What Is Robert Kiyosaki’s Net Worth?
Robert Kiyosaki is an American investor, businessman, author, motivational speaker, and financial commentator who has a net worth of approximately $100 million. He first gained widespread recognition for his groundbreaking book, "Rich Dad Poor Dad," which has since become a cornerstone in the realm of personal finance literature. Kiyosaki’s career is marked by a diverse array of entrepreneurial ventures and a fervent commitment to financial education. His philosophy is largely shaped by his experiences with two paternal figures: his biological father, who adhered to traditional academic and employment paths, and his friend’s father, who embraced entrepreneurial success and imparted invaluable financial wisdom.
Kiyosaki’s "Rich Dad Poor Dad," published in 1997, quickly ascended to international bestseller status and laid the foundation for a series of books under the "Rich Dad" brand. These publications delve into themes of financial independence, investing, real estate, and the critical importance of financial literacy, often challenging conventional perspectives on employment and income. Beyond writing, Kiyosaki has engaged in various business ventures and educational initiatives, emphasizing practical financial education. Despite facing controversy and criticism—particularly regarding the operations of his "Rich Dad" seminars—Kiyosaki remains a prominent figure in personal finance and wealth development.
Early Life
Robert Kiyosaki was born Robert Toru Kiyosaki on April 8, 1947, in Hilo, Hawaii. He is the son of Ralph and Marjorie Kiyosaki and is a fourth-generation Japanese-American, known as a "Yonsei." His father was an educator who held a Ph.D. at the time of his death in 1991. Kiyosaki has often critiqued those who pursue advanced degrees, indirectly referencing his father’s struggles with poverty and unemployment in his later years. Robert graduated from high school in 1965.
Following high school, Kiyosaki attended Naval College and subsequently joined the U.S. Marine Corps, inspired by his brother’s enlistment in the Air Force during the Vietnam War. He served as a helicopter gunship pilot in Vietnam from 1972 to 1973, a period he credits with instilling the resilience and character necessary for success in the business world.
After his military service, Kiyosaki returned to college in Hilo, Hawaii, where he earned an MBA. He then embarked on his business journey, starting as a sales associate for Xerox in 1968 before launching his first entrepreneurial venture.
Early Attempts at Entrepreneurship
Kiyosaki’s initial foray into entrepreneurship involved selling nylon and velcro wallets, which were among the first of their kind. Although the business enjoyed moderate success, it ultimately went bankrupt. His second venture was a retail company that sold t-shirts, licensing the rights to produce apparel for various rock bands. Unfortunately, this endeavor also ended in bankruptcy. By 1980, Kiyosaki began to shift his focus toward education.
Early Educational Businesses
Kiyosaki’s first significant venture into education came with the establishment of the Accelerated Learning Institute in 1985. This company aimed to provide business education while also promoting social responsibility. Kiyosaki sold the company in 1994, but it laid the groundwork for his future endeavors.
In the mid-1990s, Kiyosaki began to build the educational empire that would ultimately lead to his financial success. His first book, "If You Want to Be Rich and Happy, Don’t Go to School," was a critical examination of traditional college education as a pathway to success, advocating instead for real estate investment. At this time, Kiyosaki and his second wife were actively involved in real estate themselves.
The pivotal moment in Kiyosaki’s career came in 1997 when he founded Cashflow Technologies, Inc., the financial education company that would oversee the "Rich Dad" brand. That same year, he published his most famous work, "Rich Dad Poor Dad."
"Rich Dad Poor Dad"
"Rich Dad Poor Dad" has sold over 32 million copies and was initially self-published before being picked up by major publishers. The book remained on the "New York Times" Best Sellers list for over six years, with its popularity further boosted by mentions on influential platforms like "The Oprah Winfrey Show." This book marked the launch of Kiyosaki’s career, bringing him both fame and financial success.
The narrative contrasts two fathers: one who is financially struggling and the other who has achieved wealth through savvy investments and entrepreneurship. While Kiyosaki later revealed that the "rich dad" is a fictional character and the "poor dad" is based on his own father, the book imparts a series of financial lessons, particularly regarding real estate and entrepreneurship.
Despite its commercial success, "Rich Dad Poor Dad" has faced criticism for its lack of documented financial success stories and for being overly vague. Critics argue that Kiyosaki’s assertions about wealth accumulation are not substantiated. Kiyosaki has defended the book, stating that it was intended more as a motivational tool than a definitive guide to financial success.
Later Books
Following the success of "Rich Dad Poor Dad," Kiyosaki authored numerous other books, including "Cashflow Quadrant: Rich Dad’s Guide to Financial Freedom" and co-authored works with Donald Trump, such as "Why We Want You to be Rich: Two Men, One Message." His more recent publications include "Who Stole My Pension?: How You Can Stop The Looting" (2020), "Capitalist Manifesto: Money for Nothing – Gold, Silver, and Bitcoin For Free" (2022), and "Ravens: How To Prepare For And Profit From The Turbulent Times Ahead" (2023). In total, Kiyosaki has published 26 books that have sold over 41 million copies worldwide.
Seminars
In addition to his writing, Kiyosaki’s business model heavily relies on seminars. These events are typically conducted by other experts in a franchise-like manner, with some seminars being free while others can cost hundreds or even tens of thousands of dollars.
Criticism
Kiyosaki has faced significant criticism throughout his career. Detractors argue that his seminars often lack concrete, actionable information. Additionally, he has been associated with multi-level marketing schemes, and some of his books and seminars have been accused of promoting questionable or even illegal practices, such as insider trading or advocating for dropping out of college. His company also faced backlash for recommending real estate investments in 2007, just before the economic recession of 2008.
Company Bankruptcy
In 2012, Kiyosaki’s company, Rich Global LLC, filed for bankruptcy following a series of class-action lawsuits. Attendees of his seminars claimed they were misled, and Kiyosaki’s company faced legal action over royalty disputes. The court rulings left the company in dire straits, leading Kiyosaki to opt for bankruptcy, during which he was ordered to pay nearly $24 million to The Learning Annex and its founder.
In conclusion, Robert Kiyosaki’s journey from a young entrepreneur to a prominent financial educator is marked by both remarkable successes and significant controversies. His net worth of $100 million reflects his influence in the personal finance sector, but it also serves as a reminder of the complexities and challenges that come with such a public persona. As Kiyosaki continues to advocate for financial literacy and independence, his legacy remains a topic of both admiration and debate.