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

Education’s Failure
Pictured below is the Cone of Learning. It was developed by Edgar 
Dale in 1969.
Cone of Learning
After 2 weeks we 
tend to remember
90% of what we say 
and do
70% of what we say
50% of what we hear 
and see
30% of what we see
20% of what we hear
10% of what we read
Source: Cone of Learning adapted from Dale, (1969)
Doing the Real Thing
Simulating the 
Real Experience
Doing a 
Dramatic Presentation
Giving a Talk
Participating in a Discussion
Seeing it Done on Location
Watching a Demonstration
Looking at an Exhibit
Watching a Demonstration
Watching a Movie
Looking at Pictures
Hearing Words
Reading
Nature of Involvement
Active
Passive
Cone of Learning
After 2 weeks we 
tend to remember
90% of what we say 
and do
70% of what we say
50% of what we hear 
and see
30% of what we see
20% of what we hear
10% of what we read
Source: Cone of Learning adapted from Dale, (1969)
Doing the Real Thing
Simulating the 
Real Experience
Doing a 
Dramatic Presentation
Giving a Talk
Participating in a Discussion
Seeing it Done on Location
Watching a Demonstration
Looking at an Exhibit
Watching a Demonstration
Watching a Movie
Looking at Pictures
Hearing Words
Reading
Nature of Involvement
Active
Passive

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Chapter Five
Unfair Advantage
183
182
In the world of professional golfers, the difference between the top 
20 money winners and the top 125 golfers is less than two strokes. In 
other words, the top 20 make millions, and the next 100 golfers earn a 
comfortable living. 
The game is the same. And the difference is not just natural talent. 
The difference is in dedication to learning to become the best. This is
an example of the Third Law of Compensation: the power of 
compounding education.
Education is not a class, a course, or a few lessons. True education
is a process. True education can sometimes be a painful process, 
especially at the start when it’s hard work with little in return. 
While Tiger Woods may not be a good example of faithfulness in 
marriage, he is a good example of success in golf. Tiger dropped out
of Stanford in 1996 to become a professional golfer at the age of 20.
The moment he turned pro, he signed endorsement deals for $40 
million with Nike and $20 million with Titleist. Not a bad start for
a college dropout. 
Some might say he is naturally gifted and an overnight success.
He may be naturally gifted, but he was not an overnight success. It took 
time, dedication, and sacrifice to develop his talents. More important 
than the age he turned pro is the age at which he started his golf career. 
When Tiger was a baby, his dad created a driving range in his garage 
with a carpet and a net. Before Tiger could walk, he would sit in his high 
chair and watch his dad hit practice balls into the net.
When he was nine months old, his dad sawed off a golf club so Tiger 
could hit balls into the same net. When he was 18 months old, Tiger 
began going to the golf course with his dad and hit buckets of balls on 
the driving range.
At the age of three, he shot a 48 for nine holes at the Navy Golf 
Club in California. When he was four, his dad hired a coach for Tiger. 
At six, he began to play in junior contests. And in1984, at the age
of eight, he won the 9-10 boys’ event at the Junior World
Golf competition.
You get my point. 
There are CASHFLOW clubs all over the world that teach and 
support people on their path to becoming entrepreneurs and investors, 
just as the military uses simulators to train military pilots.
A word of caution: Many people play the CASHFLOW game once 
or twice and think they are seasoned investors. Once again, this is 
arrogance in action.
CASHFLOW clubs will allow you to move on to focus on one of 
the four asset classes —entrepreneurship and business, real estate, paper 
assets, or commodities. Then we advise continuing your education, 
hiring a coach to guide you through your real-life process. The process 
of investing time to become a better investor or entrepreneur before 
investing or starting a business with your life savings will help increase 
your chances of success.
The more important and risky the venture is, the more important 
games and simulations are in the learning process. That’s why 
professional athletes practice more than play, actors rehearse more than 
act, and why doctors and lawyers call their businesses a “practice.”
The power of compounding education is staggering. Most of us 
have heard about the power of compounding interest rates. Many 
of us know that mutual funds profit via the power of compounding 
expenses. And most of us are very aware of America’s compounding 
national debt.