Corporations

According to Robert Kiyosaki, corporations are the biggest secret of the rich and wealthy.

Wealthy individuals use corporations to reduce personal expenses, limit personal liability, and limit personal taxable income (thus paying less in income tax).

Robert has a great quote: "Most employees work from January until May for the government, before they can earn themselves anything."

So that sounds really crazy. Until you consider that typically, around a third of our income goes to taxes, social security, etc. The idea is 33% of your income going to taxes means working a third of the year before you get to earn money for yourself.

This is a high price to pay!

Employees earn and get taxed, and then they try to live on what's left.

Corporations earn, spend everything they can, and then get taxed on the rest.

The Rich:

1. Earn
2. Spend (via corporations)
3. Then, pay taxes

The Poor:

1. Earn
2. Pay taxes
3. Then, spend

So "mind your own business", Robert says.

Keep your daytime job initially, but start buying real assets like:

1. Business that don't require your presence to generate income for you
2. Stocks
3. Bonds
4. Mutual funds
5. Income-generating real estate
6. Notes
7. Royalties

Work to learn. Don't work for money: