Robert Kiyosaki Net Worth

 

Understanding Robert Kiyosaki's Wealth, Financial Obligations, and Investment Ventures as the Author of 'Rich Dad, Poor Dad'

For nearly thirty years, Rich Dad Poor Dad has been a financial literacy cornerstone for millions globally. Recently, its renowned author, Robert Kiyosaki, disclosed a staggering USD 1.2 billion debt. This revelation not only sparks curiosity about his net worth but also raises the intriguing question of how the prolific author of a personal investment bestseller found himself burdened with such substantial debt.

Kiyosaki's entire financial narrative is intertwined with the success of his influential book and the seminars where he shared profound insights into personal finance, investment, financial literacy, and economics.

Early life of struggle Robert Kiyosaki 

Robert Kiyosaki, born on 8 April 1947 in Hilo, Hawaii, USA, hails from a Japanese descent family. As reported in a June 2002 profile by Hawaii Business, Kiyosaki attended the Merchant Marine Academy at King’s Point in New York and later joined the US Marine Corps.

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During an interview on The Ranveer Show, hosted by Indian YouTuber Ranveer Allahbadia in September 2023, Kiyosaki shared that he served as a helicopter pilot during the Vietnam War and faced three crash landings. Upon returning to the US in 1972, he discovered the loss of friends who opposed the war.

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Subsequently, Kiyosaki pursued an MBA at the University of Hawaii but left the program without completion. He took on various roles, including a sales position at Xerox. In 1977, he established Rippers, a company manufacturing surfer-style nylon and Velcro wallets. Despite positive reviews for the products, the venture faced bankruptcy.

Following the setback, Kiyosaki ventured into real estate and small-cap stock investments. However, the journey was marked by highs and lows, almost leading to his bankruptcy, with debts ranging from USD 750,000 to USD 850,000.

To settle his debts, Kiyosaki made multiple attempts at launching businesses, all of which encountered failure.

The Emergence of Robert Kiyosaki as a Bestselling Author

In 1985, facing financial struggles, Robert Kiyosaki initiated an education company aimed at teaching financial literacy and offering investment insights to students on a global scale. This company eventually evolved into Cashflow Technologies, Inc., serving as the parent company for the Rich Dad brand and other related brands by the mid-1990s.

Kiyosaki ventured into publishing with his first book, "If You Want to Be Rich and Happy, Don’t Go To School," in 1993. In this work, he critiqued the education system, contending that it hindered students from acquiring essential financial management skills.

Encouraged by the positive reception of his first book, he embarked on creating "Rich Dad, Poor Dad." In a May 2022 Instagram post, Kiyosaki revealed that he wrote the book at the OK Street Jailhouse Hotel in Bisbee, Arizona.

“Although no longer operating as a hotel, I wanted to come see the building where I was inspired over 25 years ago. The building was once owned by John Wayne!” he captioned the post, which featured a picture of the building.

His life took a transformative turn with the release of "Rich Dad, Poor Dad" in 1997, co-authored with Sharon Lechter.

The New York Times acknowledged it as a bestselling book, a distinction it maintained for nearly nine years, from 2000 to 2008. The book catapulted Kiyosaki into a role akin to an investment guru in the eyes of many, a reputation that persists as individuals still turn to books to gain insights into managing their finances.

Rich Dad, Poor Dad: A Deeper Look

In Rich Dad, Poor Dad, Robert Kiyosaki narrates his life story through a poignant comparison between his impoverished father and the affluent father of a childhood friend. The book sheds light on why Kiyosaki's highly educated father struggled to amass wealth while his friend's less academically qualified father prospered financially.

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Acknowledged as one of the foremost authors in contemporary financial planning, Kiyosaki, along with co-author Sharon Lechter, imparts valuable insights on leading a fulfilling life through meticulous financial strategies.

Within the pages, Kiyosaki opens up about his personal experiences and distills lessons learned about money from his father and friend's lives. He emphasizes that effective money management, rather than sheer abundance, is the key to wealth creation.

Publishing the book faced initial challenges, leading Kiyosaki to print and distribute 1,000 copies independently. The unexpected success caught the attention of Rick Wolff from Warner of AOL Time Warner, who facilitated international publication.

Rich Dad, Poor Dad has transcended linguistic barriers, being translated into 38 languages and selling over 40 million copies globally. Despite its widespread success, the book has not been immune to criticism. Some argue that Kiyosaki oversimplifies concepts and lacks specificity, while others point out undocumented claims.

As a prolific author, Kiyosaki has penned over 25 books, collaborating with former US President Donald Trump on some. His recent works include Who Stole My Pension?: How You Can Stop The Looting (2020) and Capitalist Manifesto: Money for Nothing – Gold, Silver, and Bitcoin For Free (2022).

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What is robert kiyosaki net worth and how he made it?

The actual net worth of Robert Kiyosaki remains shrouded in ambiguity, with Celebrity Net Worth pegging it at approximately USD 100 million. A substantial portion of his income flows in through book royalties, complemented by revenue streams from seminars and licensing rights granted to individuals and groups leveraging the Rich Dad brand for marketing.

Contrastingly, in viral Instagram videos, Kiyosaki declares himself as "a billionaire in debt." He casually states that if he faces financial turmoil, it's the bank's predicament, not his. While the term 'debt' often carries negative connotations, Kiyosaki, in his videos, elucidates that his wealth is intricately linked to strategic borrowing, allowing him to capitalize on tax breaks.

Kiyosaki acknowledges the negative perception around debt, attributing it to the inadequate financial education in schools. In one video, he expounds, "The reason I am so rich is because I am in debt. The reason I pay no taxes is because I borrow money. I am a debtor... I get tax breaks."

Expressing skepticism towards cash savings post the US dollar's departure from the gold standard in 1971, particularly during President Richard Nixon’s tenure, Kiyosaki asserts, "I use debt as money and I don't save cash." He underscores his distrust in the dollar, revealing a penchant for converting his earnings into silver, gold, and even Bitcoin."

What possessions does Kiyosaki hold, and where has he invested his wealth?

In a video, Robert Kiyosaki discloses ownership of a Ferrari and a Rolls-Royce, both acquired through borrowed money. Despite being fully paid off, he emphasizes that these assets still fall under the category of liabilities rather than assets.

Kiyosaki holds real estate and businesses, categorized as income-generating assets. These assets were established using borrowed funds, with the loans repaid from the income generated by the assets. According to Kiyosaki, this approach proves effective in navigating market fluctuations.

Previously, he mentioned owning 15,000 houses, purchased through debt and subsequently rented out. The generated income is utilized to settle the debt, resulting in minimal tax liability.

During a 2022 interview at the Vancouver Resource Investment Conference with Stockpulse, Kiyosaki mentioned owning substantial amounts of gold and silver. He expressed a preference for silver and disclosed his involvement in a silver mine in Argentina, later sold to Yamana Gold, a Canadian mining company.

Bitcoin stands out as a significant investment for Kiyosaki. Despite the cryptocurrency market's volatility, Bitcoin has maintained its strength. As of January 5, 2024, 1 Bitcoin is valued at USD 43,665, almost 1.5 times its value six months prior.

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In a unique venture, Kiyosaki has invested in wagyu cattle, as revealed in a discussion on the Wealthion Shorts YouTube channel. Discovered through a friend's suggestion, Kiyosaki shared his experience inspecting a genuine Japanese wagyu bull in Wyoming, distinguishing it from American wagyu bulls, likening wagyu to a brand similar to Ford or Chevy.

Wagyu, often referred to as the “caviar of beef” by the Michelin Guide, translates to 'Japanese cow' and is renowned for its exceptionally high levels of marbling and tenderness. Notably, all the world’s most expensive steak cuts are wagyu, commanding prices for the finest grades that can reach as high as USD 2,200 per kilogram.

In the Wealthion Shorts video, Kiyosaki expresses a distinctive perspective, stating, “I don’t want to own the cattle. I just want to own the semen.” He emphasizes that his interest lies in becoming a "Japanese breeding bulls," highlighting a strategic approach to his involvement in the wagyu industry.