Before buying your first flat or your first share, you can get everything wrong with no consequences: on a game board. Cashflow, created by Robert Kiyosaki in 1996, lets you experience in two or three hours what the book ‘Rich Dad Poor Dad’ explains in 200 pages.
The idea: escaping the rat race
Each player draws a random profession (janitor, nurse, lawyer, pilot, doctor…) with a salary, expenses and debts. The board is divided into two areas:
- The rat race, the inner circle. You collect your salary, pay your expenses and try to buy assets that produce passive income.
- The fast track, the outer circle. You get there as soon as your passive income exceeds your monthly expenses. That is the very definition of financial independence.
On the fast track, you win by buying your ‘dream’ or by adding $50,000 of monthly cash flow.
- Rat raceSalary, expenses, buying assets
- Passive income > expensesThe moment you leave the inner circle
- Fast trackBuy your dream or add $50,000 of monthly cash flow
What the game really teaches
Filling in your own balance sheet
No bank counts for you: each player keeps their own income statement (income, expenses) and balance sheet (assets, liabilities). This is the game's biggest contribution. After three games, you read a balance sheet without thinking about it.
Small and big deals
You choose between small deals (stocks, a small building, a property to renovate) and big deals (apartment buildings, businesses), often bought on credit. You understand leverage: a $20,000 down payment can control a $100,000 property.
‘Doodads’
Cards force you to pay for useless purchases: a new phone, a dinner out, a boat. It is funny, then annoying, then enlightening: in real life too, these expenses cost years.
The unexpected
Layoffs, the birth of a child, a market crash: the game shows why a cash cushion matters as much as returns.
The market
‘Market’ cards offer to buy your properties at a given price. You learn that a capital gain is realised at the right moment, and that selling an asset that pays every month is not always a good idea.
And you, where are you in the rat race?
Enter your real figures: it is the same calculation as on the game sheet.
The different versions
| Version | For whom |
|---|---|
| Cashflow 101 (or classic Cashflow) | The basic game, from about age 10 with an adult |
| Cashflow 202 | Advanced expansion: options, short selling, higher risks |
| Cashflow for Kids | Children's version, without complex numbers |
| Digital versions | To play alone or online |
Playing online. The Rich Dad company offers an online version of the game, to play alone or with others: CASHFLOW online at richdad.com.
How to get the most out of it
- Play in a group, with an experienced facilitator. Cashflow clubs exist in many cities: search for ‘Cashflow club’ and the name of your city on Meetup or Facebook.
- Play several times. In the first game, you learn the rules. By the third, you learn about yourself.
- Watch your reflexes. Did you turn down every deal out of fear? Borrow to the max? That is often what you would do for real. See knowing yourself to invest better.
- Debrief. After the game, ask everyone what they would do differently. That is when the lesson sticks.
- Copy your real balance sheet onto the game sheet. The exercise is often a wake-up call.
The game's limits
- Returns are very optimistic: properties yielding 20 or 30% on the down payment are common in the game, rare in reality, especially in Belgium.
- There is no capital gains tax, no registration duty, no vacancy and no unexpected repairs. For reality, read buy to let.
- Some ‘Cashflow clubs’ are a gateway to paid courses or sales networks. Play, but do not sign anything that evening.
Where to find these services
- CASHFLOW online (Rich Dad)The official online version of the game
- MeetupTo find a Cashflow club near you
Links provided for information, with no partnership. Always check a provider's terms and authorisation before committing.
Test yourself
3 questions to check what you remember. Click an answer: the explanation appears straight away.
Question 1 of 3How do you get out of the rat race in the Cashflow game?
That is the definition of financial independence, transposed onto the board.
Question 2 of 3What do the ‘doodad’ cards represent?
Phone, dinner, boat: these expenses cost turns, just as they cost years in real life.
Question 3 of 3What is an important limit of the game?
The game's returns are far more optimistic than reality.
Frequently asked questions
What is the Cashflow game?
A board game created by Robert Kiyosaki in 1996. Players try to escape the ‘rat race’ by buying assets until their passive income exceeds their expenses.
How long does a game of Cashflow last?
Allow two to three hours for a full game with four or five players, a little longer for the first one while you learn the rules.
From what age can you play Cashflow?
The classic version suits teenagers and adults, and children of around ten with an adult. Cashflow for Kids exists for younger players.
How do you win at Cashflow?
First escape the rat race (passive income above expenses), then, on the fast track, buy your dream or add $50,000 of monthly cash flow.
Sources
This article is educational and is not personal investment, tax or legal advice. Figures change: check them with the sources cited or a licensed professional before deciding. Read the full disclaimer.