WHY THE RICH GET RICHER AND THE POOR GET POORER


One of the reasons the rich get richer, the poor get poorer, and the middle class struggles in debt is

because the subject of money is taught at home, not in school. Most of us learn about money from

our parents. So what can a poor parent tell their child about money? They simply say "Stay in school

and study hard." The child may graduate with excellent grades but with a poor person's financial

programming and mind-set which was learned while the child was young.

 

Money is not taught in schools. Schools focus on scholastic and professional skills, but not on

financial skills. This explains how smart bankers, doctors and accountants who earned excellent

grades in school may still struggle financially all of their lives. Our staggering national debt is due in

large part to highly educated politicians and government officials making financial decisions with

little or no training on the subject of money.

 

 

Because students leave school without financial skills, millions of educated people pursue their

profession successfully, but later find themselves struggling financially. They work harder, but don't

get ahead. What is missing from their education is not how to make money, but how to spend

money-what to do after you make it. It's called financial aptitude-what you do with the money once

you make it, how to keep people from taking it from you, how long you keep it, and how hard that

money works for you. Most people cannot tell why they struggle financially because they don't

understand cash flow. A person can be highly educated, professionally successful and financially

illiterate. These people often work harder than they need to because they learned how to work hard,

but not how to have their money work for them.

 

Money is one form of power. But what is more powerful  is financial education. Money comes and goes,

but if you have the education about how money works,

you gain power over it and can begin building wealth. The reason positive thinking alone does not work is

because most people went to school and never learned how money works, so they spend their lives working for money.

I am concerned that too many people are focused too much on money and not their greatest wealth, which is their education.

 

If people are prepared to be flexible, keep an open mind and learn, they will grow richer and richer through the changes. If they think

money will solve problems, I am afraid those people will have a rough ride. Intelligence solves

problems and produces money. Money without financial intelligence is money soon gone.

Most people fail to realize that in life, it's not how much money you make, it's how much money you

keep. We have all heard stories of lottery winners who are poor, then suddenly rich, then poor again.

They win millions and are soon back to where they started. Or stories of professional athletes, who,

at the age of 24, are earning millions of dollars a year, and are sleeping under a bridge by age 34.

 

This is  chapter 3 of the book Rich Dad Poor Dad By Robert Kiyosaki.  Find it and read more

 

The one and only rule to getting rich is: You must know the difference between an asset and a liability, and buy assets.

If you want to be rich, this is all you need to know. It is Rule No. 1. It is the only rule. This may sound

absurdly simple, but most people have no idea how profound this rule is. Most people struggle

financially because they do not know the difference between……………. Find the book and read more

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