How to win friends and influence people. – Dale Carnegie






Now, let me tell you about the principles discussed in the book.

Part 1: Fundamental Techniques in Handling People

  1. Principle 1: Don’t criticize, condemn or complain
  2. Principle 2: Give honest and sincere appreciation

Part 2: Six Ways to Make People Like You

  1. Principle 1: Become genuinely interested in other people
  2. Principle 2: Smile
  4. Principle 4: Be a good listener

Part 3: How to Win People to Your Way of Thinking

  4. Principle 4: Begin in a friendly way
  10. Principle 10: Appeal to the nobler motives
  11. Principle 11: Dramatize your ideas
  12. Principle 12: Throw down a challenge


  1. Principle 1: Begin with praise and honest appreciation
  2. Principle 2: Call attention to people’s mistakes indirectly
  4. Principle 4: Ask questions instead of giving direct orders
  5. Principle 5: Let the other person save face

How to keep a disagreement from becoming an argument:

  1. Welcome the disagreement
  2. Distrust your first instinctive impression
  3. Control your temper
  4. Listen first
  5. Look for areas of agreement
  6. Be honest
  8. Thank your opponents sincerely for their interest


  3. Ask yourself what is it the other person really wants
  5. Match those benefits to the other person’s wants

You can buy the book How to win friends and influence people by Dale Carnegie from the following link:

If you like How to Win Friends and Influence People, you may also enjoy the following books:



•  To Sell Is Human: The Surprising Truth About Persuading, Convincing, and Influencing Others by Daniel H Pink.

Happy Reading.





  1. Rich Dad Poor Dad is about Robert Kiyosaki and his two dads—his real father (poor dad) and the father of his best friend (rich dad)—and the ways in which both men shaped his thoughts about money and investing.
  2. You don’t need to earn a high income to be rich.
  3. Rich people make money work for them.


  1. The poor and the middle-class work for money. The rich have money work for them.
  2. It’s not how much money you make that matters. It’s how much money you keep.
  3. Rich people acquire assets. The poor and middle class acquire liabilities that they think are assets.
  4. Financial aptitude is what you do with money once you make it, how you keep people from taking it from you, how to keep it longer, and how you make money work hard for you.
  5. The single most powerful asset we all have is our mind.


Lesson 1: The Rich Don’t Work for Money

There are two main emotions which can prevent people from developing wealth: fear and desire; fear of not being able to pay monthly expenses or fear of losing money keep many entrenched in the day-to-day work, preventing many from evaluating investments and other sources of income.

The desire to keep up appearances via buying expensive clothes or cars drives expenses so high that people have no choice but to stay focused on their jobs to maintain their lifestyle. Lesson one is all about understanding those two emotions and stopping them from hindering one’s success. The Rich Dad was more focused on ways of creating residual money, money that increases even if you don’t work, rather than waiting for the next job with a pay raise

Lesson 2: Why Teach Financial Literacy?

Developing financial literacy is key to having any success with money. Financial literacy is simply the study of managing one’s finances. Robert Kiyosaki breaks down the basics of financial literacy in order to show the differences in cash flow for different income levels.

There are a few key terms one would need to understand in order to see differences. Income is simply the amount of money you earn (wages, salaries, etc.). Expenses are things like (taxes, food, rent, clothes, fun, and transportation). An asset is something that puts money into your pocket (stocks, bonds, investments). A liability is anything that takes money out of your pocket (home mortgages, loans, credit card debts.)

To put it simply, the rich are able to live well off of the returns from their investments such as stocks and bonds covering any expenses. While a poor person is using the majority of his wages to pay for his prospective living expenses. In order to become wealthy, one must focus on increasing his assets (investments) rather than focusing on increasing his income (pay raises).

Lesson 3: Mind Your Own Business

As mentioned in the previous lesson, the key attribute that must be developed in order to gain wealth is to focus on your asset column. The rich focus on improving the size of their investments rather than simply waiting or demanding pay raises in their income.
This means keep your expenses low, reduce your liabilities and diligently build a base of solid assets.

Lesson 4: The History of Taxes and The Power of Corporations

This is the power of limited liability. By creating a personal corporation, the rich are able to avoid many of the personal taxes the poor face through corporate exemption. However, please note the word avoidance compared to evasion! Avoidance simply means using loopholes in tax laws to your advantage where evasion is simply not paying taxes at all, which is illegal.

By filing as a corporation, the rich are able to mitigate their losses to only the amount they invested in the corporation. They are able to pay taxes after they pay for expenses. For people who have jobs, it’s the opposite case where taxes are taken out of paychecks before one is able to cover expenses.

In Comparison:

The Rich People with Corporations
1.    Earn
2.    Spend
3.    Pay Taxes

The People who work for Corporations
1.    Earn
2.    Pay Taxes
3.    Spend

Lesson 5: The Rich Invent Money

The idea behind this is that wealth takes a combination of financial intelligence and a little bit of guts. The one thing that holds a lot of people back is some degree of self-doubt. In order to gain wealth, there needs to be a degree of self-confidence. This means investing money outside of the comfort zone. While saving at the bank seems secure, it is not worthwhile because savings rates are often below the rate of inflation. As a Young Jeezy rap lyric once goes, “Scared money don’t make money.” Kiyosaki follows the same logic, if you truly want to see your investments grow exponentially you must be willing to put in the money in places that show relative risk.

Lesson 6: Work to Learn—Don’t Work for Money

A familiar acronym for job is just over broke. Oftentimes, it’s easy to get caught up in a job as a means of security or money. However, the rich use jobs as learning opportunities to develop necessary skills to be successful.

“According to Kiyosaki, real assets fall into the following categories:

  1. Stocks
  2. Bonds
  3. Income-generating real estate
  4. Notes (IOUs)
  5. Royalties from intellectual property such as music, scripts, and patents
  6. Anything else that has value, produces income or appreciates, and has a ready market”

“Kiyosaki reminds people that financial IQ is made up of knowledge from four broad areas of expertise:         

  1. Accounting
  2. Investing
  3. Understanding markets
  4. The law”

“The main management skills needed for success are:

  1. Management of cash flow
  2. Management of systems
  3. Management of people”


  1. Fear
  2. Cynicism
  3. Laziness
  4. Bad habits
  5. Arrogance”

“In the world of accounting, there are three different types of income:         

  1. Ordinary earned
  2. Portfolio
  3. Passive”


This is a great read especially for the ones new in the field of business or investing. In the initial chapters it starts with the basic difference between the assets and liability which is quite different from the one taught in schools. One criticism which the book has is its focus on real estate which is far more difficult for a beginner investor then explained in the books. I’d recommend this book as an excellent way to challenge your thinking about work and money, but only if you combine it with other books that make tactical recommendations of financial issues because this book doesn’t have many actionable suggestions. I will recommend some other books in the coming articles.

You can buy the books from the link below.