What Schools Will Never Teach You About Money By Robert T. Kiyosaki

Law of Compensation #3 
Leverage the power of compounding financial education.
The more you learn on the B and I side, the more you’ll earn. Over time, 
as your education compounds, so do your returns. In other words, you 
earn more and more with less and less effort. 
This is the true power of financial education. 
To better understand the Law of Compensation #3, a person needs to 
understand that the true power in education is not found in a classroom, 
seminar, books, report cards, or diplomas. 
Simply put, “You can teach a person to fish, but you cannot force a 
person to learn to fish.” There are two important points related to
this statement:
1. The power of education is unleashed after you leave school, take a class, 
seminar, or read a book and begin applying your education. 
This is why medical doctors go to four years of college, four years
of medical school, and then become interns or resident doctors
for another four to eight years. Throughout this process they gain 
real-life experience before becoming real doctors.
I did not become a ship’s officer until after I left the academy. And
I did not become a pilot until I had finished two years of flight school.
I did not become a competent combat pilot until I was in Vietnam
for six months. Incompetent pilots were often dead in the first
two months.
People who have no financial education often fail. Rather than 
take classes on entrepreneurship or investing, they begin trading 
stocks, flipping real estate, or become entrepreneurs. Then they 
wonder why they failed or failed to produce extraordinary results. 
If they fail, many just quit, blaming something or someone for 
their failure. 

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Chapter Five
Unfair Advantage
181
180
The Cone of Learning illustrates the effectiveness of various methods 
of learning by measuring retention. 
You may notice that the most impactful way to learn is illustrated 
at the top of the cone: simulation and doing the real thing. The least 
meaningful way to learn is at the bottom of the cone: reading and lecture. 
In flight school, pilots were trained extensively on simulators. Once we 
were competent on simulators, we flew the real aircraft. Kim and I created 
the CASHFLOW game as a simulator. The game allows players to make as 
many mistakes as possible with play money, not real money.
2. Learning also compounds. The true abundance of money is found in 
the power of compounding financial education. 
In other words, the more you learn about money in the B and I 
quadrants, the more money you’ll make.