Rich Dad Poor Dad Author Robert Kiyosaki Is $1.2bn in Debt — Here’s Why He Says It Makes Him Richer

Robert Kiyosaki, the bestselling author of Rich Dad Poor Dad, is once again making headlines after revealing that he carries about $1.2 billion in debt, largely connected to his real estate investments.

Kiyosaki has repeatedly discussed his enormous debt as part of his investment philosophy, arguing that borrowing can be a tool for building wealth when the money is used to acquire assets that generate income.

Kiyosaki Says He Uses Debt to Build Wealth

The 79-year-old financial educator has long challenged the conventional idea that all debt is bad.

Kiyosaki says his strategy involves borrowing money to acquire income-producing assets, particularly real estate. He argues that such debt is fundamentally different from consumer debt used to finance expenses that do not generate income.

His comments have attracted renewed attention because the $1.2 billion figure sounds like a personal liability of that size, but reporting on his real-estate partnerships provides important context.

He Does Not Personally Owe the Full $1.2 Billion

According to Kim Kiyosaki, Robert's former wife and longtime business partner, the $1.2 billion figure is largely the combined debt associated with their real-estate investments and their partners, rather than money Robert personally owes.

The portfolio reportedly includes approximately 1,500 apartment units owned through partnerships. His personal share of the debt has been estimated at roughly $30 million to $60 million, although the precise figures have not been publicly disclosed.

That distinction is significant because the debt is backed by real estate assets rather than representing a $1.2 billion unsecured personal loan.

Why Kiyosaki Isn't Worried

Kiyosaki's financial philosophy centres on the idea of “good debt” versus “bad debt.”

He believes debt used to acquire assets that produce cash flow can potentially help an investor build wealth. Rising rents and property values, for example, can increase the value and income generated by leveraged real estate while the underlying debt remains tied to the properties.

However, leverage also carries significant risks. Falling property values, higher interest costs, vacancies or declining rental income can make heavily indebted investments much harder to manage.

A Philosophy He Has Promoted for Years

Kiyosaki made his name with Rich Dad Poor Dad, first published in 1997. The book became the foundation of his broader financial-education business and promoted ideas centred on assets, entrepreneurship, investing and financial independence.

His willingness to discuss his own debt has become part of that philosophy. In 2026, he has continued arguing that investors should understand how leverage works rather than automatically treating all borrowing as financially harmful.

The Bigger Lesson

Kiyosaki's $1.2 billion debt claim highlights an important distinction between being highly leveraged and being financially distressed.

Large amounts of debt can magnify both gains and losses. An investor can use borrowing to control valuable income-producing assets, but the strategy can become dangerous when asset values or cash flows deteriorate.

For Kiyosaki, the enormous debt figure is evidence of his investment strategy. For critics, it is a reminder that leverage can introduce substantial financial risk.