The Money Advantage Podcast

Unlock the secrets to infinite banking in this power-packed episode. We guide you through the intricate steps of using whole life insurance as a tool to gain financial freedom, inspired by Nelson Nash's groundbreaking book, "Becoming Your Own Banker". Learn the advantages and drawbacks of this system, and pick up practical tips on finding more money to capitalize a policy and pay more premiums. This episode is designed not just for the financially savvy, but for anyone who dreams of a more secure financial future. https://www.youtube.com/watch?v=HdpC6ZiIyEM One of the greatest barriers to achieving financial success is a lack of education and understanding. Let's break down these walls together as we discuss the stigmas and misconceptions surrounding the Infinite Banking Concept. We delve into Nelson Nash Institute's ambitious mission to broaden awareness and comprehension of infinite banking. Relying on the right people and the right knowledge will guide you towards a more solid financial standing. Imagine being able to finance multiple items like cars or even a mortgage through infinite banking. In this episode, we shed light on the infinite possibilities of using your income and assets to fund more policies. We explain how whole life insurance can be your stepping stone to accumulate wealth and how you can make your financial dreams come true. We also stress the importance of consulting with experienced advisors to get the most value out of your policies. So come on board and take control of your financial future with us. It's time to break free from financial constraints and build a plan tailored to your unique needs. Your Income Should Match Your PremiumHow Policy Design Affects PremiumMEC LimitsThe Value of Long-Term Thinking to Pay More PremiumsBook A Strategy Call Your Income Should Match Your Premium This is what Nelson Nash believes is the ultimate goal for someone practicing IBC. And yet, no one starts out at this level—it’s not possible. You’ve got to start where you’re able and slowly build your way up, increasing your premiums by increasing your portfolio of insurance policies over time. The first reason you can’t get all of your income running through a policy is because the insurance companies place factors on your income that limit how much insurance you can buy. This is because your death benefit acts as income replacement, and is therefore a factor of your income. If you’re aged 18-35, you can get a death benefit of 35 times your income. To give you a snapshot, from age 46-50, you can get 20 times your income, and from 66 and up you can get 5 times your income. This factor decreases because your number of remaining working years (at least by typical standards) is decreasing. And since insurance covers your income, the insurance companies are only looking at how much income you would earn in these assumed working years. All of this is a part of the Human Life Value calculation, which is essentially your economic replacement value. How Policy Design Affects Premium The way your agent designs a life insurance policy will also impact your premium. Of course, some factors you cannot change—your age, health, and other income will contribute to the amount of premium you pay relative to your death benefit. However, an agent can design your policy to be structured with a blend of base premium and PUAs that can allow you to contribute even more premium to your policy. [27:35] “One reason for why you’d want to put more premium dollars into a life insurance policy is if you realize that if I put a hundred dollars a month into a policy and that will earn me dividends and interest, and when those dividends are paid back into the policy I will earn dividends on those dividends. That’s going to allow me to have that compound growth over time that is going to be a tremendous wealth builder over decades and over generations. And I want that kind of generational wealth-building tool. The only limitation to that growth is how much you put in.” MEC Limits The IRS has also set limits on how much premium you can put into a policy, relative to your death benefit. If you exceed those limits, your policy can no longer be considered insurance by IRS standards. Instead, it becomes a modified endowment contract, and you lose many of the tax advantages. Generally, the insurance company won’t let your policy become a MEC unless you want to. You’ll receive notice if you somehow contribute too much money into the policy, and will have options to ensure your policy doesn’t become a MEC. The Value of Long-Term Thinking to Pay More Premiums If you’re using IBC to create a pool of capital for long-term financing, you have to be thinking long-term. The more you train your mind to think in these long-term choices, the more adept you will become. Sometimes that means patiently paying premiums until you have the capital to finance. Other times, that means learning to cultivate a save-first mentality

Join us on an enlightening journey with our guest, Becca Wilhite, a certified IBC practitioner, as we explore her personal path into the world of the Infinite Banking Concept and the IBC Practitioners Program. From a basketball player to a worship leader, Becca's eclectic background is fascinating, and her initial skepticism towards life insurance is something many of us can relate to. We share how she overcame her doubts and discovered the power and potential of life insurance through extensive research and experience. https://www.youtube.com/watch?v=HU5uSEWjflA In our enlightening conversation, we get down to the very basics of the Infinite Banking Concept, debunking myths and misconceptions about life insurance. We shed light on the importance of capitalizing and the surprising flexibility of premium payments. Not to mention, our examination of the Dave Ramsey approach and how it has influenced people's beliefs about money and insurance. And trust us, there's more to this journey than meets the eye. What's more? We also discuss how Infinite Banking can be used practically in everyday life, from paying off debts to buying homes and cars, and even saving for your children's future education. Becca and our co-host Cole share their insights and experiences, showing us that Infinite Banking is not just a financial strategy, but a way to reclaim financial freedom. So, get ready to challenge your beliefs about money and discover a new perspective with us. Let's take this enlightening financial journey together! Introducing Becca WilhiteThe Problem with the Dave Ramsey ApproachWhy Whole Life Insurance for the Infinite Banking Concept?What is the Hardest Part About Life Insurance Education?Paying InterestThe Infinite Banking Concept is a Way of LifeBook A Strategy Call Introducing Becca Wilhite Becca didn’t always want to be an insurance agent. Before that was even an option to her, she was a basketball player, an avid traveler, a teacher, and even a worship leader. Insurance wasn’t on her radar. When some friends got into whole life insurance, she couldn’t be LESS interested. After all, she was also a huge Dave Ramsey fan. Finally, she decided to go to one of the presentations, if only to protect her friend from making a bad financial decision. And that’s where Becca’s path changed drastically. [04:35] “I went with my guard completely up, ready to just pick this thing apart. But what I found instead was [that] I never knew that life insurance could do that… So it made me curious.” Armed with a dose of skeptical curiosity, Becca started to read books, like Becoming Your Own Banker, that would help her understand. It wasn’t because she was totally on board yet—she was still determined to “expose” the truth, certain that Dave Ramsey couldn’t be wrong. [05:46] “The more I read, the more I studied, the more interested I got. [I was thinking], this is so different from the status quo, this is so different from what we’ve been taught. I don’t think it’s wrong anymore.” This led to Becca opening her first life insurance policy and working with an IBC life insurance agent. However, Becca was still pretty “green,” as she puts it. She didn’t just want to have whole life insurance, she wanted to know how it works and learn more. So Becca reached out to The Money Advantage about mentorship opportunities and found her way onto Bruce’s calendar. The Problem with the Dave Ramsey Approach Dave Ramsey is certainly a person with conviction, and we don’t want to downplay the good that he’s done for people. Many people struggle with debt, and his approach is helpful. However, Dave also tends to parrot a lot of things that simply aren’t true—about mutual funds, which is what he recommends, and about whole life insurance. And this can be detrimental to people who could really benefit from capitalization more than anything. One of Dave’s common talking points is that mutual funds can offer an uninterrupted 12% growth. However, mutual funds rarely hit 12% for even a year, and they can hardly be considered uninterrupted. If you make withdrawals or lose money one year, that’s an interruption to the compounding. Dave’s stance is also that term insurance is preferable to whole life insurance because it’s cheaper, and it’s “good enough.” It gets the job done. However, many agents and advisors have reached out to him over the years to share their perspectives. It’s entirely plausible to speculate that Dave knows better by now; however, he can’t publicly change his stance. Regardless, we’re not here to say that you can’t listen to Dave. If your ideologies align with him, that’s great. We’re here to share our ideologies with you, and if you align with that—with long-term thinking, the values of capitalization, and protection—then we welcome you to start your IBC journey. If not, that’s okay, too. Why Whole Life Insurance for the Infinite Banking Concept? One thing that really stuck out to Becca when she was learnin

Want to see firsthand how financing with Infinite Banking will help you come out ahead? https://www.youtube.com/watch?v=E8vTK1dhZWU Get ready for a mind-shift as we journey through the concept of infinite banking, as presented in Nelson Nash's groundbreaking book, Becoming Your Own Banker. We promise to challenge your conventional thinking about storing capital and show you a more profitable way of managing your money. This episode uncovers the benefits and nuances of this method, contrasting it with five different ways of purchasing items and revealing why the Infinite Banking Concept could be the game changer you need. The heart of this episode is a detailed examination of infinite banking, where you play multiple roles, from the policyholder to the depositor, customer, and owner. We illuminate the advantages of this system, using the example of financing a car purchase over 44 years. By comparing this with leasing, bank financing, cash, CDs, and whole life insurance, we uncover the superior potential of the infinite banking system. We highlight not just the numbers but a fundamental, more profitable shift in thinking. Lastly, we delve into the nitty-gritty of capitalizing life insurance policies. This method stands apart from other methods and requires discipline and long-term thinking to see uncommon results. We stress the power of capitalizing and how it can enable you to secure static payments for large ticket items and a robust future. This episode is all about unlocking the incredible potential of thinking like a business and understanding the key players in the game: the policy owner, the life insurance company, the dividends, and the death benefit. Tune in, and let's change your financial future together. Join us for this discussion of life insurance, infinite banking, and building wealth! powerpress] Rethink Your ThinkingNelson’s Car-Financing StrategyWhy is IBC So Effective for Car Financing?Other Methods of Financing:Book A Strategy Call Rethink Your Thinking [05:20] “IBC is a way of life. It’s not something that you’re just going to try.” In order to execute an infinite banking strategy, you have to be willing to completely rethink your thinking. IBC is about storing capital—that’s something you’re already doing, regardless of your background. Whole life insurance is simply the vessel for storage, and by rethinking what capital storage means to you and what it can do for your life, you’ll be able to create life-changing financial strategies. IBC isn’t magic. It’s just strategy, and you can benefit from it by being receptive to learning new things and challenging your existing worldview about money. [07:40] “Remember, this is about the human condition and changing your human condition. That is more important than the numbers.” Nelson’s Car-Financing Strategy In this instance, we want you to rethink your thinking about what it means to finance purchases. In this case, we’ll talk about car financing. There are many opinions on how to do it—pay cash, do a short-term loan, etc. In Becoming Your Own Banker, Nelson Nash shares his strategy for financing a car every four years. The basis for this strategy is, of course, whole life insurance, which provides your pool of capital. The advantage of financing via policy loan is that you can set your own amortization schedule, and you can buy a car without losing the ability to earn interest and dividends on the full amount of your capital pool. This not only puts you in complete control of your payment circumstances, but it also makes your banking system more efficient. Why is IBC So Effective for Car Financing? What makes whole life insurance so efficient? The answer is opportunity cost. Opportunity cost refers to the cost of one financial decision over another. When you pay for something in cash, you lose the ability to invest that cash somewhere else. So not only are you losing the initial capital, but you’re losing all of that growth over the rest of your life. There’s an opportunity cost to every financial decision. And when you stretch your dollars thin making cash payments or funding multiple pools of capital, you’re actually weakening your assets. Whole life insurance allows you to capitalize without losing the ability to grow your dollars uninterrupted. So you can finance a car purchase all while your cash value continues to grow on the full value of your dollars because there was no withdrawal. Your loan payments, therefore, aren’t playing catch-up. They’re simply reducing the lien on your account so that you can re-collateralize those dollars again. And the interest you pay contributes to company profits, which trickles down to you in the form of dividends. By creating one pool of money for all of your financing needs, you’re getting growth without sacrifice. You won’t have to spend years playing catch-up to get your accounts back to “normal,” and you won’t miss out on any growth. If you compare the IBC method to other methods of finan

Have you ever paused to ponder the legacy you’re creating, the inheritance you’re accumulating, or the lasting impression you’re leaving behind? The question of whether you should leave an inheritance often brings up complex emotions and practical concerns. The thought can be heavy, even daunting – but it’s a conversation worth having. https://www.youtube.com/watch?v=z4jwxj6lMEQ With a focus on infinite banking and the inevitable death benefit that will be left to your heirs, we venture into the complex terrain of legacy and inheritance. For some, this is a familiar landscape, for others, it’s a concept that’s met with conflict. Either way, this episode aims to shed light on the obstacles that accompany the journey of leaving an inheritance. Looking beyond the immediate, we explore the significance of long-term thinking when it comes to your finances. Drawing wisdom from Proverbs 13:22, we discuss the idea that a good person leaves an inheritance to their children. This principle, when applied to financial decisions, fosters informed choices that benefit not only you but future generations as well. With the help of Nelson Nash’s five principles for creating a robust banking system, we delve deeper into the impact of long-term thinking on the process of wealth accumulation and how money, neither good nor bad, is merely a tool that magnifies one’s character. If you’re using Infinite Banking, you’re automatically building an inheritance as well. But inheritance is an emotional word. Maybe you’re opposed because it creates problems, feels like it’s too difficult, impractical, or overwhelmed by how to do it well. Tune in as we talk about long-term thinking, generational wealth, and what’s really best for your kids. What You'll LearnHere's what we'll explore together:How Infinite Banking Leads to Legacy3 Reasons to Leave an Inheritance1. The Bible Directs Us to Leave an Inheritance2. Long-Term Thinking Helps Us Make Better Decisions3. An Inheritance is Actually Good for Your KidsSome Common Inheritance Myths"Inheritance Always Spoils Children""Inheritance Creates Lazy Kids""It's Better to Spend It All During Your Lifetime""Inheritance Planning is Only for Old People"Book A Strategy Call What You'll Learn Here's what we'll explore together: How Infinite Banking automatically builds your legacy - Why this strategy creates inheritance with minimal effort Biblical foundation for leaving an inheritance - What Scripture teaches about generational wealth transfer Why long-term thinking transforms your decisions - How inheritance planning makes you a better steward today The truth about money and character - Why inheritance helps rather than hurts your children when done right Practical steps for preparing your heirs - How to raise children who can handle wealth responsibly How Infinite Banking Leads to Legacy Legacy: it’s the impact you leave behind. For many people, legacy is about what mark they make on the larger world. It’s what people remember them for: their memory. However, legacy can also be financial, and can impact your family not just for a generation, but for many generations when done properly. The wonderful thing about Infinite Banking is that with it, you’re actually creating your legacy in the background with little effort. This approach to leaving an inheritance with purpose means you're building wealth while you live and automatically creating a legacy through life insurance for when you're gone. While you’re building cash value, you have the death benefit waiting in the wings to be paid to your heirs. This financial legacy is the most efficient way to pass wealth from one generation to the next because you lose as little as possible to taxes, fees, and creditors. Meaning that you can keep your money in the family and provide a basis for the next generation to grow their wealth beyond what you accomplish in your lifetime. Life insurance isn’t just for leaving a legacy to your family, though. It’s also possible to use it to leave a legacy to your favorite charities and institutions as well. Regardless of where your money goes, we all need a really powerful reason to motivate us to leave an inheritance. There can be a lot of feelings and emotions tied up in the idea of an inheritance, and some people choose not to leave one at all. If you’re on the fence about leaving a legacy, tune into our conversation as we talk about three reasons to leave an inheritance. 3 Reasons to Leave an Inheritance Whether you're just starting to think about legacy or you've been wrestling with this decision for years, these reasons to leave an inheritance extend beyond just the financial benefits. Each addresses both the practical and the deeper, more meaningful aspects of why inheritance matters. Not just for your heirs but also for you. 1. The Bible Directs Us to Leave an Inheritance In Proverbs 13:22, the Bible states that a good

Prepare to unravel the mystique behind funding and overfunding life insurance, and the empowering concept of becoming your own banker. This episode holds the key to understanding how to fund a life insurance policy, maximize its cash value, and reap the benefits. Our human-centric approach puts you, the listener, at the forefront as we examine how to expand your contract and build additional ones to create your own holistic financial system. https://www.youtube.com/watch?v=0vyR5l4w3Wo We dive right into the heart of constructing a life insurance contract that prioritizes both cash value and death benefit maximization. We lay bare the intricacies of balancing ordinary life, term, and single premium contract components, aiming to achieve the optimal cash value to death benefit ratio. We also confront the challenges of adding a single premium paid-up addition to a contract and the complications that arise when human life value is exceeded, all in the pursuit of financial freedom and security. Lastly, we explore the evolution of universal life insurance over the past quarter-century, with a special focus on its transformation following the 2001 stock market crash. We scrutinize the allure of universal life, index universal life, and variable universal life, revealing their potential pitfalls and unpredictability. Before we sign off, we arm you with a list of recommended readings to further your understanding. Included is Nelson Nash’s enlightening book, Becoming Your Own Banker, as we champion the importance of financial literacy and independence. Join us for this insightful look at overfunding life insurance, infinite banking, and gaining financial control! Why “Overfunding Life Insurance” Isn’t Technically AccurateWhy “Overfunding” Misses the Heart of Infinite BankingThe Importance of Policy DesignBenefits of Overfunding a Life Insurance PolicyHow Long Should You Fund a Policy?What if You Want to Shorten Your Payment Window?What is Reduced-Paid-Up?Real-Life Results Why “Overfunding Life Insurance” Isn’t Technically Accurate You may hear the phrase “overfunded life insurance” used a lot—especially in conversations about Infinite Banking or high cash value strategies. It’s catchy. But it’s also misleading. The truth is, life insurance policies don’t have a “maximum” like most people assume. What they do have are funding limits set by the IRS. These limits determine whether a policy maintains its tax-advantaged treatment—or becomes a Modified Endowment Contract (MEC), which changes how the money inside the policy is taxed and accessed. So when people say “overfunded,” what they usually mean is:“Efficiently max-funded—up to the IRS limit—without triggering a MEC.” In reality, a well-structured policy is: Intentionally designed for both early liquidity and long-term growth Compliant with tax rules, so it retains all the advantages of life insurance Strategically aligned with your goals—not just throwing money at a contract This isn’t about cramming in as much as possible. It’s about funding with wisdom—within the rules, and with a long view toward legacy. Why “Overfunding” Misses the Heart of Infinite Banking The deeper issue with the term “overfunding” isn’t just technical—it’s philosophical. Too often, the word leaves people believing that high early cash value is the point of Infinite Banking. But that’s not what the concept is about. Not even close. Infinite Banking is a long-term, generational strategy based on ownership, discipline, and control. It’s about building a system that expands opportunity and multiplies wealth over time—not extracting value as quickly as possible. If you truly understand the principles of IBC, you’re not aiming to “overfund.” You’re aiming to optimally fund—in a way that matches your current cash flow, future opportunities, and the expansion of your system over time. That means designing a policy with the right balance of: Base premium, which builds lasting strength Paid-Up Additions (PUAs) for flexibility and early access And a death benefit that grows as your system grows A policy designed this way won’t just solve for today. It will support the future you’re building—without limiting your ability to grow, invest, or bless the next generation.Because Infinite Banking isn’t about squeezing cash out of a contract. It’s about designing a strategy that works—for your life, your legacy, and the generations to come. The Importance of Policy Design When you’re designing a policy, it’s easy to think that the best possible design is to have the lowest premiums relative to your death benefit. However, that’s not strictly true with life insurance. An overfunded life insurance policy gives you more cash value growth. And so in most cases, you want to cozy up as close to the MEC limit as possible. At the very least, you want to aim for that. However, you also have to consider your priorities. Do you want to prioritize a higher death benefit in the early years or higher cash value? This is goi

Are you a new agent or looking to join the insurance industry, and wondering exactly just how and where to get started? https://www.youtube.com/watch?v=R9HQ313aNS0 In today's podcast, Bruce and Rachel will help you know how to set up your business, how to get licensed, and what you need to know about joining an insurance IMO or a life insurance FMO, or better yet why you should not join an IMO. This episode promises to help you unravel the multiple layers of the insurance industry—especially useful if you're an agent kick-starting your career or a business owner considering your options in the field. We tackle the complex question of whether to join a general agency, an independent marketing organization (IMO), or a field marketing organization (FMO). Get ready to absorb invaluable insights that will help you make your mark in the insurance landscape. So, let's embark on this enlightening journey together! What Happens After New Agent Licensing?What is a General Agency?What is an IMO?First StepsResourcesBook A Strategy Call What Happens After New Agent Licensing? After you get licensed to sell life insurance, you have to get appointed with a life insurance company to write contracts. You can do this through a general agency, or you can choose a more independent route. The problem is that most newly licensed agents can’t just call up an insurance company and get appointed. The insurance companies won’t agree, because they don’t want someone with no experience selling the product. After all, they don’t know whether this person can write good business, or how they’ll represent the product to clients. It’s safer for insurance companies to appoint new agents through an agency or an organization that can provide training and support. What is a General Agency? [05:50] “A general agency is a person or entity that has already had the experience. They get appointed with an insurance company to sell their products, and then you can get appointed under them. And they, supposedly, are going to help you along in the business.” Often, this general agent or agency is only appointed with one insurance company, although it’s possible for them to be appointed with several companies. This can be one of the best ways to get into the industry because the agent already has a direct relationship with the insurance company and with you as well. This means they have a more vested interest in your growth and can be a real mentor to you. What is an IMO? IMO stands for independent marketing organization and is one kind of organization that you can get appointed to as a new life insurance agent. These are also called field marketing agencies, or FMOs. These organizations do a lot of marketing in order to get agents, and you often don’t have a direct relationship with the agent at the top. These organizations are less concerned with how you fit into the company culture and may value quantity over quality. This can be an incredibly frustrating way to start your journey if you don’t yet know the ropes. On the other hand, you might have a lot more freedom to run your business the way you desire. You may also get some training and marketing solutions that can help you get off your feet. However, it’s known that marketing companies may keep bonuses from the insurance company, and offer less-than-favorable compensation structures for agents. In other words, it’s possible you might get less money per contract through a marketing agency. First Steps After you figure out how you want to get appointed with a life insurance company, you want to think about setting up your business. You don’t necessarily need to set up a business entity, however you do want to set up a different bank account to collect your revenue. It doesn’t have to be a business bank account, it can be a personal account. You want to keep it separate. This will help you in the long run, especially in tax season. Then, you can pay yourself an income from this account. Remember to set aside funds for taxes, as well. You’ll also want to ask for an open release policy in your contract with an agency or organization. Otherwise, you can have trouble leaving the agency if they’re not a good fit for you. If there’s no open release, you could be stuck in a company that doesn’t work for you, or you might have to leave and go through a six-month waiting period before you can get reappointed with an insurance company. Resources What Are the Benefits of Working with an FMO? Start With Why by Simon Sinek Leaders Eat Last by Simon Sinek Book A Strategy Call Do you want to coordinate your finances so that everything works together to improve your life today, accelerate time and money freedom, and leave the greatest legacy? We can help! Book an Introductory Call with our team today https://themoneyadvantage.com/calendar/, and find out how Privatized Banking, alternative investments, or cash flow strategies can help you accomplish your goals better and faster. That being said, if yo

Get ready to rethink your thinking about the cost of life insurance and, more importantly, the process of Infinite Banking. Our journey leads us to insights from Nelson Nash's book, giving us a fresh look at how to balance life insurance and the Infinite Banking Concept. We'll tackle the life insurance company's pricing strategy and discuss how the process of creating an entity for Infinite Banking works. https://www.youtube.com/watch?v=x-hjCfhC_ew Our exploration doesn't stop there! We delve deeper into the Commissioner Standard Ordinary Mortality Table and its role in life insurance pricing. By examining the thrilling world of actuarial science, we'll understand how mortality tables are updated using data collected from millions of lives. We'll discuss how aspects like age, gender, health, and lifestyle habits are considered when setting the price of life insurance. Furthermore, we'll delve into why having life insurance beyond the traditional retirement age is crucial and how part-time work can be a significant advantage in this context. Join us for this in-depth discussion and learn more about life insurance, Infinite Banking, and their financial implications! Creating Your Banking EntityLife Insurance UnderwritingLongevity and Life InsuranceBuy, Don’t Rent: The Cost of Life InsuranceBook A Strategy Call Creating Your Banking Entity At the crux of Becoming Your Own Banker, as the title suggests, is that you are going to become your own banker. Not your own bank. Therefore, you need to establish a banking entity outside of yourself. And what Nelson believed to be the ultimate place to do this was whole life insurance. Primarily because the policy loan provision makes it perfectly structured to leverage your capital as bankers do. So if you want to establish your banking entity, you need to buy life insurance. Life Insurance Underwriting First and foremost, life insurance, like all insurance, is about mitigating risk. For you, the person buying the insurance, you’re mitigating the risk of not living long enough. If you don’t, the life insurance company will pay money to your loved ones so that they are cared for financially in your absence. This means that insurance companies need to be cognizant of their customers’ mortality so that they don’t overextend themselves. If companies insured anyone and everyone, they’d quickly go bankrupt paying death claims on people who died too soon. Since death is guaranteed, the insurance company is insuring people who are unlikely to die too soon. That way death claims become manageable because they’re more likely to be accidents or surprises in the early years. To ensure that policyholders are likely to have a long life ahead of them, insurance companies require underwriting. This includes a health exam and lifestyle questionnaire that companies can use very accurately to predict longevity. You’ll get a rating, which determines your eligibility. The better the rating, the better the premium you can get for your death benefit. [19:50] “They know how many people of certain health will pass away at certain ages. They do not know who. So [your rating] is in no way the insurance company saying ‘I’m God and I know exactly when your days are numbered and here’s the day that you’re going to pass away.’ They do not know about your life.” Longevity and Life Insurance Many people think of retirement and life insurance as related. If you stop working and earning an income at age 65, then you don’t need insurance to protect your income anymore. While this may satisfy some people, the truth is that your need for insurance doesn’t stop at retirement, nor should the retirement benchmark really be 65. If you live to age 60, your life is likely going to be much longer than you think. That’s because the longer you live, the longer you can expect to live, thanks to actuarial science. And because you can expect to live many more years, you still have a need for insurance, even if you don’t earn an income. Or at the very least, you probably still want it. That’s because permanent insurance, like whole life insurance, lasts for your whole life. As long as it’s in good standing, you’ll have it until you die (or if you live to age 120, you’ll just get the death benefit). This means you also get the living benefits—like the cash value and policy loan provision. If you have that, why would you want to stop it? It can help you create income solutions, as well as provide for your surviving spouse and/or children. They can even use it to create their own banking entity. We also want to challenge your idea of retirement. If you knew you were going to live to age 100, would you really want to be unemployed for 40 years? Do you think you could afford to be? Instead, you could find meaningful work, you could invest, or you could offer your services as a mentor in your industry. There are ways to stay involved that will keep you mentally sharp and financially stable. B

Ready to gain a new perspective on how interest rates affect the economy? What about how interest rates and whole life insurance relate to each other? Let us illuminate Nelson Nash's wisdom on adopting a lifestyle that resonates with the Infinite Banking Concept without stretching yourself too thin. We also stress the need to take a panoramic view of your financial situation and the significance of long-term thinking. https://www.youtube.com/watch?v=LLz8bJJh4iA Finally, we will be your sherpa as we climb the mountain of financial control and self-education. We'll explore why people often settle for financial misery and resist investing time to learn wealth-building techniques or modify their habits. We'll also highlight the value of understanding the concept of Whole Life Insurance to maximize its benefits. Prepped for this journey? Join us and be prepared to expand your financial knowledge and planning prowess. How Does Whole Life Compare to Other Assets?What Nelson Says About Whole LifeAre You Afraid to Capitalize?Dividends, Interest Rates, and Whole Life InsuranceLife Insurance IllustrationsBook A Strategy Call How Does Whole Life Compare to Other Assets? [02:02] “The thing that people don’t realize is that as you devalue currency, interest rates tend to go up. And when interest rates tend to go up, then dividends follow. Historically, they’ve always followed.” So, while people expect their assets to be devalued in such an inflationary environment, life insurance does the opposite. This is mostly because insurance company’s investments are heavily driven by bonds, so their profits follow the Federal interest rates. And even if insurance policies are slow to adopt these high interest rates, you can rest assured that the mutual insurance companies will get your money to you. And in the meantime, you’re not losing money. It’s important to remember that the value of whole life insurance is going to unfold over your whole life. In other words, it’s not an asset you buy today and get rich from. It’s an asset you buy today that allows you to have more peace of mind, and make more strategic choices over the course of your life, all while building your cash reserves. Twenty years from now, you’ll be glad you started as soon as possible, and may even wish you started twenty years sooner. The best time to get started was years ago, but the second best time is today. We don’t have time machines to change the past, but by starting the process today, you’re going to get the maximum benefits possible from this point forward. So don’t be afraid to just make the choice. Your future self will thank you. What Nelson Says About Whole Life Infinite banking is simply a concept or a strategy that you can apply to your usage of whole life insurance, in order to be a more efficient steward of the asset. That being said, Nelson Nash knows what it takes to be a good steward and a good IBC practitioner, so it’s important to look to his guidance when in doubt. One of the most important things Nelson says is to think long-term. If you apply short-term strategies to a long-term product, you are not going to get the results that you desire. Instead, you’ll end up burning through your money and you won’t have it when you really need or want it. That being said, Nelson also says not to be afraid to capitalize, or use, your cash value. It’s there for you to use. The balance is in making decisions based on long-term benefits, like having a repayment strategy in place and/or capitalizing on cash-flowing investments that will create more wealth for your family. Are You Afraid to Capitalize? If you’re going to capitalize on your policy, you’ve got to have capital. You build capital by funding your policy. And while PUAs are a part of that, you don’t want your ratio of base premium to PUAs to be too low. This can often be an excuse for people NOT to fund their policy each month, which makes it harder to capitalize. [11:34] “When you do a policy that is a 10/90 policy—10 percent base, 90 percent PUAs—to me that’s [saying] you’re afraid to capitalize.” The argument for having a premium structured this way is that people think, “What if I can’t pay my premium that month?” After all, the base premium is the amount you must pay, the PUAs are optional with a PUA rider. In other words, this is a decision made from fear, because someone is concerned that they won’t be able to make payments. It’s short-term thinking. [19:00] “Wealth is grown.” Dividends, Interest Rates, and Whole Life Insurance One reason it’s advantageous to have a healthy base premium is because the part of your cash value that grows due to base premium earns more dividends. So you want your cash value to grow from base premium as much as you want PUAs. Now, PUAs do earn dividends, too, yet insurance companies have their own proprietary calculations for how the dividend is distributed across cash value from base versus PUA. And when you earn dividends and you apply the

Ever wondered how the Infinite Banking Concept (IBC) can protect your family and boost your business? That's exactly what our client, Marcus, shares in this enlightening episode about using IBC for business. Since 2017, Marcus has leveraged the IBC to support his ventures, from real estate and flipping properties to running two unique franchises - HOTWORX and Destination Athlete. Get inspired as he lays bare his journey from the Navy to becoming a successful entrepreneur. https://www.youtube.com/watch?v=gCU8diqIspU While we navigate Marcus's intriguing IBC journey, we'll also dive headfirst into the world of franchise ownership. Marcus gives us a front-row seat to the realities of owning two franchises, the challenges he faced, and how IBC has been an invaluable tool in his business arsenal. He shares insights about thinking long-term when using IBC and the significance of Key Performance Indicators (KPIs) in pinpointing growth areas. An intriguing highlight is how he cleverly utilized the death benefit as collateral for an SBA loan! Wrapping up our conversation, we explore the nitty-gritty of insurance policies. Marcus weighs in on the age-old debate between whole life and term policies, stressing the importance of understanding the risks and benefits of each. He also shares his experience with buying additional PUAs and how these steps have maximized his benefits. Listening to this episode will equip you with a wealth of knowledge, not just about the IBC and its potential, but also about the ins and outs of entrepreneurship, business growth, and smart financial planning. Tune in to find out how IBC for business works! Getting Started Using IBC for BusinessMaking Your Own Terms with IBCThe Death Benefit is CriticalWhole Life vs. Term InsuranceOne Multi-Purpose AssetBook A Strategy Call Getting Started Using IBC for Business Many roads lead Marcus to where he is today, though most notably, his IBC journey began when he decided to look beyond the insurance offered to him through the Navy. He wanted something more than term, and maybe even something that would be advantageous on his wealth-building journey as a real estate investor as well. He stumbled across IBC and some podcasts on the matter, and began to research what a whole life insurance policy could do for his family. In 2017, he began his first policy and has used it many times since then. So even in the early accumulation phase, his policy has created value for his family. While he hasn’t yet used his policy for long-term rentals, the first two moves he made were fix-and-flips. He’s also used the cash value as collateral for an SBA loan to franchise a HOTWORX, a vehicle for his wife, and even funds for a Destination Athlete franchise, demonstrating the breadth of options cash value can provide. [05:37] “I’ve always paid it back as soon as that equity comes back in. So pay it back, then reuse it again. But if any bit is deployed, I like to pay it back down to zero before I use it for anything else again.” Making Your Own Terms with IBC What makes IBC function well, and what Marcus demonstrates so avidly, is being an “honest banker.” In the same vein, you might hear us say, “Don’t steal the peas.” The sentiment behind both phrases is that you’ve got to be responsible with your money. And when you take a policy loan, you want to repay it. This is the best way to replenish your capital and use it again. While you certainly don’t have to, it’s this mindset of good stewardship that prevents problems down the road and ensures that your policy keeps running smoothly. Marcus’ own family uses their cash flow from the assets that they purchase in order to replenish their capital first, then they experience the benefits of that cash flow second. This allows them to accelerate their asset base early on because they’ve got the cash value free to re-invest. [08:33] “That’s one of the things I love: you can make your own terms.” Marcus shares that in busy seasons, his Destination Athlete business does so well that he can make additional payments on his policy loan. While that means there’s cash flow he’s not seeing right now, it also means that his loan will be paid off that much sooner. Then the cash flow from Destination Athlete can be pure cash flow for his family, and he’s got cash flow ready to be deployed elsewhere. [09:00] “I don’t let it bleed over into what our personal [income] is, and my income from the Navy, or rental. So I keep it all segmented into what I’m using it for at the time, and let that actual asset pay back the loan.” The Death Benefit is Critical For Marcus, part of the initial draw to IBC was the death benefit. As life insurance kept coming up in his research, this was one of the critical elements that drew him to the concept. [29:55] “[The death benefit is] a huge part to me because I want to leave something to my children, and to my wife if she’s still here whenever I pass. I did about six months' worth of reading and

When planning for retirement, one of the biggest fears people face is outliving their money. What is a lifetime annuity? Simply put, it's a financial contract that guarantees you'll receive income payments for the rest of your life, regardless of how long you live. By popular demand, we will be continuing our conversations from last week on annuity strategies! This time, we are joined by special guest Joseph DeFazio! Joe is a seasoned financial educator and will bring a fresh perspective on lifetime annuity income and how annuities can benefit your financial life! https://www.youtube.com/watch?v=YtZbQx8qVXc If you're interested in guaranteed lifetime income, then this video is for you! We'll discuss the different types of annuities and explain the basics of lifetime annuity income. Annuities as a Form of Risk TransferHow to Structure Your AnnuityImmediate vs. Deferred StartPayment Structure OptionsSingle-Life vs. Joint-Life CoverageAdditional Guarantee OptionsReal-World Example: Single Retiree vs. CoupleWhat is a SPIA? (Single Premium Immediate Annuity)The Appeal of SimplicityWho Should Consider a SPIA?Who Should Consider Annuities?When Annuities Don't Make SenseLifetime Annuity IncomeReal-World Example: Kathy's AnnuityLifetime Income Annuity Pros and ConsThe UpsideThe DownsideLifetime Annuity Income — How Payments WorkHow a Lifetime Annuity Fits into Your Retirement PlanBook A Strategy Call Annuities as a Form of Risk Transfer [11:10] “An annuity is a private contract that completely transfers the risk of outliving your money to the insurance company in exchange for a premium payment. The insurance company uses bonds and [then] layers on actuarial calculations, actuarial science, that pools the risk so they can guarantee an income stream for as long as your contract specifies.” When you buy a lifetime annuity, you're basically handing over your biggest retirement worries to the insurance company. They take on the risk, and in return, they promise to pay you for life. In other words, an annuity is the inverse of whole life insurance, which transfers the risk of not living long enough to the insurance company (in exchange for a premium). Because insurance companies manage the risk of living too long AND not long enough, they’ve created balance. So what risks are you actually transferring when you purchase a lifetime annuity? There are three big ones that keep retirees up at night: Outliving retirement savings - What if you live to 95 and your 401(k) runs dry at 85? With a lifetime annuity, that's the insurance company's problem, not yours. Market volatility impacting income - Market crashes don't care if you're 75 and need your monthly income to pay for groceries. Your annuity payments stay the same regardless. Inflation erosion - This one's trickier with fixed annuities since your payments won't increase, but some annuity options do include inflation adjustments. How to Structure Your Annuity There are two phases to an annuity: the accumulation phase and the annuitization phase. During the accumulation phase, you’re funding the annuity, and you can choose either a fixed rate or variable rate, both of which have their pros and cons. When you're looking at a life income annuity, you'll find there are several ways to set it up depending on your situation. Here are the main choices you'll face. Immediate vs. Deferred Start In the annuitization phase, one of the choices you must make is whether you want your benefit now or later. If you choose to start receiving your benefit within 13 months, that’s called an immediate annuity. Any time after that is considered a deferred annuity. Think of this as the "when" decision. Need income right away because you're already retired? An immediate annuity starts paying you within a year. Still working and want to let your money grow? A deferred annuity lets you wait and potentially get larger payments down the road. Payment Structure Options Then, you choose how you want to receive your benefit. You can get a level payment, and increasing payment, or even a variable payment stream that would be tied to an index. The choice will likely depend on how long you expect to take income, compared to how large your annuity is. Here's where you decide what your payments will look like: Fixed payments - Same amount every month, simple and predictable Inflation-adjusted payments - Payments that increase over time to help keep up with rising costs Variable payments - Tied to market performance, which can mean higher upside but less predictability Single-Life vs. Joint-Life Coverage And finally, you can choose what types of guarantees you want on that benefit. If you choose to have no guarantees, then the income benefit stops as soon as you pass on. You can also tie an annuity to someone else with a survivorship rider, which would continue to pay the income to a spouse or partner for the re

Are you interested in knowing the truth about generating guaranteed cash flow with annuity strategies? Learn about the benefits and drawbacks of annuities, as well as some annuity strategies that will help you create guaranteed cash flow. Are annuities the unsung heroes of guaranteed retirement income flow, or are they just another intricate financial product that's more trouble than it's worth? https://www.youtube.com/watch?v=gvmideJqIdQ Join us as we crack open the world of annuities. We'll be discussing how these financial tools, often misconstrued as a bad choice, can actually work in your favor to provide a stable income stream during your retirement. Hold on to your hats as we dissect the differences between variable, fixed, and fixed index annuities, revealing the various fees that come with each type. Annuities can be a great way to secure your financial future – but make sure you understand the pros and cons of annuities (fixed annuities, deferred income annuities, single premium immediate annuities, and variable annuities) before signing up. Tune in, whether you're an annuity advocate or skeptic, and let's debunk the myths together. What is an Annuity?Immediate Annuities vs. Deferred AnnuitiesAnnuity Strategies for Guaranteed Cash FlowCons of Annuity StrategiesWhy Buy an Annuity? What is an Annuity? Annuities are a lesser-known insurance product that can provide cash flow in a way that’s guaranteed. These are typically intended for income later in life. To buy an annuity, you can pay a lump sum or in monthly premiums. That sum then earns interest and distributes an amount of monthly or annual income either for a specific term or for the rest of your life. This is why it’s generally a product for retirees. In other words, you can give the insurance company money, which is guaranteed to grow as outlined in the contract. After that accumulation phase, the company then distributes your account as income to you over your specified time period. This can be beneficial in a volatile market when you don’t want to lose money in your portfolio. Immediate Annuities vs. Deferred Annuities When you purchase an annuity, you an either choose to receive income immediately, or you can defer that income to a later time. If you’re 75 and want an income stream now, you might choose an immediate annuity. However, a deferred annuity might be beneficial if you come into a windfall and don’t yet need an income. You can then specify at hat age you’d like to start receiving payouts. If you choose to go with a deferred annuity, the insurance company may incentivize you to keep your account with them by offering step-up credits. If your annuity is tied to an index and doesn’t increase that year, you may get a step-up credit if you don’t take any income that year. This is meant to encourage you to keep your annuity in place, rather than liquidating it and taking it elsewhere. Annuity Strategies for Guaranteed Cash Flow [05:16] “Not only [can] having annuities enhance your equity portfolio, your investment portfolio, but it can also enhance the happiness of how a person spends their retirement.” The advantage of an annuity is that you can sleep at night, knowing that you have a guaranteed income in retirement. There are, of course, many types of annuities with their own advantages and disadvantages. If you do choose to purchase an annuity, it’s important to have a grasp on what’s available that fits with your existing portfolio and income needs. Below are just a few examples of annuities. Fixed Annuities The first type of annuity is a fixed annuity, which means it has a fixed interest rate upon purchase. It lasts for a designated time period, but it can be renewed. For example, if you buy a fixed annuity for $100,000 at a rate of 5.4%, you’re guaranteed to earn that rate for the stated period of time in your contract. This does compound, so you’re getting an increasing volume of interest each year. This rate won’t change unless the contract specifies that it may change under a certain period or circumstance. Fixed Index Annuity This type of annuity is becoming increasingly popular right now, because it’s actually fixed to an index. Most commonly, it’s fixed to the S&P 500. With this type of annuity, you’re guaranteed not to lose money. So if the S&P or other index is positive over a given year, you’ll get a percentage of that. If the index is negative, nothing happens. The exact calculations are of course more complicated, yet you can count on not losing money with a fixed index annuity. On the flip side, this also means your “upside” is limited. So you’re not going to make 20% if the index makes 20%. This is how the insurance companies are able to afford not to reduce your balance for a loss. Cons of Annuity Strategies While there are many advantages to annuities, it’s important to be aware of the cons as well. One major con is that because the income you create with an annuity is designed to b

Is it possible that you have areas of inefficiency in your business or cash flow that could be better used to fund IBC? It's time to discover some of the top inefficiencies in your business where you can recover excess money flowing out of your control. https://www.youtube.com/watch?v=58Ol_6iTLbc Many people have money paying for expenses that could instead build capital reserves, a warehouse of wealth, solvency and stability, access to cash, and even the funding for a buy-out or to weather an uncertain economic future ... and also still be used for the same expense. In other words, you can be more efficient with your money if you think differently. Discover the secrets to finding and freeing up money in your life and business to fund infinite banking premiums in today's insightful episode. We're sharing concrete examples, strategies, and tips that will help you save money, optimize your loans, and maximize the benefits of the Infinite Banking Concept. It's time to unlock your financial potential and run your life like a successful business! The Basics to Fund IBCHow Do You Find Money in Your Business?Structuring Loans for Increased CapitalWhat Should You Finance with a Policy?For Further Reading:Book A Strategy Call The Basics to Fund IBC If you’re a business owner and investor, you may have several streams of revenue and questions on how to use them. In this case, is there an ideal way to fund IBC policies? And how can you creatively manage your cash flows for maximum efficiency? These are important questions to be asking as you work to build your pool of capital and use it, too. Foremost, building capital takes capital. In this case, your capital is your premiums and PUAs. When you pay them, you’re contributing directly to your cash value. If you don’t have the cash flow to fund your policy without taking on debt, you’re not in a position to start a policy. For example, if you wanted to use business assets to pay premiums, then use the cash value to pay back those assets, you’re actually doing things backward. What will happen is that you have to take a policy loan, so you’ll just be creating more and more debt that can get out of control, and adding interest on top. If you want to leverage your cash value, you want to leverage it for new assets that bring in cash value, not old assets. Otherwise, you’re just taking from yourself and reducing your reserves. How Do You Find Money in Your Business? But what if you do have assets in your business that you can use and won’t require you to replenish those assets? That way, you can still use those first years as a growth phase, which will give you a stronger capitalization phase later on. One way to find money in your business is to save money on taxes. You can do this, depending on the advice of your CPA, by choosing to have an S-Corp instead of an LLC, for example. This may help you to reduce your taxes, thereby giving you some extra capital to funnel into a policy. Of course, there are other tax reduction strategies that you can look into with your CPA with similar results. [17:00] “You do need to pay the IRS what’s fair and square, but you don’t need to tip them. You don’t need to pay what’s more than necessary. So it’s about being strategic—it’s not finding loopholes, it’s using the tax code.” Another way to find money is to reduce expenses elsewhere. Many of your bills are likely negotiable, and it doesn’t hurt to try. If you have a brick-and-mortar business, many of your overhead expenses can likely be negotiated. In addition, you can raise your insurance deductibles to lower your monthly cost. You can then use the difference to accelerate your IBC savings. If an accident does occur, you’ve got capital in reserves. You can also increase your cash flow in ways that don’t have a significant cash investment, so you can use all additional cash flow for your life insurance policy. These are all ways to improve the cash flowing into your IBC policy. Structuring Loans for Increased Capital Another way to increase the capital you have to contribute to your policy is structuring your loans to have low payments. For example, taking a 30-year mortgage over a 15-year mortgage can give you a significant monthly boost to your cash flow, which can be applied to growing your capital. The same can be said of car loans, personal loans, and anything else. Naturally, you may be thinking, “What about all the extra interest?” To that, you have to remember that the money you’re saving is contributing to an ever-increasing pool of capital that is also earning interest and dividends. And the sooner you start, the more time you’ll have to grow that pool and increase our volume of interest. That money can eventually be used to partake in a new opportunity that brings you more cash flow in your business. [31:28] “You’ve got to change the way you think when it comes to your business. It’s all about the cash flow of your business, not your [debt service], because

If you want to adopt a new financial mindset, you need new financial habits. As Nelson would say, "use it or lose it." Today, we're continuing the journey through Nelson Nash's catalytic book, "Becoming Your Own Banker," and discussing the role of habit, the power of habit, and what financial habits you need to implement if you want to gain the full advantage of the Infinite Banking Concept. https://www.youtube.com/watch?v=8DLuniN2TjQ Join this conversation to find out how to make Infinite Banking more automatic, and how to best manage your Infinite Banking system for maximum financial control. Use It Or Lose ItSimplify Your Decision-Making ProcessIBC is a Personal Monetary SystemThe Power of CapitalizationBook A Strategy Call Use It Or Lose It “Use it or lose it” is a principle that applies to many things, including finance. For example, if you have vacation time, typically you’re required to use it within a specific timeframe or you lose it. If you learn a new skill, you’ve got to keep practicing it or you’ll regress. And as many people come to find out as they age, if you stop using your brain and your body, you start to lose some functionality, too. This is a part of the human condition, and to be aware of it and overcome it is imperative. This applies to the infinite banking process because IBC isn’t a “set and forget” strategy. You’ve always got to be thinking about how your money is flowing, so much so that it’s a habit… NOT a background player. You’ve got to use your knowledge and skills to achieve the outcomes you want, or you’ll lose the control that IBC affords you. On the flip side, your money is not affected by this human condition. You don’t have to “use or lose” your money. This is why many families struggle to save—because they’re always spending. IBC gives you capital and solves your need for financing through your carefully cultivated habits. However, that does not mean you need to finance every deal that comes your way. Having cash allows you to wait for the right deals to come your way, and the habits you create free up your mental energy to recognize those deals. Simplify Your Decision-Making Process One of the benefits of making habits (rather than automation), is that you get to simplify your decision-making process and conserve your mental energy. A great example of this is being a vegan or having some other dietary restriction. It usually comes from a place of principle, and it removes heavy lifting from your choices. When you’re a vegan, you know you’re not going to eat beef or drink milk–it’s a habit and lifestyle. It doesn’t matter who’s watching you or where you are, or even how you’re feeling that day. There aren’t always equivalents to this in other areas of life. However, IBC can be the foundation of your financial principles so that your choices become a habit. With IBC, saving money becomes a habit. Then, with the mental energy you conserve by adopting this habit, you can spend a bit more energy and thought determining how to use your capital to your best advantage based on IBC principles. [18:09] “Your habits ultimately determine the direction of your life, and they free you up to be able to have mental energy in other areas.” IBC is a Personal Monetary System What we’re getting at, ultimately, is that the Infinite Banking Concept is not simply a product. It’s not just life insurance. It’s a personal monetary system that will completely change the way you think about and use your money for the rest of your life—and hopefully for your future generations, too. IBC gives you capital, which gives you control. And just like you want to use your knowledge and skills so you don’t lose them, remember, you also want to hold your money for the right moment. The habits you create—saving money instead of spending—give you the cognitive space to ask the important questions. [34:45] “If you want a new idea to work for you, you have to have habits that support that idea. And if your habits don’t support that idea and make it more automatic for you, you’re going to lose what you were trying to gain by changing your mindset in the first place.” The Power of Capitalization The thing about capitalization is that you’re going to have a need for capital over your entire lifetime. It’s not just something you need now. That means you need to have a long-term view of capitalization. A good long-term view is about sustainability. How do you make good choices now that will give you more good choices in the future? The first step would be to start a policy now. You need to use that capital for IBC or you’ll lose the opportunity for those dollars today. Of course, make sure that you can pay your premiums now, and in the future. Then, be smart about how you capitalize. You want to invest for cash flow so that you can pay your policy loans, or make personal purchases with the awareness that you must pay those loans. Doing this keeps your policy in good standing and makes i

Dividends are a crucial part of why whole life insurance is such an ideal asset for conducting an Infinite Banking Concept (IBC) strategy. But because dividends are not guaranteed is the life insurance contract, it raises the question: can we rely on life insurance dividends in a bad economy? Join us as we explore the inner workings of life insurance dividends, how it relates to the current economy, and why we don't think you have to be afraid. https://www.youtube.com/watch?v=6ONu2ZroHeQ Tune in as Bruce explores the factors at play, and find out how to navigate uncertainty while maximizing returns. How Are Life Insurance Dividends Calculated?Understanding the Dividend RateThe Dividend is Chasing the Death BenefitAre Life Insurance Dividends a Return of Premium?The Relationship Between the Treasury and Life Insurance DividendsCan You Still Get Life Insurance Dividends in a Bad Economy?Book A Strategy Call How Are Life Insurance Dividends Calculated? While all mutual companies calculate their dividends in different ways, and the calculations are proprietary, the components of those calculations are all the same. Essentially, life insurance companies have income and expenses. Expenses for a life insurance company include payroll, death claims (the most significant expense), and other overhead costs. The income is all based on products sold. The companies then invest that income. Mutual companies have a reputation for investing very conservatively, as well as having significant liquid reserves. A significant portion of the investments are made up of bonds and real estate. Insurance companies also make a profit on policy loans to their policyholders. When there is a profit, those profits are then distributed to policyholders. The insurance companies typically declare the rate for the coming year in December, based on all this information: expenses, profits, etc. Understanding the Dividend Rate Here’s where things can get confusing. Just because a company declares a 5% dividend rate does not mean that each and every policyholder is getting a 5% increase in their cash value. The dividend rate is a gross number and is actually applied differently across policies. Factors that may contribute to your actual dividend include: Any fees from your policy Policy costs and expenses Existing policy loans Age of your policy In some cases, policies may even earn more than the declared dividend. There are many factors that contribute to this because the “goal” of every policy is endowment, which causes the dividend to “chase” the death benefit. The Dividend is Chasing the Death Benefit [9:10] “The dividend is actually chasing the death benefit, and the cash value is always chasing the death benefit. What do we mean by chasing? Whenever you take out a policy, let’s say you put $50,000 in the first year… it’s going toward the base policy. And the base policy is the foundation or the rock of the policy. It’s the true insurance portion of the policy. Some of it goes to a term rider, and the term rider is there so we do not MEC the policy. And the last part is the paid-up additions rider. And those three cause a relatively high death benefit versus the $50,000.” The policy is set to endow at age 121. This is the point when the cash value is equal to the death benefit, and you will receive the full death benefit if you’re still living. Over the course of your lifetime, you’re watching your cash value chase this endowment. Meanwhile, the death benefit is also increasing because of PUAs. What this means is that your cash value and the death benefit of your policy are going to grow differently. Your policy has to have the growth momentum to actually reach this endowment. A 5-year-old has 116 years to accumulate enough money to reach endowment, while a 50-year-old only has 71 years. They might even get more than the declared dividend in order for the policy to keep up. You can probably see now how these calculations get really complicated and confusing. Hopefully, this also illustrates why it’s not necessarily helpful to compare declared dividends across companies. It’s more important that the company has a history of paying dividends than what the rate is. Are Life Insurance Dividends a Return of Premium? If you look at the IRS classification, dividends are stated as a return of premium. However, in practice, this is not the case. Otherwise, your cash value would never out-pace your premium contributions. This classification is for regulatory purposes because dividends really can’t be guaranteed since they rely on profits. You can rest assured that this is strictly from a legal standpoint. That’s why it’s important to look at an insurance company’s history of paying dividends. The best companies have been paying dividends for 100 years or more, even in the worst economic conditions. Yes, sometimes this means the declared dividend is extremely low. Yet the companies with conservative practices still paid those dividends. The long-

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