RICH DAD POOR DAD FOR TEENS- THE SECRETS ABOUT MONEY-THAT YOU DON'T LEARN IN SCHOOL!", BY Robert Kiyosaki

Really close to the end of a great one.

Imagine making all this sugary goodness and losing it all in one day?! Ever wondered how people won the lottery and got massive contracts as rappers and athletes and lost it all once that period of their lives is done? I think there could be multiple reasons why they lost it all but what I believe is that there was a lack of financial intelligence and an overall understanding of how money works.

Recall that money decreases in value every single second due to inflation. If you are not doing something to protect your money against inflation such as investing in yourself (increasing your financial knowledge), stocks, businesses and real estate, umm, then what are you doing? However, in order to even reach to investments, you have to segregate your money into segments designated for certain actions.

Rich Dad spoke about having three different types of piggy banks: one for charitable giving, another for savings and another for investments.

It’s always good to give. Today, while I was reading “Don’t Sweat The Small Stuff”, by Richard Carlson, the book stressed the need for random acts of kindness. It reminds you of what really matters in life: love and support. Another reason is to give willingly without expecting anything in return as things have a way of coming right around, whether it be positive or negative and in this case it’s pretty positive indeed.

However, you have to REMEMBER: TO PAY YOURSELF FIRST. Reading these financial books made me realize how it is in the real world, since I’m a minor and I don’t pay bills…..yet lol. So, you’re telling me people prioritize paying rent, mortgage, light bill, water bill and every other expense before paying themselves, the most important person in their lives? So, if you were to die today would any of those people collecting your money care that you passed? They would just move to the next person in line to rent out that house or come for your spouse or kids to pay your debt. You are of no importance to them. Usually, people would ensure when it comes to people, they would please themselves first before anyone else but the script changes when it comes to money. For some people, even before they receive their paycheck everyone has already placed their hands in your pocket due to “an automatic payment plan”? Crazy.

I don’t know about you but if I don’t pay myself first and have no money to place in the savings and investment piggybanks, I don’t see how it would be feasible to progress in life. And if you fall short on paying off debt due to paying yourself first? That’s good, it forces you to think outside the box about ways in which you can decrease debt and/or increase income. Get uncomfortable.

Some lines that stood out to me:

• “One of the really great things about being rich is the ability to help others.”

• “It’s a wonderful feeling to see a problem and know that you have the power to donate the money to a cause or group that will help make the world a better place.”

• “A check or money order is the fastest way to send money through the mail and it’s a good record of your contribution. Charitable contributions are tax deductible, which means that the more contributions you make, the less you pay in taxes.”

• “Having money is a great opportunity to do good things in the world. Financial intelligence allows you to work or not work, to buy whatever you want without worrying about the price, or to give money away to a charity or cause that is important to you. Money without financial intelligence is money soon gone.”

• “It’s about keeping your money moving.”

• “Rich dad used to say, “Savers are losers.” He wasn’t telling us that saving money was bad. He wanted us to understand that saving money had its limitations.”

Tomorrow I’ll be posting about debt. Get ready.