7 Lessons from "Rich Dad, Poor Dad"
Thread 👇👇👇
Thread 👇👇👇
Rich Dad, Poor Dad is my favorite personal finance book, and I believe that everyone should read it.
It should be made mandatory in high schools to read this book.
It should be made mandatory in high schools to read this book.
1. Make Money Work For You
Broke people stay broke by spending all their money.
Middle-class people stay middle class by saving all their money.
Rich people stay rich by investing their money and making it work for you.
Broke people stay broke by spending all their money.
Middle-class people stay middle class by saving all their money.
Rich people stay rich by investing their money and making it work for you.
2. The Rich Own Assets
The rich build their wealth by acquiring income-producing assets.
They invest in assets like
-rental properties
-businesses
-stocks
-crypto
In 2021, you can add Cash Cow Youtube Accounts, Blogs, Amazon, Etsy and Shopify Stores to the list.
The rich build their wealth by acquiring income-producing assets.
They invest in assets like
-rental properties
-businesses
-stocks
-crypto
In 2021, you can add Cash Cow Youtube Accounts, Blogs, Amazon, Etsy and Shopify Stores to the list.
Let's say that you had $100K in Cash, and you wanted a new car.
The rich will buy a rental property with this $100K in cash that generates them monthly income.
They will use this $ to pay their monthly car payment.
Once the car is paid off, they will still have $ coming in
The rich will buy a rental property with this $100K in cash that generates them monthly income.
They will use this $ to pay their monthly car payment.
Once the car is paid off, they will still have $ coming in
3. Make Mistakes and Learn
In school, we are taught that mistakes are bad because we are punished when we make them.
However, mistakes teach the greatest lessons. The rich understand that they either win or they learn when taking risks.
In school, we are taught that mistakes are bad because we are punished when we make them.
However, mistakes teach the greatest lessons. The rich understand that they either win or they learn when taking risks.
4. Control Your Emotions
All humans have similar emotions like panic, greed, fear, laziness, arrogance, and desire.
If you can learn how to control these emotions, you will win in the long run.
Control your emotions before they control you.
All humans have similar emotions like panic, greed, fear, laziness, arrogance, and desire.
If you can learn how to control these emotions, you will win in the long run.
Control your emotions before they control you.
The hardest part about stocks are emotions.
I wrote a newsletter explaining the hardest part about investing and the best way to handle it.
mattallen.substack.com/p/the-hardest-…
I wrote a newsletter explaining the hardest part about investing and the best way to handle it.
mattallen.substack.com/p/the-hardest-…
5. What Matters Is How Much Money You Keep
Why do you think millionaires go broke? They spend more than they take in.
A high income does not mean a high net worth.
The wealthy typically save and invest 50% or more of their income.
Why do you think millionaires go broke? They spend more than they take in.
A high income does not mean a high net worth.
The wealthy typically save and invest 50% or more of their income.
6. The Ultimate Goal Is Freedom
The most important asset that we have is time.
The wealthy understand this, and they build income streams that allow them to make money while choosing to do whatever they want.
The most important asset that we have is time.
The wealthy understand this, and they build income streams that allow them to make money while choosing to do whatever they want.
7. Stay Focused On Your Goals
Life will throw a million things at you. However, the rich will stay focused on their goal of becoming financially free.
-Write your goals down
-Create A Plan
-Execute and Stay Focused
Life will throw a million things at you. However, the rich will stay focused on their goal of becoming financially free.
-Write your goals down
-Create A Plan
-Execute and Stay Focused
If you enjoyed this thread, you should sign up for my newsletter.
Every Wednesday, I discuss complex ideas about business, investing, and tech in a simple way.
Typically a 5-minute read and free, it's a no-brainer :)
Sign up:
mattallenletter.com
Every Wednesday, I discuss complex ideas about business, investing, and tech in a simple way.
Typically a 5-minute read and free, it's a no-brainer :)
Sign up:
mattallenletter.com
• • •
Missing some Tweet in this thread? You can try to
force a refresh
