The book review was scripted by Effie Odhiambo.
- This book is definitely a graduate school book, the world is evolving, and yesterday is not like today. We are seeing major clashes in the economy, countries are printing money, globalization happening and technology is dynamic, there is a continuous growth of economy and wealth. Financial Education is currently more important but the question is, what kind of Financial Education? Everyone is talking about money, if it doesn’t control the world maybe it runs it.
- “Money is a language, learning to be rich is much like learning a foreign language, and it takes time practice and dedication.”
- What is financial education really? This books tells us what it is and what it is not, the two sides of the coin. All coins has 3 sides, the head, tail and the edge, Intelligence is found on the edge of the coin in the ability to see both sides.
- Therefore, how do rich people keep getting richer? That’s the million dollar question, everyone want to know. People are aspiring financial freedom and the exit to attain this, is financial education. When we talk about financial education we have to talk about financial literacy which is the ability to read and understand the language of money and Financial IQ which is the ability to solve financial problems.
- To become richer one does not need to be a tax cheat, defaulter in loans or commit other financial crimes. When we have better financial education our risks goes down and our results increases. Some people believe tax is unfair and it’s intended to punish people, others think debt is a liability yet what’s really unfair is the lack of real financial education that would help people better understand how to manage their cash flows. If you have real financial education you can pay less in tax legally, tax is intended to reward people not to punish. Debt is also like a loaded gun, can save your life or kill you. It all depends on which side of the coin you are viewing from.
- In so much as getting the required financial education is important, the rich also learn from their mistakes ,mistakes makes them smarter not stupid. Experiential learning is the cone of learning and most effective way to retain what we learn. If a baby is punished each time it falls, it will never leave home.
- Robert Kiyosaki amazingly, simplifies what financial education should be in his book “Why rich get richer”. It has detailed information on how to manage our cash flow, taxation, debt, how we can save and invest to become richer and also take advantage of the major world crashes.
- Henry Ford said: “If you think you can, you can, if you think you can’t you can’t. Either way you are right.”
- If you want to get richer you must know what you are doing, how can a person know what they are doing if they know so little or has no financial education? If you are not interested in your money someone else is.