Customer Reviews

Rich Dad's Cashflow Quadrant - Rich Dad's Guide To Financial Freedom

5 star:		(240)
4 star:		(49)
3 star:		(33)
2 star:		(18)
1 star:		(28)

 

 

Repetition is the source of mastery, and The Cash Flow Quadrant takes the excellent thinking in Rich Dad, Poor Dad and builds to another level of detail. This information will increase what you learned in Rich Dad, Poor Dad and help you begin the transformation from a salaried or self-employed person into a business owner and investor.

The definitions of these four quadrants are important. As an employee, you have a job. As a self-employed person, you own a job. As a business owner you have a system (such as a franchise like McDonald's) that produces cash flow for you and others work for you. As an investor, your money works for you. Rich people are getting more than 70 percent of their cash flow and income by having money work for them.

One of the strengths of the book is that it deals with the subtle psychological differences among people in the four different quadrants, especially on subjects like security and freedom. Kiyosaki and Lechter then do a nice job of helping you understand the difference between risky and taking risk. The latter is a good idea, when you know what you are doing, and the former is always to be avoided.

The book is not dogmatic, pointing out that good results can be reached in a variety of ways. You have to decide which ones are right for you. In general, you are encouraged to move from the employee and self-employed side for your income to the business owner and investor side. Then, take your cash flow and expand it into investments.

Another of the strengths of the book is to make it clearer what the advantages of income property are. In these Internet stock-crazed days, many are looking only to stocks and missing good commercial property opportunities.

There are lots of good questions you can use to help frame your road through the cash flow quadant. At a minimum, you will become much more financially literate. With the help of the 7 steps here for making the necessary changes, you should begin to make the transition.

The book has a nice conversational tone that turns personal economics into common sense examples and principles.

The downside of any book about changing your life is that you can read it much faster than you can master the lessons and apply them. I suggest that you schedule time to reread this book over the next 10 years. That's the best way to check up on yourself and how you are doing.

I do recommend that you read Rich Dad, Poor Dad first. You'll get much more out of this book if you do that. Then you'll begin to see opportunities where others see difficulties. Good luck with fulfilling your goals!

Not since "Who Stole the American Dream" by Burke Hodges has anone written a book that dispels the notion of go to college, get a job and work hard--ENT!Not since How to Make Nothing But Money, a NY times best seller by Dave DelDotto has anyone explained with clarity the power of paper; Real Estate, Tax Liens and Discound Mortgages.Self employment is the way to go and this book proves that the American Dream is ALIVE & WELL.In this decade and beyond, more money will be made in network marketing, real estate and the stock market than ever before.Anyone who wants to participate in that growth must read this book.I also recommend Wall Street Money Machine for the new Millenium for powerful cash flow strategies.

CFQ was worth every dollar and every minute. Jam packed with information on entering the CAsh Flow Quadrant. This book is especially good for the financially handicapped (those with college and especially advanced degrees and only understand a 9-5 existance)

CFQ helped take me from paycheck to paycheck to paycheck and 9-5 to self employment.

I highly recommend this book along with Rich Dad Poor Dad and other books in the RD series. They are all great.

Before reading and more importantly, following the advise in Cash Flow Quadrant, I was like most people in that awful "paycheck to paycheck" cycle, "thank God it's Friday" and oh no, today it's Sunday, back to the old grindstone tomorrow" RUT.I was astonished the other day to talk with someone who I thought was doing pretty well financially. This individual said that if he missed2 paychecks, he would be bankrupt! Then I remembered that was were I was before I read and used the concepts in Cash Flow Quadrant!I would also recommend Who Stole The American Dream, The E-Myth Revisited And Multiple Streams of Income.

I disagree with the readers who feel that CFQ is inferior or at best, just RDPD in another cover. CFQ goes into more detail the whole Cash Flow concept. Of course, anyone who has actually read the books already knows this which tells me that the bashers at best probably just skimmed the free sample pages here on Amazon and didn't even bother to read CFQ.

Good book. I highly recommend it.

This is actually my favorite of the Rich Dad books. Cash Flow Quadrant will reveal why some people work less, earn more, pay less in taxes and feel more financially secure than others. It is simply a matter of knowing which quadrant to work from and when.

Cash Flow Quadrant will also answer some questions like:

* Why do some investors make money with little risk while most
other investors just break even?

* Why, in the industrial age did some parents want their
children to become medical doctors, accountants or attorneys..
and why, in the information age, are these professions under
financial attack?

* Why do most employees go from job to job while others quit
their jobs and go on to build business empires?

* What is the difference between an employee and a business
owner.

And why is that so many of the brightest students from our universities want to work for college dropouts....dropouts like Michael Dell, Bill Gates, Ted Turner and Richard Branson? Dropouts today who are the mega rich of society.

Cash Flow Quadrant will help answer some of these questions and also assist in guiding you to find your own path to financial freedom in a world of ever increasing financial change.

Cash Flow Quadrant is for you providing you are ready to:

* Move beyond job security and find your own world of financial
freedom

* Make deep professional and financial changes in your life

* Move from the industrial age to the information age

Cash Flow Quadrant made a profound impact in my life and I am sure will do the same for you. All you have to do is read it and apply what you learn.

If on the other hand you are looking for a "safe", "secure" job and expect your employer to take care of you, then then this is not for you.

Great book RTK. In my opinion, your best book to date.

A friend recommended this book to me. I quote from the introduction "The CFQ was written for you if your life has come to a financial fork in the road." I read with enthusiasm for the first couple of chapters then the repetition in the text started to annoy. About half way it had become an irritation to the soul but I gritted my teeth and read on! By the end I was really, really, really steamed.

The author could have reduced the number of pages by (a) 25% by dedicating this book to his wife and stating that they were poor with no assets and living out of a vehicle and off friends' graces before becoming financially free several years later. (b) another 25% by eliminating the repetition. (c) another 25% by eliminating the repetitive diagrams especially the EBSI one. (d) did I mention the repetition?

Interestingly, while the book deals with their success in general terms, it does not say HOW they did it. Indeed, the author and his wife did not appear in their own cash flow quadrant since there is no place for U [my creation] meaning the Unemployed.

So the question remained, How did they go from U and destitute to B and I in the CFQ? The answer is real estate we are told. Ok, but how does one without a job or collateral secure funds to pay the required 10% deposit. We are carefully told NOT to break the law. Real estate is key but WHERE to buy seems to be a problem. The author was magically ably to buy huge portions of land cheaply and sell with massive profits. We learn that the author learned three invaluable methods of negotiation previously unknown to him but are carefully not told what these methods were.

We are told that a true B or business owner can leave his business for a year and return to find it still functioning and more profitable than when he left it. I guess he is speaking of the fortune 500 companies then. We are told of the author's real estate properties that generate income whether he works or not. Mention is also made of mutual funds and "other" ventures. Yes, but HOW was this done...we are left to wonder.

We are then told of some failed business practices and that the majority of businesses fail however, he recommended becoming a B before moving to an I. When investing, this should be done carefully with advice of those in the know but again we are not told how or what to invest in because the author did not like giving specifics because each person's circumstance was different. ..However, in his NEXT book, RDPD's guide to investing, all will be revealed!

In his conclusion, the author reminds us to mind our own business and get into the right mind set by playing his board game CF. DUUHH!

He then proceeds to compares three groups, the Broke masses, the successful middle class investor and the rich. One group [guess which one?] has resources listed as: RDPD, CFQ, CF Game, RK tapes etc.

Finally, we live in a real world. What about persons with CHILDREN? How does this impact with day care, school fees, attendance and pick up. Funny enough, no mention is made about these entities that require HUGE sums of money to maintain, having an impact on our financial adventure!

Recommendation: Read the Richest Man in Babylon instead. It is shorter and has everything that you want to know and you can start immediately! It outlines broad principles and formulas that work which can help the ordinary person as well as the E, S or B move between quadrants and save to become an investor. It can even help the U's get into a quadrant! It talks about your family, children , wife etc. It has certainly helped me. The multiple streams of income are explained, as is the use of your money to work so you don't have to, all clearly laid out. And this book was written over 50 years ago!

Read also the Wealthy Barber, I view this as an essential follow up to the Richest Man in Babylon in the unlikely event that your eyes did not light up after reading it for the first time. This will tell you the specifics instruments available that will help you.

This book CFQ, [all 251+ pages] should have been edited removing the 82.5% FROTH leaving approximately 30 pages of material for second edit!

Comment: this book does nothing to help the ordinary citizen move into financial freedom. What it does do is ensure a stream of income for the author whether he works or not! By constantly mentioning the super rich such as Bill Gates, Ford, and so on makes one think. Of the over 220 Million persons in the USA how many Bill Gates are they? He is the exception, not he rule!

If it were possible to give negative stars, I would have here. This incomplete, rushed, advertising marvel seemed to have captured the imagination of some readers by using a diagram and re-presenting material that has been well presented elsewhere. By the way, one reader compared this book to the Richest Man in Babylon. In a word..don't. That would be like comparing little leaguers to the superbowl!

In conclusion I cannot recommend this book. It is Cash Froth Quid pro quo. We give cash; he gives froth, quid pro quo! Hence 1 star.

In this second of the Rich Dad series, Kiyosaki explains the 4 quadrants and while being an E-employee is suicidal.

The theme is the same as the first book with Rich Dad Poor Dad comparisons. Then we learn why the rich become rich and why the poor are and stay poor.

Kiyosaki also discusses taxes and why the poor are paying so much more in taxes than they need be. RTK uses as an example his poor dad who was highly educated had a high income but was not wealthy because of his Cash Flow patterns. By contrast his Rich Dad had an average education, made less money than his poor father but was wealthier because he learned how to have money work for him instead of working for money as so many do.

Cash Flow Quadrant is a excellent book for anyone who wants to break the work for money, live paycheck to paycheck syndrome.

Question: What would happen to you if you and your spouse both lost your jobs?

If you make money work for you as espoused by RTK in Cash Flow Quadrant you will realize that ir really doesn't matter. But if all you have is a job---oouch!!!

This book was absolutely wonderful! I thought Rich Dad Poor Dad was pretty good, because it taught me somethings I never knew and reminded me of where I do and do not want to be in the long term. Cashflow Quadrant abolishes the myths about investing and I loved how he seperated the Employees and Self Employed on the left side and the business owners and investors on the right side. I am starting to invest into some mutual funds, and plan to get educated to sell and invest in real estate. I know just about everyone in the world is described well in this book. For example, my grandfather is a self employed person and belives it is wrong to obtain any money through investments. My dad on the other hand thinks it is foolish to only rely on a job or being self employed. I just want a career and to have most of my money towards investments. Most of my co-workers that have gotten fired are in deep trouble because they never knew or took advantage of the information in this book. If they have investment money, then they wouldn't have to be worried about getting fired. Buy this book! If you don't, you will never be aware of investment opportunities, and will have no choice but to take orders your whole life. Remember, what you do with the paycheck in your hand is your choice. If you blow it all to consume, then you will be poor. If you take the paycheck and put some of it towards investments each time, then you will be getting out of the rat race quicker. But like Kiyosaki says "The choice is up to you"

If you are going to read only one book this year, do NOT read this one. Find the time to read two books, because you need to read this book first and then read Robert Allen's "Multiple Streams of Income." "The CASHFLOW Quadrant" is invaluable in helping the reader understand the four quadrants of income and determining where he or she is and wants to be. It challenges the assumptions of middle-class investing and wealth generation and requires you to think critically about your approach to income and wealth. This book outlines broadly what you can do to move to the two right quadrants (where wealth generation is leveraged and you can be paid more than once for a unit of labor) and challenges you to make the journey. . . Allen's book then provides a wealth of ideas about how to generate the streams of income that produce income in Kiyosaki's right-hand quadrants. These books are perfect complements: Kiyosaki's to challenge and inspire the reader to engage in high-leverage income-generation activities, and Allen's to identify and implement these activities.