‘I am $1.2 billion in debt’: Robert Kiyosaki claims using debt to invest is a smart move
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Robert Kiyosaki, author of the bestselling book Rich Dad, Poor Dad, doesn’t always agree with Dave Ramsey’s advice when it comes to debt.
In a March 2025 tweet, Kiyosaki posted (1): “My friend Dave Ramsey says ‘Live debt free.’ I say ‘I use debt to invest. I am $1.2 billion in debt.’ Again, who is right?”
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Kiyosaki champions an investment philosophy that leverages debt, not as a burden but as a tool to build wealth by investing in tangible assets such as precious metals.
In a recent interview on the School of Hard Knocks Podcast, Kiyosaki reiterated his belief in debt (2).
“If you can't manage debt — live debt-free,” he said. “But the opposite side of that is to learn to handle debt. Because in 1971, when Nixon took the dollar off the gold standard, the US dollar became debt. So that's why my rich dad said, ‘You better take a course on real estate, learn how to raise capital [and] invest. Learn how to talk to your banker about getting debt and then use the real estate to provide cash flow, not income.”
This dual focus on freedom to spend and security to weather financial storms contrasts with Ramsey’s emphasis on achieving financial security through strict debt elimination.
So, is Kiyosaki’s debt-driven strategy a viable path to building wealth?
If you want to invest like Kiyosaki without going into a billion dollars of debt, here’s where you can start.
Precious metals
Precious metals, like gold and silver, are widely favored as safeguards against inflation and economic instability. Kiyosaki agrees with this, acknowledging the U.S. dollar’s disconnection from the gold standard since 1971 during the presidency of Richard Nixon.
In October 2023 (3), Kiyosaki predicted, “Gold will soon break through $2,100 and then take off. You will wish you had bought gold below $2,000. Next stop, gold $3,700.”
In the two years following that tweet, gold surpassed his prediction, posting massive gains in 2025. Currently, gold is sitting at roughly $4,460 an ounce (4).
You can take advantage of the long-term market potential of this precious metal by starting a Precious Metals IRA with help from Thor Metals.
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