The Money Advantage Podcast

Are you ready to transform your financial growth mindset? In today's enlightening episode, we dive deep into Nelson Nash's book, Becoming Your Own Banker, and explore the concept of the arrival syndrome - a dangerous belief that we've reached the pinnacle of knowledge and understanding. We'll discuss the fixed mindset versus the growth mindset, and how these mindsets play a crucial role in the world of Infinite Banking. https://www.youtube.com/watch?v=h1TuPm4voX0 Hear our recommendations on defeating the Arrival Syndrome, embracing continuous learning, and making the most of our services at The Money Advantage to create a tailored financial plan. This episode will challenge your beliefs and reveal new strategies to keep and control more of your hard-earned money. Don't miss out! The Arrival SyndromeCarol Dweck and the Fixed MindsetArrival Syndrome and IBCBook A Strategy Call The Arrival Syndrome Arrival Syndrome, which Nelson Nash discusses in his book, Becoming Your Own Banker, is detrimental to wealth building. [7:15] “If we think we’ve arrived, if we think we know everything, then we have this arrival syndrome, which is the illusion of knowledge that shortcuts us and makes us stop growing.” If you believe you have arrived—at success, at financial freedom, at peace—you give yourself permission to stop trying. Doing so prevents any future growth, and that’s a dangerous place to be. For example, people who experience large windfalls often see a large sum and believe that they’ve made it. They think they’ll be set for life because it’s the most money they’ve ever seen. So they stop working and squander money, only to realize that money was finite after all. You can also think of it this way—what if Steve Jobs had stopped at the Macintosh? What if Henry Ford stopped after building his first gasoline engine? These were valuable inventions, and neither of them could guess just how far their work would go, and yet they kept inventing and growing. Their growth mindsets and curiosity allowed them to keep pushing the envelope, keep inventing, and do the unthinkable. [7:55] “Arrival syndrome is equal to arrogance, and arrogant people breed ignorance. Ignorance is about not even knowing something. It’s not that you can’t know it, [it’s that you haven’t been exposed to it].” Carol Dweck and the Fixed Mindset A similar idea comes from Carol Dweck, author of “Mindset: The New Psychology of Success.” Rather than arrival syndrome, she talks about having a “fixed mindset.” Those with a fixed mindset believe that intelligence is static, desire to look smart, and may even avoid things that seem challenging. By having a fixed mindset, you’re destined to plateau and have your worldview confirmed. If you look at the world through a fixed mindset, you’re experiencing arrival syndrome. You don’t feel like you have anything left to learn or do; you don’t have to exert yourself or expend effort, and you’re locked in. While you may be perfectly fine in this state, you'll never strive for anything greater. The possible becomes impossible because there is no room or desire for growth. [12:55] “Whereas a growth mindset recognizes that we all have the capacity to continue growing. There’s always more growth potential beyond what we already know, and we have to be humble… in order to have a growth mindset.” If you can switch your thinking around, the impossible becomes possible with effort, intention, and practice. There's no guarantee that things will be easy, however, you create new possibilities for yourself and your family every day. Making more money is possible, getting out of a bad spot is possible, generational wealth is possible—and an infinite number of things you can't even imagine yet. IBC is a part of this world of possibility because it requires a growth mindset to unlock its true value. Arrival Syndrome and IBC The common pitfall we see is when someone discovers IBC there's a chance they reach arrival syndrome themselves. Not only is this true for people who want to use it, but it's also true for financial professionals. They believe that after reading up on IBC, they’ve learned everything they need to, so further education or communities that might support growth seem unnecessary. And yet, there’s so much to learn. People don’t know what they don’t know. And even if you do dedicate years to learning about IBC, there's new stuff to discover constantly. [34:15] “There’s a lot of people in this industry that I believe have actually not fought off the arrival syndrome yet.” Within IBC spaces, you’ll find that advisors who have been in the business for decades are constantly seeking new wisdom and discovering new ways to help their clients. These growth-oriented people are a good fit if you yourself are growth oriented. And that's the secret—you have to adopt a willingness to learn, too. Book A Strategy Call Do you want to coordinate your finances so that everything w

You've decided that you want an Infinite Banking (IBC) policy. You've done the research, and you want a better place to store cash that has the benefits of safety, liquidity, and growth on cash storage. https://www.youtube.com/watch?v=1qJ8xIj5W4A What's next? What should you expect as you go through the purchase process? In this episode, we take a deep dive into the Infinite Banking Concept (IBC) and explore the intricacies of illustrations, underwriting, and loans. Join us as we navigate the complexities of IBC and help you make informed decisions about your financial future. Insurance is a ContractDirect Recognition vs. Non-Direct Recognition Life InsuranceYour Finances Impact Your ChoicesThe IBC Underwriting ProcessPossible Insurance Rating ClassesAccelerated UnderwritingIBC Death BenefitBook A Strategy Call Insurance is a Contract [4:28] “Contracts are the backbone of any society.” Nelson Nash said this and furthermore believed that if contracts were breached, that would mean the collapse of society. This is why you can rely on your whole life insurance policy–anything that is in your contract and part of your policy design will remain true for the entire length of your policy. Even as tax law changes and the IRS modifies what’s possible with a life insurance contract, this only affects future contracts. For example, in 1988 the IRS introduced something called a MEC limit. MEC stands for a modified endowment contract and is what a life insurance policy becomes if it’s over-funded. When you have a MEC, your policy loses all tax advantages. This happened because people were putting so much money into their insurance and accessing that money tax-free, and the IRS wanted a slice of the action. However, thanks to contract law, MEC limits (the maximum premium you can contribute without turning your policy into a MEC) only applied to new policies. To this day, Bruce has policies from the 80s that were never subject to MEC limits. This is an incentive to start a policy as soon as possible. You don’t know what the future holds, or how the IRS might modify the rules. You do know that you have a need for capital and a need for insurance. By locking it in today, you have more time to build capital, and you lock in all the current benefits of a life insurance contract. Those benefits cannot and will not be changed once the contract is signed. Direct Recognition vs. Non-Direct Recognition Life Insurance If you’re ready to buy a policy, it’s worth considering whether you want to work with a direct recognition or non-direct recognition company. This determines how dividends are applied to your cash value when you have an outstanding loan. Direct recognition companies “directly recognize” when you have an outstanding loan, and apply the dividend differently to any cash value with a lien on it. Non-direct recognition companies apply the dividend equally across your cash value, even if you have a lien on some of it. While this may make non-direct recognition seem better, there are no deals in the life insurance industry. In other words, everything is a trade-off. Direct recognition doesn’t automatically mean that cash value with a lien on it will earn less. It really means that it will be applied proportionately to the loan interest rate. And if the interest rate is much higher than the declared dividend, that portion of your cash value may actually earn a bit more. But if you intend to use your cash value often, non-direct recognition may be your best bet. The important takeaway here is that one is not leagues better than the other. After all, interest rates and dividends are unpredictable. Companies will ebb and flow. So don’t get too hung up on the little things, especially if it holds you back from making a choice. Go with your instinct, and don’t sweat the decision too much. You can always have multiple policies with different constructions. Your Finances Impact Your Choices Before you make any choice, it’s crucial that the team you’re working with takes your full financial picture into consideration. There’s no single “best” policy design. While there are some guidelines, your specific policy will depend on what you already have, and what your goals for the future are. This will even change over your lifetime, so as you grow, you may find yourself with a portfolio of very different policies. [19:36] “A full financial picture means they need to know what your income is in the household. They need to know what your expenses are in the household. They need to know not only what your assets are, but where they’re laying.” While insurance producers are not legally considered fiduciaries, we believe that this is a fiduciary responsibility your team has to you. Your personal economy matters. It’s going to impact your base premium to PUA ratio, the amount of death benefit you need and how to get it (such as blending term insurance and whole life insurance), whether you’re going to prioritize early cash value

Do you want to be in control, have excellent opportunities, and automatically gain the upper hand in negotiations? In part 9 of the "Becoming Your Own Banker" series, we discuss the path to financial freedom and control with this truism we call The Golden Rule: "Those who have the Gold make the rules." https://www.youtube.com/watch?v=TTvP69_9wVI In today's episode, we'll discuss the benefits of capitalism, the lost art of saving, the proper role of the Constitution, Ayn Rand, Shakespeare, personal responsibility, the requirement of an alert, informed, and jealous citizenry... and how it all ties back to the Infinite Banking Concept. Don't miss this episode as we continue on our journey through Nelson Nash's incredible book, "Becoming Your Own Banker." Ethical Capitalism and the Golden RuleWhy You Want to Be in ControlBeing in a Position of Capital with Infinite BankingThe Benefits of Non-Liquid InvestmentsResponsibility in a Capitalistic SocietyBook a Strategy Call Ethical Capitalism and the Golden Rule Social media is rife with people who live for today, who make promises to help people get rich quickly. Ultimately, these are people who get rich on promises rather than service, while the people they’re supposed to help do not. This is shortsighted and unfortunate, and is not exemplary of ethical capitalism. Unfortunately, this is what the “Golden Rule” has turned into. You’ve probably grown up hearing about the biblical Golden Rule: “Do unto others as you would have them do unto you.” In Becoming Your Own Banker, Nelson says that financially, the Golden Rule is that “those who have the gold make the rules.” While this can be easily twisted, like with the hundreds of social media entrepreneurs, it can also unlock a path of personal wealth for you and others. When implemented from the standpoint of ethical capitalism, this Golden Rule is actually our greatest gift. Why You Want to Be in Control [15:00] “Those who are in control, who have capital, are in power. They make the rules that benefit themselves best and make the rules that everyone else follows. We don’t have to be suckered into following these rules. It’s just a natural thing that happens. And the reason that it happens is because when you have control of the capital, everyone else needs that capital.” The remedy to this is to appreciate the value of future thinking and to seek your own capital. So many of us are “living for today,” in Nelson’s words, and not thinking about what it takes in the long term to be successful. And so we give up control of capital to banks and other institutions. When you remove your capital from these systems, you take back your control, and therefore your own power. This is the long term value of saving money. [16:19] “We don’t appreciate, in our culture, having capital. We don’t appreciate the act of saving and setting capital aside so that we have access to that capital. And because we have absolved that responsibility of controlling capital, who controls it? Somebody besides us.” Being in a Position of Capital with Infinite Banking If you don’t want to have people control you, you must use the golden rule to take control. If you don’t want the banks to control you, then get your money out of the banks and into a whole life insurance policy. By doing this, you can accumulate money that benefits you and not the banks, which profit from leveraging your money. After all, banks are notorious for using customer deposits to make loans and investments, then paying a sliver of that back in interest. Whole life insurance with a mutual company allows you to grow your wealth at a more favorable earnings rate, while also providing the ability for you to leverage your own money to make investments. You get to have complete control over when and why you use the money, and the banks have no reach or power over your personal capital. The Benefits of Non-Liquid Investments In addition to having liquid capital in whole life insurance, it’s also helpful to have non-liquid capital, depending on where you keep it. This is especially true when you consider how tenuous the stock market is right now. [26:00] “When you have something that’s not liquid, it’s not affected by public emotion because you cannot sell it like you can in the public markets. And so taking emotion out of it by actually building a policy that you have to delay gratification… is actually a good thing for building capital into the future.” When you have non-liquid assets that are outside of the stock market, you have much more control over your investment. While there’s still some risk, you have much more room to make specific investments according to your goals when you look outside of stocks. It’s okay if you don’t leverage all your capital for investments. There is tremendous value in holding capital and simply saving money. You don’t need to be constantly deploying it, and by sitting on your savings, you can actually

In this episode of the Money Advantage podcast, we explore how to avoid the pitfalls of leaving an inheritance and ensure you leave a positive impact on future generations through intentional wealth management and legacy planning. https://www.youtube.com/watch?v=ZXFUVVoT_6s Inheritance, a transfer of wealth from one generation to another, can be a double-edged sword. On one hand, it can provide financial security and opportunities for the next generation. On the other hand, if mishandled, it can lead to family conflicts, spoiled children, and the squandering of hard-earned fortune. We explore the insights of Dr. Lee Hausner, a renowned consultant to high-net-worth families, family businesses, and family offices, on how to avoid the pitfalls of leaving an inheritance and ensuring a positive impact on future generations. We delve into the importance of understanding the power of money, the various types of wealth present in society, and the significance of instilling the right values in the next generation of wealth holders. Avoiding the Pitfalls of Leaving an InheritanceWealth Transfer and Legacy PlanningStrategic Planning for Family LegacyCreating Successful and Prosperous FamiliesSibling Competition and Social CompetencyAbout Dr. Lee HausnerBook a Strategy Call Avoiding the Pitfalls of Leaving an Inheritance Dr. Lee Hausner's background as a psychologist in the Beverly Hills school district exposed her to the effects of different types of wealth on families. She observed first-generation entrepreneurial wealth, trust fund wealth, and industry wealth, each with its unique set of challenges and expectations. This experience, coupled with her expertise as a consultant to high-net-worth families, has given her valuable insight into the potential pitfalls of leaving an inheritance. One of the key challenges in wealth transfer is finding the right balance between providing financial security and ensuring that the next generation does not become complacent or entitled. Overindulgence and a lack of understanding of the value of money can lead to destructive behaviors and a squandering of family wealth. Dr. Hausner emphasizes the importance of raising children who are competent and self-confident, regardless of their financial situation. This foundation will help them navigate the complexities of wealth management and inheritance, ultimately leading to more successful and prosperous families. Wealth Transfer and Legacy Planning A successful wealth transfer and legacy plan requires intentional and strategic planning. Dr. Hausner suggests that families think of themselves as a business, applying the same strategic planning techniques to their family life as they would to their professional endeavors. This includes setting goals and strategies, holding family meetings, and fostering a culture of open communication and collaboration. In addition to teaching children about the fundamentals of money management, it is crucial to instill the right values and work ethic in them. This can be achieved through a combination of education, experience, and mentorship. Dr. Hausner also highlights the importance of being strategic about when and how much to pass on to the next generation. A well-planned wealth transfer will take into consideration the needs and abilities of each family member, ensuring that the resources are used productively and effectively. Strategic Planning for Family Legacy Creating a successful family legacy requires a clear vision and a strategic approach to wealth management. Dr. Hausner recommends reverse-engineering the desired family outcome and breaking it down into achievable goals and milestones. This process should involve open and collaborative discussions among family members, ensuring that everyone's needs and aspirations are considered. One of the perennial concerns in wealth distribution is the issue of equality. Dr. Hausner suggests that families should focus on giving recipients what is beneficial, rather than simply striving for equal distribution. This approach ensures that each family member receives the resources and support necessary for their individual success, without fostering resentment or rivalry. Additionally, selecting the right trustees and advisors is critical in ensuring a smooth wealth transfer and effective management of family assets. The next generation must be equipped with the knowledge and skills to take on the responsibility of managing the family's wealth and continuing its legacy. Creating Successful and Prosperous Families Dr. Lee Hausner's wealth of wisdom on family business succession and legacy planning highlights the importance of creating a strong family culture and helping the next generation become competent and self-confident. Being intentional in the business of the family, setting goals and strategies, and holding regular family meetings are crucial to ensuring the success of the family and its legacy. Legal documents and estate plans ca

In part 8 of the "Becoming Your Own Banker" series, we dive deep into how to save taxes by implementing the Infinite Banking Concept in your financial life. https://www.youtube.com/watch?v=SNusw15mzyM During our discussion, we dig into the concepts of legal plunder, taxation, and the triple tax advantage of whole life insurance. We also share an enlightening live Q&A session on financial concerns, emphasizing the importance of asking questions and modeling successful behaviors. Nelson Nash was a master at getting people to think and develop a growth mindset; we invite you to join us as we unpack his wisdom and learn together. Don't miss this episode, as we share valuable insights on money, human nature, and the world around us, inspired by Nelson Nash's incredible book, Becoming Your Own Banker. Join us as we show you how you can use dividend-paying whole life insurance to keep more of your money working for you and continue the conversation about the Infinite Banking Concept through Nelson Nash's book, "Becoming Your Own Banker," today! Parkinson’s LawWillie Sutton’s LawTax Confusion and ManipulationHow to Save Taxes?Whole Life Insurance is Tax-AdvantagedBook A Strategy Call Parkinson’s Law Parkinson’s Law, which Nelson mentions in his book, suggests that it’s in our human nature to spend everything we make. It’s something that every single person struggles with—even our team. And it takes a daily, conscious effort not to spend. But one of the great benefits of IBC is that you have a place to store your savings that feels like a bill–your premiums. This mechanic alone can help you to overcome Parkinson’s law and save more money, though you’ll still have to work on it in your daily life. Willie Sutton’s Law In Nelson’s book, Becoming Your Own Banker, he also mentions Willie Sutton’s Law. This is the law that whenever you have capital, someone is going to want to steal it. This could be a person in your life, but it also pertains to institutions: the IRS, creditors, fees, and much more. There’s an Aesop fable that describes this beautifully. A colony of ants worked hard all summer to build up their food stores, while the grasshopper scoffed at any hard work. But when winter rolled around, the ants were happy, and the grasshopper was not—he didn’t have anything to eat. So he sought to steal from the ants. The government isn’t labor-producing, and so they steal from working people by way of taxation. This may be controversial, but Nelson even says that the biggest thief in the world is the IRS. [20:43] “If the law takes from some people what belongs to them and gives it to other people to whom it doesn’t belong, the definition of that is theft or legal plunder.” Tax Confusion and Manipulation Over the years, plans and products have popped up as a proposed solution to taxation. A 401k and Roth IRA are examples of this. The problem is that the government is responsible for that taxation in the first place. And it seems to be that they’re setting things up so that they always benefit. [30:20] “If you have a problem of government taxation, and the government is creating the solution to the problem that we have, how can we trust that the… entity that is creating the problem is also creating a solution that really is in our best interest?” The answer is, you can’t fully trust the solution provided by the government, because they created the problem. And in the end, you still pay taxes when you opt into a qualified plan. The question just becomes when, and qualified plans ensure that you just pay them later. How to Save Taxes? So if taxation is inevitable in some ways, how do you come out on top? The solution is to take control whenever possible. And one way to do that is to stop storing your cash in banks and government-run products. Infinite Banking helps you preserve as much wealth as possible. [32:13] “This whole idea of Infinite Banking is a powerful solution to save in taxes, and mostly because it’s not a government-sponsored program.” Whole life insurance allows you to save on taxes in the way that you pass wealth to your heirs, as well as the way that you use your wealth while you’re alive. While there are some government restrictions on whole life insurance, it’s fundamentally a crucial product for tax-advantaged saving. If you question the effectiveness of whole life insurance, remember that the government is constantly trying to place additional limitations on it. You can imagine that if it’s not good for the government from a financial standpoint, it probably IS good for you. Whole Life Insurance is Tax-Advantaged While whole life insurance is not tax free (you pay premiums with after-tax dollars), your experience of it can be tax free. Once you pay premiums, you don’t pay tax again on that money, not even the interest and dividends, while it remains in your cash value account. When you want to use the cash, you can access it via a policy loan, which does not trigger

Are you shopping for the best Infinite Banking policy, but want to first make sure you have the correct policy design with a good life insurance company and a team you can trust? https://www.youtube.com/watch?v=aUwFuc7NCec Here’s the first thing you need to know: there’s no such thing as an “Infinite Banking Policy.” We only use that phrase here because it’s commonly searched, and we want to meet you where you are. But the truth is, Infinite Banking is not a product—it’s a strategy. The vehicle we use is properly structured whole life insurance with a mutual company. But it’s not the policy alone that creates results. It’s how the design, funding, and use of that policy align with your larger financial strategy and your legacy goals. That’s where most people get off track—and where working with a like-minded team becomes essential. In this episode, we dive deep into the infinite banking concept and discuss the importance of choosing the right mutual insurance company and working with a like-minded advisor or agent team. Join us as we share our insights and experiences to help you better understand and implement this powerful financial strategy in your own life. If you want to say goodbye to second-guessing and regret, and make Infinite Banking decisions with certainty and confidence, tune in today! Building Confidence Through EducationHow to Choose the Best Insurance Company1. Choose a Mutual Company2. Look at Financial Ratings3. Do They Have a History of Dividends?4. Customer ServiceBest Whole Life Insurance Companies for Infinite BankingHow to Choose the Best Producer/TeamThe Five Tenets of IBCHow Does Your Advisor Support You? How to Buy the Best Infinite Banking Policy1. Choose Whole Life Insurance2. Paid-Up Additions3. Apply Dividends to Cash ValueCommon Mistakes to Avoid When Choosing a PolicyReal-Life Examples: The Living Proof of Policy DesignUsing Whole Life Insurance to Build Wealth and Business FreedomBook A Strategy Call Building Confidence Through Education Finances can be a tough space to navigate because money is deeply personal, and everyone has different opinions. That’s why we value providing education – because we want to give people the tools they need to build confidence and make their own decisions about money. Confidence allows you to take action, build trust, and create a positive cycle. You learn more, become more confident, take more action, and build more trust. This simple, small shift allows you to be at the helm of your financial choices, rather than shifting responsibility off your plate completely. How to Choose the Best Insurance Company If you’re interested in infinite banking, based on our material or something you’ve heard elsewhere, you may have questions on how to do it “right.” While this can vary depending on your personal money goals, there are some general rules of thumb to follow when you buy a life insurance policy for IBC purposes. Let’s go over them together. 1. Choose a Mutual Company A mutual company means that the insurance company is owned by the policyholders. In order to benefit from dividends, this is the type of company you want to work with. As a partial owner, you get to participate in all profits. While not guaranteed, mutual companies tend to run a tight ship and make very conservative long-term decisions. You can expect them to profit. The other option is to choose a stock company, which is beholden to shareholders. These shareholders may not even have a policy with the insurance company. This can drive stock companies to make riskier, short-term decisions that aren’t always in the best interest of policyholders. You also don’t get those dividends if they do turn out okay. 2. Look at Financial Ratings In addition to being a mutual company, you also want to work with a company that has a solid financial history. A good track record suggests that they know how to manage risks long-term and can continue to do so for 30+ more years. You can check a company’s financial rating in any of the major rating services: Standard & Poor’s, AM Best, Fitch, and Moody’s. A company with at least a 90% rating is a good company to work with. 3. Do They Have a History of Dividends? Another benchmark of a good mutual insurance company is its history of paying life insurance dividends. This indicates that they have good long-term vision and are capable of turning a profit even in dire economic landscapes. Many mutual companies have paid dividends every year for the last hundred years, which means they turned a profit during major wars, recessions, depressions, and the housing crisis. This is a great indication of good stewardship and consideration for policyholders. So be sure to choose a company that has a solid record of profit. In the same vein, it’s worth taking note of how close companies are to hitting their declared dividend. Occasionally, companies overstate what they think the dividend will be and end up being off the mark. It’s not necessarily a deal-breaker

Even if you make lots of money, there's a central flaw in human nature that prevents most people from handling, managing, and keeping it. If you conquer that, there are forces against you. In part 7 of the "Becoming Your Own Banker" series, we'll deep dive into the inner conflict of Parkinson's Law, and the outer battle of taxation ... and show you how to conquer both. https://www.youtube.com/watch?v=v1HtuqTI-vA Join us as we continue the conversation about whole life insurance and the Infinite Banking Concept through Nelson Nash's book, "Becoming Your Own Banker," today! [power press] Re-Think Your ThinkingWhat is Parkinson’s Law? Why Your Income Doesn’t MatterHow Does Parkinson’s Law Affect Infinite Banking?Book A Strategy Call Re-Think Your Thinking When you think you know it all, you close yourself off to learning. This can be a dangerous path, because there’s a wealth of knowledge in the world, and you might miss out on major, powerful changes. This is especially applicable to the financial advice you see and hear out in the world. Don’t take it at face value. It’s important to take responsibility for your thoughts and question everything. Examine it, educate yourself, and get to the truth. This is how you find what works, and make progress. [6:00] “I think if [people are] really trying to be successful with their families and whatever that means to them… you really need to start by looking inside yourself and taking personal responsibility.” No one is going to take responsibility for you. It’s up to you to decide how you’re going to process and apply the information you hear, including separating facts from fiction. Your knowledge and your mindset are your human capital, and it’s how you apply that capital to your actions that drives success. [7:57] “When anything is seen as not as measurable, not as concrete, not as data-driven, not as analytical, not as rational… not as objective, it seems like it can’t be as important. But the truth is [that] what’s inside of us is really what drives our success or lack of success.” What is Parkinson’s Law? [16:38] “Parkinson’s Law, at its core, states that work expands to meet the time envelope allowed.” In other words, whatever time you have available, you will naturally fill with work. So if you give someone a 3-day deadline or a 30-day deadline, that person will use the full time to accomplish that objective. Humans can be more efficient or more innovative because they’ll either expand or shrink the scope of a project based on the time allotted. What Nelson did is recognize how this law applies to money. When we have money, our expenses rise to meet that. So the more you earn, the more you spend. If you’ve ever gotten a raise and felt like it disappeared, you can thank Parkinson’s law. It’s human to want to spend money. Yet, we cannot keep chasing higher incomes in order to buy more things. It’s impossible to get ahead that way, because of Parkinson’s law–you will always find ways to consume if you have that mindset. If you really want to get ahead, you must learn to delay gratification and resist the temptation to spend everything you have. You must live below your means. Why Your Income Doesn’t Matter The thing about Parkinson’s Law is that we are all capable of succumbing to it, regardless of income. Whether you make $20,000 or $200,000, or even beyond that. If you think you can out-earn Parkinson’s Law, then you’ve already adopted that mindset. The problem is that when you believe you can just earn more money to make our spending issues disappear, that mindset sticks with you. So if you get a $50,000 raise, your benchmark just changes. Suddenly you find yourself with an extra car payment or a new subscription. It’s human to want to spend, but you've got to overcome that to get ahead. As Nelson would often say, a luxury once enjoyed feels like a necessity. It’s hard to give up luxuries once you experience them, which explains why people struggle to cut back on spending. You could live your whole life without air conditioning, but once you have it, you’re loathe to let it go. And this applies to anything. How Does Parkinson’s Law Affect Infinite Banking? The point of Infinite Banking is to save money and store that money in whole life insurance policies. Saving this money takes discipline. Oftentimes, people like the idea of Infinite Banking, but they’re concerned they don’t have the income yet. So they tell themselves they’ll buy insurance once they make more money. Unfortunately, because of Parkinson’s Law, these same people have a tendency to make more money, and still not have enough left over to put into a policy. Until you address the thinking behind Parkinson’s Law and work to create better money habits, this will continue to be the case, regardless of your income. It takes discipline and work, but once you create that for yourself, you put yourself in a position of capital that can work in your favor for th

What do the 25,000 self-made $100M families in the US have in common? Discover the secrets to skyrocketing your career and achieving wealth and happiness with our special guest Emmy Sobieski, a CFA, Amazon #1 bestselling author of $100M Careers, and an expert in investing and entrepreneurship. https://www.youtube.com/live/5nmGpa0LKk8 Emmy's journey from humble beginnings recycling aluminum cans to running the top fund in the world is a testament to the power of embracing a growth mindset and celebrating milestones along the way. Transitioning from a corporate job to a startup isn't an easy feat, and Emmy shares her insights on how to navigate this change with strategy and balance. We also delve into the world of investing, as Emmy recounts her rapid success and the importance of staying humble in the face of market volatility. Join us as we explore the concept of positive serendipity and how to create a growth and open mindset to invite opportunities your way. We discuss the importance of taking big risks early in your career and how to "moonshot" your career and life. So if you want to learn the best path to $100M, the biggest mistakes, how long it takes to get to $100M, and how to be happy and wealthy... tune in today! What’s the Secret to Wealth?Emmy Sobieski’s Path to WealthPivoting from Investor to MentorThe 3 Cs of EntrepreneurshipThe Biggest Career MistakesConnect with Emmy SobieskiAbout Emmy SobieskiBook A Strategy Call What’s the Secret to Wealth? Most people would love a secret solution to wealth and abundance. If there was just one thing you could do that made it so simple. However, life rarely works that way. There’s no get-rich-quick scheme. There is, however, a secret. It’s probably not what you’d expect, and it’s that creating the best version of yourself is how you build wealth. You are your own secret weapon. By investing in your own skills, knowledge, health, and more, you can create wealth for your family for generations. This requires constant growth because you’ll never know everything. When you recognize this fact and commit to lifelong learning, your life can bloom in many ways. [4:16] “I talk about it often, where I say you’ve got to moonshot your career. Too many people underestimate their own potential, myself included.” By committing to yourself and the continued progress of your career, you can maintain and even build energy for what you do. Once you deplete your energy and excitement for something, it’s incredibly difficult to find that energy again. Emmy shares that she sees people take years or decades to get out of this low-energy funk. So you’ve got to follow your energy and nurture it wherever it takes you. Don’t make the mistake of thinking that once you “arrive” at your goal, there’s nothing left for you. Emmy Sobieski’s Path to Wealth For Emmy, there was no decision about her career trajectory–things seemed to fall into place naturally. When she was a teenager, she collected aluminum soda cans to recycle them for money. By 16, she had saved up $1,800, and her dad helped her to open her first investment account. Her dad gave her four companies to choose from, so Emmy chose to invest in United Artists, which was a movie theatre that sold more than just popcorn. This decision helped her to quadruple her money. So her dad gave her four more companies to choose from, and Emmy put her money into a company owned by her dad’s friend. This quadrupled her money again. Emmy’s investments were so successful that she ended up with half a million dollars in her 20s. In her mid-20s, she lost this money and had to build it back up from scratch. Fortunately, she was successful in that endeavor, too. In 6 months she went from -$30k to $90k, while in grad school. Her friend suggested that people would pay her for that, and in 5 years, Emmy was running the number-one fund in the world. Pivoting from Investor to Mentor There are 25,000 self-made $100 million families in the US. This is the basis of Emmy’s book, which helps people find the path and follow it. One model for success (and in Emmy’s estimation, the best path to $100M) is to follow the 3 Bs–you break into an industry, build equity, and break out to start your own thing. Emily went through this when she broke into tech after leaving the investing world. She broke into this new industry with enthusiasm to grow, and after being told she was too senior to work with blockchain, decided to begin her own coaching firm. Around 2008, Emmy began coaching students and helping them understand their path to Wall Street and beyond. Often, these students were from blue-collar backgrounds, attending community college, or they were first-generation college students. Now, many of them are hedge fund managers, entrepreneurs, and multi-millionaires themselves. Emmy also began to write down everything she knew about investing, not knowing if it would be book material or not, but feeling compelled to get that information on paper. [

In this episode, we dive deep into Nelson Nash's book Becoming Your Own Banker, and the power of whole life insurance dividends. Many people are unaware of how they contribute to the growth of cash value and overall efficiency. We also explore the importance of thinking long-term when it comes to Infinite Banking and building a legacy through whole life insurance policies. By understanding the mechanics of whole life insurance dividends and focusing on long-term growth, we can create a powerful financial tool to pass on to future generations. https://www.youtube.com/watch?v=nKfnZU7mkSg This process may take time, but it is essential to build a solid financial foundation and leaving a lasting legacy. Join us as we uncover the secrets of the infinite banking concept and how it can help you take control of your finances and create lasting effects on your life. The Benefits of Infinite BankingThe Power of Whole Life Insurance DividendsOver-Engineering Life Insurance PoliciesAre You Getting Overcharged?Is Life Insurance Safe? Book A Strategy Call The Benefits of Infinite Banking People have a need for financing over their lifetime. Access to capital can help you partake in opportunities, grow your wealth, and also enjoy your wealth. Life insurance can also help you protect your family from unexpected death. Infinite Banking combines these two needs into an asset that is ultra-efficient and fulfills both. When you pay premiums, you are contributing to an ever-increasing (and never-decreasing) supply of money. This is money that you can use whenever you want to, for whatever you want to. So you can be confident that the money you pay each month or year is doing something meaningful, in more ways than one. You’re not throwing money into the void. The powerful thing about Infinite Banking is that you are in control of your capital. Many people believe that if they really need money, they can simply go to a bank. However, it can be incredibly difficult to secure financing from the bank, unless you can prove yourself or provide collateral. It’s not a reliable system, because the bank can easily deny you funds. By creating your own pool of capital, you can ensure that you always have money available to you when you need or want it. The Power of Whole Life Insurance Dividends When you have whole life insurance, your policy is always growing. This growth is a combination of three things: your premiums, guaranteed interest, and non-guaranteed dividends. These dividends may be non-guaranteed, however, they’re more likely than not. When you work with a mutual company, you get to partake in all company profits via dividends. Since they can’t guarantee profit, they can’t guarantee dividends, however, most major mutual companies have been profitable for over a hundred years. Because you can count on these things, your policy becomes more efficient over time. The uninterrupted compounding growth, plus using your policy's dividends to purchase more PUAs, make your policy better at growing each subsequent year. This is by design, and you can think of it as a reward for holding up your end of the insurance contract, which is to pay premiums and loans on time. [24:56] “Nelson is saying if you fulfill your end of the contract… then the company is going to be more profitable than they’re projecting on the illustration with the dividends.” Over-Engineering Life Insurance Policies In Becoming Your Own Banker, Nelson shares that life insurance policies are “over-engineered.” He compares this to the fuel light in your car. When that light comes on, telling you that you need to put gas in the tank, it creates an immediate need. However, cars are actually over-engineered to have some space in the tank even when the fuel light comes on. The light creates urgency, yet the reality is that you should have plenty of gas to get to a gas station, and then some. Actuaries, who do all the extensive mortality calculations, use this concept when determining life insurance rates. They do extensive research about longevity and health and determine how much it would cost to provide insurance to a 30-year-old over a 50-year-old. Or, they might determine what it would cost to insure two people of the same age and health, except one smokes and the other doesn’t. This determines the premium you pay. The over-engineering comes in because the actuaries add a little room for error. [17:35] “That over-engineering is additional profit to the company, and that additional profit is just in case something would happen.” This additional profit works in your favor, because the company can invest this. Then, it contributes to the company’s profits. Those profits translate to your dividends. So this whole system works in favor of you and the company so that everyone benefits. That is the power of whole life insurance dividends. Are You Getting Overcharged? Because of this over-engineering, people who don’t understand life insurance insist that dividends are s

If inflation is on your mind, you’re not alone. With three years of high inflation figures and your pocketbook saying it’s even higher every time you buy groceries, how will your money keep up? Can Infinite Banking overcome inflation and provide a long-term solution? https://www.youtube.com/watch?v=-6wZtPKGOHI Today, we discuss a listener question about how Infinite Banking can be used to combat inflation. We also discuss the five tenants of infinite banking, such as 'don't do business with banks,' how it can help in an inflationary environment, and how life insurance policies are interest rate driven. Finally, we explore stewardship and generational wealth, discussing the concept of 'human life value' and how clever insurance strategies can be leveraged to benefit future generations. How Does Inflation Happen?Can Infinite Banking Overcome Inflation?Inflation vs. Death BenefitOvercoming Inflation in a Tax-Free EnvironmentPremium Improves with InflationFamily Banking - The Next GenerationsBook A Strategy Call How Does Inflation Happen? [1:47] “Inflation is simply the increase of the money supply. And people argue about this all the time, but Milton Freeman said that only the government can increase the money supply, so the government is solely responsible for inflation.” When the money supply increases too quickly, there’s an oversaturation of money compared to goods on the market. This raises demand for goods, while supply is low, and prices increase to account for that. When prices for certain products or goods increase, this tends to affect the prices of other correlated goods. Can Infinite Banking Overcome Inflation? We recently had a very thoughtful question from a podcast listener that we wanted to address. It’s such a powerful question that we think you’ll benefit from reading it in his own words, as follows: “Thanks for the content. I'm of the belief that inflation is not transitory (I'm 44 yrs old and I remember when a candy bar was $.50). I am a student of the Austrian School of Economics and only think that inflation will be exponentially worse as the U.S. monetary policy continues to stay the same (increasing the money supply) as that is their only option unless politicians want to be responsible which we know they won't be. A method that has worked in the inflationary environment since 1971 when gold was dropped completely is to borrow money and pay it back in cheaper dollars (think 30-year mortgage on a house). I love the thought of IBC in normal monetary times but I just can't wrap my head around how a death benefit (30 years from now (ideally)) will be worth much as prices continue to increase. And I think I would rather borrow from the bank and pay them back with the cheap dollars instead of doing that disservice to myself..... I just think that the dollar will only devalue more and more and I'm not understanding how IBC has any defense against that. Everything else is great about it in my mind.” As you can see, he’s put a lot of thought into this topic, and we’re excited to unpack it with you now. Inflation vs. Death Benefit There are several reasons that your whole life insurance Death Benefit is still a powerful tool even with inflation. First and foremost, the whole life insurance dividend is interest-driven. This means that as the Federal interest rate rises and falls, so does the dividend. This also affects the guaranteed interest portion, too. This means that you tend to do better than in a savings account alone. Add this to the compounding effect of your cash value, and that slow and steady growth is going to be powerful. Remember, too, that with PUAs as your Cash Value grows, so does your Death Benefit. The two are intrinsically linked since the Cash Value represents the equity of your Death Benefit. You could start with a DB of $1 million and end up with several million by the time you pass, or your policy endows. Remember, too, that the whole time you have your insurance, the banking function is all within your control, not the bank’s control. This can give you access to financing and opportunities you wouldn’t get from the bank. And when you die, your family receives a payout that they otherwise wouldn’t receive. If that date occurred within a few years of you buying insurance, that would certainly outpace inflation. [19:05] “When you have a properly structured whole life insurance policy that is performing as efficiently as possible for you, one of the keys is to have your dividends purchase paid-up insurance. Which means that because of that feature, you have a continually rising Death Benefit.” Overcoming Inflation in a Tax-Free Environment You must also consider how taxes erode wealth. If all of your capital is tied up in tax-deferred assets, you may appear to have more money. Yet with every withdrawal, a hefty tax bill comes due. This can make your account dwindle much faster than anticipated. So what seems to beat inflation,

https://www.youtube.com/watch?v=OWptb6M-_RM In this fifth installment of the "Becoming Your Own Banker" series, uncover the hidden cost of capital that can make or break your financial future. Find out the benefits of having control over your debt. Get insider information on the cost of capital and become your own banker. The Cost of Capital: You’re Always Paying InterestInfinite Banking is Like a BusinessBuild a Sustainable PolicyWhere Do Policy Costs Go?The Cost of Capital and Company ResponsibilityThe Cost of Policy LoansBook A Strategy Call The Cost of Capital: You’re Always Paying Interest Whether you realize it or not, there’s always an interest cost. As Nelson Nash says, you either pay it, or you pass it up. What this means is that any time you spend money, even if you’re not financing it at a cost, you’re losing the ability to earn interest on it, too. So, at the end of the day, there is always a cost of capital to your financial decisions. Another way of thinking about this is opportunity cost: What is the cost of making one decision over another? And this has a bigger impact on your life than you think. The Infinite Banking Concept can help with this because it reduces the cost of capital. When you leverage your policy with a policy loan, you can finance something while still earning compounding interest on the full capacity of your Cash Value. This is a powerful shift that allows you to optimize your financial decisions. Infinite Banking is Like a Business [08:35] “I think we mentioned this before; Infinite Banking isn’t something you just try… It does work the way you think it works if you think about it as building your own business. You don’t just open your doors the very first day and all of a sudden people just come into your business and you’re profitable right away. You have all this cost of startup. It’s the same way with the Infinite Banking Concept.” If you want to start an IBC policy, you’ve got to give it a fair shot. It takes some time to build up your cash value and hit that “break-even” point. Part of the reason your policy isn’t immediately “profitable” is because the insurance company front-loads the policy costs in the first decade or so. They’re taking a risk on insuring you, and if you die tomorrow, they have to pay whatever they agreed to without receiving a single additional cent. To mitigate some of this risk, the ratio of premium that goes to policy costs vs. equity is skewed. As that risk falls off, those costs become less and less. Build a Sustainable Policy Does this mean that IBC isn’t good? Of course not. It should actually comfort you, as a partial owner, that the insurance companies are running their business sustainably. You want your insurance company to be successful so that your policy can be successful. And that takes time. Life insurance is a contract. When you agree to pay premiums, the insurance company agrees to take care of everything else. If it’s in the contract, you can count on it. And on top of that, your contract cannot change. If there’s anything you can trust, it’s your life insurance contract. More importantly, you are the owner of the contract, not the insurance company. This positions you as the most important player. No two cars perform the same, even if every single thing about them is the same. We can also say this about whole life insurance—even if all variables at the start of the policy are the same as another, the choices you make will change it. All you can do is be a good steward of your policy–-make interest payments on loans (or greater), maximize your PUAs whenever possible, and stay in good standing with your premiums. These decisions will optimize your “mileage” on your policy. Where Do Policy Costs Go? We touched on some of the internal costs of life insurance, so let’s dive a bit deeper. What are the costs that you’re paying, and where does it go? Just like your IBC policy is like a business, the life insurance company is actually a business. This means that they have employees to pay and overhead costs to cover. Some of the policy costs are strictly for this. Some costs also contribute to death claims. Insurance companies use premiums to contribute to and replenish their reserves for death claims. They’re able to come up with a cost based on actuarial math that works on a 120-year lifespan for the 10 million or more lives they insure. The math is based on life expectancy data, compared to your current health and habits. It's incredibly complex and often proprietary, but highly accurate. The actuaries can then determine how they should charge you personally to make sure their business model continues to be profitable long-term. And remember, this benefits ALL policyholders. The Cost of Capital and Company Responsibility The company also has a responsibility to the policyholders to be profitable. They’ve got to employ some of their funds to produce any and all promised benefits. There’s a dollar amount of guaranteed

Simon Severino, a strategy advisor for F500 Boards from NY to Beijing, helps companies scale by discovering how to run their company more efficiently. From digital agencies to service and SaaS businesses, Simon's work results in sales that soar. He is the CEO and Founder of consulting agency Strategy Sprints, and Creator of the Strategy Sprints® Method that doubles revenue in 90 days by getting owners out of the weeds. His insights are sure to help you scale your business and stay at the forefront of your industry, whatever that may be. https://www.youtube.com/watch?v=mR35UW3Jwz4 Tune in as we interview Simon Severino to discuss how to double your revenue, so you can create more freedom, impact, and revenue every month. The Beginning of Strategy Sprints®Scale Your Business with the 9 Stages of a SaleFalling in Love with the Problem, Not the SolutionConnect with Simon SeverinoAbout Simon SeverinoBook A Strategy Call The Beginning of Strategy Sprints® Simon began his career in market strategy, and what inspired him most were the entrepreneurs and business owners that were truly passionate about that work. These are the people who, if Simon identified an area for improvement, would happily stay at work longer to solve the problem. Still, Simon saw that there was room for improvement, so he put his head down for a year to create a methodology that would make sales much more efficient. [6:19] “We focus on the B2B sales problems. So the length of the sales cycle, the complexity of the sales cycle. So that’s why our method is really for the high ticket B2B offers, that is. Consulting agencies, marketing agencies, PR agencies, recruiting agencies, financial advisors, attorneys–everybody who has a high ticket offer and needs just a few big deals, a few good clients per quarter.” Scale Your Business with the 9 Stages of a Sale In Simon’s Strategy Sprint® Method, there are 9 stages of a sale that you have to go through with your client to complete a transaction. These stages are: Visualization Pains Importance COI Budget Concerns Decision Start Date SOW The first step, visualization, is what Simon describes as “closing the loop” between what you say and what’s landing with the client. This could mean providing a visual while you’re speaking to a client so you can bridge that communication gap. Doing this builds rapport with clients and helps them to trust you. The second step is about finding out your client’s pain points. What is frustrating them? Only then can you identify how to help them. [10:39] “It’s so interesting how so many people want to go straight to a product or a solution, when if you don’t have a problem you’re trying to solve, then there’s no solution that matches.” The next steps are to figure out how important this is to your client in the grand scheme of things. Then, determine the “Cost of Inaction” or COI. What will happen if your client doesn’t do anything? (We would call this opportunity cost.) After that, determine your client’s budget, address any concerns they have, and have them make a decision. You may have multiple decision-makers, so this can take time and coordination. Finally, you determine your start date and create a statement of work (i.e. a contract). [13:25] “The number one enemy of sales is the status quo–’I can just do nothing.’” Falling in Love with the Problem, Not the Solution [28:55] “Whatever your offer is, if you fall in love with the solution, there will be a much better solution soon. Technical solutions always, always innovate.” In other words, by falling in love with solutions, you run the risk of being slow to adapt to new technology and advancements. By falling in love with the “problem,” you ensure that you’re always seeking new and even better solutions. This helps you to stay flexible and innovative. As a business owner, you want to be seeking innovation. Innovation helps you to scale your business and stay relevant. We often use Kodak as an example of a company that was in love with their solution, rather than the problem. They fought hard for film cameras. Yet other camera and media companies have outlasted Kodak because they innovated their mission. They saw photos as a way to preserve memories, so going digital and innovating in that space wasn’t a problem for them. Now those companies are still around and innovating, while Kodak is just a memory. Connect with Simon Severino Youtube: Simon Severino Access free resources or book a call with Simon’s team at strategysprints.com Get Simon’s book, Strategy Sprints About Simon Severino Simon Severino helps business owners in SaaS and services discover how to run their company more efficiently, which results in sales that soar. He is CEO of Strategy Sprints and Host of the top 2.5% podcast called "Strategy Sprints. " This CEO-to-CEO experience dives deep into practices that help you, the CEO of a small to medium business, scale your business and create more freedom, impact, and wealth every month. Simon

If you're going to "Become Your Own Banker" and use the Infinite Banking Concept, you need to understand the laws of IBC. In other words, you need to know how to capitalize a bank and how to manage a sustainable bank. https://www.youtube.com/watch?v=FWgW2T8_WD8 Nelson Nash uncovers the fundamental laws of IBC that must be upheld for any bank, including your own banking system, to last. Join us as we continue the conversation through Nelson Nash's book, "Becoming Your Own Banker," today. What is Banking?The History of BankingThe Laws of IBC: Building Up Your Banking SystemPersonal Responsibility and the Laws of IBCExpanding Your Banking FunctionFamily Banking and the Laws of IBCBook A Strategy Call What is Banking? [3:12] “Really it’s a process of saving and lending. That’s what banks do. They take in people’s deposits and then they lend out for interest.” This is a simplified overview of banking, though, at its core, that's all banking really is. And if you want to control the function of banking for yourself, that's what it's all about—saving and lending. In your own system, though, you raise your own capital to use, and the insurance company lends it to you, rather than the bank. This is advantageous, though, because you don't have to appeal to banks to get funds. Insurance companies are happy to lend you money if you've got the collateral in your Cash Value. By learning how to control your own banking function, you create a lot more freedom in your financial life, and reduce your dependence on bank institutions. The History of Banking Banks haven’t always existed, but the earliest concept of banking came to be when the currency began to include gold, silver, and other precious metals. Because these metals were scarce and precious, they were highly desired, and robbery was common. Banks offered a solution: put the resources in one place that was heavily guarded, and it would be more secure than your home. After some time, early bankers noticed that people were depositing, but they weren’t really withdrawing. So they wondered if maybe they could use some of that money to make more money, rather than letting it sit idle. So they started offering loans to people seeking a little capital. Then, at some point, banking stagnated again, because not everyone was depositing their gold and silver. So they added an incentive: an interest rate on their savings. Over time, this became what we know today as our banking system, and this function is the same thing that you can do in your personal banking system. Your life insurance policy is not an actual bank, but you can make it function like the above by financing opportunities through your own pool of capital. The Laws of IBC: Building Up Your Banking System If you’re building a banking system, what do you need? Capital. So in the early stages, you want to really focus on accumulating capital. Eventually, when you feel like your pool of capital is hardy enough, you can start capitalizing your cash. When you do this, you can create cash-flowing investments that make paying your policy loan and your premiums simple. Over time, what you’ll be able to do is accelerate this process. For example, once you pay off a policy loan with the cash flow from a property, you can redirect that cash flow to your premiums or even to funding a new policy. Meanwhile, the capital you’ve freed up inside of your policy can be used to buy another property, and you can repeat the process. This takes some research and know-how, but you can create a whole system of wealth by capitalizing on your banking system. While there’s time for accumulation-only phases, don’t be afraid to actually use your policy when a good opportunity arises. So let’s recap: Open a policy. Continue to make deposits by paying premiums. Don’t be afraid to capitalize. Be an honest banker and pay back your loans. Personal Responsibility and the Laws of IBC [36:45] “This really comes down to, again, personal responsibility, because if you are going to run an Infinite Banking system, you need to be in a position of making wise investment decisions.” Your banking foundation depends on your ability to make wise choices with the capital you accumulate. After all, according to Nelson's laws of IBC, you want to be paying back any loans you take so that you can reuse your capital. If you make speculative investments that don’t pan out, and you aren’t doing your due diligence, it’s going to get difficult to pay back those policy loans. While you technically don’t have to pay those loans, you really want to in order to have a successful banking system. When you don’t repay your policy loans, you severely limit your access to capital and reduce the usefulness of your policy for times when you really need it. Expanding Your Banking Function Another possibility for your personal banking system is providing loans to other people. You could open opportunities to your family memb

Every year, IBC practitioners and advisors convene at the Nelson Nash Think Tank. Here, some of the best advisors in the Infinite Banking space remember the core truths of Infinite Banking, improve their understanding and ability to serve you, and "sharpen iron." https://www.youtube.com/watch?v=-lRc64JVi0E Bruce attended the 2023 event earlier this year, and today, we'll share the highlights with you. So if you wished you could have attended and would like to be in the know about what matters most for you as an Infinite Banker ... tune in now! What is the Nelson Nash Think Tank?Preserving the Purity of Infinite Banking with the Nelson Nash Think TankOvercoming the Human Condition in FinancesThe Conversations and Speakers of Think Tank 2023Book A Strategy Call What is the Nelson Nash Think Tank? The Think Tank is an annual event hosted by the Nelson Nash Institute to talk about IBC and connect with like minds. Prior to 2009, which is when Bruce became involved with Think Tank, the event was your typical Mastermind type of event. People in the insurance industry with an interest in IBC would get together and share best practices for running a business. In 2013, the IBC practitioners program came to be, and the event reached its “next level,” as Bruce recalls. The practitioners’ program is a way for advisors who are interested in the Infinite Banking Concept to become certified. This ensures that advisors who use IBC strategies (and advertise such) can be held to a higher standard. That way, clients who want IBC can work with a highly qualified IBC professional. [6:21] “[Bruce] has attended what I would call probably the most elite… conglomeration of minds that are coming together and discussing Infinite Banking.” Preserving the Purity of Infinite Banking with the Nelson Nash Think Tank The IBC Practitioner program was designed by Nelson to ensure that advisors who were sharing IBC with their clients were upholding it to the highest standard. Otherwise, what Nelson noticed was that people would say they promoted it, only to have incorrect ideas about how IBC worked, which was damaging the perception of IBC. In order to be a certified IBC practitioner, you have to go through a rigorous process that ensures you have a good understanding of the concept. So if you want to implement IBC specifically, you can actually work with a certified practitioner to be confident you’re getting what you want. The process starts with an interview, where the NNI makes sure that applicants have the right mindset for IBC. This means you understand Austrian economics, you want to solve people’s need for capital, you understand that you finance everything you buy, and you see the benefits of life insurance on a large scale. The next step to becoming a practitioner is to take a proctored exam. Once you pass, you then go through a mentorship program where you work with a current, certified IBC practitioner. Finally, you get to become a fully certified member, which culminates in receiving your certificate at the Think Tank. As you can see, it’s an incredibly thorough process. [15:43] “This, hopefully, enables people to find a person that was either trained directly by Nelson like I was, or by people that were trained by Nelson, to actually uphold the integrity of the actual Infinite Banking Concept, and not some of the things that are marketed as the Infinite Banking concept.” Overcoming the Human Condition in Finances [24:15] “Nelson actually is helping people overcome the human condition of how they handle money.” As human beings, there is a huge emotional aspect of finance that is hard to overcome. We’re only human, and we all have to face these deep-seated emotions we have about our money. What Nelson Nash has done with IBC and his institute is to help people overcome these emotions and find a sense of control and freedom. A good IBC practitioner will help you see the long-term effects of your money. For example, when you fund a policy, your advisor shouldn’t be pressuring you into a policy you’re unsure that you can afford. You don’t have to start with the biggest policy possible, and you shouldn’t if you don’t know how to fund it. You’ve got to think about Year 1 premiums, and every year after that too. It’s also critical that you have good habits in place before you start your IBC policy. It’s human to spend what you have, but it’s not conducive to your banking system. Being able to make deposits and think critically about capitalizing your money is important. And starting a policy without those good habits isn’t necessarily going to help you get there. It takes discipline, and a good IBC practitioner can tell you that, and help you get there. The ultimate goal of your advisor, whoever you choose, should be someone who helps you be a good steward of your money, and overcome that human condition. The Conversations and Speakers of Think Tank 2023 There were many powerful discussions and speakers at the 2023 event, a

Your need for financing is greater than your need for saving. Most people try to make more money or get a better return on their investments to get further ahead. But these strategies fail because they focus on the wrong problem. In Becoming Your Own Banker, Nelson Nash identifies the most prevalent problem with most Americans' financial lives is that they are spending 34.5 cents of every dollar on interest, turning the wheels of the banking industry, yet hardly saving even 10 cents of every dollar. https://www.youtube.com/watch?v=9GFF2wRjiAA The answer isn't to stop spending but to spend differently. To learn how to control your financial environment, and turn a financial drag into financial fuel... tune in now! The Need for FinancingBecoming Your Own Banker: Start with Good HabitsFinancing and Interest CostThe Cost of FinancingHow to Solve Your Need for FinancingBook A Strategy Call The Need for Financing [2:30] “What Nelson is saying is that the need for finance is much greater than the need for savings. And that sounds weird, but what he’s saying is if you really calculate how much money goes out the door for financing things, then you’re going to see that that’s a lot greater amount than how much people actually put away for savings. So if you can eliminate the need for finance, then that money can obviously be shifted into savings.” Nelson believed that if everyone got control of their own need for financing, it would also be great for the economy. It’s also just a great way to live your life. When you control the need for financing, you have much more safety, certainty, and security. And that’s priceless. Becoming Your Own Banker: Start with Good Habits The thing about Infinite Banking is that you’ve got to go into it with good money habits already. You can’t start a policy with the intention of financing your life if you have bad money habits. Or, you can, but you won’t have the results you want. If you're becoming your own banker, that requires a certain level of personal and financial responsibility. You've got to start with good habits. For example, let’s imagine you have out-of-control spending habits and have racked up some credit card debt. If you buy a policy, you’re now responsible for those credit card payments and your insurance premium. If you then take a policy loan to buy something new, You’re going to have an additional payment. This can quickly get out of hand if you don’t already have good habits of paying down debt and living within your means. IBC isn’t going to magically cure your financial woes. It’s a system and a concept that has to be built on a firm foundation. This doesn’t mean you can’t have an Infinite Banking policy if you have credit card debt. However, you might need to be honest with yourself about where you’re at and where you need to be in order for IBC to be right for you. (And there are still other insurance options for you in the meantime.) [08:10] “I tell people all the time [that] Nelson’s book is more about the human condition and the mindset than it is about the numbers. And yet everybody tries to make it about the numbers.” Financing and Interest Cost What we often see is that the catalyst for someone to transform their money habits is to be so fed up with paying interest that they’ll do whatever it takes to stop. Whether that’s credit card interest, or interest to the banks, everyone has a threshold. And while interest is always going to be a factor of money, there are ways to reduce your interest cost and increase your interest earned. The problem is that many people are often focused on the wrong thing. For example, you may want to pay off your highest interest rate card first, but you also have to consider volume: You may have a high interest rate on a card with a low balance, and a high balance on a card with a moderate interest rate. At that point, you might save more actual dollars by paying down a high balance first. This, hopefully, helps you put things into perspective. When you finance anything, it’s a good idea to ask yourself how much of your income is going toward the cost of financing the purchase you’re making? It’s more if it takes you time to pay down a credit card. You’ll likely find you’re spending way more than you think just for the privilege of buying something, not even the actual purchase itself. The Cost of Financing [22:10] “If every dollar you make, you’re spending 34 and a half cents for finance costs, and you’re saving only 10 percent of your income, that’s only 10 cents of that dollar.” If you eliminate some of these financing costs, you can really gain momentum with your savings. And you can eliminate those costs by delaying gratification (even temporarily) until you can build up your own personal banking system with cash value life insurance. [32:18] “People try to solve [the financing problem] by one of two things that are both not very effective. One: just make more money and it all solves every problem.

If you’ve paid any attention to the news recently, then you’ve probably heard about what’s happening with the Silicon Valley Bank. The news isn't good, and it's probably raising some questions. We’re here to unpack what you might be thinking about. Like, are we entering a banking crisis, and what does this mean for the greater economy? How does Infinite Banking compare? https://www.youtube.com/watch?v=kqOWPOdD8eY In this podcast, we'll examine the factors that led to the Silicon Valley Bank collapse, and how Infinite Banking can be a solution. Join us for a discussion of the state of banking, and how you can best prepare to weather any economic storm. Is This Normal?The Timeline of the Silicon Valley BankHow Do Banks Get Behind? Reserve Requirements for Banks and Insurance CompaniesInsurance Product vs. CashCould Life Insurance Companies Be Safer Than Banks? Bank-Owned Life InsuranceResources for Bank Failure InformationIs There a Banking Crisis?Book A Strategy Call Is This Normal? We want to start this conversation by sharing that boom and bust cycles are a natural part of any market when the free marketplace is working. This means there will be inevitable highs and lows for everything. Those who are savvy can learn to time the markets by paying attention, although no one does this perfectly 100 percent of the time. What sets people apart is the assets they can control with certainty. And one of the many positives of Infinite Banking is that life insurance is not correlated to the stock market. So despite what’s happening in the economy, your cash value is safe and certain. This is the kind of protection that is not even guaranteed when all of your money is in the bank. It’s critical to build your foundation on something strong and within your control. The Timeline of the Silicon Valley Bank To get a good understanding of what’s happening with the Silicon Valley Bank, it’s worth examining the timeline. At the time of this crash, Silicon Valley Bank was the 16th largest bank in the country and had been just 40 years old. The crash occurred because of large withdrawal attempts and is the largest crash since 2008. On January 1st of this year, the bank had $91 billion of held fixed income securities or held maturities. They also had $200 billion in assets, mostly Venture Capital and tech assets. Out of the $91 billion, the bank’s unrealized loss was going to $15 billion if people pulled out of their maturities due to a need for increased liquidity. They knew they’d be in trouble for the reserve requirements. On March 8th, the bank announced that they needed to shore up their balance sheet and raise $2 billion in capital. They proposed a sale of their bond portfolio at a $1.8 billion loss, but there were no interested buyers. On March 9th, customers began to withdraw due to impending trouble, and the bank’s stock fell 60%. On March 10th, the Silicon Valley Bank failed to meet its reserve requirements, so the FDIC stepped in and seized control. The fear, it seems, stems from the reality that this was a huge bank that seemed like it could never fail. No one expected it to, so when it did, people got extremely nervous about their banks and their ability to meet their needs as well. The problem is that when people are fearful and lose faith in the banks all at once; it creates a vicious cycle. Because the more people that pull their money out at once, the harder it is for banks to meet their reserve requirements and other obligations. As Bruce points out in the show, this is also the first time such a large bank failure has occurred in the age of social media, and so the information is more readily accessible. While it’s good to be informed, this can also lead to a lot of fear because things spread like wildfire on social media. How Do Banks Get Behind? [8:50] “What happens here is we’ve been going from a very low interest rate, almost no interest rate, environment, to a relatively—what we think is high but is more normal—interest rate environment.” What happened with the Silicon Valley Bank, specifically, had to do with rising interest rates. Once the interest rates rose, many people decided they needed liquidity and pulled money out of securities, or they pulled money out of the banks completely. This means that banks would have to sell securities at a loss if depositors decide they want their money back early. Another reason banks can get behind is if they invest heavily in startups and risky endeavors, and aren’t doing their due diligence. Silicon Valley Bank had a large portion of assets tied up in Venture Capital and startup investments. And while many VC investors can be incredibly successful, it’s by thoroughly vetting those investments and their viability. Of course, we can’t speak to SVB’s vetting process, and even the best due diligence can sometimes have negative results. That being said, if investments don’t pan out, this can also cause banks to lose their reserves if they get hit over a

Infinite Banking is an exercise in imagination. And in an act of imagination, Nelson Nash introduced a powerful example of how to capitalize on a whole life insurance policy and be an honest banker. He often referred to this concept as "don't steal the peas,” which he explains in his book, Becoming Your Own Banker. https://www.youtube.com/watch?v=baPGoTOZ_H4 Today, we’re going back to this book, the “source” of IBC, and unpacking this idea of “don’t steal the peas.” That means examining the principles that make the Infinite Banking Concept work, and how understanding the fundamentals allows you to change your financial life. If you’re ready to jump into the conversation, learn from the original text, and gain understanding and wisdom… tune in now. Table of contentsAn Exercise in ImaginationBeing a Good Business OwnerDon’t Steal the PeasWhat Does "Don't Steal the Peas" Have to Do With Life Insurance?Book A Strategy Call An Exercise in Imagination Nelson Nash said it often: Infinite Banking is an exercise in imagination. So what does this mean, exactly? The way Nelson saw it, if you understand how to think about problems, the solutions will become clear. Imagination is simply a method of thinking about things—it’s how we re-envision what we experience. That can be used to see problems in a new light, one that yields new results. [9:57] “Imagination is all about a thought process, and getting your mindset in a position to be able to see the capability and the possibility of what you can do in your financial life. And to recognize strategies and tools that will help you do that even better.” Imagination is how humans achieve innovation. Our ability to see problems in new ways is the reason we have advancements in math, science, technology, and any other field conceivable. We can say the same for finance. And Nelson Nash’s idea of “don’t steal the peas” is a perfect act of imagination that explains the foundation of IBC and why it works so well. Being a Good Business Owner Let’s imagine, together, that you are a business owner with a thriving grocery store. As a human being, you also have a need for groceries. So you are both owner and customer. That is assuming you’re not shopping with your competitor. Keep in mind that as the owner of this store, you need a lot of capital to get started. You want a prime location, a pleasant building for your patrons to be in, and furniture to display your wares. Then, of course, you have the costs of keeping up the store like paying employees, buying stock, maintaining the building, and other overhead costs. Since you own the store, you might think it’s no big deal to grab something off the shelves every once in a while. A can of peas, so to speak. You can simply write it off as a loss, right? The truth, though, is that it’s not a wash. You’re actually reducing your future value. The thing about a business is that eventually, you want to sell it. Maybe not this generation, but it’s a possibility. And when you do, that buyer is going to look at your Profit and Loss statements. To get as much value as possible in the sale, you want to have proof of a profitable business. Yet if you spent your entire life taking groceries from the back room, you were actually stealing from your future self. In fact, you’re even reducing your present cash flow by taking what you want instead of paying for it. Don’t let your business eat the cost. Instead, be an "honest grocer" by buying what you want. This will flow back to you now in your income, and later if you sell the business. Don’t Steal the Peas If you're having trouble imagining how detrimental it can be to steal the peas, let's keep this thought going. Let’s talk about the peas, specifically. Let’s say a can of peas comes to your business through the “back door” when you buy it. And every can of peas that comes in through the back door costs you about 57 cents. Every can you sell goes for 60 cents, and leaves through the front door with the customer who buys it. There’s only a 3-cent margin on that sale, which means that you’re relying on volume to make a profit on the peas alone. To recoup the cost of a single can of peas, you’d have to sell 20 cans. If you grab a can of peas from the back room, that’s a significant number of sales required to break even on what you took. You’re entitled to do it, it’s your store after all. However, if you do this every single time you grocery shop, you’re creating more and more work for your store to keep up with. That’s not good for the profitability of your store if it takes 20 cans of peas to cover the loss of one can. On a large scale, this is devastating your profit margin. Not to mention, you’re modeling to your employees that it’s okay to steal the peas. [41:58] “More businesses fail for this reason than any other thing.” What Does "Don't Steal the Peas" Have to Do With Life Insurance? So now that we’ve entertained this exercise in ima

Are you looking for good investment opportunities to put your capital to work? Have you considered franchising as an opportunity for business ownership without starting a company from scratch? Today, we're talking with Jon Ostenson, a top 1% Franchise Consultant, former Inc. 500 Franchise President and Multi-Brand Franchisee, and author of "Non-Food Franchising." So if you want to learn about the non-food franchising business model, the pros and cons, and why this might be a good fit if you're already in real estate...tune in now! https://www.youtube.com/watch?v=WEMh7BSNPl0 Finding Your Non-Food NicheIs Franchising Right for You?Franchise Ownership StylesHow to Work with Jon OstensonAbout Jon OstensonBook A Strategy Call Finding Your Non-Food Niche Owning a business franchise has been a time-tested way to get into business ownership with a tried-and-true business model. Many entrepreneurs like it for the relatively low barrier to entry. You don’t have to pioneer a new idea, you just have to invest in an existing one. It’s also a way to bring much-needed business to your community. While many people think of restaurant chains when they think of franchises, there’s so much more to franchising than food. And that’s where Jon Ostenson comes in. He has ample experience in the franchising-industry and sees non-food franchises as a particularly shrewd investment because they’re often necessities. Pet supply stores, auto shops, and pharmacies are just a few examples of essential businesses with franchising potential. If you think you want to break into franchising, Jon’s advice is to think about the gaps in your community and what people need—not just what they want. Because if a recession hits, businesses that are “non-negotiable” are going to weather the storm. [7:59] “What I go back to is, what are you personally going to continue to spend on regardless of the economy? It’s the things you care about—your kids, your pets, your aging parents, your home, and your health. And so businesses that operate in these types of industries—again they’re more needs-based in a lot of cases, maybe a little less discretionary—those are the ones that are getting a lot of attention.” Is Franchising Right for You? One benefit of franchising that Jon shares is that it’s a way to increase your Net Worth through income rather than appreciation. If you’ve got the capital to invest and you want something that’s already got a blueprint, franchising can be great for you. Especially once your location is up and running, you don’t have to have constant involvement. In other words, franchising can be great for the investor who’s “been there, done that,” and is ready to take a step back from full-time business operations. On the other hand, if you’re wanting a business that you can leave your mark on, franchising might not be the way to start. Despite owning your particular location, you’ve got to operate your business within company parameters. You might have a say in some factors of the business, but you won’t be able to dictate anything that messes with the franchise's “brand.” After all, one of the major benefits of franchising is that you get to capitalize on brand recognition immediately. You’ve got a built-in customer base, and those customers have certain expectations of the brand. If you really want to have a hand in the business down to the last detail, you might find more fulfillment in starting your own business. That way, you have complete creative control over the operations. Franchise Ownership Styles While owning a franchise business can be a bit more hands-off than starting your own, it’s not a completely passive endeavor. There’s absolutely some time trade-off when you own any business, including an existing one. However, this obligation can be greater or lesser depending on your own personal management style. Let’s go over the three ownership styles Jon has personally witnessed. First is the owner-operator. This is usually the person who wants to start a business but doesn’t need full creative control. However, they still want to have some control, so they are involved in the management of the store, at least initially. Most owner-operators have a goal of putting the store under someone else’s management eventually, so they can buy more franchises. Then there’s the semi-passive or semi-absentee owner. Jon estimated about two-thirds of his clients opt for this ownership style. This is where, from the beginning, the franchise owner puts strong management in place to run all day-to-day operations. There’s still some level of owner involvement, but it’s not constant. Finally, there is a truly passive investing model. Though Jon only knows of four businesses/brands that truly offer the option to operate under this model. This passive model is when the franchisor will run the business for you. You fund the business, but the franchisor operates it as though it’s a corporate location. [20:30] “I’d love to s

Want to get the nuts and bolts on Infinite Banking? What is the infinite banking concept? Why does it work? How does it benefit your life? In this new series, we're returning to the source: the original text on Infinite Banking: Becoming Your Own Banker, by R Nelson Nash, the father of Infinite Banking. https://www.youtube.com/watch?v=eTrdnOSPjWQ To start, we'll dive into how banking impacts you, and why this macro view of the flow of money is just the perspective you need to take control of your finances. Jump into the conversation on the Infinite Banking Concept, learn from the original text, and gain understanding and wisdom to make decisions. Table of contentsWhat is Infinite Banking?Why the Banking Concept MattersBeing a Responsible BankerThe Power of Thinking DifferentlyThe Flow of MoneyBook A Strategy Call What is Infinite Banking? Infinite Banking stems from Nelson Nash’s book, Becoming Your Own Banker. In his book, Nelson Nash shares how individuals can use banking principles to make better decisions about their wealth. It stems from the idea that we all finance everything we buy, even when we aren’t financing it by "typical" financial standards. In most cases, when we think of financing, we think of getting a loan to pay for something. So how does paying in cash mean we’re financing? Simply put, it’s about opportunity cost, and the ability to either pay or earn interest. Whether or not you see it, there is interest attached to every transaction. When you pay cash, you lose the ability to earn interest on that cash. This is opportunity cost, or the cost of making one decision over another. [7:15] “Nelson’s definition of financing means that if you pay for things in cash, you’re also financing that [purchase] because you’re giving up the ability to earn interest on that money. So you’re either paying interest by paying it to an institution, or you’re giving up the ability to earn interest, which is the same thing as paying interest.” Infinite Banking allows you to recoup as much opportunity cost as possible, via the policy loan provision on your cash value life insurance. When you take a loan, you’re not actually using your money, which means it continues to earn interest uninterrupted. This compounding effect is powerful. And even though you will pay interest on the policy loan, that compounding effect is incredibly valuable. Why the Banking Concept Matters Now, we know that the average person probably isn’t walking around wishing they could be their own banker. So what’s the value in doing this? Part of what Nelson acknowledges in his book is that 3% of people control 97% of the world’s wealth. In order to do this, this 3% operates their finances a bit differently than the average person. The basic idea is that the 3% have control of their money because of where they store it and how they use it. They recognize the power of financing and leverage, rather than paying cash for transactions, and can use that to create wealth that flows. Essentially, through this system of control, you can eliminate the need to seek outside financing for many things. And the cherry on top is that you can do this with a renewable, growing pool of money by taking policy loans and paying them back. Whole life insurance itself is not the bank. It’s life insurance. But IBC allows you to use your policy so that it performs the same functions as the bank. What do banks do? They allow you to store cash, earn interest, and pursue financing. The Case for IBC is: IBC simply allows you to take the control instead of keeping it with the bank. Being a Responsible Banker Part of being your own banker and using life insurance to fulfill the banking function is being a responsible banker yourself. You are the “manager” of your funds, so it’s a good idea to hold yourself accountable for your choices. IBC isn’t just about capitalizing and using your cash. First, you have to save that cash. This is a long-term, lifelong strategy you’re embarking on. While you have the opportunity and flexibility to finance whatever you want, you also have to save diligently. And not every deal is going to be a winner. It takes time, patience, and due diligence. As you grow your pool of cash, opportunity will find you. So don't worry too much about missing out. Responsibility also means paying back your loans in a reasonable amount of time, when you choose to finance something. A policy loan gives you a lot of flexibility, but it’s important not to abuse that flexibility. If you can pay a loan and it makes sense financially, do so. Save that flexibility for when you really need it. That way, you stay in a position of liquidity with your cash value as much as possible. The Power of Thinking Differently What is financial freedom? We’ve observed that while everyone’s precise definition is nuanced, most people can agree that it’s about feeling free and being able to meet your needs easily. If you put in the work and are willing to be

Concerned about taxes in the future? Taxes are a huge eroder of wealth. While you do not have control over tax rates, you can strategically position yourself to maintain control of as much of your money as possible. Taxes are at a historic low, so it is time to learn how to pay less tax legally. https://www.youtube.com/watch?v=SB4IoCq9Y-8 So, if you want to find out how to protect your wealth from likely tax rate hikes and minimize your tax rate ... tune in now! *Disclaimer: This is not tax advice. Table of contentsTaxes Are Paid on the MarginReducing Your Taxable IncomeActive Tax PlanningWhat is Tax Deferral?Are There Tax “Loopholes”? Book A Strategy Call Taxes Are Paid on the Margin A common misconception about taxation is that your tax bracket is the percentage of tax you pay for your entire ordinary income. In reality, everyone is taxed the same way, on the same dollars. Income is taxed on the margin. So for married couples, everyone’s first $20,550 is taxed the same exact way, at 10%. The next margin is taxed at 12%. So everyone’s income from $20,551 to $83,000 is taxed at 12%. Any income you make past $83k is taxed at the next bracket, which is 22%. The highest bracket is 37%. You may be able to reduce your taxable income through deductions, and that comes off the top. So if you make $100,000 in a year, only 10,550 of those dollars are being taxed at 22%. If you can reduce your taxable income by $10,000 then only $550 gets taxed at 22%. In other words, just because you’re in the 22% tax bracket does not mean that 22% of your income is going to taxes. It represents which margin you’re in. This also means that everyone is being taxed the same on the same dollars. If you reduce your taxable income, you’re not being taxed unfairly because you’re still being taxed in the same way as everyone else. Source: Truth Concepts It’s also important to note that the above pertains to ordinary income, which is W-2 income and many investments. Capital gains—income from the sale of investments—have a different tax structure. Reducing Your Taxable Income [7:13] “Your taxable income is all your [ordinary income], minus your deductions, which is either because you itemize… or the standard deduction. And then if you own a business, you also get what’s called a qualified business deduction. And then you come up with the taxable income after that.” The standard deduction is $12,950 if you’re single, and $25,900 if you’re married and filing jointly. If your own a business it is worth itemizing your expenses and seeing if they exceed the standard deduction, to get the most benefit with your taxable income. It’s also wise to be mindful of how you access different accounts that you own. Many people love their tax-deferred 401k because they can defer paying taxes on their contributions. They see this as a tax credit when really it just means you don’t have to pay taxes yet. But if you need access to those dollars, you can bet you’ll be paying income tax. That’s why it’s powerful to have other sources of liquid cash that won’t increase your taxable income. A policy loan from your whole life insurance or a Roth IRA, for example. Active Tax Planning By 2026, the tax brackets will shift in a way that may necessitate some active tax planning. This means working with your trusted tax advisor to come up with a plan. The reason is that in 2026, the 22% margin will return to 25%. The top threshold of the margin is also decreasing from $178,000 to $153,000. What this means is that if your income is around $153,000 to $178,000, you could make less money in 2026 and still be in a higher tax bracket. This also means that any money you make from $83,550 to $153,000 will be taxed at 25% instead of 22%. If you are close to that upper threshold, work with a trusted tax advisor to reduce your taxable income. And if you have tax-deferred assets, you think you’ll want to access or liquidate; doing it now could save you money. You’ll still have to pay taxes, but you’ll pay them at a more favorable rate now than you will later. Even if you think you may leave your money in tax-deferred accounts for estate planning purposes, it may not be exactly what you think. Under current tax law, assets passed to the next generation must be withdrawn over 10 years, not a lifetime. This might bump heirs into higher tax brackets, during what could be their peak earning years is they are in their 30s and 40s. What is Tax Deferral? [19:53] “Tax deferral sounds fancy, right? It sounds like I’m avoiding a tax that I should be paying. It kind of sounds like grace, like I deserve to pay this but somehow I’m getting a free ride or a pass. Deferral, if we really just break down the word, means to postpone. And it’s better and more logical to think about taxes from that perspective. If I defer a tax, that doesn’t mean I’m not paying it, or I’m getting a free pass. It literally means I’m postponing it. Which means on that portion of income I’m not paying today, but I will pay

Are you concerned about rising interest rates? How will they affect your Infinite Banking policies? What about inflation and infinite banking? What do interest rates mean for infinite banking? https://www.youtube.com/watch?v=CbHu0HqwCWA Today, we’ll be discussing the infinite banking concept and how it relates to interest rates. We’ll also explore the implications of this concept for infinite banking customers and whole life insurance customers. We want you to have a better understanding of what interest rates mean for infinite banking. This includes the implications for you and your financial situation. What often gets lost in conversations about infinite banking interest rates is how those rates actually function inside a properly designed system. Interest rates do matter, just not in the headline-driven way most people assume. Rather than trying to predict where rates are headed next, this discussion focuses on how policy structure, mechanics, and long-term design influence outcomes across different rate environments. So, if you want to know what to expect … tune in now! Table of contentsThe Basic MechanicsInterest Rates Don’t MatterInterest Rates and Policy DesignShould You Have a High-Base Policy?Putting Interest Rates Back in Their Proper PlaceFocus on Design, Not HeadlinesBook A Strategy CallFAQsHow do infinite banking interest rates work inside a policy?How are whole life insurance policy loan interest rates determined?Should changes in infinite banking interest rates affect how the strategy is used? The Basic Mechanics When you work with a non-direct recognition company, there’s usually only one borrowing rate. The rate is based on the Moody Bond Index. At the time we recorded our podcast, most non-direct recognition companies were sitting at about 5 percent for their borrowing rate. Direct recognition companies generally have a variable borrowing rate. At the time of recording, it ranged from 3.25 percent to 5 percent. (Note: At the end of the day, the long-term cash value outcomes are incredibly similar, whether you choose direct recognition or non-direct recognition. Don’t get too hung up on the distinction.) The Moody Bond Index is a conglomerate of bonds that indicates the general trend of bonds. [11:37] “So what the insurance companies do is they base their borrowing on that because they want to be competitive.” Life insurance companies don’t mind lending money to policy owners because they actually make a pretty good return. If they can make 5 percent on fully collateralized cash with their policyholders, they don’t have to risk that money in the market, even if the market in question is fairly safe. They raise rates as appropriate in order to remain competitive with the bond market. While it can be frustrating to see interest rates being raised, there are still benefits for you, the policyholder. After all, mutual companies must share profits with all owners—AKA policyholders. By keeping borrowing rates competitive with bond rates, they can benefit policyholders in two ways—by providing access to cash AND by making a profit. That way, companies don’t lend at the expense of profits in the bond market. When the company pays dividends, you and all other policyholders benefit. At a high level, it’s important to understand that infinite banking interest rates operate inside an internal system, not as a direct substitute for outside lending or market returns. When a policy loan is taken, interest is charged on the loan balance, while dividends continue to be credited based on the policy’s underlying performance. These two components work independently within the policy, which is why comparing whole life insurance policy loan interest rates directly to external market rates often misses how the system actually functions. Interest Rates Don’t Matter Nelson Nash has said time and time again, “Interest rates don’t matter.” So what does that mean, exactly? [18:08] “If you have more and more money in the form of premiums go into the insurance company, those insurance companies are going to deploy that to make money for the policyholders. And that money is going to get paid back in the form of dividends. Seventy-five percent of that is in the form of bonds. So as interest rates go up—bonds are interest-rate sensitive—they will then pay out greater dividends. And throughout the history of these mutual companies, the dividend rate has always stayed above the lending rate.” The life insurance companies are not interested in making less money than what they’re lending out, because they have to consider their policyholders. Life insurance companies are great at making a profit, and it’s to the benefit of everyone. [19:10] “It’s really important to recognize the rising interest rate does not only affect the borrowing component of infinite banking. It also impacts your growth rate on the dividend side.” Translation: don’t sweat it too much when loan rates increase, because that means everything else is increas

Money is often confused, misunderstood, and classified as part of our basic, natural, carnal human nature. But money is spiritual. Understanding, earning, using, managing, and growing money is a part of our lives that is deeply spiritual. Rabbi Lapin knows this and shares his wisdom about money far and wide. https://www.youtube.com/watch?v=kdDMBgWHwkg For more than forty years, Rabbi Daniel Lapin has taught audiences around the world that wealth creation isn’t merely practical, but also moral. His message reframes the way we view money, showing that financial success reflects service, trust, and contribution rather than greed or selfishness. By recognizing that money is spiritual, he encourages people to synchronize their values with their actions, so that prosperity becomes a genuine extension of their overall purpose. Today, Rabbi Daniel Lapin explains why and how you can improve your finances with this one simple mindset shift. Tune in now to join the conversation! Table of contentsOn Redistributing WealthMoney Is Spiritual: The Spiritual Attributes of MoneyThe Exception, Not the RuleWhen Should You Teach Children About Money?How Do You Price Your Services?About Rabbi LapinBook A Strategy Call [3:45] “You’re only a slave to money when you don’t have the money.” On Redistributing Wealth [6:48] “The one problem is that we don’t have a successful model anywhere in history to go on. You know, when has this approach to economics actually worked? When and where? Oh, nowhere at no time? Well then, I recommend you be extremely cautious about applying something to the lives of three hundred million people that hasn’t been successfully done anywhere. That’s one huge problem. The other huge problem is that redistribution or equality is just a really nice word for a really ugly idea, which is taking money away from people who own it. And that’s really a fundamental value of all morality. We really have to decide: Do you or do you not agree with the statement that nobody else has a right to any money that you have made?” [8:00] “Something that’s really worthwhile [for people to understand] is that the government can only get money by taking it from the people who have made it. The government has no way to create wealth. The government can print money, but that’s just another way of taking it away from productive people; it’s called inflation. And so, no, there is no way for the government to give you money other than taking it away from other people.” Rabbi Lapin draws a sharp distinction between forced redistribution and spiritual generosity. In his view, wealth shared voluntarily — whether through charity, service, or community giving — retains a moral connection between the giver and the outcome. This bond is broken when wealth is redistributed through coercion, eroding the spiritual principle that you gain by giving value, hinting at the age-old notion that money is the root of all evil. Giving with purpose is rooted in biblical tradition, where obligation is guided by intent, not guilt. In this context, money is spiritual because it reflects the choices we make, not just in what we earn, but in how we give. Money Is Spiritual: The Spiritual Attributes of Money When something is physical, as Rabbi Lapin shares, you can measure it in a lab. It’s real and tangible. When something is spiritual, it’s felt. You cannot measure it in any scientific way. And yet, the effects of spirituality can be observed. While money may have physical uses, it also has spiritual significance because it can transcend physical results. [16:44] “Each and every one of us can benefit financially by understanding the spiritual implications of what money really is.” When you give someone cash, there’s a physical connection between the value of the money and the work that went into earning that money. It helps others, like children, understand the true significance of what they have and its spiritual value. Credit cards and digital payments separate us from the value and work that went into those dollars and can make it difficult for kids to understand and appreciate them. [20:09] “I always made a point of walking around with more cash than I ordinarily would, simply because I wanted to make sure that if I needed to give money to a child for any legitimate purpose, it was always in cash.” [22:57] “Money is brought into being when one human being serves another. There is no other way of money being created. And people must really understand that if the government prints money, that’s really not the creation of money at all.” As you can see, to Rabbi Lapin, money is far more than just a means to an end. It’s also a true reflection of human connection. Every transaction speaks to a bond of trust, cooperation, and mutual respect. These spiritual attributes give money its true weight: Money is a connector, not a divider: it links people through service and shared purpose. Money rewards contribution: the more value you bring to others, the more you’

Considering Infinite Banking, got questions? We love your questions because we know that gaining clarity and getting answers frees you up to make decisions about your financial life. And chances are if you’re asking, someone else is too! Today, we're tackling audience questions on inflation, pensions, and infinite banking. https://www.youtube.com/watch?v=9Hsoxa0Q3Pg To get more clarity on common questions we get from our tribe, tune in now! Table of contentsHow Do You Weather the Current Economy?How Do You Track Borrowed Funds?What Are the MEC Guidelines on Single Premium Life Insurance?Think Long-TermAre IBC Policies Inflation-Proof?How Do You Maximize Your Pension Plan?When Can You Borrow from Your Policy?Why Do You Lose Control When You Pay Back Your Mortgage?Do the Cash Value and Death Benefit Both Get Paid at Death?Does Infinite Banking Work Internationally?Do I Have to Take a Policy Loan if I Have Other Options?Book A Strategy Call How do you weather the current economy?This is a good time to be in a position of cash and wait for the right opportunity. This means raising your standards and only choosing high-caliber deals that align with your values. This is also a good time to innovate in your field. How Do You Weather the Current Economy? To be more specific, this listener asked how they can navigate the current economy and also create passive income within a year. Is this possible? Getting capital within a year may be difficult because the Fed is tightening up on capital. This is part of the reason we’re looking at a recession now. Remember that “opportunity seeks liquidity,” as Nelson Nash would say. Don’t feel like you need to deploy capital right now. Since the cost of capital is increasing, you want to wait for the right deal, not just any deal. It’s good to be smart and hang onto your capital until you find something that meets all your standards. This is also a good time to network and connect with other professionals that you can learn from. Be sure you’re connecting with high-caliber people that have good advice that aligns with your values. You can also look at your current career path or income stream and seek ways to increase that revenue now. That doesn’t necessarily mean investing. It can also mean expanding your offerings, pivoting to fit the market, and improving your services. A recession is a long game, so you need to think about the bigger picture as you navigate this time. Short-term decision-making won’t serve you in this economic climate. How Do You Track Borrowed Funds? Whether you have a large portfolio of policies or just one policy, you might have some loans you want to track. Staying organized can help you with your due diligence, however, don’t get too bogged down with the minute details. One way you can keep track of things is by opening a separate bank account. When you take a loan, put the money into that one account, separate from your other money. Then pay for the investment or whatever you’re doing from the new account. Then send the cash flow from the investment back into that checking account. You can then use this as the fund with which to pay back the policy loan. This way, everything is organized, yet you don’t have to get into the weeds to track it all. If you’re really picky about it, you can have multiple accounts, one for every loan or investment. Whatever you do, make sure it works for you and makes things easier, not harder. What Are the MEC Guidelines on Single Premium Life Insurance? This viewer asked about the guidelines for Modified Endowment Contracts (MECs), and whether there is some benefit for churches or non-profit organizations. A MEC policy is a policy that has been overfunded in the early years and loses its designation as life insurance. This is an IRS guideline to prevent people from laundering money or using life insurance as a tax shelter. When a policy becomes a MEC, it loses tax advantages and other benefits. MEC guideline interpretations differ from company to company because they have different company structures and different growth projections. However, they will send notifications if you are going to MEC your policy so that you can rectify it if you wish. Single Premium life insurance is when you fully pay up your life insurance in one year. The challenge is that if you take a large loan after a single premium policy, the interest cost may not be covered by the interest and dividend growth. This happens because the growth on the base premium is less than the growth on the paid-up additions, and a single premium is mostly PUA. This could mean that you run into a loss of tax advantages. Think Long-Term Rather than aiming for perfection right now, don’t be afraid to just get started, even if it’s small. If you use a single premium policy, you could run into trouble with taxes and interest costs. You might want to put everything you can into a policy right away, but you don’t have to. It’s often better to take small steps. Figure o

You only have 18 summers with your kids. How will you make them count? Today, we’re talking with Jim Sheils of 18 Summers and author of The Family Boardroom. We're digging into how you—the entrepreneur, business owner, and busy parent—can deepen your relationship with your child. https://www.youtube.com/watch?v=7Mg58L5y8J8 So, if you want to create lifelong connections, trust, bonding, respect, and experiences in your family… tune in now! Table of contentsThe Origins of 18 SummersThe Power of 18 SummersThe One-to-One PrincipleYou Must Be PresentSay the UnspokenConnect with Jim SheilsAbout Jim Sheils Book A Strategy Call The Origins of 18 Summers [1:00] “Basically, there was a study done that the average person will spend… almost 85 percent of all the quality time they have with their children by the end of the 18th summer. Which starts to make sense, you know, because the time minimizes when they’re moving out and becoming adults and possibly not living near you. So it’s saying try to make the most of those 18, because [then] they’ll want to come back for more.” This flies in the face of common entrepreneurial advice that you should put your head down and focus solely on your business for 5 years. Supposedly, after that, you should have all the time in the world. However, Jim feels that this is the wrong way to approach business and family culture. Because if you don’t make the most of those first 18 summers of your children’s lives, you’ll lose out on future opportunities to be with them. [13:35] “When you think about it, they turn 18 [and] they can go off to college, join the military, go out on their own. They’re out of high school. I don’t know about you, but my 19-year-old doesn’t hang out as much with me. Although we hang out, he doesn’t hang out with me as much as my 5-year-old.” The Power of 18 Summers [14:20] “It causes a positive urgency.” This is the power of the “18 summers” mindset. Of course, you’re going to have more time with your kids than that. However, those first 18 years are pivotal to your relationship with your children. Those years are formative for them and are the foundation of your relationship. Despite the time you have after they turn 18, you’ll never have more time than you do while they’re still in the school system. Spending time with your children and making memories while they’re young will lay the groundwork for how the future goes. [14:38] “Here’s what I know [from] working in this over a decade: you do those first 18 years right… the odds of your child [wanting] you to be a part of their life as an adult go up dramatically. [If] you’re missing, you’re not there, you’ve just been kind of a distant, disciplinarian, ATM machine that wasn’t part of the family life, the odds go down.” The One-to-One Principle [17:05] “If you want to have a really strong family and those dynamics of deeper relationships, you have to separate the parts to strengthen the whole. And that is what we call the one-to-one principle. One-on-one time. One-on-one time puts the magnifying glass on that individual relationship, takes away sibling rivalry, gives full attention. It is an absolute potent, potent relationship builder that’s rarely practiced.” This, Jim shares, is the secret to building strong relationships. Yet when you build a family, having one-on-one time can seem inefficient—you’ve got so many people to bond with and seemingly little time. But it doesn’t take much, it just has to be intentional. This is something you should do with your spouse, your siblings, your kids, and your in-laws. Your kids should have one-on-one time with each other. This can take work, and it is so worth it in the grand scheme of things. You have to schedule and plan this time and prioritize it to ensure that it happens. And there should be balance so that all children feel like there is equal attention and care. If you feel like things are disconnected, stale, or fraught in your household, schedule one-on-one time. That which gets scheduled gets done. To make it easier, do it on a rhythm. Do date nights on the same night every week. Plan something with each of your children once a quarter. You Must Be Present Part of being intentional is also being 100% present in the moments that you spend with your family in one-on-one time. For Jim, that means no phones. What seems like an insignificant divide can actually be a barrier to your time with your loved ones. [31:31] “If we’re always on our phones, how do our children know that they’re most important? Or our spouse? And if we’re always seeming to be dragged into that useless text or email—and maybe it’s not useless, I understand you’re working hard—but if they have something really important to talk to you about, do you think that’s going to invite them out to talk about it? Or is it going to continue to hold it in?” If you’re going to spend time with your loved ones, spend time with them. Make it about bonding and building your relationships. Don’t allow thos

Despite the fact that many know they need life insurance, nearly half of consumers do not have insurance, according to a 2021 LIMRA study. The most common reasons are that they think it is too expensive, they have other financial priorities, or they aren’t aware of what they need and what type to purchase. https://www.youtube.com/watch?v=vuKJznszXbE To help you overcome the hurdles and make decisions to shrink your life insurance coverage gaps, we’re sharing the 10 benefits of life insurance. Life insurance isn't just about death benefits but a powerful tool for creating security, growth, and legacy. So, if you have life insurance needs, doubts, interests, questions, or even fears, and you want straight-talk, no-nonsense answers… tune in now! Table of contentsWhy Do People Need Insurance?How Much Life Insurance Do You Need?10 Reasons People Buy Life Insurance1. The Benefits Outweigh the Costs2. Financial Protection for Loved Ones3. Peace of Mind During Life’s Uncertainties4. Tax Advantages to Grow Wealth Faster5. Additional Retirement Income Strategies6. Automatic Savings & Forced Discipline7. Excellent, Efficient Cash Storage8. Ability to Capitalize on Opportunities9. Leverage the Velocity of Money10. Generational WealthWrapping up on Life Insurance BenefitsBook A Strategy CallLinks for Further Reading Why Do People Need Insurance? [1:50] “I really just think it comes down to [the fact that] people do not want to face their own mortality. I think I said this once before on a podcast—we all know we’re going to die, we just don’t believe we’re going to die.” It’s almost an evolutionary development because if we were constantly obsessing over our mortality, the world would be a much different place. Even so, people think about their deaths the more they have to protect: families, estates, etc. Life insurance is the product that protects your family and estate if you die. Knowing that that protection is in place, you can sleep easier at night knowing that what matters to you will be taken care of no matter what. How Much Life Insurance Do You Need? Unfortunately, many families in the US are underinsured. Life insurance is perhaps one of the only insurance categories where this can happen. You can’t underinsure your car or your house, nor would you want to. Yet people underinsure themselves all the time. One way this happens is because many people calculate their insurance by using a “needs analysis.” In other words they count out how much money they’d need to pay off their home, car, and other debt if they passed away. Sometimes they include the cost of their children’s education. However, this doesn’t account for any income. While this is of course a better approach than having no insurance, there’s an even more effective way. It’s called the human life value approach, or HLV. This is a way of calculating all the income you’d earn over your working years so that your insurance can act as a full income replacement. So if you’re 30, you may multiply your annual income by 30 to get your HLV. If you’re 50, you’d multiply it by about 10 or 20, depending. While this number seems shocking to many people, it’s realistic. Insurance companies won’t overinsure you, and they calculate HLV to determine the maximum amount of insurance you are entitled to. Many people don’t start out with enough liquidity to pay the premiums for their full HLV. However, just by knowing what that number is, you can feel more confident in the amount of insurance you do choose to purchase. 10 Reasons People Buy Life Insurance We don’t want to tell you what you “need,” because everyone has different circumstances. However, what we can do is share with you why people buy life insurance, and why they keep it. Hopefully, these can help you decide for yourself whether life insurance will be a benefit to you. So let’s explore these 10 life insurance benefits: 1. The Benefits Outweigh the Costs [17:10] “Instead of painting in your mind ‘It’s too expensive, I can’t do it,’ just check it out first. And then figure out if it’s too expensive.” The problem with “too expensive” is that it means something different to different people. For some, it may mean that they can’t fit it into their monthly expenses. For others, it may be expensive if the cost outweighs the benefits. To the former, there may be a way that we can help you find some wiggle room. That may include rearranging some of your expenses or paying down some debt. Or, you could get a smaller whole-life policy, and fill in the gaps with cheaper term insurance. For the latter mindset, we encourage you to think about the benefits. Protecting your family, having a non-correlated asset, the ability to leverage your dollars, and contractual guarantees—these are just a few of the true costs of whole life insurance. Consider these value comparisons: A $500,000 whole life policy might cost $400/month, but provides $500,000 immediate death benefit The same $400 invested monthly would take years

Do you want to build your family bank that will provide capital to you and future generations? Come see behind the scenes as we talk about our Marshall Family Banking System in real-time. https://www.youtube.com/watch?v=c4u4YRT5wIs Today, we’re updating you in real-time to show the impacts of paying another year of premium, how our cash value is growing, and our vision for how we’ll use our family bank as the foundation to grow generational wealth. So, if you want to see exactly how and why you can grow a family bank to secure capital reserves for your family for generations to come… tune in now! Table of contentsHow Do Life Insurance Illustrations WorkA Brief History of the Marshall Family BankMaximizing Human Life ValueThe Capitalization Phase of Infinite BankingWhere the Marshall Family Bank StandsOther Installments of the Marshall Family Bank SeriesBook A Strategy Call How Do Life Insurance Illustrations Work [3:45] “What I want you to understand is that the illustrations are simply snapshots in time. They are the insurance company’s best guess at what’s going to happen. In some periods of time—whether it’s 5 years, 10 years, 20 years, 30 years—[the policies do] better than what they projected. And then some periods of time they’re slightly worse than what they projected.” Because of the nature of these projections, illustrations go out of date quickly. As soon as the floor of your cash value increases, your illustration is out of date. First, you’ve “locked in” your cash value floor, which will affect all future projections. And second, every year the companies declare new dividends, which will change the projections. Ultimately, when you look at an illustration, it’s a snapshot in time. So although you can trust the general trajectory of your policy, thanks to the good work of the actuaries, it won’t be accurate to the dollar. Don’t get bogged down in the minor details of illustrations. What’s most important is that you find a mutual company with good business practices. [9:13] “There are too many people selling on the basis of an illustration, which is a projection, which can look really good up front. But the real reason to have an infinite banking policy is that you’re looking for a place to store cash that is safe, it’s liquid, and that’s growing. And if you’re looking for as much safety [as possible], you want a stable, solid company.” A Brief History of the Marshall Family Bank We’ve discussed how we got into Infinite Banking in other posts, but we’ll do a quick recap for you here. In December of 2012, we opened our first infinite banking policy on Lucas. At the time, we had a pretty sizeable store of gold and silver but found that we weren’t in a position of much liquidity that way. Because the market was down at the time, we ended up losing about half of what we put into those assets. This was a major catalyst for us to change how we thought about our savings and capital. We realized how valuable it was to have quick and easy access to your money, as well as protection from market losses. In November 2021, we did a 1035 exchange of that policy into a new policy with a higher annual premium of $20,000. Then, about 7 months ago, we opened a policy on me, as previously I had only had term life insurance. That policy has a $30,000 premium. When we set up my policy, we backdated it by six months, before my birthday. This allowed us to get more bang for our buck because the cost of the insurance is less the younger you are. It also allowed us to put more capital in from day one of the policy. So our first premium was able to be retroactively applied to when we backdated the policy. Effectively, this allowed us to pay two years' worth of premiums in a year. Maximizing Human Life Value In addition to our two whole life insurance policies, we also have term insurance that helps us reach our full Human Life Value. This means that we have the maximum amount of death benefit that each of us can have. Even though we’re using infinite banking strategies for our savings, the death benefit still has incredible value. Besides allowing us to create generational wealth by leaving a legacy, the death benefit is also about protection. It’s there to support our family in the event of a death. While term insurance may be temporary, with no cash value, it’s an important part of our system because it gives us maximum protection and peace of mind. The Capitalization Phase of Infinite Banking Our policies are now in what we call the capitalization phase. We’re funding the policies so that they can grow and eventually pass the “break-even” point. This is the point at which the cash value equals or surpasses the total amount of premium paid into the policy. During this time, we can access the cash value if necessary, however, we’re more focused on funding this policy. For most companies, the break-even point happens somewhere between years 7 and 10, give or take depending on certain factors. While the company may fac

Mass Mutual, a top life insurance company and heavily relied upon insurance carrier in the Infinite Banking space, recently came out with a memo to their agents against the Infinite Banking Concept. https://www.youtube.com/watch?v=IFhcV4Kp1yg They shared that the company doesn’t support concepts that promote or present whole life insurance as a personal banking policy, prioritizing the maximization of policy cash values and immediate and regular access via policy loans. [paraphrased] Today, we’ll talk about why an insurance provider may choose to take this position, why this doesn’t impact the Infinite Banking Concept, and how you, as a wise financial steward and wealth creator, can ensure you’re making the best decisions. So, if you’re considering Infinite Banking, and you want to see exactly what you should watch out for … tune in now! Table of contentsWhy Would Mass Mutual Denounce Infinite Banking?Combating MisinformationWhat Does This Mean for the Future of Infinite Banking?What Should You Be Aware of About Infinite Banking?Sales Tactics vs. Education and DisclosureBeware of Transactional RelationshipsRecognize that Illustrations are Projections, Not PredictionsKnow You’re Buying Life InsuranceBook A Strategy CallFAQsIs Infinite Banking still a valid strategy?Why would an insurance company limit the language around Infinite Banking?What’s the deal with Mass Mutual and infinite banking?Can I still use policy loans for personal investments or expenses? Why Would Mass Mutual Denounce Infinite Banking? When a company shoots down the infinite banking concept, what they’re really doing is denouncing the use of oversimplified sales tactics in the sale of whole life insurance. In other words, Mass Mutual and other companies have an interest and a duty to make sure that life insurance remains life insurance. That means that the death benefit remains the purpose of a life insurance policy. This doesn’t mean people can’t use whole life insurance to save money and take policy loans, especially considering how closely tied Mass Mutual and infinite banking have historically been. In fact, life insurance companies legally must allow policy loans as a contractual provision—they’re not going anywhere. Insurance companies like Mass Mutual are simply taking a stance against practices that may indicate life insurance is not performing first and foremost, as life insurance should. This statement is about the integrity of the industry, not about IBC in general. Combating Misinformation There’s a lot of misinformation about infinite banking policies, both within the IBC community and outside of it. One of the major problems within the industry is that advisors are trying to make whole life insurance look better than it is. And to be clear: whole life insurance is a very good product. But it’s not magic. The problem arises when people attempt to spread information that makes it seem magical. It’s unfortunate when clients purchase a whole life insurance policy only to be blindsided by how life insurance actually works. We’ve heard many a horror story about how clients didn’t know their policy loans counted against their death benefit if they didn’t pay it back. Or they believed that the cash value was unrelated to the death benefit. Many clients are also misled about how life insurance is taxed. It’s critical that companies like Mass Mutual take a stand against this misinformation to protect consumers. This is, first and foremost, the priority of the life insurance companies, as it should be. Hopefully, this will encourage more agents to take IBC seriously, thereby preventing the spread of misinformation. [21:30] “The problem is [that] this muddies the water. It makes it difficult for consumers to figure out well who do I actually listen to. Who is telling me the right information? How am I going to get a policy that lasts? How am I going to make sure this is set up properly, [and] how do I make sure it’s not just a flash-in-the-pan policy? So the insurance company is looking at all of this happening and recognizing if people are putting in too much premium dollars because they don’t know what they’re really doing, it’s not sustainable.” What Does This Mean for the Future of Infinite Banking? As far as you are concerned, education will be critical. Before you or any consumer makes a choice, you should seek all the information. Listen to those who are transparent, who discuss the product from all angles, and who are fighting to dispel misinformation. This can take some time to find the right people, but it will be worth it. You want to understand the decisions you’re making so that they empower you rather than blind you. In particular, pay attention to those who talk about the value of whole life insurance as a protection product. If you come across a producer who doesn’t acknowledge the importance of the death benefit, that’s something to be cautious of. For producers and agents, it’s imperative to act with integrity and teach

You have heard of the Seven Deadly Sins: pride, greed, lust, envy, gluttony, wrath, and sloth. Each is a natural human weakness that impedes happiness. In addition to these vices, however, there are economic sins as well. And they, too, wreak havoc on our lives and in society. They can seem intuitively compelling, yet they lead to waste, loss, and forgone prosperity. James Otteson, the John T. Ryan Professor of Business Ethics at the University of Notre Dame, is the author of Seven Deadly Economic Sins. https://www.youtube.com/watch?v=FxZ8_rxEbyI In this thoughtful and compelling book, James Otteson tells the story of seven central economic fallacies. He explains why believing in these fallacies leads to mistakes and loss, and how to avoid costly errors. This, ultimately, enables us to live in peace and prosperity. Today, on the podcast, we discuss: What economists agree about Why wealth creation is positive-sum, not zero-sum How market economies have enabled more prosperity than any other system of economics Why business can be moral and honorable If you want a conversation about economics, philosophy, and how nations prosper… tune in now! Table of contentsFrom Philosophy to EconomicsTeaching Business EthicsWho is James Otteson’s Seven Deadly Economic Sins For? Is Wealth a Zero Sum?The Morality of BusinessAbout James OttesonOtteson at Notre DameBook A Strategy Call From Philosophy to Economics In the blink of an eye, James Otteson found his path changed from medicine to philosophy, thanks to a required college course. [7:40] “I thought if you went to college, you should either become a medical doctor or a lawyer. I thought those were the two things you became. So I was going to be a medical doctor, and I just happened to take a course that I was required to take, that was taught by a Classics professor… It led me into the great books program at Notre Dame.” He notes that when he was in grad school in Chicago, one of his philosophical heroes was David Hume. In particular, he wanted to write his thesis on Hume’s moral theory. His research eventually led him to Adam Smith and his book, The Theory of Moral Sentiments, which was a pivotal moment in Otteson’s career and became the new subject of his dissertation. What he discovered was that very few people had really written on or responded to Smith’s book, and Otteson viewed it as an untapped well. It was Smith's ideology on morals that sparked Otteson's initial interest in the economy and politics. Teaching Business Ethics After teaching courses on the history of economic thought for some time, Otteson was asked to teach a course on business ethics. When working on the course and how he would approach it, Otteson learned there was very little consensus on how a business ethics course ought to go. [11:41] “I thought it might be more interesting and maybe more productive, if instead of just looking at all the ways that business could go wrong, instead turning it around a little bit and asking: “Is there some kind of moral purpose that a life in business could actually serve?” By reframing the class slightly, he could have students think through whether it is possible to be fully engaged in a business and also be a virtuous person. Who is James Otteson’s Seven Deadly Economic Sins For? James Otteson’s research heavily influenced his latest book, Seven Deadly Economic Sins. The book was written with an intelligent audience in mind, specifically, those who are not economists yet are interested in working well within the existing economy. [14:10] “We all have our opinions about politics. But we also, many of us, have very strong opinions about economic matters even though, curiously, many of us have not studied economics.” So while everyone may have an opinion about something like minimum wage, not everyone has read the academic literature on the topic. And in fairness, as Otteson shares, when you open an academic journal it’s full of equations that require technical knowledge. And even when you understand them, many economists disagree on how certain principles and equations can best apply to real life. It’s tough to break into, and tough to know who to listen to. Otteson wrote Seven Deadly Economic Sins with that in mind. It’s written for people who have an interest in understanding how economic principles affect real life and inform decisions. And even though economists disagree on many things, there are fundamental principles that basically every economist agrees on. Is Wealth a Zero Sum? The first chapter in Seven Deadly Sins is about the belief that wealth is a zero-sum game. In order for this to be true, that would mean that when someone wins, someone is losing at a proportionate level. Therefore, when someone amasses a fortune, there are people who are being “kept” from wealth. And unfortunately, this is an incredibly pervasive myth. One reason it may be such a common misunderstanding is that other coveted resources operate this way. While time is

Why do top banks own billions of dollars of cash-value life insurance, if Dave Ramsey and Suze Orman say it's such a bad idea? Today, we're looking into bank financials at a little-known, highly desirable asset banks use as a Tier 1 Capital Asset to increase their financial strength. We're talking about bank-owned life insurance, or BOLI. https://youtu.be/7gqAiiHQLXI We’re going to lay to rest the fallacy that this type of insurance is such a terrible investment, and explain exactly why the most successful financial institutions in the world are pouring billions into it. So, if you want to fortify your finances and increase your stability through economic turbulence … tune in now to find out about becoming your own banker with the Infinite Banking Concept! Quick Takeaways What you'll discover: Why the smartest money managers in the world are pouring billions into life insurance while financial gurus tell you it's a bad idea The staggering amounts banks actually own - numbers that will make you question everything you've been told about life insurance What banks did during the 2008 crisis that should change how you think about protecting your wealth How to copy what banks do and apply their strategies to your personal finances Why banks choose life insurance over other investments when they could put money anywhere How to become your own bank using the same wealth-building principles as billion-dollar institutions Table of contentsWhat Is BOLI?How BOLI WorksWhat About COLI?Why BOLI Is So EffectivePredictable Asset with Regulatory ApprovalHigh Cash Value Accumulation and StabilityHow Much Do Banks Actually Own?What Banks Did During the Financial CrisisWhat Individuals Can Learn from BOLILearn How to Use Life Insurance Like a Bank What Is BOLI? BOLI stands for Bank Owned Life Insurance, and while it’s widely available knowledge, it’s not widely understood. So why would banks want to own life insurance, and what does it do for those institutions? Banks really didn’t own life insurance until about 1994. In large part, banks take life insurance policies out on their key employees. This doesn’t just give the banks an additional place to store and grow capital securely. The death benefit also provides the banks with a means to train a replacement in the event of that employee’s death. In fact, even the cash value is useful in allowing the banks to prepare for a key employee to retire. This is how banks have “insurable interest” in their employees. But banks don’t just take out these policies on their employees, either. Banks have actually started group policies on the bank's customers who have loans with the bank. This means that if a customer died, the death benefit would pay for any outstanding loans. Banks are great at protecting their money. They see the value in having their money over-collateralized in order to protect it. If that is something that this institution is doing, why shouldn’t you be doing it in your own life? Banks didn't stumble into this strategy by accident - they discovered what wealthy families have known for generations. How BOLI Works Boli isn’t some sort of experimental strategy. This is how the smartest money managers in the world protect and grow capital. Let's say a bank has a key executive making $200,000 a year. The bank takes out a $1 million life insurance policy on that executive, pays the premiums, and owns the policy. Year one: The bank pays a $20,000 premium. Nearly all of it goes into cash value immediately, with full liquidity from day one. That cash value earns a competitive, tax-advantaged return. Year five: The cash value has grown significantly. The bank can borrow against it if it needs capital for operations or lending.. Year ten: The executive retires. The bank still owns a growing asset with even higher cash value and a $1 million death benefit, which supports long-term planning and future expenses. Or, if the executive passes away, the bank receives the full $1 million death benefit tax-free. This more than covers the costs of finding and training a replacement and compensates for any business disruption. Meanwhile, throughout this entire time, that cash value has been growing steadily - no market risk, no volatility, just predictable growth that banking regulators actually encourage. That's why banks love this strategy: it solves multiple problems while building wealth in the safest way possible. What About COLI? Like bank-owned life insurance, there is also corporate-owned life insurance, or COLI. The idea and usage of this type of life insurance is the same. Companies benefit from having growth and liquidity in a life insurance policy, as well as the death benefit. Corporations like Walmart, Disney, Procter & Gamble, and many others rely on life insurance strategies. So if life insurance is such a “bad investment” as some financial talking heads would suggest, then why are banks and major corporations relying s

So you’ve decided to buy a specially designed whole life insurance policy. You’re working with the right advisor, you have an excellently designed policy. But one day you think: How do I become the best banker I can and use my policy to its fullest potential? To get the most out of your IBC policies, you must follow Nelson Nash’s 5 Rules of IBC. Here to unpack these 5 principles for IBC is David Stearns. https://www.youtube.com/watch?v=v177xxW5c4M David Stearns is Nelson’s son-in-law and president of Infinite Banking Concepts, LLC. He is carrying on Nelson’s legacy both professionally and personally. If you want to learn from the best, this is as close to the source as you can get… so tune in now! Table of contentsContinuing Nelson Nash’s LegacyThe Evolution of the Nelson Nash InstituteHow to Find an IBC PractitionerDavid Stearns Shares The 5 Rules of IBCThink Long-RangeDon’t Be Afraid to CapitalizeDon’t Steal the PeasDon’t Do Business with BanksRe-think Your ThinkingBonus: Be Prepared for WindfallsAbout David StearnsBook A Strategy Call Continuing Nelson Nash’s Legacy Nelson Nash was the innovative creator of the Infinite Banking Concept and the Author of Becoming Your Own Banker. Now, IBC and the Nelson Nash Institute continue to educate people about IBC and how life insurance can play an instrumental role in personal finance. The company is now headed by David Stearns, Nelson’s son-in-law, who we have the pleasure of speaking with today. David joins us today to share the 5 Rules of IBC that Nelson shared, and how he interprets them today. [22:30] “Whole life insurance is not glamorous–okay, number one. Number two, it’s hard work because you’ve got to make the effort to build your portfolio over the years.” The Evolution of the Nelson Nash Institute Nelson Nash saw IBC as a way for people to get their money out of Wall Street, and have greater safety, liquidity, and leverage. Nelson was so passionate about IBC that even at the age of 85 he was doing dozens of seminars a year, teaching people about IBC. These seminars were hosted by insurance agents and other financial professionals all over the country. They’d hire Nelson and fly him out, and he’d share his wealth of knowledge with whoever was in the room. But, according to David, no one ever really asked the question: what are people doing with this information? Because the reality was, people were applying the information to the wrong life insurance products. Or, agents were sending non-selling associates to listen to the information. There were just too many instances of the IBC message being watered down or twisted into something it wasn’t. But, they were still using Nelson’s name. That’s when David Stearns and a few others got together and decided that it would be critical to the future of IBC to implement a standard. That standard would become what is the Nelson Nash Institute and the IBC Practitioner Program, which was meant to hold advisors accountable to the information Nelson offered. This would ensure that advisors couldn’t co-opt Nelson’s message, nor morph it into something that it isn’t meant to be. How to Find an IBC Practitioner If you are ever interested to know whether or not you’re working with or connecting with an IBC practitioner, there’s a database you can check. The IBC Practitioner database is extremely useful in verifying who has been through the training and whether they are adhering to the rules and standards of IBC. The benefit of working with someone who is in the program or completed it is that you can be sure of their character. An IBC Practitioner will have all the values that Nelson Nash and IBC have shared and cultivated. Those in the program also get the benefit of working with other Practitioners to boost their knowledge and skills. This ensures that the training is solid and standardized. The fundamentals of IBC are critical to the success of an agent and their clients, so it’s critical that you work with someone who upholds those fundamentals. David Stearns Shares The 5 Rules of IBC As David mentioned, IBC takes work. While you may be able to automate your premium payments, it’s not quite a “set-it-and-forget-it” product. You’ll have to work on it over time and be diligent in how you use it and construct your money habits. Below are the rules of IBC that Nelson Nash came up with, at IBC Practitioners learn. Think Long-Range Long-range thinking is one of the most important fundamentals of IBC. Not only does your IBC policy take time to be at it’s best, it’s going to be something you use over your whole life. And more than that, it’s a seed you plant for future generations: your children and your children’s children. This is a wealth-building strategy and legacy that takes time and effort and intentionality. This is the gift of IBC—wealth building that benefits you now and later. Don’t Be Afraid to Capitalize It’s up to you to determine the purpose of your money. Likely, to some extent, that purpose includes being able

Want tax-free retirement income? Tax-free money in retirement sounds amazing… at first glance. https://www.youtube.com/watch?v=mylXCXThFl0 But before you dive into this strategy, there are three things you need to know about why “Tax-Free Retirement” is a really bad idea. To find out exactly why you shouldn’t set up your financial game plan for tax-free retirement… tune in now! Table of contentsSetting FrameworksWhat is Tax-Free Retirement?“Don’t Let the Tax Tail Wag the Dog”Retirement is a Concept that Needs FixingHow to Change RetirementSo Why Shouldn’t You Do Tax-Free Retirement?Why Tax-Free Income is Not the Best First SolutionLife Insurance is InsuranceBook A Strategy Call Setting Frameworks When you’re presented with a certain lens or framework, it’s important to step back and consider: Where is the information coming from? Who does this benefit? What are the other options? These questions can go a long way in helping you determine whether a strategy is a good fit for you, whether it has merit, and how you should approach it. The idea of tax-free retirement using whole life insurance is popular. Just the name alone makes it sound amazing. So why wouldn’t someone want to implement it? Keeping the above questions in mind, we’re going to unpack the nuances of this approach so that you can use that information to better your strategy. What is Tax-Free Retirement? The general idea of tax-free retirement is that you have set up a whole life insurance policy for maximum cash value growth that you can use for retirement income. The strategy suggests that after maximally funding a policy, you can choose to retire and use that cash value for retirement income. You use a certain formula to determine how much you can withdraw each year over a certain timeframe (instead of borrowing against it) without creating a taxable event. The premise is that by saving into a whole life insurance policy, you can pull an income from your policy without paying taxes. And while this is true, there are certain disadvantages that people don’t often consider or discuss. “Don’t Let the Tax Tail Wag the Dog” This concept comes from Garrett Gunderson, author of Killing Sacred Cows. [14:10] “He talks about how you cannot ever make all of your financial decisions on the basis of, ‘How do I pay the least amount of tax?’ If you’re just looking at taxes, that’s a lens being put in front of your eye [saying], ‘Here’s the most important thing.’ Really, there’s not one most important thing; there’s a lot of factors that you need to consider.” When you only make financial decisions out of the fear of paying taxes, you’re acting from a place of scarcity. The scarcity mindset doesn’t serve you, because it prevents you from seeing other options or strategies that may be even better for you, depending on the purpose of your dollars. If you want to leave a large legacy to your children, but you choose a “tax-free retirement” strategy out of fear, you run the risk of disinheriting your children. This, of course, is not the outcome you want if you’re aiming for a legacy. So it’s important not to let fear dictate the lens through which you take financial action. Retirement is a Concept that Needs Fixing Let’s consider the typical retirement paradigm. Generally, you work from about age 20 or so until you’re somewhere between 60 and 70. In all of those working years, you work as hard as possible to make as much as possible. And hopefully, you save as much as possible. Then, when you’re ready to retire, you stop working completely and live off of what you’ve saved. You probably intend to continue living life at the same level of comfort and quality, so you take about the same income that you made when you had a job. Unfortunately, many people only save about 10-20% of their income. But, they still want to live at 100% of what they’re used to. This means retirees are going through their money quickly—even with a tax-free retirement strategy. [15:30] “The main reason why retirement is a really bad idea in the first place is that if you are stepping out of a position of working, you’re putting yourself out of service. To retire literally means to put out of use. And that means you’re in a position of no longer contributing to society in a way that is providing the value so that you can have an income. That’s putting you in a position of isolation.” It’s also a poor perspective of work because work shouldn’t be drudgery. You have the potential to create meaningful, fulfilling work. How to Change Retirement This isn’t to say that you have to have the same career forever. You don’t even have to work in the same capacity in your career forever. We simply want to encourage people to show up in the world by creating value. The income naturally follows. Choosing this path of service also serves to keep you healthy, mentally active, and connected to your fellow humans. It’s a blessing to live this way, not only to you, but to all the people you bless. This type of

How does whole life insurance work out over the years? Today, we're looking at a real-world case study of someone with basic whole life insurance policies that have become very productive and efficient assets when held and used long-term. https://www.youtube.com/watch?v=D0tsSgckpTY We'll discuss how policies for self, spouse, young kids, and future grandchildren work together. In particular, we'll see how the newest policies in Tom's family banking system have turned a corner. Now, they're accumulating more cash value than the cost of annual premiums. He then used these dollars to invest in cash-flowing assets that help fund the policies. We'll explore how you can establish policies for future grandkids to begin legacy planning. You'll learn how to use life insurance as a foundational piece of your kid's and grandkids' financial lives. If you want to see how Infinite Banking can work for your family ... tune in now! Table of contentsHow Tom Found Infinite BankingFirst Thoughts On Opening a Life Insurance PolicyHow Tom Feels About His Life Insurance Policy NowThe Power of Having Policies on Your ChildrenSelf-Sustaining PoliciesTom’s Family Banking SystemConnect with Tom SuvansriAbout Tom SuvansriBook A Strategy Call How Tom Found Infinite Banking [5:45] “The concept of infinite banking wasn’t talked about [when I started my whole life policy]...it was just a long-term savings vehicle that protects you from these bad things that could happen.” Tom shares that when he started his policy, he didn't even know about leveraging cash value. No one was talking about it. He was just aware that it was a suitable tool for saving money and protecting income. The knowledge about infinite banking came later. Fortunately, Tom had the experience of those before him to draw on. His father had some universal life insurance that imploded, so they both knew to stay away from that structure of life insurance in the future. [6:48] “It’s just one of those sad stories, but you know, that was something that stuck with me. And so we got into talking around just a permanent whole life policy, right? From a mutual insurance company. Which, I didn’t understand what that meant at the time.” First Thoughts On Opening a Life Insurance Policy [12:46] “I think things through pretty deeply, and it took me a while to even get to there—to accept and get a policy. And I did initially, as I got into the first year or two when there was no cash, [feel skeptical]. I saw that, and it did sort of strike me as, ‘Did I do the right thing?’ I was a little concerned.” Tom opened this policy in 2003 and on top of still having his policy and benefitting from it, he now helps other people to implement Infinite Banking strategies. What helped him through these early years was to remind himself that it was a long-term product and that his results would not be overnight. There’s a major mental hurdle to overcome because so many life decisions are short-term. We have to think and decide quickly, and expect to see quick results. But life insurance is a different beast. It’s something that takes time, and while you’re in the early stages it can be difficult to be patient. However, five to ten years down the line, you’ll be thanking your past self. How Tom Feels About His Life Insurance Policy Now [14:25] “It’s so funny, I was kind of joking with my wife about [our policies]. Because every time I get an annual statement come through saying your premium is due, some people think of it like a bill. I’ll tell you, I give it a hug because I know what it’s done for us and our families. It’s secured so much for us over these years, and what it will do in the future—like I cannot wait to contribute to it.” Another added benefit of having a policy for 19 years is that as inflation impacts the value of a dollar, premiums actually feel like less. Premium payments are fixed payments, so inflation actually has the reverse effect on them. The Power of Having Policies on Your Children From Tom’s initial life insurance policy, his “portfolio” has steadily grown as his life has changed. For example, as his family grew to include his two children, he opened whole life insurance policies for them both, starting in 2009. [29:35] “They were our fifth and sixth policies we put on the books. So we got smaller policies for them, I think their death benefit was like five hundred thousand at the time. And we just started because we said there’s savings for us, why not save for them? There could be some for college that they could use and protect them.” Now, these policies are both at the point where the cash value is increasing by more than what Tom and his wife are putting into the account. It took some time for the policies to become this efficient, but now that they are, his family has some great options. And his children are 13 and 16, which means they’re just starting to be at the age where they might want to finance larger purchases

Are you learning all you can about Infinite Banking ... and wondering if you're ready for Infinite Banking? https://www.youtube.com/watch?v=3pygSVCXpYI Today, we'll talk about what's probably going on for you as you make this decision. We'll discuss: The problems you're looking to solve The mindset you need How to know if you're not ready yet How to go from interested to securing your first policy So if you want to know if you're ready for Infinite Banking... tune in now! Table of contentsIs Buying Life Insurance a Big Life Decision?Is Life Insurance a Good Investment?How to Make Good DecisionsThe Advantages of Infinite BankingThe Right Mindset to Be Ready for Infinite BankingYou’re Not Ready for Infinite Banking If…Book A Strategy Call Is Buying Life Insurance a Big Life Decision? [4:05] “I would say this is a medium life decision. And the reason I say that is, obviously, there’s nothing more important than your family.” By this, Bruce means that choices that affect your family and your income are probably “bigger” life decisions. However, buying life insurance isn’t a small decision by any means. Having a death benefit in place gives you the freedom to live your life a little bit differently. It’s like car insurance. You’re going to drive much differently if you don’t have car insurance. So, it’s generally a good idea to have it. Life insurance helps you to live life without reservations. It also acts as a great place to store and build your cash reserves so you can enjoy your money. [4:45] “You’re not living your life to the maximum unless you know that your lifetime income is protected for your family.” Is Life Insurance a Good Investment? [7:20] “If you’re looking at this as an investment, it’s not a good investment. Because the internal rate of return on [whole life insurance] is not going to be great when you consider external rates of return on [actual investments].” The thing is, life insurance isn’t an investment, and we encourage you not to think of it like one. On top of being an insurance product, it’s also an efficient savings tool—that’s it. And when you apply the principles of the Infinite Banking Concept, you create a pool of capital that works harder than a typical bank account. Cash value of life insurance is not an investment. It’s not going to make you a high rate of return. However, it can protect your wealth, your family, and make it easier for you to invest in cash-flowing investments down the line. How to Make Good Decisions Life insurance can be a big decision. You must consider the costs of having insurance, the costs of not having insurance, and a dozen other small decisions in between to find the right fit for you and your family. It’s not a simple decision to be made overnight. To make the best decision possible, it’s wise to consider the logical aspect AND the emotional aspect. The logistics are all about what type of policy, how much you’re going to fund the policy, if it’s a good fit for your family, how you’re going to make payments, etc. You also want to compare it to other places you can store your cash, and ask: is this the best place to store it? Thinking from a logical standpoint is going to help you decide if whole life insurance is something you can commit to fully. On the other hand, the emotional side is determining how it’s going to help or hinder your peace of mind, whether it will make you feel more secure, etc. You want to feel good about the decision you’re making emotionally too. Once you’ve weighed these details, you should come to a decision with full commitment. This is a lifelong decision if you choose to buy whole life insurance. And while you might not pay on it for your whole life, depending on how it’s structured, it’s something you’re going to keep using forever. Don’t go into the decision with a contingency plan, or you’re not truly making a full commitment. The Advantages of Infinite Banking If you’re putting in the work to research and consider infinite banking, and you have a decent savings capability, there’s a good chance you’re ready for infinite banking. We encourage anyone who is interested in implementing the concept to consider doing it as soon as you can. For starters, the sooner you have that protection in place, the sooner you can have that peace of mind. Secondly, if you’re looking for the most efficient place to accumulate and use cash, whole life insurance is your best bet. And the sooner you start saving into a whole life policy, the sooner you can benefit from and use that money. In particular, you can benefit from a better growth rate than what you’ll get at the banks, though it takes some time to get rolling. [36:45] “We see between 3 and 5 percent historical growth on a long-term basis if you’re looking about 30 years plus, in a policy. What that means is, if you look at the ending cash value amount, and you consider all of the premium that has been paid in, it would have required that growth r

Want to be more successful in your life and business, gain more recognition and respect, create more impact, accomplish your goals, reach financial targets, increase your income, and raise happy kids? Then it’s time you found a secret hidden in the timeless Jewish practice of Mussar, as shared by Ruchi Koval. https://www.youtube.com/watch?v=BQcMsQdidDQ It’s not where we usually start. We look for strategies, scripts, tools, and tricks to beat the odds and get there faster. But today, motivational speaker, coach, and author of Soul Construction, Ruchi Koval shares the real keys to success that are found much deeper... by developing character. So, if you want to become financially successful, then be prepared for a challenging, growing conversation that will help you have the right relationship with money… tune in now! Table of contentsWhat is Mussar?Why Does Character Development Matter?Money Doesn’t Define YouCharacter Development is a Lifelong ProcessConnect with Ruchi Koval About Ruchi KovalBook A Strategy Call What is Mussar? [5:12] “I was basically raised on the precepts of Mussar, from the time I was little enough to speak. So Musar is a concept of ethical character development… Throughout the generations, people have been asking themselves, ‘How can we make faith relevant to the next generation?’ One of the answers that came forth in the 1800s was this concept of Mussar, which had been in existence, but kind of latent—that a primary path to spirituality could be focusing on our character traits.” Before this, there were other popular schools of thought about how to achieve spirituality in the Jewish faith. It was Rabbi Yisroel Salanter who really brought this thinking to the forefront and inspired the Mussar movement. The Rabbi who founded the school that Ruchi attended was the son of a Mussar master. The character traits in question include things such as patience, kindness, joy, and humility. Ruchi also highlights that it’s also important to work on controlling your anger or allowing people to have their way. [6:38] “That was as Jewish as charity and traveling to Israel and, you know, observing the Sabbath.” Why Does Character Development Matter? [8:43] “I believe that ancient Jewish wisdom is universal. That means that it can apply to anyone. That’s why this book that I wrote—Soul Construction—is not just targeted for Jews. It’s targeted for anybody, because I do believe that it’s universal wisdom. The point of Mussar is really self-transformation, but it definitely affects everybody around us.” Part of Mussar that Ruchi shares is to have your character traits in balance. Anything to an extreme, on either end of the spectrum, is unhealthy. For example, you must have generosity in balance. You want to tithe and be generous, but you also want to keep some of that money so you can do more with it and better your family. Ambition, too, can be a good thing, unless taken too far. Then, it becomes greed. Keeping your character traits in balance not only allows you to be more spiritual, but it can also help you in your pursuit of certain things, like abundance. [11:55] “If I can get my character traits in balance, then my pursuit of money could be something that is fulfilling for me and my family, and will create harmony and not discord. Money Doesn’t Define You [17:10] “So ancient Jewish wisdom actually teaches that money doesn’t define you… How much you have of it doesn’t define you at all.” In fact, Judaism recognizes wealth as a blessing from God. So earning a certain dollar amount cannot define you. It’s your attitude toward what you have and what you choose to do with it that defines you. If you’re generous, humble, and grateful, that speaks volumes no matter your income. It also speaks volumes if you’re miserly, snobbish, and conceited. If you’re concerned about having entitled children because you’re leaving an inheritance, it’s critical to raise them not to be that way. Their character isn’t defined by what you leave to them. It depends on how you raise them to understand money, and how to treat other people. And parents must be clear and communicative with children. [23:12] “The most important thing we want to give to the next generation is values. And that can all be undone because of a messy will.” Character Development is a Lifelong Process [41:56] “That’s the concept of Mussar, truly, is that it’s a lifelong process. Because anything that is of value takes time. And this is just as applicable to money, right? I mean I tell this to my kids: if there’s some get-rich-quick scheme, it’s probably a scheme. Because real money takes time to build and grow and invest and earn.” Furthermore, in order to keep earning an income, you have to keep offering a quality product or service. There’s no real point at which you’re done—if you build a business or have an income, you’re always going to have to work at it. The same is for character development. You are always going to have to work for it. You’ll stu

Have you heard about Infinite Banking, and you want to learn more? Or maybe you’re already using Infinite Banking, but would like to explain it better to your family and friends. In past installments of the series, we've discussed how IBC works, and what it is. Today, we're unpacking what makes infinite banking "infinite". https://youtu.be/VgA7PaXvvF0 So if you're ready to learn how to increase your opportunities and create wealth that lasts beyond your lifetime... tune in now. Table of contentsThe Multigenerational Benefit of Infinite BankingHow to Create a Succession Plan for Infinite BankingWhat Makes Infinite Banking Infinite?Examples of the Infinite PossibilitiesVelocity of MoneyInternal and External ReturnsBook A Strategy Call The Multigenerational Benefit of Infinite Banking There are many ways one might consider the Infinite Banking Concept to be “infinite.” One of these ways is the multigenerational capacity of infinite banking. By establishing a liquid savings vehicle like whole life insurance, you’re creating a system of wealth that not only can be leveraged for investments and opportunities but can be passed on to the next generation via the death benefit. That money can then be reinserted into a new life insurance policy that creates new opportunities for your children. And by extension, it creates opportunities for their children. As long as each generation is properly prepared to receive your legacy, and has the required knowledge to be a good steward of that wealth, it can last for generations. This is a key reason that having a succession plan is critical. That way, your heirs are prepared to continue the family legacy that you’ve established. There should be some guidelines and procedures for how the wealth transfer is handled, and how the family can best maintain the wealth. How to Create a Succession Plan for Infinite Banking [9:08] “The first thing is, you have to communicate within your family. The second thing is you need to work with an organization that has a succession plan that’s going to continue these thoughts within the agency itself so that it can become infinite along the way.” The goal of a truly infinite IBC strategy is to involve your family. This means starting young: educating your children, involving them in your family culture, creating family values, and more can help your children get a sense of your family mission. By involving your children each step of the way, you’re including them in creating this legacy. Inclusion can inspire your children to take responsibility for their role in the family banking system. It also enables them to be good stewards of wealth in the future. This is further aided by having a support system of financial experts who can be your strategic partners. That way, you can create more wealth and freedom. This is how you keep a family banking system alive. What Makes Infinite Banking Infinite? To understand the full scope of this conversation, it’s important to get clarity on why infinite banking has its name. And, why infinite banking is such an excellent strategy for multigenerational wealth. One key is certainty, as Les McGuire discusses in his article, The Economic Value of Certainty. Whole life insurance is a product that creates certainty because it protects your wealth even in death. This certainty gives you the security and peace of mind to make decisions you might not make in scarcity mode. And being able to operate from this mindset makes the possibilities quite literally infinite. Examples of the Infinite Possibilities Using an IBC strategy with whole life insurance allows you to create a pool of liquid cash with certainty. That certainty is locked in by a few different variables: The death benefit gives you the certainty that your family is protected, your legacy can continue, and the family bank can be replenished The cash value is not correlated to the stock market, which gives you the certainty that your account will continue to grow The policy loan provision gives you the certainty that you can finance opportunities that are fully collateralized by the cash value (though you should still repay your loans) It’s this financing portion of IBC that helps make it infinite. What whole life insurance enables you to do is create a pool of money so that you can finance your own investments. The cash flow from those investments can contribute to repaying the loans. Once the loan is repaid, that cash flow can be enjoyed. You can also finance other opportunities that aren’t investments. You can use your cash value to finance your child’s first car. That way your teenager can buy their first car, even without credit, and learn to make responsible payments. You could finance college with a whole life policy, or a family retreat, or anything you want. Velocity of Money Another reason IBC is infinite is that you can use and reuse your cash value an infinite number of times. You do so by borrowing against your cash val

For an intended multigenerational family business to last past the first generation, the family must become a successful team. https://www.youtube.com/watch?v=CuQR8NBc2JY Professor, organizational consultant, family therapist, and family business consultant Dr. Dennis Jaffe joins us today. He has helped families overcome challenges that impede successfully transferring businesses, wealth, value, commitments, and legacies across generations. So, if you want to create a multigenerational family enterprise… tune in now! Table of contentsWhy Should Families Think Multi-Generationally?What Can History Teach Us About the Multigenerational Family Business?When Do You Bring Kids Into the Family Business?The Challenge of First-Generation WealthWhat is the Best Way to Create a Multigenerational Family Business?Connect with Dr. Dennis JaffeAbout Dr. Dennis JaffeBook A Strategy Call Why Should Families Think Multi-Generationally? [3:40] “There’s no ‘should’ about it. This is what families are concerned about—they’ve created wealth, been successful, they’ve providing for their family, they’re creating more wealth than they can use on a day-to-day basis, and they have young people growing up. And they begin to say, ‘Well, what’s going to be my legacy?’ And they begin to ask the question—not how do I get more wealth—-but what is the purpose of our wealth? What do we want to do with it?” Dr. Jaffe has noticed that as families build wealth, they think more seriously about what that wealth will do beyond them. And this consideration is critical because it’s how wealth lasts for generations. You can’t simply build up wealth, you also have to create systems, educate your kids and grandkids, and pass on your values so that the generations beyond you will know how to be good stewards of your money. What Can History Teach Us About the Multigenerational Family Business? Dr. Dennis Jaffe has been in the field of family business and wealth since the early 80s. And over time, this industry has really evolved to include family meetings, family constitutions, and much more beyond just getting advice from a financial advisor. What Dr. Jaffe has done is interview and compile information from wealthy and successful families. A successful family, as Dr. Jaffe defines it, is a family that has kept and maintained its wealth for at least three generations. After all, these are the families who have done a good job of educating the next generation on how to build and keep wealth. Successful families are also families who spend time together and have a sense of connection. [12:10] “What I found is that these hundred-year families had a great sense of their legacy and history. They could look back for the fifth generation and say, ‘Well, you know, grandpa did this.’ Or, ‘One of the things that grandpa did that really made a difference for us is this…’” This research proves helpful because it doesn’t suggest a singular path to wealth. Instead, it illustrates many paths and options for building and sustaining wealth. And behind it all is a sense of family history—that each generation can learn from the ones before. When Do You Bring Kids Into the Family Business? As important as it is to look to the past for guidance on sustaining wealth, it’s just as important to keep tabs on the future. After all, your children and your children’s children are the future of your legacy. They’re the ones who will carry the torch, so it’s important to prepare them to inherit the family’s wealth and continue that legacy. [19:11] “So, one of the first things that I learned is that the older generation has to really listen to the next generation because they have a very unclear and unrealistic idea about the future. Because they see it from their own eyes and their own experience. They don't really understand the experience of their kids, the people that their kids marry, and their kid’s kids. And all those people have to have a voice, and I think a lot of elder generation people don't bring the family members in soon enough… I think it creates a problem for the family if they don't know how to work together. They don't talk about things. Then all of a sudden the elder is gone.” Some parents grapple with knowing when to bring their children into the conversation and the multigenerational family business because they don’t want the children to be exposed to the more complex side of things. Yet that education and training can be critical in helping the next generation be better stewards of wealth in the future. The Challenge of First-Generation Wealth In particular, families with first-generation wealth have a challenge, depending on their mindset. Many of the people Dr. Jaffe’s encountered who have worked hard for their money—rather than being born to it—are independent. They pulled themselves up from the bottom, and want their children to do the same. The issue with this is that their children are often born into wealth. They spend their whole liv

Have you heard about Nelson Nash, Infinite Banking, and Becoming Your Own Banker ... and want to learn more? Or maybe you’re already using Infinite Banking but would like to be able to explain it better to your spouse, parents, children, business partner, or friends. https://www.youtube.com/watch?v=ZoKCkrLgSMs Today, we're unpacking the fundamentals of the Infinite Banking Concept and discussing what Infinite Banking ISN'T. Table of contentsInfinite Banking is NOT: MagicInfinite Banking IS: A Long-Term Habit, Skill, and SystemThe Importance of Long-Term ThinkingInfinite Banking is NOT: A Get Rich Quick SchemeHow Should You Split Your Premium?Can You Pay Premiums with Cash Value?Book A Strategy Call Infinite Banking is NOT: Magic Sometimes, what gets lost in translation when talking about IBC is HOW it works. While it is a powerful tool when structured properly, it is definitely not magic. Unfortunately, the way some people talk about IBC can make it seem that way, which is a disservice to how well it works from a logical and contractual standpoint. Life insurance is a contract. Whole life insurance, in particular, tends to be a very beneficial contract. Since it’s permanent insurance, it offers a lot of living benefits. The loan provision, for example, is one such benefit. However, the loan provision is valuable because of the financial principles you can apply, NOT because you’re getting “free money,” nor even necessarily “tax-free” money. In reality, the loan provision works like any other loan. It just has the added advantage of flexibility, because it’s 100% collateralized by your cash value. Every other seemingly “magic” or “too good to be true” feature of life insurance has a similar explanation. It’s a product that is highly efficient and works well, but it has checks and balances like any other financial product. [6:50] “This is what Nelson [Nash] knew: that human conditions get in the way… If you don’t have good money habits to begin with… you’re not going to be a good saver either. And that is what the Infinite Banking system is. It’s a place to store or save money. It’s not an investment.” Infinite Banking IS: A Long-Term Habit, Skill, and System In reality, Infinite Banking is a long-term strategy to employ by way of whole life insurance. To put that in different terms, whole life insurance is a savings vehicle. Infinite Banking is the strategy for saving and using your money. The reason IBC works so well is that it rewards good habits. The first habit is one of saving: by paying premiums, you increase your equity in your insurance policy. This equity is called cash value. The next good habit is paying down your debt. When you leverage your policy to make a purchase, you benefit by making regular loan payments. You free up capital to use, and you can even apply some of that loan payment as PUAs that increase your cash value. All the while, you continue earning interest and dividends because you’re using a system that puts you in control. Your whole life insurance policy is the place you put your cash until you have somewhere to deploy it. It’s a system that makes your savings more efficient, but you have to have those good habits already. That way, you can access and use your capital. The Importance of Long-Term Thinking The tether that ties the entire system together is long-term thinking. To truly reap the benefits of an IBC policy, you have to set your sites on the long game. That means considering how your actions today can affect your future self in 30 to 40 years or more. Saving, paying loans, and creating a wealth system can all have positive impacts. Not doing those things can leave major holes in your personal economy. And more importantly, if you don’t adopt long-term thinking in your use of an IBC policy, you may struggle to see the results you want. The policy you have can only work as well as you are able to manage it. That means making choices with the long-term in mind. [19:40] “What we really want you to focus on is the long-term growth of the policy, and what it’s going to do over your lifetime, not just what it’s going to do tomorrow in terms of early cash build-up.” Infinite Banking is NOT: A Get Rich Quick Scheme [28:00] “Anything in the world that is worth achieving, and that you will make yourself proud of for doing, does not come [without hard work]. Not marketing, not building a successful business, not raising children, not having a good marriage, not having a healthy body., None of those things come by magic bullets.” Infinite banking is not a get-rich-quick scheme. It’s a process that requires discipline. And if you’re looking for a “magic bullet,” IBC is probably not for you. It requires work, dedication, and good habits. How Should You Split Your Premium? When talking about IBC, it’s common to hear the terms “10/90 split” or “40/60 split.” These are referring to how the premium is structured. There’s base premium and there are PUAs. The base premium is mone

Do you want answers from the Bible about making more money and achieving financial prosperity? The Bible has a lot to teach us about money. https://www.youtube.com/watch?v=Nc1ZUD7_VCA Today, Rabbi Daniel Lapin is back to discuss biblical principles. For example, he’ll discuss principles that you can apply to increase your revenue. He also shares how the Bible guides you to prosperity. So, if you want to deepen your faith, improve your finances, and build a solid foundation for your financial life… tune in now! Table of contentsWhy is Biblical Financial Success a Passion for Rabbi Lapin? The Bible and MoneyAncient Jewish Wisdom: The Bible and MoneyIs it Bad to Make Money?What Ancient Jewish Wisdom Reveals About HumanityBiblical Wisdom to Increase RevenueConnect with Rabbi LapinAbout Rabbi Daniel LapinView Our Other Conversations with Rabbi LapinBook A Strategy CallFAQsWhat is Rabbi Daniel Lapin known for?What does Daniel Lapin say about money?Is Rabbi Lapin’s approach only for people of faith? Why is Biblical Financial Success a Passion for Rabbi Lapin? [3:16] “First of all, it’s satisfying because it’s complex. And what I mean by that is, life is complex. Any attempt to solve the problems of life with a slogan or keyword, or simple solution is doomed to failure. And people regularly ask me, you know, what is the secret to money?” In most cases, when people ask this question of Rabbi Lapin, they’re looking for a simple solution. Yet, as he points out, it’s not a simple subject and cannot be reduced to a simple answer. This led the Rabbi to dig deeper and become more interested in the ancient financial wisdom within the Bible. [5:47] “I’m afraid the Bible is just like that. If you’re going to try to solve this in a simplistic way and find a verse here or a verse there that helps you with finances, you’re going to be doomed. Because anybody who knows his way around the Bible will find a verse that says one thing and then another verse that apparently says the opposite.” To unlock wisdom from the Bible requires a deep study of its context. A verse here or there is no good without the knowledge of why it exists in the first place. The Bible and Money [6:35] “When you got right down to it, the question I was always asked was, ‘Why are Jews so disproportionately good with money?’ And it turned out to be a very worthwhile field of study that no one had really done.” Since there was little accessible information on this topic, he embraced the subject. Over the course of Rabbi Daniel Lapin's books, he’s studied and identified the connections between the holy texts and cultural behaviors. Additionally, he’s studied the history surrounding Judaism and how that applies to money. Through his books, he’s helped to make this information more accessible to people in and outside the faith. Ancient Jewish Wisdom: The Bible and Money [17:00] “Heaven and Earth are two separate categories of information. One is information that is earthly, it’s materialistic. Another form of information is ephemeral…You can’t touch it… It’s something, again, that Jewish people have always understood, to their credit and to their benefit. Which is that there is a form of knowledge which is earthly. And this you can roughly call science, technology, discovery, and medicine. In all of these things, every successive generation knows more than the one before it… However, when we come to the things that never change, well, on those, we actually seem to know less as time goes by.” Those things that never change, as they would happen, can be sourced from the Bible just as readily as anywhere else. One of the examples taught in Rabbi Lapin’s books is the relationship between parent and child, and how teenage children often ignore their parents’ wisdom, only to understand and appreciate it later as adults. This has never changed, yet the Rabbi asserts there’s more value in studying something like this from ancient texts than modern ones. Because that ancient wisdom gets it right. [22:30 “The beauty of ancient Jewish wisdom, in my experience, is that it doesn’t try to give you specific answers, it’s not like a horoscope in your morning newspaper… But it does give you the permanent principles and the timeless truths that allow you to analyze current circumstances in the light of your own life.” Is it Bad to Make Money? One aspect of ancient Jewish wisdom that can be universally applied today is that you can make more money. And you do this by serving people or providing a service. There’s some argument that money is the root of evil, or that profiting from a service is morally corrupt. However, this doesn’t necessarily track. The intent behind something matters. And if your aim is to provide value to society, it stands to reason you should receive good in return. In fact, we believe that if you’re only in a field for profit, that profit won’t come to you. After all, you won’t be invested in providing good service. People put their dollars into things t

Have you heard about Nelson Nash Infinite Banking, and Becoming Your Own Banker and you want to learn more? Or maybe you’re already using the Infinite Banking concept, but would like to explain it better to your spouse, your parents, your children, your business partner, or friends. https://www.youtube.com/watch?v=0czmA6OBAcw Today, we're unpacking the fundamentals of the Infinite Banking Concept and the way it benefits you NOW and LATER. In this episode, you'll learn some of the options you have by creating an Infinite Banking policy... tune in now! Table of contentsWhat is the Danger of Considering Only Immediate Cash Value and Ignoring the Future Death Benefit, Dividends, and Cash Value?What Kinds of Large Ticket Expenses Can I Use Infinite Banking For?Should I Put My Whole Paycheck into Whole Life Insurance?What Are the Advantages of Using the Infinite Banking Concept to Pay for College?What Are the Pros and Cons of Insuring Your Kids?How Does Infinite Banking Save Me Taxes?How Can I Use the Infinite Banking Concept to Invest in Real Estate and Earn Better Returns?How Can I Use Infinite Banking to Increase My Retirement Income?How Can I Use Infinite Banking for Generational Wealth?What Can I Do Now to Get a Policy My Future Self Will Thank Me For?Book A Strategy Call What is the danger of considering only immediate cash value and ignoring the future death benefit, dividends, and cash value?Infinite banking concept life insurance policies are great for warehousing wealth, but it’s important to find a balance between early cash value, long-term potential, and death benefit. While early cash value is going to be of use in the short term, the death benefit is the backbone of the insurance policy. It acts as income protection for your family and helps you build a generational legacy if you’re playing the long game. What is the Danger of Considering Only Immediate Cash Value and Ignoring the Future Death Benefit, Dividends, and Cash Value? Working with an experienced IBC (Infinite Banking Concept) practitioner to not just create good liquidity in the early cash value, but also balance that with the long-term benefits for the most efficient policy possible is wise. This may even mean filling in your insurance “gaps” with term insurance (usually convertible) to reach your full Human Life Value. That way, you always have the right protection in place. It’s sometimes difficult to think about what you’re going to value thirty years or more in the future, but the more you can anticipate those desires now, the better position you put yourself in for the future. You may not care about having your full Human Life Value in your early 20s, but what about when your family grows? [8:47] “You have to step back and look at your own life and see the balance not only now as a younger person or a middle-aged person or an old person.” [12:52] “The people who make the best decisions are the ones who can delay gratification, who can say no, I’m not going to eat the one marshmallow today because I get two tomorrow.” What Kinds of Large Ticket Expenses Can I Use Infinite Banking For? The benefit of an infinite banking policy is that you have the freedom to use your cash value on anything you wish. So the simple answer is anything. However, we often recommend using your cash value to finance things you wouldn’t normally use your checking account for. A car, a major vacation, an investment, or some other “big ticket” purchase is more suited to a loan. There’s no cut-and-dry answer because it’s going to depend entirely on your personal situation. For example, if you can make a big-ticket purchase in cash, but doing so would prevent you from paying your PUAs, you might be better off borrowing against your policy. That way, you can continue to fund your PUAs at a maximum. The reason is that paying those PUAs will buy you additional death benefit, and therefore increase your available cash value. This creates velocity in your policy and makes that compound growth more efficient. Should I Put My Whole Paycheck into Whole Life Insurance? While you may be enthusiastic about your new IBC policy, it’s not a good idea to fund all of your income into your whole life insurance policy. You’re not going to treat your cash value like a checking account, because the administrative costs would be way too high. [20:55] “Let me just clear something up. This concept is actually in Nelson’s book, Becoming Your Own Banker, but people don’t read it quite clearly enough. Nelson actually says that’s the long-term goal…after you’ve established good money habits.” In order to run your expenses through an IBC policy, you generally have to have an extremely high net worth. What Are the Advantages of Using the Infinite Banking Concept to Pay for College? One of the first advantages to funding college with life insurance is that you, and your child, can control the terms of the repayment of the loan. This can provide much greater flexibility and peace of

Reverse mortgages are becoming more mainstream. But to benefit from using one, you need to understand how to incorporate it into a responsible retirement income plan. So exactly what is a reverse mortgage? What role should it fill in your retirement planning? And should you open a reverse mortgage early or as a last resort? https://www.youtube.com/watch?v=fph0k20tHXc To answer your questions, we’ve invited back a special guest, Dr. Wade Pfau. Dr. Pfau is the author of Reverse Mortgages: How to Use Reverse Mortgages to Secure Your Retirement, and host of Retirement Researcher. He shares his significant work on retirement income planning to shed some light on reverse mortgages. To learn how to get the most retirement income with reverse mortgages, so you can enjoy your money and your life the most… tune in now! Table of contentsWhy Retirement Income?What is a Reverse Mortgage?Different Strategies for Borrowing When Should You Use a Reverse Mortgage?The Right MindsetAre Reverse Mortgages Expensive?Connect with Dr. Wade PfauAbout Dr. Wade PfauBook A Strategy Call Why Retirement Income? [4:50] “I was interested in retirement income planning, it really just evolved from research I did in grad school… There was a proposal in the early 2000s to privatize part of Social Security, and I was investigating how that might work out in practice, and that's really translated into what I do today in terms of personal retirement planning. But then, in that regard, I really built a career around this insight that is not fully understood yet in the general population, which is when you're retired, investment risk changes. When you're spending from assets, you're more exposed to investment volatility.” This volatility in retirement means opens retirees up to a wide variety of income strategies that can increase the longevity of assets and income. However, many typical financial talking heads consider these strategies unconventional, and many people don’t know how to use them properly. One of those misunderstood assets is home equity, and subsequently, reverse mortgages. However, when used strategically, these elements can really make your retirement income far more efficient. What is a Reverse Mortgage? A reverse mortgage, as Dr. Pfau shares, is when you borrow money from the home and don’t have to pay it back until the end of the loan. About 90 percent of reverse mortgages are represented by the Federal program of Home Equity Conversion Mortgages (HECM). They issued the first HECMs in the late 80s, and the government is consistently working to ensure that the program is operating as well as it can. The amount you can borrow from your home depends on your age and the current interest rates, and reverse mortgages actually benefit from low interest rates. A HECM gives you access to a percentage of your appraised home value. What the reverse mortgage actually does is give you a line of credit to tap into. This line of credit increases over time. And unlike a regular home equity line of credit, a HECM cannot be frozen or canceled. You have access to it for as long as you choose to remain living in the home. Once you move out of the home, the loan balance becomes due. The benefit of a reverse mortgage is that it gives you more options for spending. That way, you don’t have to draw from certain assets during bad times. For example, if most of your retirement income is coming from equities, you don’t want to pull that income out while the market is down. A reverse mortgage is just one way to create that flexibility. Different Strategies for Borrowing The strategy Dr. Pfau proposes acts more like a volatility buffer by giving you discretionary power to pull out income as you see fit. However, there are other reverse mortgage strategies. For example, there are reverse mortgage options to pull out a fixed monthly income. While this monthly income doesn’t help with a specific sequence of returns risk, it helps you to reduce what you’re pulling from your investments. This helps you to preserve those investments overall. Both strategies reduce income risks fairly well. And ultimately, it is up to the individual to decide what works more synergistically with your assets and way of thinking. When Should You Use a Reverse Mortgage? Typical financial wisdom is to use a reverse mortgage as a last resort. Many suggest using it when you have exhausted all other options. The issue here is that doing so can be incredibly inefficient. Because what’s happening is you’re just waiting for the worst to happen. In some instances, this could be an event where you lose significant portions of your equities, and still have to draw an income, which locks in those losses, and ultimately hastens your race to the bottom. On the other hand, if you were to open a reverse mortgage as soon as possible with a discretionary line of credit, you have options. You may not use that line of credit for years, all the while it’s growing. Then, if the mark

Are you wondering what is a life insurance policy loan, and how can it help you? Or maybe you’re already using Infinite Banking, but would like to explain it better to your spouse, your parents, your children, business partner, or friends. https://www.youtube.com/watch?v=FrjVeMXW8is Today, we're unpacking the truth about the Infinite Banking Concept and the power of policy loans. Policy loans are part of what makes the infinite banking strategy work so well. We're answering the most common questions we hear about policy loans, so you can be clear on exactly what they are and how they work. If you're ready to learn more about policy loans and how you can implement them in your own life... tune in now! Table of contentsWhat is Financing?How Does Infinite Banking Provide a Solution for Financing?How Does Infinite Banking Give You Better Growth and Accessibility?How Does Infinite Banking Compare to Other Strategies for Storing Cash?What is a Life Insurance Policy Loan?How Easy is it to Get a Policy Loan?Do I Have to Qualify for a Policy Loan?What Does a Policy Loan Use as Collateral?How Does a Policy Loan Impact My Cash Value and Death Benefit?Whose Money Am I Using in a Policy Loan?Why is it a Good Deal for the Life Insurance Company to Give You a Policy Loan?How Does My Money Continue to Compound Uninterrupted with a Policy Loan?How Do Policy Loans Give Me More Control and Flexibility?Book A Strategy Call What is a Life Insurance Policy Loan?A policy loan is money that you are borrowing from the life insurance company, using your cash value as collateral. The life insurance company is contractually obligated to allow you access without qualification to a policy loan. Then, they offer you a loan with an interest rate, which you can pay back at your own discretion (on your own timeline). What is Financing? While people typically think of financing as the process of borrowing money to fund something, we know that you finance everything you buy. The reason is that you’re either paying interest through a loan or line of credit, or you’re passing it up because you’re paying in cash (and losing the money you could have earned elsewhere). [2:50] “We finance everything in our lives, and people don’t get that because people say, ‘I don’t have any debt, I just pay for everything in cash.’ Well, Nelson Nash made me realize that paying cash is still financing because you’re giving up the opportunity to make money on your cash that you actually pay. So you’re always financing. You’re either paying interest, or you’re giving up the ability to earn interest” How Does Infinite Banking Provide a Solution for Financing? Infinite banking provides the solution to the financing problem by allowing you to create a pool of money that allows you to finance anything you want without passing up interest. So while you may pay interest on a policy loan, you can also earn interest, while also potentially earning cash flow through your investments. Even without investments, though, infinite banking gives you a way to finance your life as efficiently as possible. The reason infinite banking is so efficient is that, with a dividend-paying whole life insurance policy, you can save money, grow money, and use that money without interrupting your compounding interest. And you can do this thanks to the policy loan provision. How Does Infinite Banking Give You Better Growth and Accessibility? Infinite banking puts you in a position where you’re not only storing and growing capital in the policy, but you also have a contractual guarantee to access and use that cash through a policy loan. The policy loan may seem like an unnecessary hurdle to jump through, but by using other people's money (the insurance company's money), you can keep your account earning interest and dividends at its full potential. Not only is this incredibly efficient, but it also provides more certainty and stability than either a bank or the stock market. How Does Infinite Banking Compare to Other Strategies for Storing Cash? When you store cash in a whole life insurance policy designed for infinite banking, you’re able to prioritize growth, safety, and liquidity at the same time. Most other cash storage strategies only allow for one or two. For example, storing cash with the bank gives you (a little bit of) safety and liquidity. But it doesn’t do much to grow your money. An investment account might give you growth over time, but it’s not very liquid, nor is it particularly safe. Whole life insurance protects your income, helps you to grow your money with modest interest and dividends, and allows you to access your capital without interrupting the compound interest via a policy loan. [17:23] “The problem is you’re interrupting the compound growth, which means you’re having a stop-start-stop-start effect with your compound interest. Which is the reason why nobody in our culture now feels any kind of emotional excitement about compound interest. Because n

This week, we had the pleasure of joining our Canadian friends on the Wealth Without Bay Street podcast. In this episode we talk about our business, and how we can apply the principles of infinite banking in Canada. If you've ever wondered how The Money Advantage got its start, how our perspective has shifted on life insurance, and the importance of implementing what you learn... tune in now! Table of contentsHow The Money Advantage StartedTransformational LearningHow the Message Gains TractionGetting Back to the FundamentalsDealing with NegativityHow a Near-Death Experience Elevated Our Understanding of the Death BenefitRe-Thinking the Value of a LegacyBook A Strategy Call How The Money Advantage Started The Money Advantage Podcast began after Lucas and I met Bruce and his team at an event they put on many years ago. Bruce’s team had been weary of the industry, which seemed only to be interested in pushing products over personal solutions. Yet, Bruce and the team knew there were so many good, well-meaning advisors in the industry. [3:05] Bruce: “We decided we were going to start something called the Freedom Advisor event, and we were going to open this up to people across the nation who wanted to do things in a collaborative way to help make the industry better.” Lucas and I met Bruce through this event after becoming familiar with Nelson Nash and the Infinite Banking Concept. The event put us with many like-minded people and was an incredible opportunity. Months later, after putting out our own content, the idea came to us to reach out to Bruce and create video content with him. Now, over four years later, we continue to produce educational content and love every moment. Transformational Learning [9:26] Rachel: "I was thinking the other day how much more transformational it is to engage with material rather than just hear someone else talk about it. And I think that this is really important, even for listeners to the show.” Engaging with information and stories helps you to relate it to your real life. You can choose to read or listen to something, and then set it aside, and that’s a fine thing to do. But when you take that information and attempt to make sense of it in the context of your world, you have the opportunity for transformational learning. If you want to create a real transformation in your life and your finances, you have to take watching, listening, and reading into thinking, doing, and applying. With the infinite banking concept, application is key. After all, the title of Nelson’s book is “Becoming Your Own Banker,” which hints at a lifelong dedication to learning and implementing these strategies. [24:50] Rachel: “I’m just so amazed that [Nelson Nash] did say [infinite banking is] a concept. It’s a way of thinking. It’s a framework, if you will, to be able to fit in so many of the challenges that people face financially and find a way to put control in someone’s hands. For the person who is willing to say, ‘I am responsible for my own financial future, yes, that’s me. I will choose to become educated, I’ll choose to make the right choices, and I’m going to choose not to just rely on someone else to tell me what to do.’” How the Message Gains Traction [30:45] Rachel: “I think the challenge is that because information is so easy to come by, the people who are best at presenting that little piece of information, in the most compelling way, and seeming the most confident about it, and putting the most money behind the advertising dollars to make that more visible to others get heard. And then the consumer sees that and thinks it’s the most popular so it must be the truth.” [33:04] Bruce: “What happens is, people comment more on what they’ve heard than what they experience.” If you’ve followed our content, you’ll see that we frequently get comments from viewers who have heard that whole life insurance is bad. Yet, they’ve never experienced whole life insurance or really listened to pro-IBC content to make their decisions. Getting Back to the Fundamentals If you want to learn and create transformation in your life and your finances, you must return to the fundamentals. The pitfall of learning is thinking you know everything there is to know. Even experts in their fields can benefit from returning to their roots and brushing up on the foundations. [39:59] “This book, [Becoming Your Own Banker]... has changed every aspect of my life, including my financial life, but not limited to. There’s not a single component of my world that is not shook and impacted in a positive way by the essence of what is in this book. It is a core element that underpins every single item that I think about in my life, including my relationships with people, all because of this book.” [40:40] “If you want to work with someone on our team, if you don’t own a copy of this book and you haven’t read it, there is absolutely no point in getting started, because everything begins here. If something were to happen to m

Culture matters in the corporate world. It drives profitability and retention, reduces turnover, and leads to higher job satisfaction. But the family is an arena where the stakes are even higher. Without a strong family culture, all your plans, strategy, and even your legacy will fall apart. https://www.youtube.com/watch?v=YrN5LyEtcpE That’s why it’s time to dedicate yourself to building and living the family culture today. But what can you do to redeem your family and infuse your everyday life with meaningful connections? Jeremy Pryor, Partner and Co-Founder of Family Teams is helping families build a multigenerational team on mission. Today, we’re having Jeremy back to talk about the definition of family, why you want to build and keep improving your family culture, and the practical steps you can take now to lay the foundation for children who opt into your multigenerational family team. If you’re looking for practical tools to strengthen your family culture today, so you have more connection, stronger bonds, more time together, and kids who choose to stay committed even after they grow up… tune in now! Table of contentsWhat is Strong Family Culture, and Why Does it Matter?The Importance of FamilyWhat Are the Components of a Strong Family Culture?Challenges for Modern FamiliesBeing Intentional with Your FamilyNegative Family Experiences Important Elements of a Thriving Strong Family CultureConnect with JeremyAbout Jeremy PryorBook A Strategy Call What is Strong Family Culture, and Why Does it Matter? [4:06] “When you’re starting a family, this is one of the great privileges that you get to design the kind of family that you want to have.” When you are developing a company, you have the power to develop the mission and culture of that company. You do this by identifying the goals of the business, as well as a way of “being” within the company. And just like you can formulate this cohesive work team, you can also form a cohesive family team. It starts with your relationship with your spouse. By identifying your shared values and beliefs, and how you wish to exist in your household, you lay the foundation for your family culture. [5:05] “It’s a wonderful experience to grow up in a household, as a child, that has a particular culture that brings the family together. And it can be based on things that you really feel called to, that you really enjoy. There’s not a blueprint for family that is so rigid that you can’t bring a lot of distinctives into the family, and make it something that’s truly unique.” The Importance of Family [7:10] “I come at this as somebody who was very confused about the topic of family; not very excited, it just didn’t seem like something that…really was working well. I grew up in the Seattle area. There was just a lot of divorce, and I just noticed a lot of brokenness.” Family wasn’t something Jeremy believed he could choose to build. His experience with family units as a kid was less-than-ideal. This made him believe that you either lucked out or you didn’t. But over time he learned that there were families with an incredibly deep and intricate root system. The multi-generational families he met had a strong sense of identity and culture, and they supported one another. Their systems don’t implode when the kids grow up and have their own kids. Team Pryor’s work is all about proving that family culture can be cultivated by calling in your family members to be a part of something bigger. This helps family members find a sense of pride and belonging within the family unit, as well as a purpose. A family with strengthened bonds can work together for the good of all involved, and foster a system of support. What Are the Components of a Strong Family Culture? [12:48] “One of the most basic ways to think about culture [is] the repeated actions that are distinctive to that group.” Oftentimes, companies come up with “aspirational values,” or things that they wish were true about their company. They may talk up those values to employees, or put them on the wall somewhere, but they have very little impact on how the company actually behaves. [13:13] “To me, there has to be a way to translate those values into repeated action. And we have two massively powerful templates given to us by God in Genesis 1 for crafting repeated action, and they are the week and the year. There’s also the month, but those are the two most powerful. So we very carefully cultivate our weekly rhythm as a family around our values, and we also carefully curate our annual rhythm around the things that we value.” Creating a family culture depends on what you celebrate and do within your own family. If you want something to be a part of your family culture, you have to “craft” it into your family rhythm. For example, if you have a desire for your family to be artistic and appreciative of the arts, you incorporate that into your weekly and annual rhythm. That may include setting aside time each week for crafts and projects, t

Could a reverse mortgage help you reach your income goals? How do reverse mortgages work? Is a reverse mortgage good or bad? https://www.youtube.com/watch?v=820qDZ5CkFE Today, we’re talking with Mike Stanley, Regional Senior Lending Sale Manager for Thrive Mortgage. He shares everything you need to know about reverse mortgages explained. So, if you want to understand just how reverse mortgages work, their pros and cons, and the costs, and get answers to your questions so you can make decisions… tune in now! Table of contentsHow Mike Got Into Reverse MortgagesThe Baby Boomer GenerationBorrowing Qualifications for a Reverse MortgageWhat is a Reverse Mortgage? Numbers on a Reverse MortgageWhat if You’re Not Old Enough?Get in Touch with Mike StanleyBook A Strategy Call How Mike Got Into Reverse Mortgages [9:40] “Most people don’t know what a reverse mortgage is other than a myth or a rumor that they’ve heard.” Mike Stanley got into the world of reverse mortgages in 2008, yet not without hesitation. He didn’t want to be taking advantage of people, and most information about reverse mortgages is a little hazy. In reality, there are quite a few reverse mortgage strategies that can help people in different ways. 10:25] “It’s not been called, technically, a reverse mortgage since 1988. That’s when congress, in 1988, passed a law called home equity conversion mortgage. You may hear it called a HECM. At that point in time, it stopped being a reverse mortgage, but it was such slang for the terminology. People still call it a reverse mortgage even though it’s a federally insured FHA loan that has all the protections of FHA.” The Baby Boomer Generation [13:10] “48 percent of Baby Boomers are retiring while carrying a mortgage into their retirement years… Another interesting fact, 50 percent of those 65 or older have their houses paid for, and 27 percent of those will downsize or right-size into a home that better meets their retirement needs.” If you’re in the Baby Boomer generation, considering a reverse mortgage strategy can help you downsize. It can also help you find more retirement income by leveraging home equity. If not, those with Baby Boomer parents should be considering how they’re going to care for their parents. Borrowing Qualifications for a Reverse Mortgage [19:25] “Right now, to be a borrower, the borrower has to be 62 years of age minimum. It is a mortality or equity-based loan… We take four things into consideration. We take in their age… we take in the value of the home, and we take in the interest rate on the loan—and how much equity we’re going to have to leave in the house.” What is a Reverse Mortgage? The short and sweet answer is that you give up the equity in your home in exchange for regular payments. This can provide an income to homeowners over the age of 62, or help you keep your home in retirement. There are even options for those who have children who wish to inherit the home. [24:18] “There’s a unique feature in the reverse mortgage… it’s called a non-recourse feature, which means and states that no one is ever responsible for paying their home back personally. Only the equity in the house can ever be used at the time the loan is due. The time the loan is due is when the last of the two borrowers… no longer live in a property as their primary residence, or one of them passes away, or they sell the house, or they refinance the house.” [28:14] “There are four ways of taking money out. If you take a lump sum, there are two options. There’s a fixed rate option. And whatever you take out on a fixed rate is the maximum you get; there are no more funds available. On the… adjustable rate, there is a line of credit.” [30:30] “Now they do have two other options. They could take what we call a tenure option, which a tenure is a life expectancy payout. Let’s assume that we run our numbers and based off their life expectancy and the pool of money that they have, we can give [them] 800 a month for as long as [they] live in the house… Number two, if 800 dollars a month is not enough, they say, Mike, I need 1100 dollars a month, then we’ll restructure it as a term payment or a term certain annuity.” Numbers on a Reverse Mortgage For a $300,000 property at 62 years of age, based on today’s interest rates, you could get about 45% of your home's equity through a reverse mortgage. If you’re 75, you could get 50-52%. Mike is even working with a couple who are both 94, and they’re getting 70% equity because they have fewer years to accumulate interest. When you take a reverse mortgage by relinquishing your equity, you get access to a pool of money that is that percentage above. You can then use it as you see fit, and when you’re not using it, it’s earning interest. Mike shares that current rates right now are around 5.5%, so if you get to take a lump sum and sit on it for a while, you can be doing quite well. What if You’re Not Old Enough? While you may not be able to do a reverse mortgage yet, there’s a ch

If you're using Infinite Banking with a life insurance policy, you have multiple options to access your cash value. But which one is the best? Should you always use policy loans? What if you can get a lower interest rate by borrowing against your cash value with a third-party loan? https://www.youtube.com/watch?v=pbQdVbQ1_q0 Let's discuss all of your options for accessing capital. This includes policy loans, withdrawals, cash value loans from a third party, and even capital from separate sources. If you want to find out the reasons you might use each, the pros and cons, why interest rates are NOT the best way to make your decision, and the #1 most important thing you need to make sure you're in the position of maximum control ... tune in now! Table of contentsWhy Pay a Finance Charge? How Does a Policy Loan Work?What is a Withdrawal from Your Cash Value?How is the Interest on a Policy Loan Calculated? Are Interest-Only Payments Better?The Benefit of Unstructured PaymentsBook A Strategy Call Why Pay a Finance Charge? One of the major objections to the Infinite Banking Concept is, essentially: Why should I pay to access my own money? Generally, with an IBC strategy, the way to access your capital is by leveraging it via a policy loan. This means that you offer your cash value as collateral for a loan from the insurance company. Because it's a loan, you pay interest on that loan. This isn’t an unreasonable question. In fact, it’s a good question to ask of any financing method you use. The right solution will depend on how much capital you need, how much you have, what you want to do, and more. But in general, accessing your cash value through a loan is a good option because you have control. Some of the benefits of a policy loan include: The flexibility to use that money on anything you want.Tax-free use of your money (* as long as the policy stays in force and does not become a Modified Endowment Contract).Full compounding interest on your cash value because you aren’t withdrawing.Control over when and how you pay the loan back.No application process. This means you can leverage a policy loan in ways you might not do with a bank loan.No credit check, and no impact on your credit report when you take a policy loan. How Does a Policy Loan Work? If you want to access your cash value without a withdrawal, you can get a loan from the insurance company’s general fund. The company then puts a lien against the policy value, or the amount that you want to borrow against your policy. When you pay back the loan, you’re paying interest to the company. As you pay back the loan, the lien against your policy is reduced, which frees up your cash value to be used again, if you so wish. When you take a loan, the company only collateralizes your policy for the amount of that loan. So if you have $200,000 of cash value and you just want a $10,000 loan, the company only uses $10,000 as collateral. This means that if you take that $10k and a few months later have a $100k opportunity, you still have that available to take another loan. What is a Withdrawal from Your Cash Value? Instead of taking a loan from the insurance company, you can actually remove money straight from the policy values. If you withdraw less than your cost basis (the equivalent of what you’ve paid in premiums), you can access the money tax-free. However, when you take out more than what you’ve paid into the policy, you cause a taxable event. The IRS sees this as growth on the policy, and is, therefore, taxable income when you take it “no strings attached.” Unlike loans, withdrawals cannot be paid back and thus permanently reduce your policy values. How is the Interest on a Policy Loan Calculated? If you’re wanting access to capital and thinking about a loan, you’re likely to compare interest rates between lenders and companies. Insurance companies often have competitive rates, at least compared with 3rd party lenders and banks. (However, in some cases, bank and 3rd party interest rates have been lower than policy rates.) Generally, insurance companies calculate their interest rates based on Moody’s Bond Index, which is a series of bonds that they look at. These bonds help determine what general borrowing costs are. The board of governors then use this information to determine a competitive rate. Insurance companies use the MBI to set a rate once a year. Right now, in 2022 for example, the bond rate is about 5% and insurance companies are capping their rates at about 8% depending on certain factors (such as whether they offer variable rates, etc). Are Interest-Only Payments Better? One reason 3rd-party loans against an IBC policy are attractive is because people believe they can make interest-only payments. When people hear this, they believe that they don’t have to make large payments, and can save money in the long run. However, the problem with interest-only payments is that you’re not freeing up your cash value when you only pay interest.

Most people don’t see the need for life insurance in their later years, let alone the benefit of whole life insurance in their retirement plan. By retirement, you may expect to have your home paid off, and not have the same income needs as before. You may even decide you're not retiring at all if you can help it. https://www.youtube.com/watch?v=1kq9rC5nw6I Even still, there are tremendous advantages to whole life insurance that lasts for your whole life. This includes having insurance beyond what most consider their life insurance needs. For many people, retirement planning with whole life insurance isn’t just about protection - it’s also a way to build reliable retirement savings that complement other income sources. Tune in today for this eye-opening conversation with Dr. Wade Pfau about the three key benefits of retirement planning with whole life insurance. Table of contentsThe Nature of Retirement IncomeThe Benefits of Whole Life Insurance in Your Retirement PlanHow Does the Volatility Buffer Work?Inflation RisksBuilding a Retirement Income PlanThe Reality of Stock Market ReturnsWhole Life Insurance In Your RetirementLinks ReferencedAbout Dr. Wade PfauBook A Strategy Call The Nature of Retirement Income [5:19] “What makes retirement income different is that the nature of risk changes… just in looking at how the investment world approached retirement income, I developed concerns.” Those concerns led to Dr. Pfau looking into assets that are traditionally not considered retirement assets, like life insurance. Life insurance isn't common in retirement plans because many people don't believe they need it anymore. However, life insurance has benefits that many people don’t consider, and aren’t taught to consider. [5:56] “In the risk management context of retirement… potentially looking at different tools, not just using only an investment portfolio to fund retirement expenses, can help lay that foundation for a better retirement outcome.” When you only have investment assets for retirement, you have a sequence of returns risk. This means that you risk significant losses because you can’t time the market in retirement. After all, you’ve got to take your income to eat and pay bills. Retirement income usually comes from several sources, including social security, pensions, investment withdrawals, and whole life insurance retirement income. Balancing these streams helps reduce risk and creates a more predictable cash flow in retirement. The Benefits of Whole Life Insurance in Your Retirement Plan The value of whole life insurance is that “the cash value is not exposed to the risk of loss,” as Wade says. The cash value is a non-correlated asset and grows no matter what is going on in the stock market. [7:25] “It can provide a resource to cover spending on a temporary basis during this kind of bad market environment so that you don’t have to sell from the portfolio to fund spending... Well, then that gives the portfolio an opportunity to recover and to make up those losses again before we have to go back to selling from it.” [8:01] “Ultimately the benefits [of whole life insurance] to the portfolio exceed the cost of the insurance to give a better net outcome, especially when we consider the tax advantages and so forth of life insurance.” Some of the key benefits of whole life insurance in your retirement plan include: Guaranteed cash value growth that isn’t tied to market swings Tax-free access to funds through policy loans A death benefit that supports long-term legacy planning Protection against market volatility by acting as a non-correlated asset How Does the Volatility Buffer Work? A "volatility buffer," as Wade Pfau calls it, is an asset that can help your investments during market downturns. The idea is that after the market dips, you can pull income from your volatility buffer to minimize your losses and give the account time to recover. When you give your investments some breathing room, you can extend the life of your investment account by years. An ideal asset for a volatility buffer is whole life insurance because it's flexible and liquid. Not to mention, the death benefit provides some protection for your estate and assets. Whole life insurance gives you some freedom to spend without disinheriting heirs, too. For example, instead of selling investments after a 20% market drop, a retiree could draw from whole life insurance policy loans to cover living expenses. Once the market recovers, they can resume withdrawals from their investment portfolio, thereby preserving growth potential and avoiding losses. Inflation Risks In conversations about retirement, people often ignore the impact of inflation. The harsh truth is that due to inflation, you will need more money in the future to have the same financial impact today. The equivalent of a $100k salary now is going to be much more in the future. [22:25] “Inflation has this permanent impact. Because if prices are up at eight

Have you heard about the Infinite Banking Concept and want to learn more? Or maybe you’re already using Infinite Banking but would like to be able to explain it better. Today we’re unpacking the question: What is the dividend? https://www.youtube.com/watch?v=5yL_jW4q48E If you’ve ever wondered how the cash value grows through dividends and how life insurance dividends differ from other types of dividends… tune in now! Table of contentsWhat is the Dividend?Why Do I Need a Mutual Company for Infinite Banking?How Does the Dividend Grow My Policy?How Does the Dividend Relate to the Guaranteed and Non-Guaranteed Policy Cash Value?What Income and Expenses at the Life Insurance Company Determine the Dividend Rate?Why Shouldn’t I Compare Companies?How is the Dividend Applied to My Policy?Can Dividends Change in the Future?When Do I Receive Dividends?Why Are Dividends Applied Differently Amongst Policyholders?What is the Best Option for Infinite Banking? What is the dividend?Dividends are the distribution of a mutual life insurance company's profits to its whole life insurance policyholders. Mutual companies declare their dividend rates annually. What is the Dividend? Dividends are the distribution of a mutual life insurance company's profits to its whole life insurance policyholders. Mutual companies declare dividends annually. The IRS defines it as a "return of premium." This, however, is how the IRS can classify why dividends distribute tax-free. Why Do I Need a Mutual Company for Infinite Banking? When you’re with a mutual company, you’re participating in the company's profitability via dividends. When the company profits, it’s going to benefit you because you're a policy owner. This means you want the company to be as profitable as possible. To recap an earlier episode of our infinite banking series, policyholders are partial owners of mutual companies. Stock companies, on the other hand, are owned by stockholders. In the latter scenario, companies will act in the best interest of the stockholders, even if it’s not in the interest of policyholders. Choose a mutual company to get dividends and work with a company that acts in your interests. How Does the Dividend Grow My Policy? Dividends are one of the major drivers of growth in a policy. The cash value increases in three ways: natural equity by paying premiums, the guaranteed interest portion, and dividends. While the latter is not guaranteed, they are highly anticipated. How Does the Dividend Relate to the Guaranteed and Non-Guaranteed Policy Cash Value? On a life insurance illustration, there are columns representing your guaranteed interest growth and the non-guaranteed growth they project you will receive. So while the former is what you can expect no matter what (since it’s guaranteed), the latter is the growth you can anticipate. Additionally, the non-guaranteed column on an illustration will not show any dividends applied at all. Therefore, it’s a highly inaccurate way of looking at a policy illustration. Most mutual companies have paid dividends every year for the last 100 years or more. Another benefit is that once companies pay it out, it becomes guaranteed. In other words, once the floor of your policy increases, it cannot decrease. What this means is that life insurance illustrations become inaccurate every year. Since both the guaranteed and non-guaranteed columns adjust to represent what actually occurs, and the declared dividend changes each year, the projections inevitably shift. Yet they never decrease from the “floor” of your policy. What Income and Expenses at the Life Insurance Company Determine the Dividend Rate? Dividends are profits paid to policyholders. However, they are declared and applied after other income and costs are accounted for. So, for example, a life insurance company has to account for payroll expenses, agent commissions, and mortality costs (how many people died). However, the company is also earning and investing money through premiums. Companies hold most premiums in bonds, but also invest in real estate and a minuscule portfolio of equities. Companies also earn a profit from policy loans. The balance of profits and costs is used to declare dividend rates for the following year. Why Shouldn’t I Compare Companies? Every life insurance company has its own proprietary way of running the company. So while the big picture operations may be similar, the exact formulas they use to apply dividends and calculate policy growth may differ. Similarly, each company has its own way of investing. While mutual companies tend to make very conservative investments, their exact profits and expenses could differ between companies. This may result in different dividend rates and applications. How is the Dividend Applied to My Policy? Many people get caught up in the “rate” of the dividend, but how the company applies it to your policy is more important. Much of the dividend application is proprietary. However,

Want to get billionaire investing strategies and learn how to model the successful few? If you want to know how to invest like a billionaire, you'll want to pay attention to our guest Richard Wilson. https://www.youtube.com/watch?v=P4792l4CVsU Today, we’re talking with Richard Wilson, CEO and Founder of the Family Office Club. Richard has helped create and formalize 100+ family offices. He counts a shark from Shark Tank, several billionaires, many REITS, and 500+ high Net Worth investors as clients. He works with clients through InvestorClub.com and Doctor’s Investor Club where he helps them access top screened direct investments. Richard’s 18-person team operates multiple media platforms including Dentist Investors, LLC, InvestorResidences.com, Billionaires.com, and CommercialRealEstate.com. If you’re looking for insights, strategies, tips, and secrets for how to invest like a billionaire… tune in now! Table of contentsLifelong LearningFind Your Target and LearnHow Learning Leads You to Invest Like a BillionaireMental Models that WorkWhy Deal Structure is Critical to Invest Like a BillionaireContact Richard WilsonAbout Richard WilsonBook A Strategy Call Lifelong Learning [6:20] Bruce: I’ve noticed that really high net people—not just billionaires, but hundreds-of-millions millionaires—are lifelong learners, and they’re not the brash type of flamboyant people with a lot of energy. They are actually very pensive, and they actually listen, and they choose who they listen to very carefully. They’re always learning; lifelong learners. And I think that is probably why they’re able to amass the kind of wealth they are.” [7:45] Richard: “[Charles Munger] talks about how over your life to be successful you need to collect a hundred plus mental models of things that work for your industry. And you might try on an idea from someone and maybe it doesn’t work well for you and your business, or not right now, and you may use that model later. And several times in my business I’ve seen a model that I want to use sometime, and I might use it three to five or seven years later. But when I see a really smart model, I’ll take note of that. Then I’m collecting these models and stacking them on top of each other. And that’s really how I grow my business.” Find Your Target and Learn [8:25] “Who would [business students] like to learn from? Well, it would be from somebody that has a successful business with millions of dollars of revenue, or tens of millions of dollars of revenue. It’s a very logical thing. Even if they never get to tens of millions of dollars of revenue, it might help them get to millions of revenue because there are so many best practices that people learn along the way. They don’t stop doing those smart things once they become successful… they keep the strategies that work and discard the things that don’t. And so the same is true with billionaires… seeing how billionaires work and seeing what they do leave you clues to how to become worth ten million dollars, perhaps.” You’ll often hear us close podcasts and articles with a very similar send-off: “success leaves clues.” We believe this is paramount to learning about wealth because common advice is catered to the masses. Yet the successful follow the lead of the successful people before them. Part of what Richard does to further this mission is to post interviews with billionaires on Billionaires.com. This way, more people can benefit from the knowledge and skill sets of those who have walked the path already. If you want to invest like a billionaire, listen to the billionaires. How Learning Leads You to Invest Like a Billionaire Most of the billionaire clients that Richard works with are calling themselves to a certain standard of excellence. Beyond that, they all seem to have an intense passion and love for what they do. Ultimately, it’s these values of passion and excellence that unite these billionaires. [20:00] “I think that what I enjoy most about watching the billionaires is that I get to pick out the ones who I can relate to most, and I really see… an example of how somebody became a billionaire with [my] type of thinking.” For example, Richard cites Richard Branson and Steve Schwartzman. Both of them have multi-faceted businesses that they oversee at the same time. The models they implement in their business have helped influence how Richard runs his business. One way to find your mentors is to find successful people who think like you and study them. Mental Models that Work [24:10] “The three things I see [billionaires] using most would be choke points, platforms, and funnels.” To invest like a billionaire is to adopt the mental models that they use. Richard explains that a choke point is something that, upon acquisition, lowers your costs or increases your momentum. It should also help you solve the number one bottleneck in your business. When you own the chokepoint, it also gives you or your business a level of stability. For example, if you

Have you heard about Nelson Nash, Infinite Banking, Becoming Your Own Banker, Bank on Yourself, and want to learn more? Or maybe you’re already using Infinite Banking, but would like to explain it better. We're continuing our series on the basics of the Infinite Banking Concept and answering your "what" questions. Today, we'll unpack, What is the death benefit? https://www.youtube.com/watch?v=HbpNX3c35bo So if you want to see the power of the death benefit… tune in now! Table of contentsWhat Makes Up the Guarantees of the Death Benefit?What Are the Differences Between the Death Benefit Guarantees of Whole Life Insurance and Universal Life Insurance?What Are the Chronic Illness and Terminal Illness Riders, and How Do They Compare to Long-Term Care Insurance?What Effect Do Outstanding Loans, Reduced-Paying Up, or Chronic/Terminal Illness Riders Have On the Death Benefit?What is Human Life Value?What Does Life Insurance Do for Your Estate?Book A Strategy Call What makes up the guarantees of the life insurance death benefit?The life insurance death benefit is the amount that is guaranteed to be paid out to your listed beneficiary at your death. What Makes Up the Guarantees of the Death Benefit? The death benefit is the amount that is guaranteed to be paid out to your listed beneficiary at your death. The key to guaranteed death benefit is having whole life insurance, which is permanent. When you have whole life insurance, you’re in a position where you know that the death benefit will pay out at whatever point you die, between now and the end of that policy. And at the end of the policy, if you are still living, the insurance company still guarantees the death benefit to pay out to you. This is not the case with term or even universal life insurance (which claims to be permanent). This also means that when you pay premiums, you’re paying into your policy with the certainty that you’ll get a “return.” Whereas with term insurance, you can pay into it for 20 years and never see a dime back. What Are the Differences Between the Death Benefit Guarantees of Whole Life Insurance and Universal Life Insurance? While both whole life insurance and universal life insurance are technically permanent insurance, universal life insurance has several variables that can cause a policy to implode or lapse. In other words, universal policies are typically not permanent in practice. One of the major factors that makes universal life difficult to maintain is because it has flexible premiums. While many people assume that this gives them the flexibility to pay whatever they want, that’s not the case. So if you choose to pay less, you can underpay for your insurance coverage. This then eats into your cash value account, which may implode the policy if you continue to under-fund it. With whole life insurance, premiums are guaranteed as well. This means that they cannot increase, so your base premium will always be enough to cover the costs of insurance. You won’t risk underfunding your policy, and you have the freedom to pay more in the form of PUAs if you wish. What Are the Chronic Illness and Terminal Illness Riders, and How Do They Compare to Long-Term Care Insurance? The chronic illness and terminal illness riders allow you to use your death benefit while you’re still living. If a physician certifies that you have an illness that will cause your death, many insurance companies now grant access to the death benefit while living at no additional cost. Long-term care insurance is an additional cost, as well as some additional stipulations about when you can use it. Plus, the insurance company can increase premiums over time because of the costs when you have Long-Term Care. While we want companies to be able to offer the coverage, they do have to stay in business. What Effect Do Outstanding Loans, Reduced-Paying Up, or Chronic/Terminal Illness Riders Have On the Death Benefit? All three of these provisions or actions will reduce the total death benefit available to be paid to your beneficiary. You use your cash value as collateral when you take a policy loan. This means that if you do not pay the loan back, or die before you pay the loan, the company can remove the outstanding balance from your death benefit. To reduce-pay up your policy means that you decide you’d no longer want to pay premiums into a policy. If you do so, the company will reduce your death benefit to reflect your current cash value and premiums paid. This way, your life insurance policy is completely paid. You can still use the cash value and get loans, but you will no longer have to pay premiums. This does, however, reduce the amount of death benefit you have. Lastly, the chronic and terminal illness riders allow you to use a portion of the death benefit while living. You simply get an “advance” of your death benefit. Then, upon passing, the death benefit goes to your beneficiary minus your advance. What is Human Life Value? Your Human Life Valu

What is the difference between those who achieve financial prosperity and those who do not? How do you build sustainable wealth? Rabbi Daniel Lapin is back to talk about the mindset of abundance rather than shortage, the financial power of reading over watching, and why giving comes before getting. https://www.youtube.com/watch?v=Ur0KWvfH7p4 So, if you want to increase your income while becoming a better person … tune in now! Table of contentsWhy is Financial Prosperity Difficult to Grasp?Overcoming Your Spiritual SchematicsThe Five FsWhy You Should Read for Financial ProsperityConnect with Rabbi LapinAbout Rabbi LapinBook A Strategy Call [6:15] “Honesty compels me to concede that what I am is an exceptionally good transmitter. I like to think of myself as a clean window: you can see through me into the scintillating and incandescent brilliance of ancient Jewish wisdom.” Why is Financial Prosperity Difficult to Grasp? In many ways, our culture makes money a sin and poverty a virtue. However, this gives money far too much credit in either direction. Money itself is a tool with no morality. Money simply represents value, and money goes where people find value–in products, things, people, and communities. [9:48] “One of our greatest joys is to do a seminar for that church [with a poverty mindset] and then come back six months or a year later, and see the change.” [10:13] “Mindset is very important. I mean, at an Olympic level, what separates athletes is not bodily perfection—they are all at the peak of physical perfection—what distinguishes them is simply psychological and spiritual; the will to win and the ability to endure pain.” [12:15] “In the United States, people’s negative attitudes towards finances and prosperity happen to correspond with America’s deterioration from basically a Judeo-Christian, bible-based worldview to a secular worldview." As Rabbi Lapin explains, those with a secular worldview are uncomfortable with the idea of “making” money over “taking” money. Overcoming Your Spiritual Schematics Your spiritual schematics, as Rabbi Lapin shares, are the formative experiences that you have that shape your worldview. For many people, their upbringing can be a major catalyst for their adult beliefs that to make money is immoral and that they’re taking something from another. [36:20] “Making money is, at its heart, one of the most moral and dignified things you can possibly do. Because the only way you can get it is by pleasing other people.” Money represents value, and people use money to prove that they value a service or product you provide. Therefore, it stands to reason that money cannot be evil or immoral. If we can change the cultural outlook on money, more people can thrive. The Five Fs One of Rabbi Lapin’s programs is about developing the Five Fs: family, faith, finances, friendships, and fitness. This helps people rewrite their spiritual schematics and strengthen these important areas in life. [43:19] “The secret of the Five F, what makes it counterintuitive and difficult and challenging, is that you have to develop all five simultaneously and in balance. Anyone who focuses on one to the detriment of the other four is going to find themselves in trouble.” When you focus on all Five Fs, you create a pretty amazing life for yourself. And what happens in this instance, as the Rabbi shares, is that you create a community of people who are walking in step with each other. Your family and your friends have the same values, so of course, they’re people you can trust with the other Fs, like your finances. Why You Should Read for Financial Prosperity [51:50] “Watching destroys the imagination. With no imagination, there’s no way you’re ever going to dream up a business plan. You won’t. It’s as simple as that. Imagination is an incredibly powerful business tool. I’ve got to imagine how life could be better; not only for me but for my potential customer. And I can’t do that if I have no imagination. Screens, movies, anything that you watch is a destroyer of imagination. Reading… does exactly the reverse.” [52:30] “Reading exercises the entire cognitive process. And what’s more, [it] gives you information with a much higher chance of retention. And finally, what reading does is equips and enhances your most powerful business, money-making organ, and that’s your mouth: the ability to communicate effectively.” Connect with Rabbi Lapin YouNeedARabbi.com About Rabbi Lapin Rabbi Daniel Lapin, author, speaker, and TV host immigrated to the United States from South Africa after studying mathematics, physics, and economics in Israel and the United Kingdom. Some of his seven books are America’s Real War, Business Secrets from the Bible, and Thou Shall Prosper, all of which have been translated into Chinese and Korean. Rabbi Lapin is a frequent speaker for trade groups, political and civic organizations, financial conferences, and companies in the US, Europe, and Asia. He regularly guests on radio and telev