Our Rating: 5/10
This relatively short read on the importance of personal finance and investing has us in a huge debate here at The Modern Piggy Bank. One of us loves it and thinks it is a great start to learning personal finance and investing while another one personally hates it and think there is no practical advice. Regardless, here is our unbiased review.
The book reads as a series of short stories littered with financial advice. It follows the authors life from childhood to adulthood and sheds some light on how he was able to build his fortune through the years. Kiyosaki will routinely talk about how he consolidated expenses while seeking investment opportunities and follow it with practical knowledge of finance and accounting that can be applied to daily life.
This book can be an amazing starting point as to how to get in the mindset of wealthy money minded individuals. The ability to look at someone’s experiences and learn how they came up with an original investment idea while minimizing personal expenses can really cause one to re-evaluate what they are doing with their own finances. Kiyosaki was born into a middle class family that was us savvy with their finances, but his mentor was a prominent businessman, so the book allows you to see what separates a money minded person from the average.
What the book lacks is sound financial advice, especially when it comes to investments. Kiyosaki built his wealth during much of the 80’s and 90’s when the regulatory landscape was a bit more lax than it is today. The book itself was published in 2001. He will talk freely about securing loans with ease and purchasing low risk financial instruments with dubiously high returns. At The Modern Piggy Bank, we both agree we would not invest in most of the strategies he talks about in the book if they were even still possible.
Overall, the book has sold more than 32 million copies, has been a New York Times bestseller, and has been endorsed by many celebrities and news outlets. On the flip side, critics will say it provides no sound financial advice and reads as a cookie cutter self help book.
We personally believe there is no such thing as a bad book. You can purchase the paperback for less than $10 on Amazon or get the book for free if you google “Rich Dad Poor Dad PDF”. Pick up a copy and let us know what you think.