Robert Kiyosaki, 'Rich Dad, Poor Dad,' Proudly Says He's $1.2 Billion In Debt And That's Why He's So Rich — 'I Use Debt as Money and I Don't Save Cash'

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For decades, Robert Kiyosaki has taught people how to get rich without working harder. He's the man behind Rich Dad, Poor Dad, one of the best-selling personal finance books of all time, and a vocal critic of traditional financial advice. So when headlines broke last year revealing he's $1.2 billion in debt, some readers were shocked. His fans? Not so much.

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In a Instagram reel, Kiyosaki gave a quick masterclass in his long-standing approach to wealth-building. The key? Debt—not as a danger, but as a tool. "I use debt as money and I don't save cash," he said. "I only use debt to buy assets."

That distinction matters. He doesn't borrow to buy things that lose value—he borrows to build his portfolio. In the video, he points to his Ferrari and Rolls Royce as an example. They're fully paid off, he says, and considered liabilities, not assets. His debt, on the other hand, is tied to investments that generate income.

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His skepticism toward saving money runs deep. Kiyosaki blames the 1971 U.S. decision to abandon the gold standard for what he sees as the dollar's slow decline. Rather than save cash, he converts earnings into gold and silver, and he's vocal about his support for Bitcoin as a hedge against fiat currency. "I don't trust the frickin' dollar," he's said in previous interviews, and his investment choices reflect that view.

In the reel, Kiyosaki doesn't flinch when discussing the size of his debt. He openly states that he's $1.2 billion in the red—but not by accident. "If I go bust, the bank goes bust," he says. "Not my problem." The point isn't recklessness. It's strategy. Kiyosaki believes in using "good debt"—loans that help acquire assets, not depreciating goods. In his world, debt is leverage. It multiplies opportunity.

It wasn't the first time Kiyosaki spoke openly about his debt. In a 2022 YouTube video, he stated he was $1 billion in debt at the time, with the caption, "The reason I'm so rich is because I'm in debt." He explained that he pays no taxes because, in his words, "I'm a debtor."

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For many people, though, that much debt isn't just uncomfortable—it's unimaginable. And that's exactly where philosophies start to split. Kiyosaki's playbook requires confidence, education, and a high tolerance for risk. Not everyone wants—or needs—a billion-dollar bet on their balance sheet.

Real estate has always played a central role in Kiyosaki's strategy, but not everyone has the capital or credit to follow that path. Some prefer a route with fewer zeroes and less risk. Platforms like Arrived let everyday investors buy fractional shares in rental homes without taking on any personal debt or dealing with property management. It's one way to invest in real estate without a million-dollar mortgage or a landlord hat.

Kiyosaki's broader message, though, is clear: the average person needs to understand the difference between assets and liabilities—and how money works in a system built on debt. He's never been shy about challenging mainstream financial thinking. Where others see danger, he sees opportunity, as long as the debt is doing the heavy lifting.

Whether his approach sounds bold or borderline terrifying, it's consistent with what he's always preached. Kiyosaki isn't advocating debt for the sake of it. He's making the case for using it as a tool. The kind that, when used right, doesn't bury you—it builds you.

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This article Robert Kiyosaki, 'Rich Dad, Poor Dad,' Proudly Says He's $1.2 Billion In Debt And That's Why He's So Rich — 'I Use Debt as Money and I Don't Save Cash' originally appeared on Benzinga.com

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