Kiyosaki's pointers on avoiding this trap...
So why do men hurry to work each day ? Is it that they really enjoy what they do ?
Most people in Life are driven by two emotions- Fear and Desire. Fear of going without money and the desire of all the wonderful things money can buy!
So the pattern is set...go to work, pay bills, go to work.You are trapped forever and as your income increases so does your spending...you are forver stuck in this Rat race. To avoid life pushing you into this trap its important not to react when you should actually be thinking.
Job is only a short term answer to a long term problem. So how does one stop working for money and start making it work for you instead?
Confront your fear and don't cave in to your desire. Use your mind to see oppurtunities that you would miss if you are only looking for money and security in life. The moment you start seeing beyond these two things you will start seeing oppurtunities and you will avoid one of life's biggest trap.
Rich people buy assets.
Poor people only have expenses.
The middle class have liabilities they think are assets.
So in order to strike gold you need to know the difference between an asset and a liability.
An asset is something that generates income for you while a liability burns a hole in your pocket( mortgages, credit cars). Earning a lot of money is not half as important as what you do with this money when it comes into your hands.
Most people think that their home is their biggest investment but actually its a liability so ideally you should put in money in your asset column early on( stocks , bonds, mutula funds, real estate).
So how do you know if you are wealthy?
One way to find that out would be to calculate how long you can survive if you were to retire today? This depends on how much income is generated by your assets as now you no longer have a fixed paycheck coming in each month. Most of us are totally dependent on our paycheck to meet our expenses. We are loaded with liabilities and don't have income generating assets.
So invest in assets and cut down the expenses and liabilities.
There is a difference between one's profession and one's business. Most of us work hard to make others rich . If you want to get rich then mind your own business. Your profession should get you income that you can use to build up your business. Focus should be on the asset column and not the income statement.
We are scared of taking risks for we are fiscally conservative and that is because we are financially illiterate.That si why the stress should be on learning how to interpret numbers only then can we take calculated risks.
Its the heart afraid of breaking that never learns to love ...
Wednesday 16 April 2008
Sunday 13 April 2008
Rich Dad Poor Dad
Robert T Kiyosaki
Does school teach children for the real world?What is it the rich teach their children about money that the poor and middle class do not!
Poor Dad: The love of money is the root of all evil.
Rich Dad: The lack of money is the root of all evil.
Poor Dad: I can't afford it.
Rich Dad: How can I afford It?
Poor Dad: Rich should pay more in taxes to take care of those less fortunate.
Rich Dad: Taxes punish those who produce and reward those who don't produce.
Poor Dad: Our home is our largest investment and our greatest asset.
Rich Dad: My house is a liability and if your house is your largest investment , you are in trouble.
Poor Dad: "I'm not interested in money" or "money doesn't matter."
Rich Dad: Money is power.
I shall be telling this with a sigh
Somewhere ages and ages hence;
Two roads diverged in a wood , and I-
I took the one less traveled by,
And that has made all the difference.
Robert Frost( 1916)
Money is a form of power. But what is more powerful is financial education.The reason why people struggle financially is because they spent years in school but learned nothing about money , so they spend their lives working for money.Rich don't work for money, money works for them.
This just about sums up the first chapter of Kiyosaki's bestseller.Born and raised in Hawaii he is a fourth -generation Japanese American. Concerned about the growing gap between the have and have nots, he created the board game Cashflow.
more to come....
Does school teach children for the real world?What is it the rich teach their children about money that the poor and middle class do not!
Poor Dad: The love of money is the root of all evil.
Rich Dad: The lack of money is the root of all evil.
Poor Dad: I can't afford it.
Rich Dad: How can I afford It?
Poor Dad: Rich should pay more in taxes to take care of those less fortunate.
Rich Dad: Taxes punish those who produce and reward those who don't produce.
Poor Dad: Our home is our largest investment and our greatest asset.
Rich Dad: My house is a liability and if your house is your largest investment , you are in trouble.
Poor Dad: "I'm not interested in money" or "money doesn't matter."
Rich Dad: Money is power.
I shall be telling this with a sigh
Somewhere ages and ages hence;
Two roads diverged in a wood , and I-
I took the one less traveled by,
And that has made all the difference.
Robert Frost( 1916)
Money is a form of power. But what is more powerful is financial education.The reason why people struggle financially is because they spent years in school but learned nothing about money , so they spend their lives working for money.Rich don't work for money, money works for them.
This just about sums up the first chapter of Kiyosaki's bestseller.Born and raised in Hawaii he is a fourth -generation Japanese American. Concerned about the growing gap between the have and have nots, he created the board game Cashflow.
more to come....
Friday 11 April 2008
BOOK LOVER
By Mary Kuafman and Karen Mack
The book took me by surprise . I had simply picked it up for the want of trying a new author.Its and easy read- chick lit with a literary edge.
Anybody who has ever taken refuge in the fictional world to escape the real world would be able to empathise and sympathise with the main character in the novel.
The book is about Dora , a 30 something female is separated from her husband . As a child she had to deal with an alcoholic motehr and a father who was present more often than not in their lives. She gives up her job to look after her ailing father and can never get back on track after his demise. She is leading an aimless life and whenever the real world becomes too harsh for her to deal with , she locks her up in her bathroom with her books for days on end. Somewhere along the way she finds herself falling in love with Fred a book lover like but he is much too self centred and practical and eventually she realises he is not her knight in the shining armour.
The plot is average but it has been dealt with intelligenty . What i liked about the book is the quotation given at the beginning of every chapter . Also the literary references scattered throughout the book are interesting. At the end there is a list of books and authors one can explore when one has time and leisure.
If everyone was to hang out their worries on a line; you would still pick your own: thats a one liner from the book i love quoting whenever i get a chance!
The book took me by surprise . I had simply picked it up for the want of trying a new author.Its and easy read- chick lit with a literary edge.
Anybody who has ever taken refuge in the fictional world to escape the real world would be able to empathise and sympathise with the main character in the novel.
The book is about Dora , a 30 something female is separated from her husband . As a child she had to deal with an alcoholic motehr and a father who was present more often than not in their lives. She gives up her job to look after her ailing father and can never get back on track after his demise. She is leading an aimless life and whenever the real world becomes too harsh for her to deal with , she locks her up in her bathroom with her books for days on end. Somewhere along the way she finds herself falling in love with Fred a book lover like but he is much too self centred and practical and eventually she realises he is not her knight in the shining armour.
The plot is average but it has been dealt with intelligenty . What i liked about the book is the quotation given at the beginning of every chapter . Also the literary references scattered throughout the book are interesting. At the end there is a list of books and authors one can explore when one has time and leisure.
If everyone was to hang out their worries on a line; you would still pick your own: thats a one liner from the book i love quoting whenever i get a chance!
Saturday 29 March 2008
THE GIRLS
Recently i read THE GIRLS by LORI LANSEN. Rose and Ruby are craniopagus conjoined twins ( joined by their heads). Written in a biographical form , what sets the story apart is that its not immersed in self pity , that its a very optimistic book, that you feel inspired when you read the book.
The object of their life is to reach their 30th birthday that would make them the longest living craniopagus twins in history. The purpose of Rose's life is to complete her book( or rather her biography ) because she believes that a work of art ,like a book or a painting, is what can make one immortal. She has little time left to accomplish what she has started!
This book is what inspired me to write my first blog . So this one's for my precious little daughter who is all of four - an interactive , expressive and a healthy child . We are so busy all our lives trying to get to some place , trying to make a mark that we forget where we are at present.
To The One Who Controls My Destiny
Well! my present could have been better or worse but it is as it is and thank you for it!
I
The object of their life is to reach their 30th birthday that would make them the longest living craniopagus twins in history. The purpose of Rose's life is to complete her book( or rather her biography ) because she believes that a work of art ,like a book or a painting, is what can make one immortal. She has little time left to accomplish what she has started!
This book is what inspired me to write my first blog . So this one's for my precious little daughter who is all of four - an interactive , expressive and a healthy child . We are so busy all our lives trying to get to some place , trying to make a mark that we forget where we are at present.
To The One Who Controls My Destiny
Well! my present could have been better or worse but it is as it is and thank you for it!
I
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