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Reading, Books, & Sheeit / Re: Book Journal
« on: November 21, 2018, 11:05:04 pm »
I read Robert Kiyosaki's book 'Why the Rich are Getting Richer'. If any of you have read Rich Dad Poor Dad you'll find that Kiyosaki tends to ramble and embellishes a lot of stories about his 'rich dad'. The gist of Why the Rich are Getting Richer is because instead of focusing on income, the rich are focusing on growing their asset base, which unlike income from a job is taxed at a much lower rate. For example if you earn 70k from a job you'll pay 14k in tax so you're left with 56k. However, if you invest in a house and it realises a capital gain of 70k in one year no tax is paid and the house also provides rental income. The capital gain of the house can then be leveraged to purchase more assets. He basically says that the poor/middle class are too busy focusing on income and consuming instead of working on accumulating assets.
The controversial part of the book is that Kiyosaki believes the approach used in "The Millionaire Next Door" of living below your means and setting aside 10% of your income for investment in stocks is now redundant. He frequently mentions that savers are losers and advocates for taking on large amounts of debt using Donald Trump as an example of master of debt.
good summary! sounds like an interesting read.
rant-tangent: lol @ taking on lots of debt tho like "trump". how do we also take on hundreds of millions of dollars from our fathers?
I dno I just think he's an awful example of pretty much anything. For the most part, I just personally hate "silverspoon" examples if we're also talking about poor/middle class in the same breath.lmao.
pc!
