Tuesday, September 16, 2008

Rich Dad's CASHFLOW Quadrant


Robert Kiyosaki

Cashflow Quadrant: Rich Dad's Guide to Financial Freedom.

Cashflow Quadrant is a personal finance and investing book written with Sharon Lechter, C.P.A. as the sequel to Rich Dad, Poor Dad. In it, Kiyosaki discusses what he calls the cashflow quadrant: a grid consisting of the letters "E", "S", "B", and "I". The cashflow quadrant itself is just an illustrative tool to show the difference between Employees, Self Employed/Small Business owners, Business owners (not directly involved in the day-to-day operation of the company), and Investors. Kiyosaki discusses the differences between concepts and ideas characteristic of each quadrant, particularly as they relate to passive income and tax advantages. Again, as a self-help author, he invites readers to consider their own ideas about money.


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