In this blog post let’s explore the financial book of Robert Kiyosaki, the Rich Dad Poor Dad chapter 7 Summary, titled “Overcoming Obstacles.” This chapter focuses on how we can overcome obstacles like fear and self-doubt to achieve financial freedom.
As author Robert Kiyosaki lays out, the path to wealth requires believing in yourself, taking calculated risks, learning from failures, and persisting through any setbacks.
I’ll discuss the main points, key notes, quotes from this chapter, including Kiyosaki’s advice to “choose daily” to overcome limiting beliefs.
The core message is that with the right mindset and determination, we can break through barriers on the road to financial independence. This post will provide an overview and analysis of the insightful lessons.
So, let’s dive into the summary of rich dad poor dad chapter 7:
Table of Contents
Rich dad poor dad chapter 7 summary
Rich dad poor dad summary chapter 7 lesson 7 – “Overcoming Obstacles.”
In Chapter 7, titled “Overcoming Obstacles,” Kiyosaki discusses five main obstacles that hold people back from building wealth even if they are financially literate: fear, cynicism, laziness, bad habits, and arrogance.
Kiyosaki states that the primary difference between rich people and poor people is how they handle fear, especially fear of losing money. He says it’s natural to feel fear, but how you react to it determines your financial future.
The rich don’t like losing money either, but they don’t let the fear of it paralyze them.
Kiyosaki’s rich dad gave him advice to “start early” with investing if the thought of losing money scares you. Starting young gives more time to recover from early losses.
Rich dad also said to think like a Texan – be bold and go big. Take chances but also be proud, not ashamed, of failures.
Use them as inspiration. As football player Fran Tarkenton said, “Winning means being unafraid to lose.” Winners are not afraid to lose because they know losing will make them better.
Kiyosaki says most people play it too safe with money because fear of losing is greater than the joy of winning big.
The safe middle class portfolio of cash, bonds, and mutual funds seems sensible but won’t lead to real wealth. He advises taking more focused risks if you want to get rich.
Kiyosaki calls cynics “little chickens” who make excuses to avoid real opportunities. When the world seems gloomiest is often the best time to invest, while others are too afraid.
He shares an example of a friend who backed out of a good real estate deal in Phoenix after talking to a skeptical neighbor, even though Kiyosaki had shown him it was a bargain.
The friend lost out on a chance to build wealth all because he listened to unfounded criticisms instead of doing his own analysis.
Rich dad said “Cynics criticize and winners analyze.” The rich look for opportunities everyone else misses because cynics are blind while analysis opens eyes. Overcoming self-doubt is key to overcoming cynicism.
Laziness often disguises itself as busyness. People keep busy to avoid facing what they know they should do. Kiyosaki says a cure for laziness is a little greed – meaning desire for something more.
Rich dad forbid the words “I can’t afford it,” saying it closes your mind. Instead he required asking “How can I afford it?” which opens your thinking.
He believed the human spirit knows nothing is impossible if you tap into your full potential.
Overcoming Bad Habits
Kiyosaki shares how his poor dad had the habit of paying everyone else first and himself last, which led to constant financial struggles.
Rich dad paid himself first no matter what, even if he was short on money that month.
Rich dad said this forced him to make more money to cover his bills. It pressured him to think creatively, work harder, and strengthen his resolve rather than get weak.
Building the habit of paying yourself first leads to greater financial strength.
Rich dad warned arrogance often hides ignorance. People try to bluff their way through subjects they don’t understand.
Kiyosaki says whenever you’re ignorant in an area, start educating yourself. Arrogance loses money. Only learning leads to lasting wealth.
In summary, overcoming fear, cynicism, laziness, bad habits, and arrogance are critical to mastering one’s financial education.
As Kiyosaki states, getting rich is technically easy with financial intelligence, but attitude makes the difference.
Those who learn to harness their full potential can overcome all obstacles and break free of the rat race.
Rich dad poor dad lesson 7:
Here is a Rich dad poor dad lesson 7 Summary key points and analysis from Rich Dad Poor
In Chapter 7 of his personal finance book Rich Dad Poor Dad, author Robert Kiyosaki discusses the primary obstacles that hold people back from building wealth and achieving financial independence.
The main purpose of this chapter is to outline the most common psychological and emotional hurdles, and provide strategies to overcome them.
Rich dad poor dad lesson 7 is:
“Failure inspires winners. Failure defeats losers. It is the biggest secret of winners. It’s the secret that losers do not know. The greatest secret of winners is that failure inspires winning; thus they’re not afraid of losing.”
Kiyosaki argues that how one responds to failure and adversity determines their financial success more than intelligence or education.
Overcoming fear, cynicism, laziness, bad habits, and arrogance are critical to building an asset column and escaping the rat race.
The 5 main obstacles covered in this chapter are:
1. Fear of losing money and taking risks
Kiyosaki argues most people play it too safe with their investments and money out of fear of losing it.
While smart to avoid unnecessary risks, fear also prevents people from taking chances needed to build wealth.
2. Cynicism and listening to naysayers
Doubting yourself and letting criticism from others cloud your judgment leads to inaction. Analyze opportunities for yourself instead of blindly following conventional wisdom.
3. Laziness and procrastination
Hard work is essential, but laziness often disguises itself as busyness. Make your financial freedom a priority instead of avoiding the effort needed to achieve it.
4. Bad money habits
Pay yourself first before paying any bills. The pressure of owing money should force you to make more money and think creatively.
5. Arrogance about money
Arrogance hides ignorance. Be humble and constantly willing to learn more about personal finances and investing.
Key Supporting Evidence
Kiyosaki provides compelling real life examples and stories to support his claims about overcoming these obstacles:
– He shares how his friend missed a lucrative real estate opportunity by succumbing to fear after listening to a naysayer neighbor. This illustrates the cost of not analyzing opportunities for yourself.
– The story about the man who fills his garage with toys for his kids while neglecting retirement savings shows how the appearance of self-sacrifice can disguise laziness.
– Kiyosaki credits always paying himself first, even when money was tight, with forcing him to make more money and escape the rat race.
Kiyosaki concludes that the path to wealth takes courage, self-discipline, and maintaining a beginner’s mindset.
While formal education is important, facing your personal demons around money is the real key to financial freedom. He believes anyone can overcome these obstacles with the right mindset.
While the obstacles are challenging, Kiyosaki presents clear strategies based on real world examples to tackle each one.
His conclusions are empowering – he believes financial independence is possible for anyone willing to look inward and confront their own weaknesses around money.
The main strength of this chapter is how relatable Kiyosaki’s stories are.
He taps into common fears, habits, and emotions that readers experience around personal finances. His vulnerability makes the advice feel genuine.
The chapter does not present any original research, so relies solely on anecdotal evidence.
However, Kiyosaki does draw on established psychological theory around mindset and motivation.
While dated, the core human struggles Kiyosaki describes remain highly relevant today. Mastering your own mindset around money is timeless advice.
This chapter will resonate with anyone who has struggled to save and invest.
Chapter 7 rich dad poor dad summary:
In Rich Dad Poor Dad Chapter 7, Kiyosaki highlights how self-sabotaging tendencies like fear, cynicism, laziness, and arrogance are the greatest obstacles to building wealth.
Through relatable stories and examples, he provides encouragement and strategies tailored to overcoming each hurdle.
The chapter argues mastering yourself is more important than education in achieving financial freedom.
While simple, Kiyosaki’s mindset advice addresses universal human weaknesses in a way that remains powerful and timely.