This is one of those books that I have read at least a dozen times, and every time I read it again I learn something new. This book covers the four main ways of earning income: working for someone else (an employee), working for yourself (self-employed), owning a successful business (a business owner), and investing in other successful businesses (an investor). The first two are active means of income; in other words, they require you to continue devoting time and energy into the equation in order to make money. If you stop working, the paychecks will stop coming. The latter two are passive, in that once you invest the time or money initially, they continue to pay you day in and day out. Most successful people choose to create investment vehicles which continue to grow without their continued involvement, as it leaves them more free time to find new investments. Vast fortunes can be made in any of the quadrants, but most successful people end up as business owners and/or investors.

One thing I like about this book is that is makes a clear distinction between people who are self-employed, and people who own a business. Many people think they own a business, but are actually self-employed. A common example of self-employment is a doctor who has clients, and bills them for visits. If the doctor were to go on vacation, he wouldn't be meeting with patients, and thus he wouldn't be making any money. Though he is operating as a business, the doctor is actually self-employed, as his income depends on his own work. If he stops working, his business will grind to a halt. Compare this with someone who employs doctors and nurses and administrative staff, provides an office, and hires someone to manage all his personnel. The day-to-day operations of the business are no longer in the hands of the business owner; his business will continue to make money whether he works or not. As long as he hires competent talent, he can go on vacation, or focus on other ventures, while his doctor's office business continues to thrive, and even grow without his presence. He is now a businessowner-- he makes money from the company whether he chooses to work there or not. Clearly, having income that doesn't depend on your own efforts gives you much more freedom, and allows you to pursue your dreams and passions without having to worry about working for a paycheck just to get by.

This is a must-read book, so go check out a copy from your local library. I received my copy as a gift, and have gotten so much use out of it over the years. Every time I read this book with a slightly different mindset, I continue to learn new ideas that I hadn't thought about the last time I read it. To get more information about this book, view it on Amazon.