Robert Kiyosaki, the author of the best-selling personal finance book Rich Dad Poor Dad, says his real-estate business empire is backed by approximately $1.2 billion in debt.
The 79-year-old financial educator, who rose to international prominence following the publication of Rich Dad Poor Dad in 1997, has said the book has sold more than 44 million copies worldwide.
Kiyosaki has repeatedly cited his debt level in podcasts and interviews as an example of his approach to wealth creation. He argues that wealthy investors often use borrowed money to acquire income-generating assets rather than relying solely on their own capital.
“I’m a billion two in debt,” Kiyosaki said during an appearance on the Get Rich Education podcast, according to the New York Post.
His investment strategy involves borrowing against properties as their values increase, allowing him to access capital without selling the underlying assets. He has also said that he structures individual investments through separate limited liability companies (LLCs), which can help isolate the financial risks associated with different ventures.
However, Kiyosaki has warned his followers not to replicate his strategy without fully understanding the risks involved.
“You should not do what I do,” he said, emphasizing that he had studied the use of debt as an investment tool since 1974 and that people seeking to use debt should first educate themselves.
Ex-wife questions how debt figure is portrayed
Kiyosaki’s former wife and business partner, Kim Kiyosaki, has disputed the way the $1.2 billion figure is interpreted publicly.
Speaking to Vanity Fair, Kim said the debt is associated with approximately 1,500 apartment units held jointly with business partners and does not represent Robert Kiyosaki’s personal liability for the entire amount.
She also suggested that Kiyosaki intentionally highlighted the billion-dollar figure to attract attention before explaining his investment philosophy and his belief that debt can be used as a wealth-building tool.
According to Vanity Fair, if Kiyosaki’s reported annual income of approximately $3 million is accurate, his actual share of the debt could potentially be between $30 million and $60 million, depending on the ownership and financing arrangements involved.
Kiyosaki has long promoted financial education, investment in real estate and the strategic use of debt, although financial experts generally caution that leveraging assets can significantly increase losses as well as potential returns.
