Canadian Wealth Building Strategies

If you're looking for a foolproof way of generating wealth in your lifetime, and if you don't want a piss away your family wealth, well, watch this video. We're going to talk about how you can spend money throughout your life in a way that drains your resources, takes wealth away from your family. And today I'm here with my colleague Servlow and we're just going to tackle this fun subject. It's all related to the cost of lost opportunity and money. So when I started thinking about this topic and Serval and I were just chatting about it, you know, one of the things that, you know, came to mind for me was there's always things that happen throughout life. And some of the things that you want to learn, you learn through experience. Not a bad way to learn at times. Certain things you just want to experience and learn from it. You know, when you think about it, experience is not always the best way to learn. I go back to my previous career when I was in a, in an industry where there was a lot of high risk activities that took place. And I managed a big group of people and one of the key concerns was how do I keep them alive? Because it was easy. If you made a bad decision, you could actually die on the job. So it's kind of a pivotal part of my job is just working with people, teaching them that experience isn't always the best teacher because if you do something that costs your life, you didn't win. So you want to learn at times from other people's experience. So today what Servo and I thought we'd do is we'd pick on Dan today. And if you're watching this, you're going to see some of the examples of how I pissed away wealth for my family. And because I didn't know why did it happen, I just didn't know. And so I was using the old, you know, the conventional way we're taught to think when it comes to financing things in life. Don't know that every decision you make with money is a financing decision. Either you're paying someone else for the use of their pile of money or you're giving up the interest you could earned on yours. Well, you do what you can. I thought we'd go back and we talk about one of the examples and I got a lot of these, but I'm going to show you just talk about one and hopefully it helps you understand the opportunity you have. Because you're listening to us. This concept that we teach you allows you to never have this happen in your life, if you utilize it the way we teach it, you will not have to worry about all these mistakes that Dan made back in his day and this particular example. So let's get into it. I used to have the use for a pretty heavy duty truck. And you know, there was reasons for that. I had this big rv, you know, I was driving trucks that had, you know, diesel engines in them. Back when I was 44 years of age, I had this truck and I had it in place and I was using it and I knew, and this is just one of the things I did, is I put big kilometers on those vehicles because A, they were capable of a lot of kilometers and B, you know, they were costly things to buy. So I had this truck and I'm thinking about, you know, another few years I'm going to need to buy and replace this truck I've got, because by the time I got that 300 and plus thousand kilometers on there, I was going to have to replace that truck. And so I knew, Dan, you need to start saving. So for eight years I saved money to purchase the next truck. And when I got to that point.

I, you know, did a bit of shopping around. And I don't know if you know about Parkinson's law, but nobody taught me a lot about it at that point. And I was kind of focused on a few nice things that I should have in that truck because, hey, I'm going to drive this truck for a long time. And it just, it needs to have these few extra little whistles that probably didn't really need, but hey, they were nice. So I dropped $75,000 on that truck after eight years. It's kind of nice. I always like the feeling of walking into the dealership and making a deal and just doing a cash deal. None of that messing around with that messy financing stuff. And it puts you in a better, you know, really interesting position with the salesperson. You know, just one of those pieces they don't get ahold of you on is all that financing stuff. So I, I was able to do that and I did that. So, servlo, what did that cost me?

It took you eight years to save $75,000. And then when you saw the opportunity to buy the perfect truck, you wrote them a check for $75,000 from a bank account. And the money from a bank account literally went down. And then you started saving over the next eight years to basically set aside the same equivalent money because you are a saver, right? So eight years of saving first and then spending that money and then another eight years of saving again to recover what you send out to them. That's 16 years in this particular example. And we're going to dive into the cost of loss opportunity. We're going to do that math for this transaction. But even if you disregard the cost of loss opportunity, if you just look at the time that Dan is going to spend over that transaction because that transaction wasn't just one transaction to buy the car. It literally took him 16 years to make that happen. The first eight years of saving and next eight years of recovering his savings.

Exactly.

So he went back in life 16 years financially.

Now compounding is a factor of time and money. Dan, did you just lose 16 years of compounding ability?

I did. And you know, when you mentioned that again, I go back to when I first learned about the infinite banking concept. And just for all of you that are watching this, if you don't know what the infinite banking concept is about here in Canada, I want you to go and click on that link below. It's called watchibc.com and it's a 90 minute video that will help explain what is the infinite banking concept. And yeah, so I lost 16 years of compounding effect. And you know, when I first heard about this concept and I, I did my due diligence servo, I started researching what difference would this make? Well, I got angry. I got angry about situations like this. Sixteen years is what it cost me. I've lost opportunity from a compounding perspective.

Bingo. See, one year of delaying compounding will hurt us financially towards the passive income time. 16 years of delayed compounding will have.

Will have an enormous impact on our financial outcome at that time. Right. And Dan, you refer to, you know, watchibc.com so if you're a visual, certainly watch more videos on this channel, go to watchibc.com but if you're kind of a person just like Dan and me, like you know what I like reading in addition to watching videos. Well, here's how you can get started. Here's how you can prevent what Dan did, which is gave up the opportunity to earn interest on that money by implementing the process of a new banker. You can get a copy of this book. The link is underneath the video description. We'll ship it to wherever you're in Canada. It's 92 pages, literally takes you four hours to read it. And if this was, if Dan, you knew about this concept 16 years well back when, when you actually started saving to buy this truck, comparing to what you did without knowing it and then knowing it, implementing this process, what would that difference be?

Oh, that's such a huge number when I think about not just that, that particular case, but what it cost me. You know, I just, I don't, I don't even want to calculate what all of those decisions that I've made in life where I lost that opportunity, of all that compounding that could have been working for me and my family because I spent cash and. Yeah, it's just, it's astronomical like. And it's like, I suspect for people who are watching this, you know, you probably can think of times too where you spent cash and it's gone forever. Now. Why did I do that? Well, I think it goes back to. I just didn't know. And if I'd have known Nelson those 16 years earlier, Servlow. Yeah. The value that that would have brought to my family through my system that I now have in place. And thank God I got to know him when I did and when I got to read that book and I got to understand how I could do it differently. So let's, you know, that's, you know, when you talk about numbers, just in that one case, how much did that cost me?

So let's just say $75,000. You were how young at that? You're 52 years young when you did that transaction?

That's correct.

Now when you take that money to go by the truck, the transaction is permanent. The loss of the 75,000 is permanent. Away not just from you, but for your generations to come. But let's just assume during your lifetime, what was the cost of loss? Opportunity. Now, if you hadn't spent that money. Now we know that you need money. I'm not talking about don't spend money. We're talking about follow different ways of going about accomplishing your objective so that you don't reduce your wealth in future by continuing to transfer your money or your cash away from your family forever for the things that you need now, $75,000. That was the amount of money. Now let's assume that that money could have earned, Dan, 2% per year. And I'm using very, very conservative numbers. 2% per year. Now, Dan, you were 52. Now projected mortality for male is 85. Let's just assume it's 90. Let's just say we all live longer. So 90 min. So just during your lifetime, that money would have been growing for you for 38 years. So I'm going to take this and put 38 years. Now, the cost of one transaction to buy that truck was not $75,000 to Dan over just his lifetime. The cost of that transaction was 160,269. This is how much interest he lost on that money, which is a lot more than what it actually cost him to buy the car. From principal standpoint.

Exactly. And that's using 2%.

That's just using 2%. Yeah.

How many people would be happy with a 2% return over that 38 years? Most people would have bumped that up, but yeah, just 2%. That was the impact. Huge. Yeah.

And that is just on the transaction. But if you look at this from timeline standpoint. Timeline, exactly. Now, what Dan could do is if he said, you know what, I actually made an error. What I'm going to do is I'm going to become really aggressive on saving money now because I ended up understand compounding. I don't want to interrupt it. I want to get really aggressive and save and compound now from age 50 till age 90, because I don't want to lose that opportunity for my family anymore going forward. I'm not going to interrupt the compounding of my money. But here's the thing. You may have money to compound, but if you don't have time to compound, it doesn't work. So start taking actions. When you start realizing that there's a problem, don't delay it, because the cost of delaying, of taking action is astronomical.

If I could have understood what I know Now, I was 55 before I ever learned about this concept. If I could have known that at 42.

Just think about the time that I could have started capitalizing my own banking system using the infinite banking concept and how much difference it would have made for me by the time I got to, you know, even now, let alone when I get on a few more years and, you know, I'm counting on at least 90, I'm going past 100 anyhow. Just. That's just another story. It's all going to matter and it's going to make a, you know, what it's made already is a huge, you know, financial difference to my family and to my will. You know, my wealth. I could have had a lot more wealth. And that's where I go back to why I got angry when I learned about this is that's why I got angry. It was just like when the realization of the lost time. Because you can't go back.

Yes.

Can't go back in time. That's just a reality in life. And like Servo said, if I could encourage you to do one thing it's like, learn this now so you can put it into practice. Because every day, every year will make a difference in the wealth generation. Because that's what we teach people to do. We teach people to grow capital. Priests are wealth. And this infinite banking concept, it works. Both of us use it. We know it works. You know, we can show you examples of how we used it and the difference it's making now.

You know, when we meet with clients, especially, you know, the kind of clients that we want to work with are clients who want to emphasize investing in themselves to spend the time to learn this process. Read Nelson's book, watch your content, and when they're ready to meet, they meet. And one frequently asked question that we get asked all the time is, I wish I had known this concept 10, 15, 20 years ago because I would be in a better position. Now, at some times, we meet with some people who are in their late 50s, early 50s, and the reason why they don't take action, they're like, well, you know what? I lost time. You know, I'm too old now. This works best for someone who's much younger. And then my reaction to them is, let's just say you're 55, you're 55 today. Watching this video doesn't matter you're 55, 50 or 60, it doesn't matter where you are in your life journey. Great, let's just end. Let's just fast forward 10 years. If you're 55 today, in 10 years, you're going to be 65. If you start the process of becoming a banker today, you'll still be 65. If you don't start the process becoming a banker, you'll still be 65. Now ask yourself this question. Do you want to be financially ahead at 65, or do you want to be financially behind at 65 because of the lost opportunity that your money is going to be?

Well, your use of your money will cost you over the next 10 years. Now.

Whether you're 40 years young, whether you're 55 years young, whether you're 60 years young, whether you're 75 years young, you have the need for use of money till the end of time. We cannot go back in time, but we can change what we can change today, knowing what we know today. And we can just make the outcome much better going forward. That's it. If you understand the problem, the solution becomes clear. Doesn't matter where you are in your life journey, it applies to anybody.

You know, I'm glad I started when I did. And you know, what it's done for me in those eight years since I started it just, you know, I have a hard time even looking back and saying, well, if I hadn't done this, where would I be compared to where I am today? Because I did do it. And I like Servolo, I work with clients that are older than myself and they're learning about this. And the ones that, you know, I just appreciate is that they understand that, you know, they can change things even though they're older, they can change things for themselves and for their family by utilizing this process. Because, yeah, you got a shorter window and all probabilities in life, but still, it's like it matters. Every day, every year you go by where you're not gaining the advantage of having uninterrupted compound interest. Working for you is going to cost you and your family because it is a financial decision that you make. And I would encourage you no matter what age you're on. Sure, if I could back the clock up, I would have backed the clock up. But I can tell you this much, I'm glad that I started when I did because I'm making a difference where I'm no longer sending that money away, like paying cash for stuff that I could have done and did do before. I'm now not using my money. My money keeps on growing every day. I'm not interrupting the growth of it. And that's the opportunity that you have with the infinite banking concept. And that's again where I'd say, if you don't know about the infinite banking concept here in Canada, go and watch IBC.com just 90 minutes of your time. People always say 90 minutes, Dan. That's a, that's a, you know, that's a lot of time. And I go, well, when I learned about this, it was a 10 hour live event. And I'm glad I went to that 10 hour live event because the return I've got on that, I can't even quantify it. I haven't even, you know, I've never stopped to quantify how much value because it's such a great number. And not only from a dollar's perspective, but from a peace of mind. I know I'm making a difference. It's going to be lasting, it's going to be a difference for me in my lifetime, for my children in their lifetime and my grandchildren because I'm teaching them how to do this as part of my journey now. And I'm just grateful for people, you know, like R. Nelson Nash, who figured out something that I hadn't and the people that taught me and mentioned it to me, I'm really grateful. So if you're listening to this, I hope you, like myself, just start to look at what is this all about? What is the infinite banking concept about? And why would it make a difference for me and my family?

This is our channel that you're on. So if you, if you're on a computer and you see this little magnification glass, you can just put debt. And then there's going to be videos on debt, how to recapture debt, how to pay off debt, how to manage your debt. If you want to talk about. Okay, I want to finance. Let's just talk about car finance. If you just search for car, there's so many videos that are going to pop up on car financing. Even talk about retirement. There you go. There's videos on retirement. So we have something for everybody. Just search what you need and YouTube will show it to you on our channel.