Flip and Danny show how reinvesting distributions instead of taking cash adds up fast. A $100,000 investment at 12% annual returns grows an extra $21,600 over five years if you reinvest monthly instead of annually. They're launching new investment structures in 2023 with different reinvestment options.
$100,000 at 12% over 5 years.
$16,200.
$21,600.
Hey, everybody. Flip and Danny here, founders of the Freedom Real Estate Group family of companies. And welcome to another episode of our.
Podcast, which is called Freedom through Passive Income.
That's right, welcome to another episode. And this episode, I love this one. This is called how to make an extra $21,600 by simply checking a Box. Yeah, I want to make 21,000.
I am really passionate about figuring out more ways to educate our investor team members, partners, whatever you want to call yourselves, about how to create more money and build your wealth faster, more efficiently. And this is one of those things that we're creating a new fund in 2023 that's going to help you put your capital growth on steroids. And we're constantly thinking of new ideas like this that's going to allow us to be able to do these kinds of things depending on the investor goals. Right. And so knowing your goals is important to us. And so we talked about yesterday when we were talking about how to create $10,000 a month in passive income, this blueprint or road that we are helping create for investors. And there's a few questions that you have to answer for us so that we can start creating it. This is one of the little tricks that we're going to tie into the roadmap that might help you realize more capital than you would otherwise. And so in this example, we're gonna talk about a five year span of time and we're gonna talk about how there's some options when you're reviewing an investment opportunity that allows you to compound your interest. And compound interest is the eighth wonder of the world.
Yes, it is.
And the more you understand it and utilize it, the more capital growth that you're going to have. So we're going to talk about again, using $100,000 example, and you're going to invest it at 12% interest and you're going to reinvest it on an annual basis, just like yesterday's example, right? Annual basis, you're going to reinvest just by doing and not taking the interest out every single year. So some people will say they're going to check a box that says, danny, I want the cash flow every single quarter or every single month. I want that money coming into me. And that's what they're going to choose. Some other people are going to check the box that says, hey, Danny, I don't need this money. I'm more concerned about capital growth in order to meet my goals faster. And so you're going to say, please reinvest those Funds instead of giving them to me. And then you're going to. Some investments will allow for an annual reinvestment, and some investments will allow for maybe a quarterly and maybe a monthly. We actually currently have two investment opportunities that will allow for an annual investment and one investment that will allow for a quarterly reinvestment. So in this example, $100,000 at 12% interest, if you are going to reinvest it annually, then after five years, without doing anything other than checking the box to reinvest annually, you will have made an extra $16,200. That's right.
By checking a box.
By checking a box. That's it. Now, in that exact same five years, if you were going into an investment opportunity, that allowed the distributions to be reinvested monthly instead of annually, which is something again, we're rolling out in 2023, then after five years, instead of an extra 16,200, you're going to earn an extra $21,600. Yes. Magically appears just by checking that box and just saying, hey, I don't need this. You know, this cash flow. So every investor is a little bit different. In fact, we're doing something special. I can't talk about it because it's a 506B. So remember getting that investor club, because a lot of our investors are about to hear about something we're doing on a deal right now that is allowing you a few options depending on your goals. If your goals is X, then you're going to really love this one. And if your goal is X, you're going to really love this one. Again, can't go into detail. I don'. Want to get in trouble. What's that line? I don't look good in orange. I don't want to go to jail for breaking the rules.
It's not very slimming.
But they're very, very powerful. And if you know these very simple things, then you can start building a roadmap that essentially says, okay, I want to get here. I can do that by doing this. But what if I add this component? Then instead of yesterday's example of getting there in 18 years, maybe you get there in 15. You shave off a certain number of years because you added certain variables to your investment choice that would allow you to grow your capital faster. So I think it's really important for you to understand there's things like this out there that you can start asking us about to determine how to hit your goals the most efficient and quickest way possible. Because if you're like us, I'D rather get to my goal in five years than 10 years. Right. If I've been taught how to use my money efficiently. And that's been something that Flip and I have been really adamant about doing for ourselves in 2022. We have invested so much money into people who are teaching us different strategies about how to use our wealth and how to spend our wealth. And as we get income in, we are again going to those particular people and saying, here's what we have. This is what we're doing. Any other advice, tips? And we want you guys to be able to use us for that same resource without having to invest the thousands and thousands of dollars that we've had to invest. You just get to use us as a resource because we've gone through the journey and are still going through that journey of learning more about how we can save on our taxes and about how we can grow our capital faster, how we can always make sure that we're preserving the capital, which is always number one. We don't want to lose our money. So this is just very, very powerful stuff. And we're going to keep on trying to share more examples like this as we work out the math. And maybe as we do Road, who might be like, ah, just did this roadmap and it's super cool and maybe we share it. We won't say who it is for, but we might do things like that. So if you guys. That's right. So if you guys want us to talk about anything like this on a future podcast here before the end of the year, just keep in mind, I don't know what episode this is, but we're in the 3002 now, so we do not have very many episodes left before the 365 day series stops. And I do believe that we have decided it's going to stop and we might go to a weekly. Weekly type scenario. We just still haven't figured it completely out. But if there's something that you guys want us to, you know, cover before the end of the year, then let us know because the format may change up here in 2023 on how we do it.
It's so funny every time you always say that, you always say weekly, but to me, I hear monthly. I don't know what that is.
You keep wanting it to be monthly, quarterly. Quarterly. Okay, so it's just gonna be me on the next morning. Flip's gonna visit us once a month.
I'll be behind the camera about 100 yards.
Awesome.
All right, well, we hope you enjoyed this episode. Make sure you're heading on over to our website, freedomcapitalinvestments.com to join that investor club again. She talked about it again this episode. There's a lot of things going on right now that we can't talk about. But get in the investor club. Reach out to CJ and Ben. Talk to them so that way you can get to know us and also get to know more information. But you need to be in that investor club.
Yep.
But make sure you're checking us out on all the social medias as well. We're everywhere except for Twitter. Are we on Twitter?
No, we're not on Twitter.
The Elon guy's on Twitter.
I know.
He owns Twitter now.
I've been hearing some pretty cool stuff about it.
All right, well, we like to end all of our episodes with Invest Smart, Live, Happy. Bye, everybody. Nothing on the show should be considered specific personal or professional advice. Please consult an appropriate text. Legal, real estate, financial or business professional for individualized advice. Opinions and information on the show are not guaranteed. All investment strategies have the potential for profit and loss.
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