|Robert Kiyosaki Net Worth:||$100 million|
|Born:||8th April 1947 (75 Years Old)|
|Profession:||World Renowned Author, Real Estate Investor, Entrepreneur|
|Married:||Kim Kiyosaki In 1994|
|Residence:||Lives In Phoenix, Arizona|
In 2023, Financial Author and American Entrepreneur Robert Kiyosaki’s net worth is approximately, $100 million.
How did the son of a school teacher, born in Hawaii acquire such a vast amount of wealth?
His best-selling book, “Rich Dad Poor Dad”, explains all the secrets to his success and what he learned early on about how the rich get money and what they do differently from everyone else.
What is Rich Dad Poor Dad About? Is There Really a Rich Dad?
Growing up as one of the poorest in his class, wealth had always fascinated the young Kiyosaki.
Like so many youngsters, he wanted to know how the rich got their money.
However, it was of little interest to his academic father, who was more concerned about his own salary and pension that he received from the state rather than starting a business.
Realizing that he was going to have to figure out how to build wealth on his own, he and his friend Mike, whom the young Robert Kiyosaki met in school and who was also desperate to make money, set out to find someone who was rich and see how they did it.
A simple yet effective strategy and as it turned out that they didn’t have to look that far.
Mike’s father was a local businessman who was in the early stages of building his business empire.
After testing the boy’s ability to learn about business, Mike’s Dad took the two boys under his wing.
He taught them how the business worked and what the rich did differently to everyone else. He became known as Kiyosaki’s “Rich Dad” in the book.
Many have asked if the original story of a young Kiyosaki acquiring all his business knowledge from his friend’s Dad was true or not.
Was it just the author’s attempt to add a compelling storyline to what otherwise would have been a drab personal finance book??
Well, it turns out the story was true as Kiyosaki confirms on his YouTube Channel, where he talks to “Mike” (real name Alan).
Kiyosaki revealed that Alan’s father was Richard Kimi, who was one of the wealthiest businessmen in Hawaii and was the owner of the Sand & Seaside chain of hotels on the American island.
How Did Robert Kiyosaki Make His Money?
The simple answer is by building businesses, investing (predominantly in real estate), and selling financial advice books.
But it isn’t as simple as that.
Like so many entrepreneurs and business owners, it has been a long road of lots of small successes and several failures too (even a few bankruptcies).
In the early days of building his empire, Robert Kiyosaki’s net worth wasn’t anything to write home about.
In fact, at one point, Kiyosaki had taken out an eye-watering amount of debt ($750,000) to fund his entrepreneurial endeavors.
But by sticking to the principles he learned from childhood, he started to see his successes multiply and compound into the multi-million dollar enterprises that we see today.
Building His Business Empire
Kiyosaki has only ever had a conventional job for four years of his entire life, and that was during the late 1970s when went to work for office technology giant Xerox.
He did so to acquire the skills necessary to become a salesman as his “Rich Dad” taught him that sales were the key to financial success.
It didn’t take him long to learn the ropes as he quickly became the number one salesman at the Honolulu branch in Hawaii.
After learning what it took to become a top salesman, the budding entrepreneur knew that his future was in business rather than working for a company, even if it was a lucrative position.
At 30, he left the 9 to 5 sales job and founded a business with his brother.
“Rippers” was a pioneering company that was one of the first to combine nylon and velcro for a wallet.
Trust me, it was very innovative at the time.
Kiyosaki’s initial foray into the business world was undoubtedly a success, especially at the start, as it turned him into a millionaire before he was 30.
However, Rippers’ demise and ultimate bankruptcy taught the aspiring entrepreneur a huge lesson in trademarks and patents and not letting an overly extravagant lifestyle catch up with you.
Undeterred from the “setback,” in the mid-80s, Kiyosaki co-founded the Excellerated Learning Institute (ELI) with his future wife, Kim.
The institute was an international education company that specialized in business and investing.
It was the perfect fit for the financial guru to combine his business knowledge together with the marketing and communication skills he had honed at Xerox.
ELI was a huge success, and it not only set Kiyosaki on the path to financial freedom but also allowed him to help others master the principles he had been fortunate to learn from a young age.
Investing (Real Estate)
Whilst Kiyosaki was working the corporate ladder, the shrewd salesman always kept his eye on any potential purchases in the real estate market.
If he saw that there was a bargain to be had, he would invest in the property immediately.
Kiyosaki understood that building assets (especially in real estate at the time) that also provided an income was the sure-fire way to becoming successful over the long term
This is demonstrated in “Rich Dad Poor Dad” business lesson number #1:
Sounds crazy right?
But think about it. Are the wealthy and successful individuals that you see today chained to their desks, working every hour of the day?
Of course, the answer is no.
By generating multiple streams of recurring income via his property investments, Kiyosaki was using his financial intelligence to have his money work for him.
This was and still is one of the key secrets to building wealth.
Whilst others would spend their incomes on buying sports cars and houses they can’t afford and go deeper into debt whilst doing it, the smart entrepreneur was building up the amount of income-producing assets in his name.
If you want to be rich and successful…please take note.
Financial Advice Books
After setting up the (ELI) in 1984 and achieving his goal of becoming financially free within ten years, Kiyosaki soon realized that he had a passion for teaching and helping others become financially independent.
It is ironic that the young Kiyosaki, who didn’t follow his father’s (“Poor Dad”) advice of becoming a teacher as he believed it to be a dead end job, would later on in his life set up his first real successful business in the education sector.
After hosting numerous seminars and lectures, it was always going to be a natural step for the gifted guru to write a book about what he had learned during his time in business.
However, not even Kiyosaki could have imagined the impact his books would go on to have.
His first book, If You Want to Be Rich and Happy, Don’t Go To School, achieved notable success. However, it was the release of “Rich Dad Poor Dad” in 1997 that skyrocketed his sales and reputation.
The reception of the personal finance book was unprecedented as it quickly became the bible for those looking to build wealth and improve their lives.
To date the book has sold over 40 million copies and has been on the New York Times bestsellers list for over six years…an incredible feat.
As his audience and followers grew, Kiyosaki became somewhat of a celebrity which led to an invite to be a guest on the biggest talk show of the 90s, The Oprah Winfrey Show.
That one appearance would change everything.
In just one show, Robert Kiyosaki’s net worth exploded as he became a household name.
His book sales went through the stratosphere overnight as millions flocked to buy the bestselling book on the market.
Clearly, the Hawaiian entrepreneur was tapping into something big. There was a huge market for people looking to escape their 9 to 5 jobs and gain financial freedom.
At this point Kiyosaki could have capitalised on his brief stint as a high profile celebrity but it was not in his nature to do so.
But the celebrity lifestyle wasn’t for the humble 53-year-old who always had a passion for continual learning and helping others achieve their financial dreams.
He has continued to write about personal finance to help educate those about what the rich do differently with their money and has written 27 books to date on the subject.
Two of those books were a collaboration with New York businessman and former President of the United States, Donald Trump.
Kiyosaki still claims that he is not one of the best authors around despite having a list of accolades that even J.K Rowling would be proud of.
Since its release, “Rich Dad Poor Dad” has become USA Today’s #1 Money Book for two years in a row, the third longest-running “how-to” book of all time and the longest-running bestseller at the New York Times.
That’s why its “called best seller and not the best author”, according to the financial educator.
And if there’s one thing he knows – it’s how to sell.
Robert Kiyosaki’s Net Worth Explained: The Business Principles Behind His Success
He has traveled the world, hosted thousands of seminars, and written nearly 30 books over the last few decades, but the message has remained consistent.
The principles of building wealth that the financial coach teaches are not complicated.
In fact, once you break them down, they are essentially common sense.
So what has Kiyosaki been doing these last 30 years??? Promoting common sense??
No…it’s much more powerful than that.
Kiyosaki promotes taking action to change your life and getting started rather than waiting for the perfect time to start…because it will never come.
Don’t Be The Average
Robert Kiyosaki’s net worth isn’t something you achieve by being average.
The acclaimed author has consistently argued that if you do all the things that conventional wisdom and society say you should, then you will get the same results as everyone else.
You will have the average life.
A life dominated by huge amounts of debt means you have to be in a job that you stopped enjoying a long time ago.
Over time the number of dependants (the people who depend on your “stable” income) will grow, and it will become too risky for most people to break out of this situation.
To avoid this, you must learn the common sense principles that Kiyosaki describes in his book, which essentially is tobuild assets, not liabilities.
It really is as simple as that.
But very few will actually put into practice this advice.
Build Assets, Not Liabilities
One of the cornerstones of the author’s business philosophy and one of the main reasons for Robert Kiyosaki’s net worth exploding during the late 90s was that he had built assets during the 80s.
Whilst others were working 9 to 5 jobs and building assets for their employer, Kiyosaki was building up his own assets that would produce an income for him over time.
This is the key to financial freedom.
What Assets Do The Rich Buy?
Kiyosaki would always to be looking to increase the amount of income-producing assets to his name.
Whether he was building up his portfolio of real estate investments or if he was building his financial education company with his wife Kim, Kiyosaki was always building up his assets.
The income he received would allow him to cover his costs and expenses in the short term, and anything left over would be reinvested to build more long-term investments.
The eventual capital appreciation Kiyosaki would see in real estate and in his business would inevitably come over the long term.
This was a massive factor in his success.
The continual investment and reinvestment of profits compounded over time to deliver something most could only dream of.
This is what most people who are trapped in their day job couldn’t comprehend.
It was too easy for them to spend their hard-earned cash on short-term frivolities rather than looking at the bigger picture.
What Liabilities Do The Rich Have?
In addition to building his investment portfolio, Kiyosaki would also be minimizing his liabilities.
What does this mean?
Simply put – anything which would result in money leaving your bank account!
Whether it was spending on holidays, cars, or expensive restaurants, the financial guru would rarely spend money on luxuries at the beginning of his business journey, and even when he did, he would make sure the cost was covered by other income streams.
Don’t get me wrong, Kiyosaki was no stranger to debt, and in fact, he would take out huge amounts to fund his business activities.
But the key point here is that it was for business activities and not for funding a lavish lifestyle.
Kiyosaki saw plenty of people around him with flash cars and homes that they couldn’t afford but was able to finance by taking out huge mortgages and credit card debt.
This was a recipe for disaster as the Hawaiian entrepreneur knew these people would be forever paying off their debt and owning nothing.
***Side Note: The financial author always found it funny that people would spend thousands of dollars on something that would provide no income for them but would scoff at the idea at spending a few hundred bucks on a course that could improve their financial literacy and transform their life.
These people may look rich, but as Warren Buffet says, “Only when the tide goes out do you discover who’s been swimming naked”.
Saving Is For Losers
Read that title again.
I told you Kiyosaki wasn’t conventional.
We have all been told by our parents and mentors that the most responsible thing you can do with your money is to save it.
For Kiyosaki, this was terrible advice and one which would keep you poor.
Whilst it may have been the case many years ago when interest rates were in double digits, saving your money back in the 90s would see a paltry return on investment.
With near 0% interest rates, this lesson is more pertinent today than ever before.
There are risks and opportunity costs in everything we do in life. Keeping your money in a low-earning, low-risk bank account wouldn’t transform your life.
Building a portfolio of higher-interest investments which would appreciate over time was a much more appealing prospect to Kiyosaki and was the secret behind his wealth building.
Criticism of his work
If you have any experience in the financial industry, you will know that it is never short of opinions.
Trying to improve your financial literacy, whether online or via courses and books can be an absolute minefield at times.
For anything you learn or even agree with, there will always be someone who disagrees completely.
Kiyosaki’s work is no different and has attracted criticism for his unconventional approach to the industry…which also happens to be one of the reasons why he has been so successful.
However, when you personally make money by selling the dream of financial freedom, any one of your customers who fall short of achieving this after spending their hard-earned on the course, may get angry.
This indeed did happen to Kiyosaki in 2012 as he faced a series of lawsuits not only from disgruntled customers but also from Learning Annex, whose learning platform Kiyosaki’s company, Rich Global LLC, had been using for years.
Learning Annex believed they had a right to around $24 million of Kiyosaki’s profits that he had earned via the seminars held in conjunction with Learning Annex.
Rather than a long, drawn-out legal battle, the motivational speak declared bankruptcy.
Whilst the move attracted criticism, it did what he wanted it to – it ended the dispute there and then.
In the meantime, Kiyosaki spun up a new company enabling him to continue managing his business endeavors.
Robert Kiyosaki’s net worth during this time didn’t take a huge hit as he managed to retain the millions of earnings that his brand had generated, but his reputation may have been tarnished for some.
You may consider some decisions taken by the financial advisor unethical but if your goal is to acquire and keep the wealth you earn, he was playing the game very well.
Real estate author and investor John Reed has also been a harsh critic of Kiyosaki’s flamboyant and unconventional style, as he claims “Rich Dad Poor Dad” is “full of statements that I would expect only from a rather ignorant … novice investor wannabe.”
Even a best-selling author gets called an ignorant, novice investor, showing that you will get your critics no matter what when you put your head above the parapet.
Thoughts On The Critics
So what do you do in this situation? Who do you trust?
How about using just your own judgment?
Take some time out to read Kiyosaki’s work and make the decision yourself whether the advice given has merit or that it could be another New York Times bestseller for the shelf.
When I read the book, all the business principles that were being laid out were things that I had always suspected and previously thought, but I wasn’t sure I was on to something until I had it all laid out in print in front of me.
I thought it was dramatic when I first heard that “Rich Dad Poor Dad” was a life-changing book, but I think that it does have the potential to completely change the way you view work, business, and life.
One of the key indicators that Warren Buffet, Peter Lynch, and all the other great investors look for in an investment strategy and advisor is longevity.
No matter what your strategy is, if you have been doing it for decades and are still around today executing the same principles, it is a clear indication to them that you must be doing something right…and perhaps it’s time to dig deeper to find out what.
Kiyosaki has been consistently pushing his message for decades now, and whilst some may think he is milking the cash cow, followers of his advice will understand it is because the principles he follows are timeless and, if anything, have more relevance today than ever before.
What Happened to Robert Kiyosaki? Where Is He Now?
In the mid-80s, when Kiyosaki was venturing into the financial education sector, he met his future wife Kim.
They both had aspirations of starting a business, and within two months of dating, they cofounded an education company together.
They married the same year and have been together for nearly 40 years.
Talk about #RelationshipGoals.
The couple officially retired after they sold their financial education company in 1994 and have been based in Phoenix, Arizona, ever since.
They still spend most of their time traveling the world, managing all the business assets they have both built up over the years.
Robert Kiyosaki continues to attend the seminars of fellow financial gurus, something which he has done all his life, as he continues his passion for lifelong learning and personal development.
The couple are both heavily active on social media, where they regularly post interviews and discussions about the Rich Dad Poor Dad method via “The Rich Dad Channel,” which has nearly 2 million subscribers.
Given the size of their audience, the couple has inevitably used their platform to express their political viewpoints and affiliations…something that Robert has never shied away from.
In 2023, Financial Author and American Entrepreneur Robert Kiyosaki’s net worth is approximately, $100 million.
Kiyosaki’s life changed when he found a business and life mentor in his friend’s father early on in his life.
His mentor taught him the timeless business principles that he felt were a closely guarded secret that the rich kept to themselves.
After building a business empire together with a portfolio of investments, Kiyosaki retired in his late 40s thanks to what he had been taught about how the rich manage their money
He wrote down everything he had learned in his bestselling book, Rich Dad Poor Dad, whose message remains the same to this day.
The longevity of the personal finance book is itself an astounding achievement and has been a key reason behind Robert Kiyosaki’s net worth today.
It reinforces the notion that the ideas that Kiyosaki promotes are timeless principles that have the potential to change your life.