What are assets and liabilities?

Robert Kiyosaki Rich Dad Poor- Dad book, defines ASSETS as simply putting money in our pocket and LIABILITY is simply taking away money from our pocket, and according to him, to know whether an asset is really an asset, we have to see two financial statements. An item may be called an asset to someone but a liability to another. Just like an expense for someone but an income to another.

• Example: A bank will tell us that our house under a mortgage is an asset, while it really is, whose asset is it? Is it the bank asset or our asset? Reading two financial statement will let us see two sides of the story, the payment mortgage will be an asset to the bank since it put money to their pocket via mortgage payment, and is a liability to us since it takes away money from our pocket. Our savings in the bank will be a liability to them since it cost them money to safeguard it, but an asset to us because it puts money into our pocket via interest earned paid by the bank.

The poor, once they receive their paycheck usually spend it all without leaving any extra just before the next salary. They do deficit budgeting, even if they want to save, they just can't do it due to lack of self-control and, is usually not keen on educating themselves financially. 

The middle class usually prefer job security than financial freedom. They are fearful to take a risk, they buy what they thought to be an asset, it could actually be an asset, but the fact that it doesn't generate income, it becomes a liability. They work hard to pay off their supposed assets, instead of letting the assets pay for itself and really become an asset that generates income. 

The rich generate their income from their assets and pay their liabilities by the income generated by their assets. These are usually called portfolio income and passive income. Their money is working hard for them not the other way around.