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Brian Johnson 12-17

“You must know the difference between an asset and a liability, and buy assets.” ~ Robert T. Kiyosaki from Rich Dad, Poor Dad

Do you know the difference between an asset and a liability? Which are you buying?

“Rich people acquire assets. Poor and middle class acquire liabilities, but they think they are assets.”

Pop quiz: Is the house you live in an asset or a liability?

—> insert “Jeopardy” music here <—

OK. Time’s up. Asset or liability?

If you answered “liability” you win. 

If you answered “asset,” um, hate to break it to you, but Kiyosaki tells us that that mortgage you have is a liability.

How could that be?!?

According to Kiyosaki: “An asset is something that puts money in my pocket. A liability is something that takes money out of my pocket.”

And he continues: “If you want to be rich, simply spend your life buying assets. If you want to be poor or middle class, spend your life buying liabilities. It’s not knowing the difference that causes most of the financial struggle in the real world.”



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