The Money Advantage Podcast

Are you planning to have multiple IBC policies, and don't know where to start? If you’re already a few years into using the Infinite Banking Concept, you’ve seen and experienced the power of storing cash in a whole life policy. You’re earning interest and dividends, have exceptional compounding power, and guaranteed access to use your money. You’re also watching the death benefit increase. https://www.youtube.com/watch?v=nugZZ1HcrY8 Now you want to store more cash. It’s time to think about how to use all your policies well and maximize their capacity. Today, we’re continuing the conversation in our series about how to take your Infinite Banking to the next level. In the last episodes, we dug into how to maximize your current Infinite Banking Policy. Then, we talked about insuring other family members, like children and grandkids. Now, we’ll talk about managing multiple policies. So if you want to hear about what to do after your whole life insurance policy is already working… tune in now! The Problem of Information “The internet has allowed us to be drowning in information while starving for wisdom.”  That’s the unfortunate truth of the internet—everything seems like it is generated for clicks. That's why we are striving to help impart wisdom so that you can make the best decisions for your family today. The purpose of today's content is to help you take ACTION. Because too much information can cause inaction.  Storing Capital Everybody has a need to store capital. And there are many financial institutions that allow you to store capital: banks, insurance companies, Wall Street, pension plans, and your own home. The real work is in evaluating where your capital should go, in order to do what you want it to do. Remember: what is the purpose of your money?  Once you’ve identified what your money should do—evaluating the WHERE becomes simpler. And while there’s no perfect solution, there are products with flexibility and control. Primarily, cash value insurance offers you liquidity, safety, growth, and certainty. More importantly, it can offer you flexibility and control. It’s important that when your future is uncertain, you have something that IS certain. You may not know how much money you’ll have in the future, or what your job will be, or how your family will grow. But by having cash value life insurance policies, you WILL know that you have money you can use strategically. You won’t lose it if the stock market crashes, it will continue to grow, and you don’t need permission to access it.  How do you have the best-case scenario no matter what happens?  The Purpose of Your Policy If you do not believe in the death benefit, and you’re only worried about the cash value, then you should just keep your money in the bank. Rodney Mogen, who has joined us on The Money Advantage before, has expressed this sentiment. And we fully agree. While it’s easy to talk about the benefits of the cash value in terms of infinite banking, it’s harder to talk about the death benefit.  You can likely imagine why, as talking about death is often uncomfortable. We don’t like to think about our own deaths, let alone the deaths of our loved ones. But it’s an essential component of life insurance that helps protect the people you love from loss of income.  So if you’re only interested in life insurance because of the cash value, and you’re not invested in the protection component, how likely are you to maintain your policy? It becomes easier to manage a system of policies when you are also thinking of the generational impact. In other words, the income protection from loss of life, and the transfer of wealth that occurs therein. Why Take a Policy Loan? It’s simple: control. It’s popular now to use your cash value as collateral, in order to take a lower interest rate. Why pay the life insurance company 5% when you can pay the bank 3.5%? The answer is, it depends!  The insurance company offers you control. They’ll give you a loan regardless of what the funds are for, unlike a bank, as well as control over the repayment terms. You can pay on your own schedule, effectively eliminating late payments and credit bureau reporting. A third-party lender is not going to offer that same control. So it’s important to consider your actions strategically. Will you benefit from more control over the repayment terms?  The bottom line is that if you have the life insurance policy in place, you have the options and the freedom to make several different choices, depending on your personal circumstance. This is why it’s important to evaluate the information you get online. Anyone telling you there’s only one right asset or strategy should be questioned.  Should You Pay Your Premium or Your Loan? If you think about it logically, the premium payment will build up your cash value, or leveraged death benefit. This is the portion of your policy that acts as collateral on the loan and is compounding within your policy.  If you’re in a place of limited income for the time, it’s important that you first consult with a trusted advisor. They’ll be able to analyze your policy and your specific circumstances. They’ll help show you the mathematical solution, the emotional component, and the real-world scenarios.  That being said, it’s often better to pay your premiums before you pay your loan. This is because of that cash value build up—so that you’re growing your floor. If you have limited income, you don’t even have to pay your whole premium. You can pay the base and forgo the PUAs, or use dividends to help pay premiums.  If you pay the loan, you may free up some of your cash value, however, the premium will still need to be paid. One way companies ensure premium payments is to put up another loan against the cash value for that premium amount.  Extenuating circumstances may include those who find debt stressful or have more flexibility in an older policy. Again, an experienced advisor can help you figure out the best path to accomplish your unique goals.  Building a System of Multiple IBC Policies You can do a lot with multiple IBC policies in your life. And it’s going to take a leap of faith to get started. There are a lot of great reasons to have a whole life insurance policy, and we can talk about them in-depth, but it’s often once you’ve taken that leap that you really see the possibilities.  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 you want to find out more about how Privatized Banking gives you the most safety, liquidity, and growth… plus boosts your investment returns, and guarantees a legacy, go to https://privatizedbankingsecrets.com/freeguide to learn more.

It can often seem that there’s a tradeoff between money and relationships, that you get one only at the expense of the other. But if you want to succeed in both critical life categories—you want thriving relationships you feel great about, and to live at the peak of your financial performance, you need wisdom that’s greater than both to get there. Today, we’re talking with Rabbi Daniel Lapin, author of Business Secrets from the Bible, Thou Shall Prosper: Ten Commandments for Making Money, and The Holistic You.   https://www.youtube.com/watch?v=2BUWOoOmKFo We’ll discuss why you need a holistic view of your financial performance, and how it relates to your family, friendships, and other relationships. This is ancient Jewish wisdom and Jewish financial principles for success in life. If you want to feel good about your money and use it to benefit your family for generations to come… tune in now! Table of contentsThe Holistic YouDebunking the “Scrooge”What is Business?Charity Requires ResourcesWhat is a Happy Warrior? Why You Need to be a WarriorFinding BalanceThe Pathology of PovertyImprove Your Relationships, Improve Your LifeRabbi Daniel LapinBook A Strategy Call The Holistic You The last time we had Rabbi Lapin as a guest, we had a fantastic time discussing Thou Shall Prosper, and the biblical wisdom of wealth. We’re delighted to welcome him back now to discuss another of his books, The Holistic You.  This book is a manual for integrating wealth, family, faith, and more—in a way that is fulfilling. Sometimes it can feel like juggling practice, so we’re excited to take a look at Rabbi Lapin’s wisdom in finding balance.  Rabbi Lapin came into this field because he found himself speaking to largely Christian audiences and was frequently asked, in earnest, why Jews seem to be disproportionately good with money. Without taking offense, he realized that it was a question worth pondering, and so he began to look for answers within scripture.  Debunking the “Scrooge” [11:23] “[Business] is one of the only areas of activity where doing well is a function of being good. And this is a very hard thing for people to hear because they love the idea of Scrooge—the horrible, selfish, [inaudible] millionaire.” In business, reputation is actually one of the most important aspects. Because those with poor reputations don’t last long in business. So the idea of the curmudgeonly Scrooge is a fantasy. In reality, businessmen strive to have good relationships, because what happens when a reputation goes south? Investors pull out, and money flows away from the company.  You can be an actor or a tennis player with great skill and manage to find success with a bad reputation. Business cannot be the same.  What is Business? [15:20] “Business is just a technical term for people being nice to each other… Whether you like it or not, we happen to live in a world where... we are incentivized to be nice to other people with an incredible blessing called financial abundance... Business is becoming as useful as you can, to as many other people as possible. What could be more beautiful?”  Rabbi Lapin continues by saying that this is something that God smiles upon, because “Our Father in heaven is not so different from our fathers on earth.” In other words—all fathers prefer when their children get along.  However, some believe that because business owners are making money by doing so, it morally discredits the entire process. To that, Rabbi Lapin shares the story of a woman he knows, who battled cancer and survived. And to her, it was important that she find a wig that was comfortable and natural-looking so that she could restore a sense of normalcy to her daily life.  She searched high and low for the perfect wig, and once she had found one, began importing them. Then, she returned to her cancer treatment center and proposed a setup to help patients find a wig that suited them, so they didn’t have to wait or conduct their own lengthy search.  This was a service she provided to several hospitals, helping women with cancer regain their confidence after hair loss, and became wealthy doing so. And she came to Rabbi Lapin for guidance because her own Rabbi had told her that she should be ashamed for profiting off of the illness and suffering of other people. That Rabbi suggested that if she truly cared, she would do it for free.  Charity Requires Resources The problem with this suggestion is that charity requires resources. If this woman had offered wigs to other cancer patients for free, how long until she ran out of funds? How many people would she have been able to help?  The bottom line is that she was doing an incredible service for thousands of women. She made the process of obtaining a high-quality wig simple and convenient—and likely saved many women money in the long run. Profiting from this business allowed her to help many more people than she could through charity alone. [20:40] “I helped her understand that she is providing an incredible service, and the fact that she is being paid for her service doesn’t in any way make it less—it makes it better. Because there’s no woman who buys a wig from her who felt coerced to do so. People came to her because she paid the rent to be on the site and nearby. And she was compassionate, and she was effective, and she was competent. That’s why they did it. And guess what? Most of those women, like most of us, would much rather pay for those services than receive them as a charity.” What is a Happy Warrior?  Rabbi Lapin shares a story of his childhood, where he remembers being in a terrible mood, and his mother reminding him to be happy. His response was that he would be happy when she bought him a motorcycle. What she said after stuck with him. [23:45] “She said, ‘Don’t ever forget, I’m not responsible to make you happy. You are.’ Anyway, I eventually matured a little bit and realized that nobody should ever get married until they’ve learned this lesson because otherwise, they’re going to poison the environment of their home and their spouse with this horrible...and addictive disease, to radiate your misery. Being happy is a moral obligation.” [26:50] “So when I speak of people being happy warriors, the first part of it is ‘happy.’ Because not only are you going to do better in terms of social and family relationships if you are a happy person. You will...initiate a happier and better marriage and you will sustain a better marriage if you’re happy. You’ll raise children more effectively if you’re a happy person. Everything is better—and on the business front because business is serving other human beings. And you’re most effective at serving other human beings by having a lot of people know you, like you, and trust you. And if you’re a happy person, that’s part of the secret of being magnetic.” If you’re a business owner, you’ve likely felt the difference in working with happy people versus unhappy people. So Rabbi Lapin concludes that being happy is good for finance, family, friends, and health—and we agree! Why You Need to be a Warrior [28:46] “The warrior part of it is also just as important, and that is to recognize that we live in a world of entropy. Now, what does that mean? It means that everything moves toward a state of disorder.  [31:34] “So we understand that we live in a world that tends toward chaos and disorder. So that means that if you want to have a house, then you must get used to the idea that you’re going to have to paint it and that the roof is going to need repair. And you’re going to have to get used to the fact that the garden is going to grow into a jungle of weeds if you don’t work on it. Everything moves in the direction of disorder—so you need to be a warrior. You’ve got to be willing to fight. Your business—your business tends towards deterioration, and you’ve got to fight it all the time.” [32:52] “Everything worthwhile is a big fight, and so we all need to be warriors, and really happy about it.” Finding Balance [37:40] “You can see that with our bodies, the genius is not only the heart and the lungs and the kidneys—that’s not the only genius. The genius is how it all works together. And our lives are like that as well.” In other words, our lives don’t depend on one thing functioning well. It’s not just about our relationships, or our finances, or our business. The thing that enriches our lives is how all of these components become integrated.  Our lives and our bodies function together. Rabbi Lapin shares the idea of the “placebo effect” in medicine. This shows that medicine is more effective when the patient has faith in their medication. While not 100% effective, placebos, or sugar pills, have a degree of success in nearly every clinical trial. This shows that there is a benefit to your physical health when faith is involved. And all areas of our lives work in this tandem, in ways we may not realize.  The Pathology of Poverty A “poverty mindset” or “scarcity thinking” is a pattern of beliefs about money that keep you stuck. It’s a mindset in which fear—fear of not having enough—perpetuates a cycle of poverty. Because those who are fearful of what they don’t have often get stuck in cycles that keep them poor.  Rabbi Lapin expands on this further by talking about the relationship of family and friendship to poverty. And often those with a healthy support system do not have the means to be wealthy. And there’s compelling evidence to suggest that family structures actually support wealth.  [44:32] “The idea that you can retain financial integrity while forgoing faith, family, friendships—it’s laughable.” Improve Your Relationships, Improve Your Life The bottom line of our discussion with Rabbi Lapin is that everything is integrated. When you build good relationships, you build good business, and when your family life is thriving,

Are you already a few years into your first IBC policy, and you’ve experienced the power of storing cash in a policy? Maybe now, you want to store more cash. Is it time to start another policy? Should you insure yourself, your spouse, kids, or grandkids? Why? How does it work when you build a system of policies? Should you even have life insurance for children? https://www.youtube.com/watch?v=sKq1QNKZnUc Today, we’re continuing the conversation in our series about how to take your Infinite Banking to the next level. Last time, we dug into how to maximize your current Infinite Banking Policy. We’ll talk about private family banking and insuring other family members, like spouses, kids, and grandkids. In our third and final part, we’ll talk about managing multiple policies. So if you want to hear about what to do after your first whole life insurance policy is performing well… tune in now! Table of contentsLife Insurance Isn’t Just About DeathHow to Reframe Your Insurance MindsetBuilding a Portfolio of PoliciesWhat is the Benefit of Insuring Yourself First?Order of InsuranceAre You Insurable?Should You Have Life Insurance for Children?How to Insure Your GrandchildrenStarting a Life Insurance Policy for GrandchildrenHow Do You Know What's Right for You?Find Your Human Life ValuePlanning for Generational ImpactBook A Strategy CallFAQsWhat is the benefit of buying life insurance for grandchildren?Who should own the life insurance policy for grandchildren?Can a life insurance policy for grandchildren be used for education expenses?Is it difficult to qualify for life insurance for grandchildren? Life Insurance Isn’t Just About Death We hear it all the time—“I don’t want to think about death.” This can be especially true when life insurance for children enters the discussion. However, life insurance isn’t just about death. When used correctly, it can provide liquidity and certainty... and peace of mind. It might also surprise you to learn that cash value life insurance is useful in teaching children good money habits. This is a key in family banking strategies and building generational wealth.  If you’re skeptical, we understand—and that’s exactly why we’re going to be digging into the topic today.  How to Reframe Your Insurance Mindset Today, most financial planning involves saving for a future goal—retirement, college, etc. In turn, this often means locking money up in qualified plans like a 401k or 529 plan, where it’s inaccessible for long periods of time. While saving is better than the alternative, the problem is that these accounts offer little flexibility. And what is life if not an exercise in flexibility?  After all, things happen all the time that we cannot predict—unexpected medical expenses, job loss, and economic crises, as well as investment opportunities, extra vacation time, and more. But what happens when you don’t have the capital? Unfortunately, you have to make sacrifices or pass up on rare opportunities.  Cash-value life insurance—and in particular, infinite banking strategies—offers a solution. It gives individuals and families a way to save money without locking those dollars away. The cash value component is liquid and out-earns typical savings accounts. And, you can use the money at any time, for any reason. This means that you can cover unexpected emergencies and opportunities.  Yes, there’s a death benefit, but there are living benefits too. And while thinking about death can cause a lot of emotions to bubble to the surface, it’s an event none of us can avoid. Thinking about it as a logical protection mechanism, rather than an omen, can help you combat any misgivings. And in the long run, you’ll have financially prepared your loved ones for what will be a difficult time.  Building a Portfolio of Policies Over the course of your life, you’ll likely be entitled to more insurance. In the first part of our IBC 201 discussion, we talked about the importance of insuring up to your Human Life Value. This will change over the course of your life. The tricky part of building an IBC portfolio is knowing who to insure, at what time, and in what order. If‌ ‌you’re‌ ‌considering‌ ‌another‌ ‌life‌ ‌insurance‌ ‌policy,‌ ‌you‌ ‌can‌ ‌own‌ ‌a‌ ‌policy‌ ‌on‌ ‌someone‌ ‌other‌ ‌than‌ ‌yourself.‌ ‌This‌ ‌means‌ ‌that‌ ‌while‌ ‌you‌ ‌may‌ ‌make‌ ‌the‌ ‌premium‌ ‌payments,‌ ‌the‌ ‌death‌ ‌benefit‌ ‌is‌ ‌tied‌ ‌to‌ ‌someone‌ ‌other‌ ‌than‌ ‌yourself.‌ ‌You‌ ‌may‌ ‌wonder‌ ‌why‌ ‌you’d‌ ‌want‌ ‌to‌ ‌insure‌ ‌other‌ ‌people,‌ ‌or‌ ‌even‌ ‌how‌ ‌you‌ ‌would‌ ‌be‌ ‌able‌ ‌to. So let's talk about the reasons why, and why not, to have life insurance for children or grandchildren. Each policy within your growing portfolio can play a different role. One might be designed primarily for protection, for example, while another might focus on building cash value for liquidity. A third may exist purely to leave behind a financial legacy.  Rather than viewing multiple policies as redundant, it helps to see them as parts of a system, each one tuned for a specific outcome. For a more comprehensive view on how to structure your policies for long-term use and flexibility, see IBC 201: How to Maximize Your IBC Policy. What is the Benefit of Insuring Yourself First? The first, and most “logical” reason to insure yourself first, is based on actuarial data. In other words, you’re more likely to pass away before your children. You’re older. So if you’re looking to protect your income or leave a legacy to your children, it makes sense to insure yourself first. If you’re married, the order of insurance may change depending on your spouse’s age.  With this type of policy structure, you’re helping the wealth continue to flow from one generation to the next.  Order of Insurance One question that frequently comes up is how to allocate premium dollars. For example, if a family has about $40,000 to put into insurance premiums each year, is it more efficient to have one policy with a $40k premium, or two policies on two people with a $20k premium each? In most cases, people hope that by insuring their children with that $20k, they’ll be able to accumulate more cash value because their insurance costs less. Unfortunately, that is not how policies on children work. Actuaries do very careful calculations on life expectancy to design policies. Endowment is the age at which the policy will pay out if the insured is still alive. It is at this point that the cash value will equal the death benefit (both of which are increasing values). Therefore, children don’t participate in as many dividends because they have much longer for their policy to endow. The bottom line is that there may not be a better cash accumulation in the short term, even though they might be able to accumulate more over the course of their life. If you’re intending to leave a legacy to your child, there’s more benefit in starting a larger policy on yourself today and insuring your child at a later date, or at a lower death benefit. Are You Insurable? A major factor in any life insurance decision is answering the question: Are you insurable? Insurability depends on a number of factors that help a life insurance company determine whether you are an acceptable risk for them to take. The largest factor in this equation, of course, is health.  A benefit to insuring your children is to lock in their future insurability. Because you never know when that door will close. The same goes for you and your health. This is one reason that it’s important to acquire insurance as early as you can. Just as we don’t truly know when we will die, we also don’t truly know what our health will look like in the future.  If you’re seeking additional insurance for yourself in the near future, it can be a good idea to have some convertible term insurance. This type of insurance is not permanent, but can later be upgraded to permanent insurance without needing to re-qualify. This can help protect your insurability against future illness or disability.  Children under seventeen, however, don’t have to take any paramedical exams to qualify for insurance. They need only fill out a health questionnaire. (There are some extenuating circumstances if there’s a red flag in the questionnaire.) This can be a great way to lock in insurance. Should You Have Life Insurance for Children? There are numerous reasons to insure your children or grandchildren; however, it comes down to your family dynamics and goals. Having a policy can help you teach children good savings habits, and how to borrow and pay back loans. Children with a job or an allowance could pay back policy loans and practice “pitching” for reasons to borrow against their cash value. It’s important to note, however, that this can also be accomplished with a policy you have on yourself if your intention is to create a family banking system. One benefit of insuring your child is that you can transfer ownership of the policy to them when they’re an adult. They become responsible for making premium payments and managing policy loans, and they have a head start on savings. The only thing you cannot do is change who is being insured by the policy.  Ultimately, however, we believe that it’s important to insure up to your full human life value to get the full benefit of insuring your children. Even if it’s through a mix of whole life insurance and term insurance. That way, you can leave a greater death benefit for them, so that they can purchase additional insurance on themselves. How to Insure Your Grandchildren Insuring your grandchildren is a bit more complicated than insuring your children, because there is an additional layer. While there are some differences between companies, in general, the grandparents usually need to have a policy on their children in order to also insure their grandchildren.

Want to scale your real estate investing business, and make more money? Today, we’re talking with Gary Boomershine, CEO of RealEstateInvestor.com, who has created software to grow your real estate business, services to scale your income, and coaching to help you achieve the freedom you deserve. https://www.youtube.com/watch?v=A6rN8gE4MrU If you’re an investor or business owner who wants to create the life you envision … tune in now! Table of contentsThe Three “Buckets” of Real Estate InvestingBeing Self-Employed vs. Being a Business OwnerKnowing Your WhyThe Power of Passive IncomeLeverage Money AND TimeReal Estate CyclesScaling Your Real Estate Investing Business with Infinite BankingAbout Gary BoomershineBook A Strategy Call [4:10] “Every professional athlete, every musician, everyone has a coach...even Google.” If you are going to start a business, why wouldn’t you have a coach as well? Gary Boomershine started in the industry doing a dozen different things. It wasn’t until he had a coach that he learned to exit the rat race.  [8:50] “In real estate, the key is being able to find the deal...And right now in real estate, it’s really hard to go find the deals.” This is part of how RealEstateInvestor.com got its start—as a tool to find off-market deals.  [9:22] “As an entrepreneur, and building a business, every business needs a CEO. And if you’re a CEO doing ten dollar an hour work, you’re going to have a ten dollar bank account. So as a CEO, you’ve got to actually run the business as a CEO.” The role of the CEO, as Gary defines it, is to create leverage. A CEO leverages other people’s money and other people’s time. That way the CEO can do more, without doing everything alone. Otherwise, you run the risk of a JOB, which Gary defines as “just over broke.” The Three “Buckets” of Real Estate Investing [11”10] “There’s three main buckets people should be thinking about in real estate. There’s cash now, cash flow, and cash later.” The “cash now” category is what Gary Boomershine distinguishes as real estate operators, rather than real estate investors. These are the people who do wholesale deals or fix-and-flips. In other words, they buy low-value properties, make improvements, and sell them. They’re investing for a one-time transaction—so if they stop doing what they’re doing, they stop making money.  Then, there’s cash flow, which is a monthly stream of income. The most common cash flow real estate investment is rental property. The investor buys the property and rents it out, and that monthly rent pays the mortgage and creates income for the investor. Private lending is another cash-flowing real estate deal.  Then, there’s the cash later category. This type of income typically comes from inflation or appreciation, as well as equity. To truly scale your real estate investing business, all three components are needed--though passive income is the key to unlocking wealth. Being Self-Employed vs. Being a Business Owner Robert Kiyosaki’s cash flow quadrant is the process of moving from having a job to being an investor. And as Gery Boomershine puts it, real estate operators are in the “self-employed quadrant.” They’re in a space that has more freedom than being an employee, yet are still trading time for money. RealEstateInvestor.com is designed for these operators, to help move them into the business owner quadrant, and finally the investor quadrant.  [17:30] “Everybody gets in [to real estate] and they’re like—How do I do a rehab? How do I wholesale a property and make some money?...No, what you want to do is stand back and say, what do you want? What do you want for your life, right?... Because at the end of the day, we’re looking for financial freedom and a life of time. The most valuable commodity is not the money, it’s the time.” Knowing Your Why The solution to this problem of “how,” is by defining your “why.” Why are you in the game, and what do you want your life to look like, and what do you want real estate to do for you? Thinking about your money’s purpose can help you have a clearer vision of what you want to do, and the “how” will follow.  Gary’s personal “why” is to be free to do more things with his time. So his goal is to work three hours a day, four days a week. In order to do that, much of his income has to be passive. And so his investing decisions reflect that.  The Power of Passive Income In Gary’s book, he states that most people are about 7 houses away from complete financial independence if done right. That’s because properties can provide consistent cash flow, and you have the leverage of using other people’s money. You use the bank’s money for the mortgage, and the renter’s money to pay down the mortgage. And eventually, you own that property free and clear and can support your lifestyle on that passive income alone.  Gary sees that the investors he teaches are so focused on a dollar figure that they don’t think about the power of passive income. Robert Kiyosaki says, “The definition of a wealthy person is when your passive income surpasses your expenses.” Leverage Money AND Time The attraction of real estate is the ability to leverage other people’s money. What we also forget is the power of leveraging other people’s time. CEOs and business owners should be clocking thousand-dollar hours, according to Gary. And if they aren’t they should be offloading that, and leveraging other people’s time on those skills as soon as possible.  Gary shares a simple thought experiment to illustrate the idea. When he asks new investors how often they want to work, they often say 20-40 hour weeks. It’s what employees have come to expect. Then, he asks how much they’d like to see in their bank account in a year’s time. $500,000 is an average answer to that question. In the context of those hours, that’s only $250 an hour.  The next level of this process, then, is to get that investor to think about all the things they do that don’t qualify as $250/hr work. Sending emails, managing spreadsheets, or bookkeeping, for example, is under $50/hr work. And so it’s the investor’s job to leverage someone else’s time to do those tasks. What could be 12 hours of work each week can be reduced to 2 hours of management—putting 12 weeks back into the real estate investor’s business year.  Real Estate Cycles The “new normal” doesn’t exactly apply to asset classes like real estate, as Gary points out. The market may go through down periods, like the 2008 housing crisis, yet it always corrects. This is because assets like real estate have cycles.  The benefit of real estate is that the asset is tangible—and people will always need housing. And because money is being printed at unprecedented amounts, large inflation rates are a possibility. Gary says he could envision that a $300,000 property now could be worth three million in ten years. So it’s not a bad idea to be in physical assets right now, for the long haul. In turn, it’s important to be able to sustain an 18-month downturn, in the event that one happens.  Cash now, cash flow, and cash later all have a place in your real estate portfolio on some level. Cash now can help you build your reserves in case the market is down, cash flow provides income, and cash later is your long-term strategy.  Scaling Your Real Estate Investing Business with Infinite Banking The benefit of whole life insurance for your real estate strategy is that you have liquid money that can be put to work in multiple ways. Not only can you take a policy loan from your cash value, but you can also use the cash value as leverage with a bank. This strengthens the power of your capital and protects it from banks as well. Gary admits that he prefers not to have a lot of cash in the bank, due to possible bail-ins, and instead in an IBC policy where it’s secure and earning a greater rate of return.  About Gary Boomershine Gary Boomershine founded RealEstateInvestor.com in 2005 out of the need to scale and grow his own real estate investing and home buying business. With a family legacy in the real estate niche and a long successful career in enterprise and emerging technology markets, Gary saw the vision for RealEstateInvestor.com. He noticed the glaring opportunity to leverage people, processes, and technology to gain a leg up in a changing and competitive marketplace. As he worked to develop and use the initial product and service, he saw his real estate business flourish by allowing him to work smarter—not harder and focusing on the one thing that makes money—talking to sellers and making offers. That’s when RealEstateInvestor.com began offering its flagship product, Service Done-For-You, to the savvy investor market. According to Gary, “Most small real estate enterprises limit their growth and many times fail because they lack real marketing and sales expertise along with the infrastructure to scale their business. Instead of being able to focus on closing deals and maximizing profits, they hit a wall trying to build and do everything themselves; and they simply can’t do it!” RealEstateInvestor.com caters to top producing agents, investors, and smaller hedge funds who are looking for a competitive advantage in their local markets. Under the leadership of Gary Boomershine, this service has launched a “technology revolution” within the real estate niche; offering an alternative to the MLS by bringing pre-screened motivated sellers and buyers face to face at the right time.   Gary currently lives in Northern California with his wife and two daughters, where he continues to manage a global team for RealEstateInvestor.com. He is actively involved in real estate investing and private lending. In his free time, he enjoys fly-fishing, skiing, hiking, mountain biking, and traveling with family. Book A Strategy Call

Do you already have your first IBC policy and want to take it to the next level? Maybe you’re a few years in and you’ve seen and experienced the power of storing cash in a policy. You’re earning interest and dividends, have exceptional compounding power, and guaranteed access to use your money, and you’re watching the death benefit increase. https://www.youtube.com/watch?v=WfEVjNWZZ6g At this stage, many people begin looking for ways to get more out of their IBC insurance policy, especially when they realise how much control and liquidity the system can offer over time. Now you want to store more cash. Is it time to start another policy? Should you insure yourself, your spouse, your kids, and your grandkids? Why? How does it work when you start building a system of policies? These questions naturally come up once your IBC policy is already doing its job and you’re ready to build out a broader personal banking system. We’re starting a series for those who are already IBC owners and want to take their policy to the next level. Today, we’re digging into how to amplify your Infinite Banking Policy. Next, we’ll talk about insuring other family members, like spouses, kids, and grandkids. Then, we’ll talk about managing multiple policies. So if you want to hear about what to do after your whole life insurance policy is already working to continue to grow and accelerate its potency… tune in now! Table of contentsWays to Maximize Your IBC PolicyCatch Up On Any Missed PUAsTake and Repay Policy LoansWhen Should You Add Another Life Insurance Policy?What is Human Life Value?Term, Whole Life, and HLVThe Power of Dividends in IBCIBC Best Practices for Family BankingBook A Strategy CallFAQsHow to maximize an IBC policy?Does having more than one IBC policy make a difference?What role does an IBC insurance policy play in long-term planning?Is it risky to rely on policy loans for opportunities? Ways to Maximize Your IBC Policy A common misconception of Infinite Banking is that when you pay back a policy loan, you’re paying yourself interest. This isn’t exactly true, however. When you pay back a policy loan, any interest you pay is to the insurance company. What Nelson Nash talks about in his book is making payments beyond the interest, which can help make your policy more efficient. This shift in perspective is part of understanding how to get the most from your IBC insurance policy, especially once you’ve moved beyond the basic mechanics and into long-term strategy. The most efficient way to maximize your policy has a lot to do with your Paid-Up Additions. The PUA rider allows you to make extra premium payments in the early years of your policy so that your policy grows faster. If you’re maximizing your PUAs, you’re supercharging the savings component of your policy. In the early stages of your policy, it’s crucial to maximize your PUAs for as many years as you’re able. That’s because, in the early years, you have more certainty. So you’re creating more room for the future when you may not be able to maximize those PUAs.  Catch Up On Any Missed PUAs If you’re in a position where you were unable to maximize your PUAs one year, you have some time to catch up on those payments. Different companies offer different time limits for how far back you can “catch up.” So if you didn’t fund your policy as much as you could have, you have more room to pay those PUAs. Catching up will allow you to maximize your policy after lean years.  It’s also important to note that the catch-up provision has some limitations. For example, the amount of premium you’re allowed to catch up each year is based on the average of what you’ve contributed in the previous 7 years. This ensures that the insurance company stays viable, which is good for you and all policyholders. Take and Repay Policy Loans Another way to maximize your IBC policy is to be a good steward of your policy loans. If you’re a few years into your life insurance policy, there’s a good chance you’ve utilized your loan provision. Maybe you’re even using it to create cash flow. That’s a great sign that you’re on the right track. Good loan management is one of the most practical ways to strengthen your IBC insurance policy, because it keeps your capital available without interrupting growth. The next step in maximizing the effects of your policy is to pay back those loans. Your loan payments may not be scheduled, yet paying back your loans frees up more of your cash value to be used again. This is the true power of an IBC policy.  In a way, it’s like a line of credit, where you pay down your balance to free up money for new opportunities. And have no liquidity fears—the second your payment clears, that same amount of capital is free for you to use again. When Should You Add Another Life Insurance Policy? We’ve heard the following question several times: If I design a policy for $50,000 this year, what happens if next year I come into a large sum of money?  The first questions we ask in response are: Is this a one-time sum? Will this be a consistent stream of income that you foresee continuing?  Or are there additional places in your personal economy that you could pull cash from? While there are limitations to what you can pay in PUAs, those limitations do not outweigh the benefits of insurance. If you want to funnel a one-time windfall into an existing policy, your policy can become an MEC and lose tax advantages. Nor is it helpful to open a new policy based on income that is not recurring. These are the kinds of considerations that help determine whether expanding your IBC policy makes sense or whether your cash is better allocated elsewhere in your system. What is Human Life Value? While for some, insurance may be a “one-time” thing, it doesn’t have to be. You’re able to buy life insurance on yourself all the way up to your Human Life Value. Insurance companies identify HLV as a calculation of your net future earning potential. This means that as your income increases, so does your HLV. Even if your income has not increased since your first policy, there is a chance you’re not insured up to this amount.  If your full HLV isn’t covered by your first insurance policy, you’re entitled to additional coverage. In theory, you can have as many policies as it takes to cover this amount (but no more). In other words, don’t worry if your insurance needs to change. Term, Whole Life, and HLV We believe in the benefits of insuring up to your Human Life Value, because the calculation is designed to cover the income you would have earned if alive. This means that family members who benefit from that income will continue to benefit.  However, it’s not always possible to insure this full amount solely with IBC policies. It depends on how much of your income you can put towards the premium. This doesn’t mean that you can’t have that insurance; it simply means you have to diversify. A combination of term insurance and whole life insurance can be a cost-effective way to reach HLV. And when your long-term plan includes an IBC insurance policy, blending term and whole life often provides the flexibility needed to stay within eligibility limits while still building future compounding power. There’s even term insurance that can convert to whole life insurance while protecting your insurability. This means if you can’t afford additional coverage now, you can buy term until you can afford to convert, without providing new proof of insurability.  The Power of Dividends in IBC Part of what makes cash value life insurance so powerful is the dividend component. While dividends are not guaranteed, they are highly reliable. They have a history of being paid for over a century, through every major war, recession, and health crisis.  Dividends are paid on your cash value, which is why the PUA rider is so attractive. Because the more premium you can pay in the early years, the greater your cash value. And the greater your cash value, the greater your dividend. And we all know the “magic” of compounding interest. So if you’re looking to maximize your IBC policy, maximizing your PUAs is a good way to go.  In later years of your policy, you can use your dividends to buy additional PUA. These PUAs then earn dividends as well, making your IBC policy a highly efficient machine.  And while cash value may be most important to you now, it’s still important to remember to balance this with your death benefit. Your death benefit is what you leave to your loved ones, and it can help you build generational wealth with the right structure. This is why it’s important to consider your HLV in your insurance strategy. IBC Best Practices for Family Banking In part two of this conversation, we’re going to be looking at how to set up a family banking strategy and why you would want to. We’ll look at the benefits of insuring multiple people in your life, as well as additional policies on yourself. You’ll learn how to think about your IBC strategy on a generational level so that your death benefit can be a part of your legacy. When families begin coordinating more than one IBC policy, it becomes easier to build a structure where liquidity, protection, and growth continue across multiple generations. 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 to learn how Infinite Banking, alternative investments, or cash flow strategies can help you accomplish your goals better and faster. That being said, if you want to find out how our privatized banking strategy gives you the most safety, liquidity, and growth and boosts your investment returns,

Today, we’re talking with Mike Kitko; author, speaker, coach who helps you lead powerfully, love selflessly, profit shamelessly, and play recklessly. If you’re an elite business owner who wants to break through to success and live soul out… tune in now! https://www.youtube.com/watch?v=F9Bo-zzgpts Table of contentsWorking in Your Zone of GeniusBreakthrough to Success and HappinessMike's Personal Breakthrough to SuccessHow Do You Own Your Zone of Genius?Solving the Money MindsetThe Breakthrough to Success Begins with Real LeadershipMike Kitko’s Prosperity PrinciplesGet in Touch with Mike KitkoAbout Mike KitkoBook A Strategy Call Does success have to be hard? Mike Kitko argues that the breakthrough to success doesn’t have to be! You can make it simple, and today we’re talking about how to simplify your journey to success. It starts with letting go. [1:48] “For 43 years, I made everything in my life as hard as I possibly could because I was taught...that if it’s not hard, it’s not valuable. And if it’s easy, then you’re missing the point.” Working in Your Zone of Genius Your “zone of genius” as defined by Gay Hendricks, author of The Big Leap, is the space where you rely on your innate abilities. Many people call this “purpose,” and when you’re working within this zone, as Mike says, life is easy. This is where the magic happens, energy is limitless, and synchronicities occur. And yet, because we're conditioned to believe that success is hard, we distrust ourselves when we're in that zone. We are trained to think we have to work hard to be worthy. And it’s the exact opposite of what we should be striving for. Mike breaks down the steps for working in your zone of genius in this way: Find and understand your purpose Create a vision for your life that reflects what you want to experience Understand your desires and know that new ones will always surface Get into your flow in your zone of genius Act from within your zone of genius [5:50] “Life doesn’t have to be hard. I have too much fun having joy and success and happiness and wealth the easy way. My wife termed them grind gurus and hustle whores. Let all those guys teach everybody... I’m looking for the path of least resistance.” [13:40] “When you’re in your zone of genius, it’s like time stops and things happen for you and because of you.” Breakthrough to Success and Happiness [6:45] “I think the mind has a problem with happiness. The mind creates problems where they don’t exist... We don’t understand what’s happening [in our mind], and we don’t understand how to discipline this, and we don’t understand how to eat the fruit and spit out the seeds... We don’t understand that we can let the thoughts go—the ones that don’t serve, that create struggle, that create stress out of joy and happiness. When we can let them go, we don’t have to follow them into a problem-solving space. You don’t have to solve problems that don’t exist.” The average human has 6,200 thoughts per day, and we spend so much of our mental energy on our problems. What would happen if you identified the problems that don’t exist and let them go? When we allow our thoughts to have control and run rampant, we drain our mental energy. The breakthrough to success occurs when we can let go of thoughts that don't serve us, or take us down a rabbit hole of worry and doubt. Mike's Personal Breakthrough to Success In 2016, Mike Kitko was fired from his second executive level position in 20 months. And it was an easy climb to the top, even though he “made it hard” for himself. And he admits that he was fired because he himself was toxic at the time.  [10:10] “The struggle that I felt inside, and the pain that I felt inside, I wanted everyone else to experience it too. We see in the world what we feel...We experience the world from our internal lens. When we expect life to be hard, or we expect life to be painful, then we see it everywhere and we create it where it doesn’t exist.”  Despite the challenges of job loss, Mike recognized the call to do better. This was the catalyst for his personal breakthrough to success. It began with two things—the willingness to embrace uncertainty, and the desire to make things easy. [11:35] “If you trust yourself in the presence of uncertainty, entrepreneurialism is for you.” How Do You Own Your Zone of Genius? [15:41] “When I was in corporate, I felt like I had to do nine hundred and ninety-nine things so that I could get to do the one that I loved.... After I was unceremoniously uninvited from corporate, I said I'm never doing those nine hundred and ninety-nine things ever again.” The key is to find your one thing—the one that you’re willing to suffer for the opportunity to do—and then do it. Just drop the suffering from the equation. If you’re looking for more of a formula, find the intersection of these things: What are you great at? And what are you good at? What are you passionate about? What will people pay you for?  When you can find something that resonates with you, you can simplify your success and bring joy back into your life.  [17:22] “If we’re not solving problems for other people, then what we’re trying to do is create problems that we then try to help them solve. Why don’t we just find that thing that we love to solve for people, and offer that to the marketplace? Because there’s only 7.8 billion people on the planet—there’s a couple of them that need what you have to offer.” Solving the Money Mindset This mindset of either creating problems or solving problems appears in our financial lives as well. When we have fears and experiences about money, and view it as our lifeblood, we project this same world view onto others. We assume that we are bleeding people dry because of our own money views, when really there’s a value exchange.  This is a part of why it’s critical that we heal our own beliefs about money and profit, so that we can continue to see it as a resource and a transfer of value. If you are truly solving a problem for someone, then that exchange is a value to both parties.  [21:10] “You see the world as you experience yourself. And every fear, every trauma, that you possess inside...you see the world through that lens. So if you’re holding a really poisonous and toxic money mindset, a money heartset, then that’s going to show up everywhere in your life. But when you resolve that, then you’re going to be let go from that burden. But then you’re going to let everybody else go from that burden too, and things are going to flow a little more easily and effortlessly for you.” The Breakthrough to Success Begins with Real Leadership Real leadership starts with leading ourselves—and sometimes we are the hardest people to lead. Yet when we do this, we encourage other people to lead themselves and take ownership of their lives. Owning your life gives other people permission and a blueprint to own their lives, too.  [34:15] “I tried to get my kids to make better decisions, but until I made better decisions, they didn’t know how. I had to show them...My teenage daughters don’t listen because they’re too busy watching. Think about that. They don’t listen at all, they put their fingers in their ears--they don’t want to hear what I have to say. But they are watching. And they’re learning from my behavior.” [35:05] “Success, happiness, and wealth are a product of a healthy blend of selfishness and selflessness, mixed in with heaping servings of trust and gratitude.” Mike’s quote, when broken down, is about taking time for the self first. When you put your own oxygen mask on, you’re freed to help others with their oxygen masks. When you take the time to get your mindset right, and to lead your own life, you have the space to help others and be selfless. If you sacrifice yourself, you cannot work at your greatest potential.  Mike Kitko’s Prosperity Principles Mike’s breakthrough to success ultimately began with the steps he takes in his book, The Prosperity Principles. Here’s a high level view of the principles he covers in his book: Know what you’re built for, and be that shamelessly. Big dreams, big life. As your dream expands, so will your outcomes. Physical wellbeing creates energy.  Mental clarity--you are in control of what thoughts you attach to and what you let go. Have courage to feel things and go through uncomfortable scenarios.  Social connection can make you unstoppable.  Obtaining mastery in your craft. The first six steps give you the confidence to put your competence in play. We usually start with the sixth principle, yet it’s so important to start from one and climb the ladder so that your mastery means something.  Get in Touch with Mike Kitko mike@mikekitko.com 1-636-288-0008 About Mike Kitko Mike Kitko is an executive coach, speaker, and published author. After a colossal career and personal meltdown, he found his true purpose: inspiring leaders to find the power in their authenticity, purpose, and passion. A Marine with an MBA, Mike has decades of experience in leadership roles for Fortune 500 companies, yet he always felt like an imposter. His outward persona was one of strength and wealth, yet he struggled internally with self-confidence and self-fulfillment. His inability to understand his emotions led him to a toxic relationship with alcohol, uncontrolled anger, and ballistic rage. The abuse of his marriage, family, professional career, and health are documented in his latest book, The Imposter in Charge.  Through coaching, intense study, and deep work, Mike learned to embrace self-doubt and care for his body, mind, emotions, and soul with self-mastery. Now Mike's overflowing energy, clarity, and love inspires souls. With an infectious zest for life, internal power, and inward confidence that matches how people perceive him externally,

Want to use your Infinite Banking policy, but wish you understand the nuts and bolts of how Infinite Banking interest rates work? Today, we’re answering a question from our wonderful community of listeners: https://www.youtube.com/watch?v=iFSgJlrjL4U For example, what’s the policy loan if I wanted to borrow 1K? Are there any interest rates?—Riley Nelson If you want to learn exactly how interest works on life insurance policy loans… tune in now! Table of contentsWhat is IBC?The Power of LeverageDo Life Insurance Companies Charge Interest on Policy Loans?Why Compounding Interest Matters Fixed vs. Variable InterestThe Nuances of Variable Interest RatesHow Companies Charge InterestBook A Strategy CallFAQsWhy do insurance companies charge interest on policy loans?Are policy loan rates high compared to banks?Can my loan interest rate change?Do I have to repay a policy loan?Does taking a loan reduce my policy performance? What is IBC? A friend of ours, James Neathery, often says, “If you understand the concepts, the details don’t matter, and if you don’t understand the concepts, then the details don’t matter.”  Ultimately, what he’s saying is that you must ultimately understand the big picture of how and why IBC (Infinite Banking Concept) does what it does. Without that conceptual understanding, the rest doesn’t matter. And so, we’re first going to look at infinite banking or privatized banking on a conceptual level, so that we can get into the weeds. Infinite banking is an alternative banking position. As we know, banks pay you interest, and they charge you interest. Life insurance companies work the same way. If you have a whole life insurance policy, the insurance carrier will pay you interest and charge you interest.  The power of “banking” with a life insurance company is in the rates, the leverage, and the level of control. To access the cash value of your life insurance, you can take a policy loan. The benefits of a private system are that you do not need permission or approval. This is also where infinite banking interest rates begin to matter, because the loan structure is directly tied to how your cash value continues to grow while the policy remains fully active. The Power of Leverage The reason that IBC works in a way that regular banking does not is because of the power of leverage. The rate at which insurance companies pay interest is often far greater than what the banks offer, as well as dividends. This allows for greater accumulation. Then, you can leverage that money to do more jobs. This could mean taking a policy loan at 5% and investing it in real estate at an even better rate. You can then put the monthly cash flow towards the loan repayment and give your money a better rate of return in the long run. And because you’ve leveraged the insurance company’s money (using your cash value as collateral), your policy continues to accumulate interest at its maximum compounding potential.  The benefit is that you’re not JUST putting your money in a vehicle with better safety, liquidity, and growth. You also have an ASSET that allows you to accumulate more assets with uninterrupted compound interest. IBC is not magic. However, it’s a strategy you can use to make your banking more efficient and work more in your favor - and understanding how infinite banking interest rates fit into that strategy helps clarify why leverage is such a central part of the system. Do Life Insurance Companies Charge Interest on Policy Loans? Yes, the life insurance companies DO charge you interest. This is because you’re borrowing from the insurance company instead of taking money directly from your cash value. This means that your entire cash value can continue to compound uninterrupted.  Instead, your cash value acts as collateral. This means that your death benefit will be reduced until the loan is paid back. You aren’t borrowing your own money and paying yourself interest, which is a common misconception. It’s also why infinite banking interest rates become part of the overall design, since the loan structure is tied to keeping your full cash value growing while the policy remains intact. Why Compounding Interest Matters  You might wonder WHY you would want to pay interest at all, when you could just withdraw from a regular savings account. The answer is in the compounding. When you withdraw money from a bank account, there’s less money to earn interest on. As we all know, interest accumulates better on larger sums of money—1% of $1,000 is only ten dollars. On the other hand, 1% of $10,000 is a hundred dollars. At the higher balance, not only are you earning more money, you’re also earning money on THAT money. Which means next year, you’ll earn $110 of interest, and it will continue to compound and become more efficient. If, however, you withdraw $10,000 the next year, leaving $100 in the bank, you're only earning one dollar. You’ve minimized the velocity of your interest.  A policy loan fixes this problem. So, although you may be paying interest, you get to leave your $10,100 in the policy to continue accumulating. And, you’re going to be earning interest at a better rate than the bank’s 1%. Fixed vs. Variable Interest To put it simply, a fixed rate is an interest rate that won’t change over the repayment of your loan. A variable interest rate, on the other hand, will change. Though the insurance companies will only change this rate once a year.  The difference is that at a fixed rate, the insurance company will often pay a different rate for collateralized cash value. This is called Direct Recognition. When you pay your premium, a part of that premium goes toward your cash value, which grows with interest and dividends. The interest is guaranteed as a part of the insurance contract, while the dividends are not (but are highly likely).  The portion of cash value borrowed against can either be directly recognized and earn a different rate than the non-collateralized cash value, or non-directly recognized. Non-direct means that the company will pay the same rate on your whole cash value, whether you have a policy loan or not. This ultimately boils down to the quote, “There are no deals in the insurance industry.” Everything balances out because insurance is first and foremost an actuarial product. It’s meant to insure your life, and these trade-offs strengthen the company’s ability to meet its contractual guarantees.  The bottom line, however, is that these factors often balance each other out. Meaning that the difference between Direct and Non-Direct recognition companies is extremely slim. You can read more about Direct vs. Non-Direct Recognition in Life Insurance here. The Nuances of Variable Interest Rates You might think variable interest sounds scary, though it’s not as bad as it may seem. The first point to be aware of is how often an insurance company changes its rates. Insurance companies don’t change their rates frequently. They are able to change them once per year, and just because they can does not mean that they always will. It’s also important to know why they change their rates. Two factors affect the interest rate that insurance companies charge. The first is bond yields—as they go up or down, the insurance companies will adjust accordingly. The second factor is the Federal Reserve rates.  Insurance companies use these two rates as a reference for their own rates, rather than a blueprint. Which means they won’t always be at the same rates; however, they will often move in the same direction (up or down). The positive is that the interest you earn also reflects these rates. So historically, when interest rates go up on loans, it has also increased the dividend rates. This is one reason people feel more confident once they understand how infinite banking interest rates move in relation to the broader financial environment. How Companies Charge Interest Another key difference between insurance companies is HOW they charge interest. Some companies charge the interest up front, and then credit back a portion of the pro-rate interest if you pay it off early. Other companies charge the interest at the end, letting it accrue over the life of the loan.  The advantage of the latter is that every payment you make from day one goes to principal and is immediately available to you to use again. Meaning if you needed to, you could take another policy loan for another opportunity or emergency. This is important as you think about how you want to use your policy. 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 to learn how Infinite Banking, alternative investments, or cash flow strategies can help you accomplish your goals better and faster. That being said, if you want to find out how our privatized banking strategy gives you the most safety, liquidity, and growth and boosts your investment returns, read our free privatized banking guide to learn more and guarantee a legacy. FAQs Why do insurance companies charge interest on policy loans?Insurance companies lend from their general fund, not from your cash value. Your cash value simply acts as collateral, so it can continue earning dividends and interest. The loan interest keeps the system sustainable and ensures your full cash value keeps growing.Are policy loan rates high compared to banks?Not necessarily. Policy loan rates are usually competitive with traditional consumer loans, and in many cases (but certainly not all) they are more stable. They also come with no credit checks, no approval process, no reporting, and complete control over repayment.Can my loan interest rate change?It depends on the company. Some offer fixed rates,

Are you frustrated with the volatility, fee structure, and abstract nature of most investments? Do you feel that you’ve outgrown the status quo investing strategy and want to play a bigger game with your investing? Have you heard of alternative investments, but don’t know where to get started? Do you need investments that are built for high performers like you, who know it’s possible to increase your income today? https://www.youtube.com/watch?v=np8dmb8n8Cw Today, we’re talking with Denis Shapiro, Managing Partner of SIH Capital Group and author of The Alternative Investment Almanac: Expert Insights on Building Person Wealth in Non-Traditional Ways. So if you want to hear about how one investor in the alternative space is helping others with a simplified strategy to invest for passive income… tune in now! Table of contentsWhat IS An Accredited Investor?Denis Shapiro’s Journey to Alternative InvestmentsHaving a Portfolio with Stocks AND Alternative InvestmentsThe Importance of Building RelationshipsAn Overview of the Asset Classes A Note on Ponzi SchemesThe Give and Take of Alternative Investments Diversify Between Liquid and Illiquid Assets How to Get Involved in Accredited InvestmentsGet The Alternative Investment Almanac by Denis Shapiro About Denis ShapiroBook A Strategy Call What IS An Accredited Investor? Accredited investors have certain investment opportunities available to them that the average person does not. Namely, a number of alternative investments outside of the stock market. So how do you know if you’re an accredited investor? Accredited investor status is actually defined by your income (or Net Worth). Let’s break it down; you’re an accredited investor, as defined by the SEC, IF: You are SINGLE, and have had an income of at least $250,000 for the past two years, with the expectation to keep earning the same or greater Your are MARRIED, and have had an income of at least $300,000 for the past two years, with the expectation to keep earning the same or greater OR, if you have a Net Worth exceeding $1 million. If you’re an accredited investor, or on track to become one, you’ll want to stick around to learn more. Denis Shapiro’s Journey to Alternative Investments In high school, Denis' older brother gifted him a copy of Rich Dad, Poor Dad by Robert Kiyosaki. Yet, he was skeptical of the ideas that Kiyosaki brought forth. His key takeaway, however, was that he should start buying assets--which was a mindset his peers did not have.  So, he started with a mutual fund that didn’t do very well.  That’s when he started to look for a different way, and he experimented with different assets. He also dedicated his college career to finance, which overlapped with the housing crash. When he graduated, the job market wasn’t great, so he decided to continue his education and get his MBA. Eventually, he broke into real estate and started building a portfolio that had stocks AND alternative investments.  Having a Portfolio with Stocks AND Alternative Investments What Denis found when he had a portfolio only made of stocks, was that he couldn’t do it all. He couldn’t have appreciation and income and tax savings. In reality, though, the stock market just doesn’t work that way. You have to have a truly diversified portfolio to have everything—and that means having a portion of investments that aren’t correlated to the stock market. In other words, the performance of those investments doesn’t depend on what the stock market is doing.  The problem with stocks is that the way they perform can depend on too many external factors. Stocks can drop based on rumors, company reinvention, and so much more. Instead of picking stocks, Denis realized that his stock portfolio performed better when he went with an index fund. Yet his income from that portfolio was still lacking.  His epiphany was that in order to get the most from his index fund, he needed to let it appreciate on autopilot. Then, find a different solution to create income that wouldn’t tank at the whims of the market. So he turned to real estate. Real estate is much lower volatility because it’s not traded on a daily or even hourly basis.  The Importance of Building Relationships Unlike the stock market, many alternative investments rely on relationship building, which can take months or even years. One of the networks Denis Shapiro has built for himself is for investors in apartment buildings. And because he’s spent the time building up relationships, he receives honest feedback about different investors and operators. These types of relationships can enrich your investing experience in many ways that you won’t find in stock-based assets. Simply because the stock market has too many variables. Real estate, however, has fewer variables. And one such variable is a very human element that depends on good relationships—between landlord and tenant, or investing partners, and more. If you’re looking into non-correlated assets, one of the best places to start is by building meaningful relationships.  An Overview of the Asset Classes In Denis’ book, he describes the 9 asset classes that investors will come across when they start their investing journey. As he researched his book, he had a huge epiphany: that if you lean the language of one asset class, you can translate it to the others.  For example, if you learn the language of investing in self-storage, you can still apply that to mobile home investments or apartment buildings. There are very few “exclusive” ideas between asset classes, which helps them to play well with each other.  His book offers a very high-level look at the different asset classes, as well as the pros and cons of each. He calls the cons the “bad apples,” because there are Ponzi schemes and slimy deals that occur in these investment spaces. You have to approach them with all the facts, so that you don’t invest in something bad.  [19:20] “Just because one operator in the space gets convicted does not mean that all the operators in the space are bad...For example, in my book I show a Ponzi scheme on an ATM operator. The person alleged 4,000 machines and they only had 400. That’s just crooked, that’s not a fact that the asset class is crooked.” A Note on Ponzi Schemes Ponzi schemes are like shadow investments. An investor, for example, could say they have 100 apartment buildings and only have one. When other investors chip in, they pay them wih their own money.  If a deal comes across your table, one way to do your due diligence is to ask for a list of all the properties. You can then take that list to the county or city and look up who owns these investments. This helps you to avoid Ponzi schemes and invest with more confidence. And having good relationships will help with this due diligence.  The Give and Take of Alternative Investments  An important component of building your alternative investment network is being able to GIVE as much as you take. Because while you’re trying to make meaningful connections with people who have something to offer, your colleagues are doing the same.  [22:41]: “I think that a lot of new investors, they fall into a trap of trying to provide artificial value, instead of just letting it come to them...How I started my networking is just really simple. I used LinkedIn to actually learn the language of real estate... and then when I went to a conference I tried to focus on quality over quantity.” What’s great about building authentic relationships is that you and your connection get a sense for each other’s character. And while you may not have a deal to offer them right away, you learn what they’re looking for and connect people who can help them. That alone is an incredible value you’ve provided. You won’t get any fees or kickback, but it will pay in the long run because it’s authentic and immensely valuable. So let deals unfold naturally, and people will remember that.  Diversify Between Liquid and Illiquid Assets  When building a portfolio, Denis cautions investors not to have too much or too little liquidity. Instead, finding a balance helps you to achieve more control and flexibility when things aren’t going as expected.  For example, you don’t want all of your investments in traded REITs, because during COVID, REITs were down 30-40% and no one was trading. So you don’t want to have everything invested in traded REITs. Non-traded REITs, on the other hand, were more stable. How to Get Involved in Accredited Investments [27:45] “I think the best thing to is go in there with your eyes wide open, and understand that...alternative assets tend to be more expensive when you buy them than publicly traded securities...So you have to go in there with expectations that you’re not going to buy anything from day one.” Denis recommends starting with conferences and events where operators host webinars. When you take in as much education as possible, you can hone in on what you like. Each asset class has a different business model. That's why it's important to choose something that resonates with you and your investment style. Once you break into the space, you can create what Denis calls a calendar space. This involves scheduling quarterly calls so that you can build your relationship and your network. You can meet new operators, do your due diligence together, and build your relationship.  If this is new to you, don’t be afraid to be uncomfortable. If you start small and start taking these baby steps, you’ll learn and grow. Because anything worth doing requires a little discomfort.  Get The Alternative Investment Almanac by Denis Shapiro  This is a concise introduction to each asset class, so that you have a starting point in your education. Denis’ book seeks to demystify the various alternative assets.

Are you on track for financial freedom? If you don’t know the answer to this question, you’re not alone.  https://www.youtube.com/watch?v=1uNyH8npUik Most people think the answer is how much more they have left before the house is paid off, how much left on the student loans, the balance of their retirement fund, the stock market’s performance, the Federal Reserve chair’s economic analysis, or interest rates.  While these things paint the landscape along the road to financial freedom, they have almost nothing to do with your progress. Really, these answers avoid the question. The problem is that you can do all the analysis and understand the market factors, possibly make a lot of money when times are good, but still have the same nagging fear that you’ll lose it all or lose control. Today, we’re speaking out about the reasons why your financial plan is failing, and why so many good people with good intentions who are doing “all the right things” are still getting derailed. It’s not interest rates, the stock market, inflation, or having selected the wrong risk tolerance. So if you want to find out exactly why you’re not where you want to be… tune in now! Table of contentsThe “Problem” with Financial Advice5 Reasons Your Financial Plan is Failing1. You're Not Taking Action2. You Haven’t Defined What Financial Freedom Means to You3. You’re Distracted4. You’re Guessing 5. You’re Making Things ComplicatedAre You Doing the Best You Can with What You Have?Book A Strategy Call Do you find yourself asking questions like: Do I have enough money?Am I managing my money correctly?Do I have enough cash flow?Will I be able to afford retirement?Can I put my children through college?Am I going to be able to grow my business the way I want to? If you are, first know that you’re not alone and that there are solutions for you. Your financial experience doesn’t have to keep you up at night, and we want to help you jump over any hurdles on your path.  We know that there are financial struggles at every income level—no matter how well someone appears to be doing from the outside. And in the same vein, there are also solutions at every income level. In today’s post, we want to address the five reasons your financial plan is failing, so that you can rectify them and get back on track to financial freedom. The “Problem” with Financial Advice Financial advice can be tricky because there are so many moving parts. You could talk with a broker and get one strategy, a CPA and get another, and a life insurance agent and get something completely different! Not to mention, when you go online and do the research yourself, you’ll read hundreds of conflicting viewpoints. It can seem like there are no right answers, or that you have to have a degree in finance or economics to really understand anything, yet that’s not true. We want to help you sift through the noise and put together something cohesive that works for you.  First things first: you don’t have to do it all or start by doing everything. Sometimes mastering one strategy, and making it your own, can make a huge difference. Find something or someone that aligns with your values, and start somewhere. 5 Reasons Your Financial Plan is Failing 1. You're Not Taking Action When it comes to your financial future, one of the best things you can do is take action. If you let fear of failure keep you in a state of inaction, you can hinder any forward momentum. It’s important to acknowledge the things you’re afraid of—like losing money—so that you can take actions that will better your odds and your current circumstances.  Because the reality is, there are too many variables outside of your control. The stock market and the economy will continue to change, even if you don’t take action. So what actions can you take to protect yourself and your finances now, so you can make riskier decisions with greater confidence? 2. You Haven’t Defined What Financial Freedom Means to You Another reason we see people struggling with their financial plan because they haven’t defined what financial freedom means. Financial freedom is not a dollar figure, or a certain amount of cash flowing properties. It’s not a fully paid-off house, and certainly not a certain net worth. Financial freedom, we believe, is a reliable income stream that is sufficient to not have to worry at night. Because as long as you’re stressing about how you’re going to pay the bills, you’re not financially free. Your mental and emotional energy is tied up. And this isn’t just a “now” problem. You may be able to pay your bills now, but worry about twenty years in the future when your kids are in school or you’re ready to retire. And those fears for the future affect your decisions now.  You can also define financial freedom in a more personal way. Is financial freedom the ability to do what you want, when you want to do it? Is it more time spent with your family (and not stressing about making ends meet)?  3. You’re Distracted Your business is your area of expertise, and your focus should be there. Yet it’s easy to get distracted by “shiny objects” like cryptocurrency and the stock market. The problem is that when you spread yourself too thin, without the expertise to do well, you expose yourself to a lot more risk.  You don’t have the time to become an expert in every market or niche—no one does. In order to be successful, you have to stay focused on your area of genius and really carve out a place for yourself.  We’re not saying that you shouldn’t try new things or diversify your portfolio. However, your main focus should be your business. After all, you only have 24 hours in a day. For anything else, it’s ideal to bring in experts who can help you with other investments correctly, or spend the time to put in the work to educate yourself. Don’t spend all your time chasing the “next big thing,” or you’ll always be running.  4. You’re Guessing  This is a big problem we see across the board—too much guesswork! You’re guessing at investments, you’re guessing how much you’ll need in retirement based on how long you guess you might live. And the list goes on!  Unfortunately, the likelihood of success when you’re guessing is slim. If we use all of these guesses and predictions about how much we should earn and save to form a financial plan, it’s all based on a giant amount of guesswork. And the problem is that none of these factors are within your control. You can’t control how long you live, what your exact medical bills will be, what inflation will be, and what taxes will be. This is a really insecure place to be, and can be a source of undercover anxiety.  Instead, you have to be in as much control as possible. That means building cash flowing streams of income, which can become more cash flowing assets. This will lead to more predictable income in the future.  5. You’re Making Things Complicated Really, this hearkens back to the first point. When it comes to a financial plan, people can sometimes overcomplicate things with research and spreadsheets and software. The reality is, there’s a tipping point at which you must take action on something. Because while knowledge is always going to be a worthwhile endeavor, the endless pursuit of facts and figures can hold you back from taking action. You get stuck in analysis paralysis.  Be willing to learn, but also be willing to keep things simple and start small. You have your whole life to build upon the financial foundation you start today. The important thing is that you start today.  Are You Doing the Best You Can with What You Have? We believe that a strong financial plan boils down to this question. Financial freedom isn’t a dollar figure—it’s the pursuit of making the most with what you have. And you need only to take a step, and then another step. 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 you want to find out more about how Privatized Banking gives you the most safety, liquidity, and growth  … plus boosts your investment returns, and guarantees a legacy, go to https://privatizedbankingsecrets.com/freeguide to learn more.

How do you create a healthy relationship with money that serves you? Today, we’re talking with Bob Wheeler, author of The Money Nerve, about how to create radical abundance. https://www.youtube.com/watch?v=YczbRpnO0E4 Bruce and I recently had the pleasure of joining Bob on his podcast, Money You Should Ask, and we just knew we had to share him with you. After all, how many CPAs do you know with a great sense of humor? We hope you’ll enjoy our delightful and humorous conversation with Bob about the feelings we have about money.  So if you want to feel good about your money… tune in now! Table of contentsThe "Money Nerve" Behind the MoneyAn "External" View of Money(There is No Finish Line)Abundance is About PerspectiveWhat is a Money Nerve?Overcoming the Money NerveAbout Bob WheelerBook A Strategy Call The "Money Nerve" Behind the Money When Bob initially became a CPA, what he found was that people continuously made money decisions that weren’t in their best interest. They would receive advice, then do the opposite. Bob himself wasn’t doing well financially and he was making seemingly simple mistakes. So he decided to do the internal work and look at his emotional motivations, so he could learn why he was seemingly “self-sabotaging.”  [4:35] “It all started to become really clear to me that we’re all working on these unconscious, emotional money beliefs and money blocks that we’ve been carrying since we were probably five, six years old. And we have to unpack that, for many of us, to go forward.”  This research has helped Bob unlearn his own emotional blocks, as well as improve his client’s views of money, and break down the stigma and money shame so prevalent in our world today. And it led to his book, The Money Nerve. An "External" View of Money Beyond shame and guilt, the way we view other people’s money needs a huge overhaul. How many times have we judged someone by their home, or their car, and placed a certain value upon that? Not only do we believe that people with more must be happier, and label things as a solution to our problems. We also believe that at a certain income level, problems will cease.  Yet this doesn’t really address the root of the problem—and that is, once again, the way we as a society feel about money. A certain income level does not define wealth, although it is easy to believe—true wealth involves what you can do with what you have.  [6:23] “Social media, and our culture, really cultivates this [idea] that you have to be successful and you are your assets, you are your accomplishments...I think what happens is, we don’t stop and take a look and say—Wait a minute. That person with that jet and that fancy mansion also has incredible debt or something. Or they inherited it, and they feel incredibly shameful, and guilty, that they’ve taken on all these assets that they don’t deserve.” Social media is an arena we use to show the best of ourselves. Most people don’t share their credit card debt or how close to bankruptcy they are on Facebook. So we can’t judge by what we see on social media. Even the person with the best life you know has carefully cultivated their online presence.  (There is No Finish Line) [9:25] “Everybody’s trying to get to the finish line. The thing is, I don’t want to get to the finish line—that’s my last breath. I want to have as much fun on the way to the finish line. For me, that’s where life exists, is on the way to the finish line. I think with athletes and these folks that can be in the moment, they’re conscious of that. I think most of us are unconsciously thinking—I gotta get there, I gotta do this, I gotta hit my mark—and so we’re unconsciously trying to get there instead of realizing... we’re here.” Abundance is About Perspective Abundance thinking is a bit of a misnomer, because so often people attach a number to abundance, and attempt to quantify it. What’s truly great about abundance thinking is that there is no magic number. Instead, it’s the ability to make what you have work for you better. And it all starts with being in control of your money (as opposed to someone else being in control). You don’t have to have $10 million to reach abundance. You could have significantly less and still live abundantly because it’s about perspective. How much control do you have over your own money? How much freedom do you have in your schedule? Do you live life on your own terms? Do you believe money in infinite? These are all notions that have no price tag, and from our perspective, this is abundance! Bob uses an example from his time in Africa to explain abundance, citing how the people he met saw opportunities in everything, and were immensely grateful. However, the attitude in America is often, “I don’t have enough.” True abundance, to Bob, is considering how abundant you are in your relationships, your time, your travel, your ideas, your opportunities, etc. Abundance is about what you have, and what you could yet have if you make it happen.  And you have to be willing to do the work. Abundance isn’t “willing” a Mercedes to show up in your driveway. It’s being actively grateful for everything you have, sincerely, and committing to replacing the emotional narrative of lack.  What is a Money Nerve? When a big money event happens, you feel a sense of excitement or euphoria. Finding five dollars in your pocket, getting a raise, or landing a new client are all causes for money euphoria. On the other hand, if your card gets declined, or your bank account overdrafts, you often get a visceral reaction. Your face gets red, or you cringe, or you may even develop an ulcer. It’s all a bodily reaction when something negative happens with your money.  In some scenarios, the money and the logic are not fully aligned. You may know that the money leaving your bank account is for a home, but seeing the statement still makes your heart skip a beat. And so the “money nerve” was coined to represent that visceral reaction...so that people can begin to pick apart those money emotions. Because we all have them—and we can’t ignore them or they’ll only fester.  A trick that Bob uses when he hears people express concerns and fears about money, is to ask, “Is that a belief, or is that true?” And it raises a good point, because many of the fears we have surrounding money aren’t rooted in truth... they’re just fears.  Overcoming the Money Nerve One of the first steps of Bob’s process, when helping clients work through their money nerve, is to take an inventory of their financial beliefs. He looks at lessons your parents teach you, religious background, culture, and what your parents said (or didn’t say) about money. There are dozens of details and clues in your upbringing that can help you dismantle your money fears.  The next step is to be conscious of statements you make today, like “I can’t afford this” or “I’m not capable.” The power is in learning to reframe these ideas into something less rooted in belief and more rooted in truth.  After that, Bob helps people to do what he calls “honest budgeting.” Which really means coming to terms with the things you want and spend money on, and including them in the budget. (Rather than depriving yourself or buying them anyway in a way that doesn’t align with your budget.) Own your purchases without judgement--only then can you do better and create and work towards goals.  [40:43] “A lot of people think it happens in these big moments. They don’t. Most of these things happen in incremental little baby steps. And all of a sudden, before you know it, you’re there.” About Bob Wheeler As a man of true integrity with infectious energy, Bob Wheeler offers a simple and effective method for creating a healthy relationship with money. A popular radio show and podcast guest, Bob also hosts a weekly podcast, Money You Should Ask, where he shares his concept of personal finance and invites guests to share their personal financial journey.  Bob conducts numerous Radical Abundance and Money at its CORE seminars internationally and across the U.S.A. Bob is a ‘CORE Energetics’ and Radical Aliveness Practitioner. His crusade for holistic personal growth has cross-pollinated with his accounting practice to deliver a new approach to personal finance.  Bob explores the emotions surrounding money management in his book, The Money Nerve: Navigating the Emotions of Money. His passion is to help others gain insight into why their emotions trigger financial decisions. While building his accounting practice, Bob Wheeler simultaneously pursued his love of satire and ventured into the realm of standup comedy. Blending his wittiness with 25 years of helping clients, Bob’s approach to money integrates warmth and humor. He shares his budgeting directives with a liberal dose of inspiration and motivation to anyone with monetary concerns.  In addition to his CPA practice, Bob is also the CFO for The World Famous Comedy Store in West Hollywood and La Jolla, California. 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 you want to find out more about how Privatized Banking gives you the most safety, liquidity, and growth  … plus boosts your investment returns, and guarantees a legacy, go to https://privatizedbankingsecrets.com/freeguide to learn more.