Robert Kiyosaki: "You Will Never Be Poor Again" | START DOING THIS TODAY!!

They don't want what we know out there. You'll never get this on CNBC. But our school system will never tell us that, because they're part of the process. Fake money, fake teachers, fake assets. I know the game of the rich. My rich dad taught me. You know it because you're the banker. The bankers and the rich play is different than what they teach you in school. All over the world. What does school teach you about money? And the answer is nothing. And that's not a mistake. That's not an accident. I knew that. Most people know that. The way to keep the poor middle class working hard is never teach them what the rich know. So if you read Rich Dad Poor Dad, which came out in 1997, it's what the rich teach their kids about money the poor middle class do not. Poverty hurts. I mean, I don't like it. And I don't like that our academic system is so corrupt. We know the banking system is corrupt. We know politics is corrupt. But academics is just as corrupt. I mean, one thing if it's the banking and the politics, but this is where we send our children and we trust them to do the right things for them. And yet they're being not taught something so fundamental. Like you asked your dad when you were a kid, Dad, you asked your teacher, when are you going to teach us about money? And it was just never. And they'll never will. You know something. What do you know? Share it. What is financial education? It's not get a job, work hard, save money, and invest in a well-diversified portfolio of stocks, both mutual funds and ETFs. The financial industry is two things, debt and taxes. It's 1971, Nixon took the dollar off the gold standard and the US dollar became debt. And we still tell kids to go to school, get a job. Work hard, save money and get out of debt. Now who tells them to do that? That's the most ridiculous thing there is. The book starts and it says line number one, saving money will make you rich. Yeah, it never will. You know that. All taught that as kids. Why would you save it and why would you work for it if they can print it faster than you can work for it? Why do you keep saving when they're printing it? Rich don't work for money. Don't you touch that stuff. It's very subtle, right? They don't say I'm going to train you to be a worker, be the rest of your life, but they educate you in a way where that's what you come out. Right. What else was he, what was he trying to do those first few months were you working for him? What was he trying to get across to you? Because he taught you the hard way about money. And she says, if you're going to be successful in your life, you've got to find the best teachers. And a great teacher is somebody who comes from the inside, not the outside. But in school, you don't know if your instructor is for real or not. That's where the fake teacher comes from. I said, I want you to teach me about money. So it was, why should I teach you? He says, but if I teach you, you work for me for free. And I said, why for free? My dad, my poor dad went nuts. He says, if I pay you, you think like an employee. Your brains will, your brain will change. If you learn never to work for money, you'll be a rich man. This is powerful. Once you give someone a paycheck, their brain turns off. And then the promise of a pension and job security. Which is kind of a paycheck in disguise after you stop working. Give the man a fish, eats for the day. Teach him to fish, eats for a lifetime. And most poor people confuse assets for liabilities. They think their home is an asset. It's actually a liability. Right. An asset is a noun, like a house. Cash flow is a verb. So to understand if it's an asset or liability, it takes a noun plus verb. So if the cash is flowing out of your pocket, it's a liability. If the cash is flowing into your pocket, asset, verb, it's an asset. So I own 7,000 rental properties. Those are assets. Every month, the cash flows in. Whereas many people have the big house on the hill and the cash is flowing out. Right. And they're going broke. Right. It's like a frame of mind. The other thing the poor don't understand is the number one expense for most people is taxes. And yet we don't even see it. Isn't that weird? You walk around and you look at the paycheck and say, ah, that doesn't seem right. And you don't realize that the government's got a huge hand in your pocket. And you are doing nothing to minimize that. Again, this is what's very different about the rich and the poor. The rich don't work for money. It's the number one expense of tax. See, there's three kinds of income. Earned, portfolio, passive. So earned income is if I get a job, that's earned income. If I'm a doctor or a programmer, that's earned income. Because I'm working for it. If I buy, let's say, Apple for $10 and I send it for $20, that's portfolio income. Capital gains. But passive income, which is cash flow. And so all these guys are screaming right now in America, tax the rich. I said, good luck. Because most of the guys complaining, they don't know the three kinds of income. And the rich don't have jobs anyway. They have assets. And so the average schmo out there, poor guy, you know, sent the kid to school. They don't learn this. You see, very few people will buy what I do, make a million dollars and pay zero tax. And my rich dad taught me that playing Monopoly. That's how it started. You know, four greenhouses, one red hotel. Or the McDonald's formula. McDonald's is in the real estate business. So they sell hamburgers, but they buy real estate. So they pay no taxes. You know, this guy Bezos, well, he's $16 billion. How much tax do they pay on that $16 billion? And that's all legal. Anyone can do it. Everybody can do it. But most people lack the education. So once you learn how to use debt as money, you can never say, I can't afford it. See, because the banks will give you. So the banks, after the crash of 2008, the banks gave me $300 million tax-free. When I asked the average guy, I said, can you, why don't you use debt? They can't even get a loan. Because their scores, their FICO scores, I don't even have them here, are so bad. The school teachers will never tell you that because they don't know it. My poor dad never knew that. You don't know if something is an asset or a liability until you can see which way the cash flows. So a house is an asset or liability. Well, if it's taking money from your pocket, it's liability. If it's putting money in your pocket, it's an asset. The U.S. government wants me to provide housing, wants me to provide jobs, wants me to borrow money because that's how money is created through debt. I get huge tax breaks. Everybody can do the same thing if they had the financial education to do it. If people understood the tax code, we'd be more prosperous. But can poverty be passed through genetically? Yes. Because it's some type of way of thinking. It's an attitude. An attitude. It's very simple. When people ask me, how do I stop it? I just say, never say I can't afford it. Ask yourself, how can I? The reason I have so much money is because I don't say I can't do it. I just go, how can I do it? And I just go and do it. I make a lot of mistakes, but that's how I learn. How can I? The poor people, like my poor dad, always said, I can't afford it. Do you think I'm made of money? I'm a schoolteacher. I can't do that. And I picked that up. And my rich dad never said those words. So when I meet poor people, they use the words, I can't, a lot. So the people that say, I can't afford it. I can't do this. I can't get to college. The rich are evil. I choose not to participate in that. And that's one thing people could change today. Right now is that dialogue in their head. Stop saying the word can't. I can't. Right. So how can I? How can I? Especially as in, I can't afford it. How can I afford that? Because that opens them up to looking at it as an investment to a greater future. Right. When I borrowed $300 million, I couldn't do it until I went to ask. And I got turned down so many times. And every time I showed the back of my financials and I go, sorry, I said, look, do me a favor. Why did you turn me down? And he told me, this is out. The numbers are out here. So if I get these numbers fixed, can I come see you again? He goes, sure. So it's called rejection. Same as my wife rejected me for six months. It's just a matter of personal willpower, which is spiritual. Just saying, if they can do it, I can do it. How can I? And I think it's you once said, words become flesh. Yep. It was the Bible too. Intelligence increases through your mistakes, through the ups and downs of what you've learned. Real estate's real estate. But what I learned made me richer. Not the money. You don't need money to make money. You know, I think all of us, every human being has that low point in their life. And if they get the message, a new life begins. If they don't get the message, they keep going down. The richer I got was because I didn't need any money. I could use this to make money. But how did I get there is I made a lot of mistakes. People are afraid of making mistakes and all this fear of failing. It limits them. Nice, nice. So very nice. So many people trapped in the same device.