Thoughts on "Rich Dad, Poor Dad": Why do some books require one to go through life to truly understand them?

Preface：

As an accountant, I was constantly preparing the balance sheets of the company every month, but I had never clearly understood my own balance sheet.

It wasn't until I re-read "Rich Dad, Poor Dad" that I truly grasped the meanings of these two words（assets 、liabilities）.

"Rich Dad, Poor Dad" is the financial book that I have read the most times.
It was a completely new financial literacy education for me, allowing me to re-understand assets, liabilities and wealth, and completely changing my investment mindset. 

Why have I repeatedly read "Rich Dad, Poor Dad"?

Some books are simply read and then forgotten.
After closing the last page, the story ends and the knowledge gradually fades away.

But some books remain in your life forever.
You will open them again and again at different ages, with different experiences, and in different situations.

Each time you read it, you become more enlightened than the previous time.
Because what has changed is not the book itself.
It's you.

For me, "Rich Dad, Poor Dad" is just such a book.

The first time I read it, I merely regarded it as a bestseller about wealth freedom and entrepreneurship.

After reading it, I felt some truth but didn't truly take it to heart.

It wasn't until later that I experienced the growth and shrinkage of wealth, entered the stock market and experienced market fluctuations, began to understand cash flow, asset allocation, and re-recognized insurance and long-term planning.

Many years later, when I opened this book again, I suddenly realized: It wasn't that the book wasn't good enough; it was that at that time, I couldn't understand it.

At that moment, I truly understood what "Rich Dad, Poor Dad" wanted to express. It wasn't an investment method; it was a way of viewing wealth. 

• It constantly enabled me to discover the flaws in my past thinking.
• It constantly prompted me to revise my judgments.
• It constantly expanded my cognitive boundaries.
  

When many people talk about "Rich Dad, Poor Dad", they often think of "starting a business", "setting up a company", and "financial freedom".

But after re-reading these books over the years, my greatest gain was not these things.

What I truly learned were two more fundamental concepts.

1️⃣ Wealth is not determined by income, but by surplus.

No matter how high your salary is or how big your business is, if your expenditures always exceed your income, it is very difficult to truly accumulate wealth.

On the contrary, first calculate your surplus, and then choose an appropriate investment method based on your own ability, whether it is bank deposits, annuity insurance, index funds, or stock investment.

All of these are more meaningful than blind consumption.

When we were young, we always liked to satisfy our desires first.

I remember when I first started working, as soon as my salary was credited to my account, I would buy clothes and electronic products I liked, and often exceeded my budget.

At the end of the year, there was very little money left in my pocket.

However, a lady in the company always strictly controlled her consumption. She was reluctant to buy many things. At that time, we laughed at her for being too strict with herself.

Now looking back, I realized that she was not reluctant to spend money, but always decided her consumption based on her own ability.

At that time, she might not have read "Rich Dad, Poor Dad", but she had already practiced the most important wealth principle in the book.

Later, when I entered the stock market, I realized that this ability not only applies to consumption, but also to investment.

Those who can restrain their impulses and make decisions based on their own ability and plans are often more likely to achieve long-term success than those who make quick profits.

2️⃣ Before consuming something, ask yourself whether it is an asset or a liability.

In the past, I also thought that buying a car was an increase in my assets.

Later, I discovered that apart from the purchase cost, a car also means continuous expenditures such as fuel, insurance, maintenance, and repairs, while the vehicle itself is constantly depreciating.

What it brings is not just an item, but also a long-term bill.

This has made me re-think many consumption decisions.

It's not that luxury items cannot be bought; rather, before purchasing, one should clearly consider: Is the value it brings worth the future continuous costs?

I have re-understood entrepreneurship and self-employment.

As for the book advocating entrepreneurship and self-employment, I now have a new understanding.

When I was young, I thought that only entrepreneurship could be considered successful.

Later, I discovered that not everyone is suitable for entrepreneurship.

Some are suitable for running a business, while others are suitable for becoming an outstanding professional manager.

Such as Cai Chongxin from Alibaba, Zhou Shuzhi from TikTok, and Su Zhi Feng from AMD，they did not start their own companies, but they still created tremendous value.

What truly matters is not which type of career to choose.
Rather, it is to continuously increase one's own abilities over time and not lose competitiveness due to changes in the environment.

This is the biggest insight I gained from re-reading "Rich Dad, Poor Dad".

A good book truly changes one's perception.

A book that is truly worth reading repeatedly rarely directly gives you the answer.
It is more like a key.

The first time, it opens one door.
Many years later, when you pick it up again, it will open another door.

Therefore, a person's growth is not just about how many books they have read.
What is more important is whether there are several books that can accompany you to continuously grow and constantly correct yourself.

I am increasingly convinced that what truly changes one's life is not the afternoon when you finish reading a book.
Rather, it is over many years in the future, when it reminds you again and again:

• Where did you make a mistake?
• Where can you do better?
  

This is the true value of a book that can accompany a person throughout their life. 

When we were young, we always believed that a book could change our fate. Later, we came to understand that what truly changes one's fate is not the day when one finishes reading a book, but rather, after experiencing life countless times, it can still accompany you to re-understand this world.