Three days ago I started reading a book… Yesterday I finished reading it. For me, that’s very rare.
I liked the book so much that after reading it I started researching everything about the author! His website, wiki page, other products or services and basically everything I could find.
I signed up to his newsletter, I started listening to his podcasts, downloaded several e-books and now I’m getting ready to buy one of his online coaching programs. (Right after I finish with the current one 🙂 )
The book I’m talking about is Rich Dad Poor Dad written by bestselling author Robert Kiyosaki. Those who will read or already read it will also know why Robert likes the title “bestselling author”. 🙂
All of his materials are very useful (at least the ones I saw until now), but there is one product he created that stands out from any other expert out there. It’s so incredibly simple, it shows you the basics to becoming financially literate AND is super fun to play with friends!
Cashflow 101 is a board game that Robert released back in 1996. Personally, I played the downloadable PC game version, but I’m sure that the board game itself is just as awesome or maybe even better! I recommend the game to anyone that wants to raise their financial IQ!
You start the game in what Robert calls the “Rat Race” and the main objective of the game is to get out of the rat race and onto the “Fast Track” and either raise your passive income or accomplish your dream. Whichever comes first. 🙂
The game explains concepts like the financial statement, balance sheet, the importance of passive income, loans and so on. It is literally one of the most useful board games I’ve ever played! 🙂
After reading more and more from Robert, I also came across another gem of knowledge, and that is…
The Cone of Learning
The cone was designed in 1969 and it honestly bothers me that almost the entire school system me and all of my friends have gone (and some are still going) through barely gets up to 40% efficiency!
The Rich Dad Company made a very nice and simple graphic to illustrate the cone, as seen below:
Knowing how to learn (much) more efficiently invites us to find different ways of obtaining information and mastering a craft. It shortens the time from your state of “interested” to “interesting” regarding a certain subject.
Your Financial IQ is no different
Most people and families avoid the subject of money. They just prefer not to talk about it… and that ends up hurting them much more than they can imagine.
As you can clearly see from the above graphic, “Participating in a discussion” has 70% efficiency!
But, of course, like all easy things, it is just as easy NOT to do it. Which automatically takes us down to 0%.
There is a quote by Derek Bok that I’m almost sure you’ve heard which explains exactly what I’m talking about:
If you think education is expensive, try ignorance.
Take the step forward. Ignorance towards money has robbed countless hard working and genuinely great people to never get to achieve their dreams… The price is just too high!
To conclude, if there are some of you going: “Well, the Bible says that money is the root of all evil!”, I sincerely suggest you actually open that black and dusty book from the shelf and open to “1 Timothy 6:10” where it clearly says:
The LOVE of money is the root of all evil.
See you on the Fast Track! 🙂