wealthy
and is able to retire at a young age is
because I worked hard for passive income
not earned income I don’t flip real
estate generally not portfolio income I
don’t flip stocks I want passive income
so today the new rules of money it’s
important to understand what are you
going to school to become es
entrepreneur or investor and what kind
of income you’re working hard for earned
portfolio or passive and if you know
what you’re doing
you can pay zero pratense percent taxes
legally and this can be done all over
the world people saying we can’t do it
in my country well these people can’t do
it in any country but in most parts of
the world governments need these people
so they’re always giving tax incentives
for for investors and business owners
who are for passive income so those are
some of the new rules of money you’ve
really got to know what you’re working
hard at and what kind of work are you
performing what kind of income are you
working hard for well most successful
entrepreneurs have gone bust yeah you
know Henry Ford an old-time entrepreneur
he went bust five times
okay look look at Steve Jobs yep his own
board fired him yeah you know Bill Gates
was taken before the Supreme Court for
monopolistic practices right here my
friend Donald Trump went down a billion
dollars yeah I only went down a million
so the average person is so afraid of
those losses they never get ahead
because at school they teach you if you
make a mistake or if you fail you’re a
failure well that’s not real life
a baby alarms to walk by standing up and
falling down standing up and falling
down and our school system punishes you
for making mistakes that’s why my poor
dad an academic what’s so unsuccessful
he was terrified of making mistakes but
key to raising money this is Ken McElroy
company is called MC companies Ken
McElroy’s business is in the business of
acquiring assets
that’s why his company gets richer and
richer and richer every year he adds
probably a thousand new apartment units
to his inventory so Ken’s company gets
richer and richer because MC core
company is designed to increase assets
poorly designed businesses never have
any assets they have huge liabilities I
trust that make sense to you
so Ken macro is business gets stronger
and stronger and stronger because every
year she’s increasing more assets the
Rich Dad company gets stronger and
stronger and stronger because every year
we add more assets this year we’re
adding franchising to our mix we’re also
you know rich brother rich sister the
book has come out we come out with the
real book of real estate etc etc and
every one of those products every year
continues to send money into our product
so that’s an idea of a well designed
business if you have a well designed
business I don’t care it’s for real
estate or making you know cash flow
board games if it’s well designed
investors will put give money to you
because this is a well designed business
I think the big mistake is I hear so
many people say it’s important to save
that’s ridiculous and the reason that’s
ridiculous is because what happened in
1971 is crucial in 1971 the US dollar
stop being money in 1971 the US dollar
became a currency and what that meant is
Richard Nixon in 1971 the president took
us off the gold standard that’s like
giving an alcoholic free rein to the bar
or it’s like giving somebody we can’t
control their spending unlimited credit
cards so what’s happening is all the
savers today are losers you know the
problem with 1971 is that the federal
government keeps printing money so the
value of your money keeps going down so
these people I’m saving saving saving
and if you notice as the value of the
dollar goes down prices go up so they
call this inflation you know you look at
in 1997 oil was about I think $10 a
barrel ten years later it’s about a
hundred thirty five a barrel so they say
it’s inflation but really what it is is
the dollars value coming down so savers
are getting wiped out today so just keep
saying to yourself and to your kids to
save money that is not the new rule
that’s an old rule so a very big problem
for most people to stop using the word
save and use the word hedge you’ve got
to hedge your money hedge against losses
like when I buy a stock I put a hedge
and I put a stop loss or a put inside of
it or a call whatever I’m doing I want
to stop it so today I don’t save money
I’m hedging so I in 1997 I started
investing in oil gold and silver so as a
dollar drop oil gold and silver went up
so I’m not betting so much on oil gol
and silver I’m betting against the US
dollar and that’s why this idea that
you’re going to tell people you need to
save money that’s really really an
obsolete idea because the idea went
obsolete in 1971 the US dollar in the
last few years has lost almost 80% of
his purchasing power and the prediction
is because this has happened throughout
history it happened thousands of years
ago with the Romans with the Greeks with
the Germans with the English the
Japanese and the Chinese every time
they’ve made money money into a currency
something you could print and unlimited
every time they have that has happened
the currency has gone to its true value
which is zero so I am afraid as is
economic volatility continues the savers
who were operating by the old rules of
money are just gonna get wiped out
because the purchasing power of their
dollar is going to go down so even with
a bank paying you five to ten percent
Interest you can’t keep up with the
bank’s printing money so that’s the old
rule of money is saving money and the
new rule is hedge you’ve got to be able
to see what’s coming up as something
else is coming down thank you so much
for watching I made this video because
the bee thong asked me to so if there’s
a famous entrepreneur that you want me
to profile next leave it in the comments
below and I’ll see what I can do
I’d also love to know which of Robert
Kiyosaki’s top 10 rules had the biggest
impact on you leave it in the comments
below and I’m gonna join in the
discussion thank you so much for
watching
pitch in to believe and I’ll see you
soon
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