Generational Wealth Secrets You Should Learn

That mastering your financial future. And it's really about guiding principles and some of the strategies for success. So I'm looking forward to it and I hope you are, too. So with that, I'm just going to start a bit of a screen share and go over some items with you. With you. And so let me know if you can see my.

Presentation, please.

Yeah, we can see.

Good to go, Dan.

All right. Thank you. All right, so just before we get started, here's a few things I just wanted to go over with you participation. So just like the, you know, the Kona learning, you're going to get a lot more out of tonight if you participate. So I'm going to really encourage you to do that through the chat box. So as we ask questions, please, you know, put your thoughts into the chat box. And the other thing I'm going to encourage you to do is, you know, get a piece of paper and a pen and just write down, you know, questions that come to mind as I'm going through my presentation. And if they don't get answered, we're going to have a bit of a, you know, Q and A session at the end. And you also can, you know, ask questions in the Q and A box. So I'm just going to encourage you to do that now just to get everybody warmed up. Tom, I'm going to ask everybody to participate right away. And by putting one thing in that they appreciate or like about where they live, for me, it's going to be lakes, because I can. I can drive to lakes in Saskatchewan and Alberta within two hours, I can be in all kinds of lakes. So that's one thing I would say is lakes. So I'm going to get you just to put it in the chat box. What is it you really like about where you live?

Yeah, Dan, we got a lot of responses here. We have hills, family, lots of family, river, valley, St. Lawrence River. We got farms, nature, weather, all kinds of good response in the chat here.

Excellent. Thanks, Sickman. So with that, just before I get started, we're also going live on YouTube, so we're going to share a link in the chat box. And if you know somebody that you know may benefit from hearing this webinar tonight, you can just shoot them that link and they can go on YouTube live and watch from there. So thank you for that. And let's get started.

So here's the agenda for tonight. There's going to be three kind of things that I want to get covered on my agenda. First part, we're going to talk about all the noise that's out there in the financial world and is there a better way? Next, we're going to talk about principles. So this is kind of the meat of my presentation tonight. I want to talk to you about principles that you could use in your financial life just to make a difference and help you with success. And I'm also going to touch on what the principles I use in my family banking system, just to help you understand some about how I use my system and the principles that guide me. Next, we're going to talk about a topic that quite often I get asked like, how long do I have to pay my premiums down? So we're going to say we're going to have a little conversation about, well, how long should you pay your premiums? So those kind of the three things that we're going to get into tonight. And I'm looking forward to it, and I hope you are, too. So, principle. Here's a definition of a principle. It's just a comprehensive or a fundamental law, a doctrine or an assumption. I like the next one. A rule or code of conduct. So that's kind of what we're going to think about as we go through tonight. Some principles to live by. And here's one I always like. This is a good principle just to live by. I've used it successfully in my life. Surround yourself with people that's smarter than you are and it rubs off on you. So I'm just going to encourage you. If you aren't doing that, you got an opportunity. I do that all the time. I work with this great team and ascendant, and they're smarter than I am. So that's why I'm here. Don't tell them that. But that's just something that's true.

All right, let's jump into the old financial noise. Every one of us faces a lot of financial noise. It comes at it from all different directions. Some of the things that we get to see is the market volatility. And we hear all about markets around. Every morning when I turn on the news, usually they have some kind of market report. And it's just like it can really be a lot of stuff that comes at us all the time. Sometimes it's just from information, information overload. Don't you feel that? I do. I see there's all kinds of information. How do I vet it? How do I know what's true? And so I always encourage people to have healthy skepticism and whatever you hear. So you have to do a lot of research. You have to take your time to find out what's true and what isn't. And then you think about all the options that are out there. What can you do with your money? Well, that list seems endless and here's just a few that I've listed. Now we all know about stocks and bonds and things like mutual funds, you know, real estate, life insurance and list just goes on and on and on. There's lots of choices out there. So that's kind of the noise that we get faced with. I wanted to talk about John Smith and obviously I changed his name just to protect him. But this is a story about John and he's a 43 year old accountant. He went to university, got his accounting degree, started working at a small firm, been there for a lot of years now has a young family and he enjoys doing a lot of the things that some of us enjoy doing, like golfing and just taking time on the weekends to relax. But lately he's been getting more and more anxious as he thinks about financials, you know, his state and retirement. And that's quite common. Like I find when people get towards, you know, this age and on, they start to think more about retirement. Am I going to have enough? And so do you start to get anxious? Am I doing everything I need to do and how do I look and how do I find more financial security for my family and her future? So that's real.

Now a question I've got for you. Well, how does all that anxiety and stress impact us all? That'd be a great question. Have you anybody, you know, just put it why in the chat box if you've ever been impacted by stress in your life. And I'd have to put quite a few whys because I think it's, I don't think anybody can live without being anxious and dealing with stress. Stress is part of our lives. So how does it impact us all? Well, you know, one of the things I know is it put me in the hospital. One point in my life. That's right, stress put me in the hospital. So I've got, you know, I can talk about stress and how it can be a detriment to your health. So I ended up, and I do have this condition still to this day. It's just called, I abbreviate it rvot and thankfully it's benign but it really is triggered by stress and I can tell when I triggered it and it comes on. So we all know that not all stress is financial stress. Last time I was in the hospital with my RVOT I was texting back and forth with my niece, and I got a number of nieces that are nurses, and she worked in a cardiac ward in a major hospital in Winnipeg. So I'm just texting back and forth. She's asking me questions and we got to talking about stress. So one of the things I can still remember her telling me, she said, most people think it's obesity or smoking. That's a major cause of heart issues and cardiovascular disease. And she says it's not. It's stress, by far the biggest contributor to heart disease. So we know there's all kinds of stress out there, comes at us all ways. And so we have to be able to manage that stress and to be successful, because whether it's financial or not, stress is still stress. So let's ask ourselves this question. What are some of the financial stresses that are facing families today? I think that would be a good way to, you know, start some activity in our chat box. Let's just see what you think of. I started it off. Who hasn't heard that word? So lately, this is on the news all the time. It's inflation, cost of everything is going up for everyone. And of course then there's our interest rate reality. Interest rates are going up, that's putting more stress on families. And then there's just all things related to cost. So start putting your thoughts in the chat box. What are some of the other things that you feel are really stressed, you know, stress in families related to financials today? Just put a few in there. And Superman, you want to help me out with some of the replies and comments we're getting?

Yeah, absolutely, Dan. So we got a lot of inflation, a lot of interest rates as well. The money is coming in where the money's going to come from, and it's going as fast as it comes in. Carbon tax money in general, taxes, utilities, taxes, bills, all responses along those lines.

Yep, excellent. Yeah. So this just goes on and on, right? You go, you know, if you go to family and kids go back to school, it's all the cost of, you know, gathering, you know, the what they need to go back to school, all that, you know, shopping that happens. It's one of the biggest spending times of the year is when kids go back to school. So there's all those pressures. So how should we manage it? That's the question. How should you manage all those financial stressors? Well, and.

Have you ever wondered if there's a better way?

So I'm going to do something a little different. I'm going to use kind of an analogy to help you understand that we don't always know what we think we know. So I'm going to share a little story that it's real because this is true. I grew up around horses. You know, I grew up in a family farm, and, you know, we didn't have quads and motorbikes. We had horses. So that's what I got to, you know, use, and I got to be very familiar with horses, and I started to really enjoy being around horses. So because of that, I've used horses throughout most of my life, and I've been really blessed to be around a lot of horses and get to know them. And they all have their own personalities. And I've even, you know, been able to harness and drive horses or something about that. It's just a real blast. And it's something I enjoy a lot. And I've trained horses. I've raised them from, you know, foals all the way through to, you know, being saddle horses and all those good things. I've been blessed in life to be able to work around horses, and I've taught horsemanship courses. You know, I was fortunate to be able to work with young people multiple times all through the summer, where I was just working on horsemanship classes with young people. Nothing, you know, nothing greater than being able to see how they can learn something and get more comfortable around a horse. So I'm very blessed about that. And then at the age of 46, I took a horsemanship course. You know, I thought, yeah, I'm going to learn a little more about horses. I'm going to take this course. So I signed up for it. It was in northeast British Columbia. And the trainer, the instructor was Glenn Stewart. Now, you can look him up on the. On the Internet if you want, but he's an international horseman, and he's just phenomenal what he can do with horses. And he's been, you know, working with people like myself and horses for over 40 years. And, you know, I took his program and I was pretty blessed to be able to spend a lot of days at his ranch just learning from him. But the one thing that became very apparent to me when I showed up there and started that program was.

I.

Knew realized I knew next to nothing about horses. You know, what he could do with my horse would have taken me six months to get that horse to do that, and he could do it in a matter of minutes. So I really started to realize what I thought I knew. I really didn't know I was around horses my whole life, but I still didn't know how horses really thought and how they worked. So it was a real good lesson for me. So what I want to, you know, start to ask about what about this. This is kind of another way to. To lead into that. You know, do. Do you use money? Well, that's kind of a rhetorical question. We all use money. Now, how often do we use it? And how long will you use it? Here's the question, you know, do you really know how money works? So I'm going to ask you to think about all the money that's flowed to your hands today.

Think about how much more will throw. Will end up flowing through your life, your hands, as you live the rest of your life. And it always begs this question, because here's where I was. I went through a lot of life not really knowing everything I needed to know about money. So having a lot of it flowing through my hands and not keeping much of it. So how about you? Here's what I'm going to ask you to do. Put your thoughts in the chat box now, if you've always been able to keep all the hand, all the money that flowed through your hands, think about it. I'll put always. And if it's like not much, maybe put not much or little, because that's where I would have been. I wasn't keeping a lot of it. Most of it was flowing through my hands. So the question for you is.

How much do you still have.

Sukman? Are we getting any feedback on that one?

Yeah, we got zero.

Not much.

Not keeping a lot, not enough, nothing. It just passes to my bank and it's gone.

Not much. Not much. Yeah, a lot of not much. So I want to share a quote, and this is one that means a lot to me. And it's an interesting quote because I keep it on the wall in my office all the time just as a reminder for myself. Because.

You know, when you think back when people thought that the earth was flat, you know, the greatest obstacle to discovering the shape of the earth and its contents and the oceans was not ignorance, it was illusion of knowledge. And that is so often what I find I have to really protect myself that I don't get to that point where I think I know something about something, but I really don't know about that, whatever that topic is. And money was one that I've really been on a great journey in the last number of years, just getting to know more about money and how. What principles should I apply to make sure that I keep more of the money that I earn. So what changed for me? That's a great question. Well it's a pretty straightforward story. It was, I was introduced to this man in his book. So back 2013 I read the book, 2014 I got to meet the man. That's what changed it all for me.

So what can you learn from Nelson Ash and the books that he's wrote? Well I'm going to encourage you if you don't have a copy of the book called becoming your own banker you've got an opportunity. I'm really going to encourage you to get that book. It changed my life. Yeah and it doesn't cost that much in light of everything else is out there. That book is really one of the best investments I ever made. And then I've got these other two and I can tell you that they are something I treasure because there's so much good content, so many good principles to live by financially that Nelson shared with us. So you got an opportunity if you don't have that book. So.

Here'S a question. So what is the infinite banking concept? Ever wonder that? Well may as well go to Nelson and we're going to take you know, and then right out of his book. What did he say? Well the whole idea is to recapture the interest that one is paying to banks and finance companies for the major things that we need during a lifetime. I need to learn how to spell but that's what it should say during a lifetime. Another thing that he said in his book is the infinite banking concept is an exercise in imagination, reason, logic and prophecy. That for me when I first read that I go what, you know, what's Nelson talking about? Well let's take a quick look at one of the examples that he has in, in his book and it's all about imagination. So here we go back to the 1700s and here's gas and he's a German mathician and this at the time Nelson writes about this in, in his book he was a seven year old at school and the old schoolmaster gives this group of boys interesting task and it was just simply add up all the numbers one through a hundred. So interesting piece was, is as the school master's kind of watching because he wanted these boys to be focused and working hard. A lot of them are just working away on their slates, you know that's what they had, slates. And you know he looks back there and there's gas. He's just looking out the window imagining now he's thinking it all begins with the way you think. And he's thinking and he visualizes a line and this line has the figure one at you know on the left hand side and the figure 100 on the right hand side kind of looks like that little diagram. Then at the halfway point which is 50.

He cut the line and he folded up the other side so that the left. So there's now two lines that are parallel kind of look like this. Now I couldn't make all 50 lines and make this presentation really work well so I, I did the first five lines and I did the last five lines but you could get the idea he went all the way from, he's thinking about this all the way from 1 to 50 on one side. Then he started with 51 and went all the way back up to 100 and put it on the other side. And the two numbers, you just simply added them together. And what he was able to imagine and figure out because really it's a fixed numbers like that are fixed, you can't change them. All sets of the numbers added up to 101. So how many sets would he had? He's pretty sharp, you know as long as it had 50 sets times 101. So there it is, there's the answer 5050. And he just takes and writes it down on his, on his slate and you know teachers going well it's, you know, how's that going to work out? Well he was right. He was the only one that was right and he got there in a short period of time. So use your imagination being that's what Nelson said. Infinite banking is an exercise and imagination, logic, reason, just you know, those are the things. So that's one of the principles I want you to remember what the infinite banking concept is. So why did Nelson put that story in his book? Well, young Gas had discovered a relationship between numbers that is fixed and nothing can be done to change it. And principles like this have been there all along.

And just so you know, principles are the way to deal with financial stress.

But in most cases.

No one has taught them to you or why they matter. So that's what I'm going to do. I'm going to go through some principles that you should know and you could use in your life to take away some of that stress that comes with financial pressures.

So we're going to look at the book. You know what I tell people it's all in the book. If you really want to know what becoming your own bank or the infinite banking Concept about it's all in the book. So here's the first principle. Every decision you make with money is a financing decision. I want you to think about that. Every decision you make with money is a financing decision.

You either pay interest to someone else for the use of their money or you give up the interest you could have earned. And here's something I want you to know. There are no exceptions. When you think about that, every time you make a decision with money, you're either going to pay interest someone else for use of their pile or you're going to give up the interest you could earn.

No exceptions. So if you can think of an exception, I want you to get a hold of me after, because I haven't. And I want you to let me know about that exception because I'm still looking for it.

Paying interest to someone else is like walking into a headwind. You can get there, but it takes longer and it requires more effort. We've all been there, you know, trying to walk into a good wind, and the wind's just making it difficult for us to get on. So that's like when you pay interest to someone else, you're fighting that wind. Yeah, you can get there, but it's going to take a lot more work and much more effort just to get there. So, Walt, is there a better way? Well, we're going to talk about that, but first I want to talk about this. Another thing a lot of people don't realize. Banking is the most important business in the world. You say what? Yeah. Without it all, business as we know it would come to a halt. If money's not moving, we're all in a lot of trouble. Money has to flow, and it does all the time. In our society, in our world, money's always in motion. And I want you to remember that banking is the most important business in the world. So when we're talking about principles and things you need to learn, there's a good writer downer. I give you a few good writer downers already. Write that one down. Banking is the most important business in the world. We'll talk about it some more.

Another principle to me, this was one that I really wanted to share tonight with all of you. You can't get a better rate of return without first controlling the banking function.

So when you think about all the noise that goes on out there and what we hear, it's always about rates of return, rates of return. You know, you put your money here, you're going to get a better rate of return. What happens when you think about this, you can't get a better rate of return without first controlling the banking function. What would it look like to control the banking function? Let's take a look at that. There's four characters in the financial play. So the first one is a depositor. I think we're all pretty familiar with going to a bank, making a deposit, whether it's online or in person. I think we've probably all done that. And so we understand that's one of the characters in the financial play. Someone has to make deposits into a bank. The second is a borrower. And there's very few people that go through life that haven't been a borrower. So that's another key character in the financial play. The third one is the banker. Well, who's the banker? Well, they're the ones that get to decide whether you're going to get that loan or not and you know how you're going to pay it back. They're the ones that set the rules. And you know, you abide by those rules or you just don't get the money you want. So that's the banker.

And the fourth one is the bank owner. So those are the four characters that are there in the financial play. So when we talk about you can't get a better rate of return without first controlling the banking function, you want to be thinking about those four characters in the financial play.

So we're going to go to a little case study and I'm hoping that this case study will help you understand what I'm talking about. That's what I built before. It's pretty clear and I'm going to share that with you. But before we get too far in the case study, I want to tell you what dividend, you know, becoming your own banker. The infinite banking concept is about the power of dividend paying whole life. So that's the, that's the tool we use now. It's not the process, but it's the tool that we use. So what is participating dividend paying whole life insurance? I want to briefly go through the components that make up that particular product.

First it's premium. So when we go look at this case study that we're going to look at, I decided how much premium that I was going to put into the policy that we're going to look at. So I made that decision. So you, if you're participating in dividend paying whole life, you get to pay the premium. You get to decide how much premium you want to pay. The more you put in the More compounding effect that will be there. We'll get into that. Second, the death benefit. Now we talk about banking. What's death got to do with it? We're going to find that out today. It's kind of a, there's a living benefit of the death benefit and then there's a dying benefit of the death benefit. So when someone dies, and we're all going to die, you know, I haven't figured it out. I don't think you have, but you have let me know. We all are going to pass. And when we do, if you are the life insured in a dividend paying, participating whole life insurance policy, there's going to be a tax free.

You know, lump sum of money paid to your beneficiaries. So that's a huge thing. So if something happens to me today because I don't know if I'm going to get home even tonight, because I don't know about that, well, my wife's going to be looked after because of the death benefit. Never underestimate the value of the death benefit that's in a participating dividend paying whole life insurance policy.

Next, it's cash values. Now cash values are what we use for this process. We use the access to cash value that we get. So cash values, they have to, they have to increase every day by contract. And it's tax free, that increase is tax free. And the key thing to remember, I want you to remember, is that the cash value of a policy has to equal the death benefit by age 100. Now we're going to go through this a number of times. This is kind of a high level overview of the main components of dividend paying or life insurance. So cash value, that's a key one. That's why we use this particular product. It builds cash value.

Next, it's the dividend. So as a participating dividend policy owner, you share in the divisible profits from the life company. Kind of key. So, you know, it's kind of key that, you know, we get the dividends and we get to share in the profits of that life company. So those are the four pieces. And we're gonna, we're gonna, you know, look at how they play out in this case study.

So this little example that I wanted to walk through you is one current example that I have. So in 2023 I'm doing a very specific, I do lots of private lending, but this one is going to be one that we look at. And it's just in 2023 and I started it and this is the principal amount that I lent to the borrower. So I lent him $50,000. Now we got together, we talked about the terms and the conditions and all things, and I'm going to share some of those with you. So here's some of the conditions. The term is 12 months. The interest rate that the borrower is going to pay to me is 15%.

The monthly payment. So they're going to pay me interest monthly. They're going to come in at $625 a month. So $625 a month coming to me from the borrower in interest every month for 12 months. And then at the end of that period, I get the return of my capital.

So let's just talk about a little bit about this. So how I did it? Well, because I own that policy, I get control what I do with that policy.

So what does it look like? Well, I took a policy loan. So that's something that the life company allows us to do. They allow us, we have the contractual right to borrow up to 90% of the cash value of each policy that you own or I own. In this case, I took a loan from the first policy I started when I started becoming your own banker. In this process, it just happens to be the smallest one I have. And don't ask me why I started small. My wife didn't, but I did. But then again, like I said earlier, I make a point. I surround myself with people that are smarter than I am and that's the case there. So I started this small policy and we're going to look at how it's helping me and my family at this point with this private lending opportunity.

Why did I take it from that policy? Don't you have more than one policy then? Well, I do. Well.

Because I could. You know, every policy that I've got, I've got access to cash value in that I could borrow. Isn't it important that I put that money to work? So this particular policy.

Had enough cash value for this private lending deal. So hey, I wanted to make sure that my money was being put to work. Like we said, money needs to be in motion. Just like a bank, banks keep their money in motion. So that's what I was doing. I was taking money. One policy versus the other doesn't make a big difference. The value I have is the value I have. So I wanted to put that cash value that I had access to to work for my family.

That's just a good principle to remember yourself, keep money in motion. Now I'M going to show you this little chart. Charts are fun, eh? So this is just a chart of this particular policy. And as you see in the bottom line, that was my starting death benefit way back in 2014. When I started that policy, I had a $111,000 death benefit. And the next year it went up. And the year after that, as I paid my premiums, it went up. And you can just follow it through all the way up till 2023. Well, I got $163,000 now of death benefit. So if I use this policy and I borrowed $50,000 against it and I became an angel, what would happen? Well, the Life company would simply deduct what I owe them before they pay out that.

The remaining part to my beneficiaries. Now, my wife would still have that private lending deal going because I don't do these on my own. Her and I partner together and we do these kind of deals. So she would still have ownership of that. She'd still be getting that interest payment, and she'd be getting that capital return later on. But if something happened to me today or tomorrow, she would get the death benefit on this policy, and it would be net at what we owe at that point. Now, I already shared this with you, but I just want to remind you, the cash value has to equal the death benefit by age 100. So I want you to think of this little chart, this little graph. And as my death benefit goes up.

Am I getting older or younger? Who wants to take a shot at that one in the chat box? Am I getting older or younger? So does the Life company have less time to grow the cash value to a higher number? Oh, yeah, exactly. They have less time to get to a higher number. So as these policies go on, your daily cash value growth gets stronger and stronger. Now, in 2023, in this particular little policy, my daily cash value growth is going up $9 and 45 cents a day. That's right. I don't have to do nothing. I just have to live that day and the next day. And every day I live, my cash value goes up by that $9.45. Well, how do I know? Well, because I go and look, I look at what my cash value was one day, and I look at it the next day, and I see how much you change. So from that, I know that my cash value is going up $9.45 in 2023. Yes. It didn't start out like that. Back in 2014, when I started this, my cash values were not close to $9.45 because a the life company had a longer period of time to grow to a smaller number. Now if you have questions about how does that work, like how does. Here's a great book. Okay. You know this is a simple read, probably only take you an hour. It's just a great reference book that we have produced here at Ascended. Jason and Richard authored this book and it really speaks about how cash falls the leader and the leader is the death benefit which I hope you got from that little graph. So now let's go look at the amortization table that I built for this little loan that I took from the Life company. So this is the loan that I took out of my policy and this is what I'm going to pay back over time to the Life company over this 12 months. So there's the interest rate. Right now the Life company is charging me 6.5%. I borrowed 50,000 first year. When the borrower, the borrower in my private lending deal sends me the $625 what do you think I'm going to do with it? Well I know what I'm going to do with it. As Nelson always taught us, you know, don't steal the piece meaning don't steal from your system, have a plan to pay it back. So right away I'm putting that $625 back into my policy as a policy loan repayment. So when I do that I drop the principal. Some of it goes to interest in that first month but some goes to principal. And every month that I do it during those 12 years you can, or 12 months you can see the interest cost is going down and the loan balance is going down. That principal amount's getting chewed down. So at the end of the, the year I'm only going to owe $45,629 to the Life Company by paying that 625amonth back. So that's what I'm going to know. Now when the borrower pays me back my capital what do you think I'm going to do with it? Well the first thing I'm going to do is pay off the rest of that policy loan and then I'm going to look for a place to put the other almost $5,000 that I'm going to get and who's and I'm going to find somewhere to put it in as premium and another policy or this one if it's due for its premium payment. So I'm going to put that other amount of money back into this policy as premium. So that's just to give you a bit of an idea how this looks, how it's going to work over the 12 months of 2023 for me.

So just a bit of a reminder, this is the total amount of interest income that I'm going to get from the borrower over that 12 months. Cost of interest to the life company was in that chart that we just looked at at 3130. And then taxes, taxes. Wish we could skip taxes, but no, I going to pay taxes on that income that earn because that is taxable income. So I did a calculation, you know, based on again sharing and splitting this with my wife. We're going to pay taxes and it looks like based on our marginal tax rate, it's going to be somewhere around $2,400 in 2003. Now you might be saying, okay, well can you deduct the interest that you paid to the life company? Well, the answer to that is yes, I could. In this case, I chose not to. Not always comfortable with CRA knowing everything I'm doing. So that's a choice I get to make because again, I'm in control. You could do it differently. You could claim that, you know it's going to make it look better because then you're going to pay less taxes. But anyhow, my situation after tax income to the family, $1970 in 12 months. So how do we do? Let's see. All you got to do is take that amount divided by 50,000, works out that 3.94% after tax rate of return. Everybody's big on rate of returns. That's the rate of return I'm going to get after tax on that private lending deal.

Well, you might be sitting there saying, hey Dan, that's not that good. That's not that great of a rate of return for $50,000, man, you should be able to do better than that. I got 15%. I thought that was pretty.

Then you might be thinking, well, couldn't you just use cash now? Do you have savings you could have done that with? Well, I could have, yeah, I did have savings I could have used to do that private lending deal. But I think we talked about why we don't want to do that. But we're going to get into that a little more later on this presentation just to help you understand that the opportunity cost when you pay cash is something you have to consider. So now if we took and just said, yeah, okay, Dan took cash and did the same deal, so still pay the same amount of tax. Now that's going to work out the same. So I'm going to end up with a little more money, right? $5,100. So you simply divide that by 5,000 and all of a sudden it's a 10.2% rate of return. Now that looks better. So why, why is it so great to, you know, control the banking function when you know you could have done it this way, Dan, and come out a lot further ahead? Well.

I have a question for you. We talked about this. So there would be a cost if I use cash. But we're going to take a different little road here and we're going to remind ourselves that every decision you make with money is a financing decision, you know, so either pay interest to someone else or you give up the interest you could earn. So if I took that $50,000 out of my savings, I'm giving up the interest that I could earn on that 50,000. We'll look at some of that further on today. We really get to see the impact of those kind of behaviors again. Remember, there's no exceptions. Either pay up or you give up.

But wait a minute, didn't we miss something? Remember when we were talking about that little policy that I use for this process?

I didn't use my money to do this deal. Whose money did I use? Who wants to put that one in the chat? Sukman. Let's see what people would answer that question. Whose money did I use for this private lending example case that I'm working on?

Yeah, we got some answers in the chat here, Dan. We got life insurance company. A lot of smart people all saying insurance company.

I use the life insurance company's money. So other people's money. Now because I share in the profits of that life company. Yeah, I have a vested interest, but it's, it's a life insurance money company's money that I use. I didn't use mine. My cash values kept growing every day uninterrupted, uninterrupted compound.

That's a great rule. If you can achieve it. If you can get to a place where you can achieve uninterrupted compounding of your money throughout your life, you're going to be in a really great position. So let's go through this little chart again. Again. Remember my cash value every day when I went to sleep, wake up $9 and 45 cents more each day. So if we just simply take, take that 945 and multiply by 365, that's like $3,449 and.

Change. And if you add that to the 1970 net after tax profit that I made from that private lending deal.

How does it look? Well, now we've got $5,419.25. And again, if you just simply divide that by $50,000 now my outcome is like 10%, 10.8% better than if I paid cash and didn't even account for the cost I spent in that cash. So that's what Nelson meant when he said you can't get a better rate of return without first controlling the banking function. So I used a really small policy and all I could borrow to that thing was 50,000. So I used it all and I still come out ahead. Now, I could have used a different policy that I had where, for example, I got a lot of them that are like $30 a day. So what happens if I had taken, you know, my cash value out of that policy, how much better would it have got? But again, I go back to the principle. Money needs to be in motion. So why wouldn't I use that money, access to that capital that I had to put it in motion and look for other opportunities with the other money that I have, cash value that I have. And that's what I do. I look for opportunities to put that money to work. And again, when we think about the four principles and this little example that I went through.

I paid the premiums, I borrowed from the life company, I decided to take the loan, I decided I was going to pay back that 625 every month. I decided that, oh, this gears up. I'm going to pay that capital back. That's a decision that I get to make.

And last.

I got a dividend already this year for that policy. Now it was $2,600 on that little policy. So I share in the visible profits of that life company with that little policy. So I didn't factor that dividend in into any other numbers that we talked about. So I just wanted to, you know, really give you an idea of using principles. And this one in particular, that you can't get a better rate of return without first controlling the banking function. And here's another one. There's only two sources of income. Think about that.

How can you earn income? Well, people at work. So you can be at work. That's the way we can earn. You can earn income. And the other one is money at work. So that little example shows how I put money to work on behalf of my family and increasing my wealth, even if you just look at the $1970 net after tax. That's putting my money to work. But I'm doing much better than that because I'm using and I am all four characters in the financial play. So I'm getting those divisible profits and I'm dealing and I'm getting that daily cash value growth. My money keeps on compounding because I don't take it out of those policies.

Now here's something that we've talked about. When you get paid for your work, you put all your money into the bank. That's kind of the way we're wired. So as soon as money comes in, it either gets direct deposited straight into your bank account. That's where mine goes when I get paid straight into the commercial bank. So someone else gets all your money.

That's where it's going. Now they put it to work for the owners of the bank. That's why I try to get my money out of my account and into somewhere I can control. Now I leave some there for the things I need to use it for. But I minimize how much stays in that commercial bank. So I don't want it working for someone else, I want it working for me.

Because what you learn, typically this is what most people are doing out there. They're doing all the work and someone else is getting all their money. Banks, they're, they're great at doing this. That's what they do. They take other people's money and they put it to work for the owners of the bank. You may or may not have seen this little diagram before, but I always like to throw it up every once in a while. So this would be someone like you depositing money into a bank. So you put it in and the bank promises you to give you some interest rate. Well, they take that money, they don't let it sit still and they put it to work. They lend it out here. Then the money comes back. Might not be to that bank, but there's only one pool of money in the world and it all flows. And then they lend it to someone else and it comes back and it keeps on going around, around. And while they do that, they're keeping that money in motion and they're making more profits for the owners of the bank and your return is much less. So you want to, you want to replicate that. You want to do it on the you and me level. You want to replicate becoming your own banker and using this process. Really simple. It's not difficult. It's a simple process. Here's What I'm going to, you know, tell you if you don't, you know, just things you'd like to know more about. And I'm going to encourage you to go over to our YouTube channel now.

Just take the opportunity you have and go there. There's over 800 videos. You can just go in there and hit the search bar and type in, you know, dividend paying whole life. And you'll get a number of videos that will talk about the components of dividend paying Whole life. You can touch in, you know, type in something else, like, you know, debt recapture. You're going to get a bunch of videos on that. There's just all kinds of content. This is so much, you know, like, I think back when I learned about it, you know, you had to get the book, you had to go to a event and take note, and you could buy DVDs, but now there's so much access to great content. You can, when you have time, you can go and watch what we have on our YouTube channel. This is one, it's called Bankers Vault. And I'm going to get, you know, some. One of my colleagues just to put the link to this in the chat box so you can go and find it if you're not already subscribed to our YouTube channel. It's a great place to learn. And the other one is our podcast channel. Now you can catch our podcast on, you know, wherever you listen to your podcast, whether Spotify or whatever it may be, or you can go through our YouTube channel for Walton O Bay street and catch the replays, the videos there. So there's over 300 videos on our podcast channel. So there's all kinds of ways for you to learn. So with that, I'm just gonna take a bit of a break and I'm gonna ask, you know, do a value check. So just want to know, you know, if you're finding this a good use of your time. Is it something, you know, that you are glad you showed up tonight to. To listen to this? So I'm just going to get you. If you're glad to be here, Please put a 10 in the chat box. And if you wish you were doing something else, you can go with a one or a zero.

We're getting a lot of tens, dad.

Getting 1 million, 1,000.

That's a lot of zeros there. Thanks for that feedback and give me a chance to get some water in. My voice is getting a little croaky. That's all good. I'll keep on going on. So here's the next thing that I want to encourage everybody to do. Now, if you're not already.

You know, connected with one of my colleagues or myself, you got an opportunity tonight and that's simply, you know, you're going to get a link sent to you. You can just click that or you can just text the word schedule to 780-809-4599 and just reserve a time. It's pretty harmless. Just, you know, you start a conversation with one of us about what does it would look like for you to become your own banker. That's what we do. We help people with that question and the clarity around it.

So what is the infinite banking concept again? We already seen this, the whole idea. I'd like to emphasize this one because this is just what Nelson had in his book and it's just really clear. The whole idea is to recapture the interest that one is paying to banks and financial companies for the things that you need in life. And he actually says in his book the major things you need in life. So what I want you to tell you too is that it's not about investment of any kind.

You know, it's about how one finances the things of life and it certainly include investments. Thinking back to that little private lending case study that I'm doing, that's an investment for me. So I'm using, you know, my control that I have and I'm using it for investments. So you can do that. It's not about rates of return. Most of most often people get hung up on rates of return because what you learn as time goes by, interest rates go up and interest rates go down.

But the process of banking goes on no matter what.

So here's the question. How much of it do you control as it relates to your needs? That's kind of the key thing, how much you control as it relates to your needs of the banking function in your life. That's what this is about. It's not a procedure to get rich quick. No. Anything what I've learned, anything worthwhile doing takes time and effort to do it well. This is something you want to be committed to doing over time. It requires long range planning and it's nothing more than like minded people contracting with one another to solve a financial problem. That's all it is. Nelson puts that in his book. It's all it is. Is it like minded people contracting together to solve a financial problem? Contract we use, we talked about that, it's called participating dividend paying whole life insurance. Why do we use that contract?

Well, the Answer is pretty straightforward. It's the best one for the job. I just want to remind you, these are the four components we went through them. The premium, the death benefit, the cash value and, and the dividend. So those are the four components of that contract.

That really matter and you can use in your life to make a difference and take some of that financial stress away from all the things that you're doing. At this point, we're going to take a, a look at practicing the infinite banking concept slightly different way.

Banking at the you and me level again. Yeah, that's what we do. I bank at the you and me level.

And it's the tale of two trucks. And if you have ever bought a truck, well, this is one I bought back in 2011. I bought it for a very specific reason. I have to apologize about the picture, but I got rid of the truck. So I got rid of most pictures I've had. But this is a shot where I'm up ice fishing and lake in northern Saskatchewan and driving the truck. It just happened to be a 20113500 crew cab, had the diesel engine in it, had, you know, everything built to pull because I had a huge rv and that's what I bought that truck for. I bought that truck to pull my rv. How silly was that? But anyhow, that's another story. And it was a great truck, Very good. Did a great job pulling that RV.

That's what I paid for the truck back in 2011. I paid $65,363.61 a truck like that today. I wouldn't even, you know, it's going to be over 100 grand and. But that's what I paid back in 2011. So here's a question. How do you think I purchased it?

So just put in the old chat box again. How do you think I bought that truck back in 2011?

Oh, cash. You should think about that.

Yeah, we got cash then financing lease.

I think most of you probably figured it out. I used cash. That's right. I used cash to buy that truck. And the RV won't even get into that conversation. But I paid for that truck with cash.

So how much did it really cost me?

I want you to remember that every decision you make with money is a financing decision. You might have seen this before tonight. Either pay interest to someone else or you give up the interest you could earn. Remember, there's no exceptions. Let's take a look. Since the time I bought that truck back in 2011, up until today, it's been 12 years. So even if I took that $65,000 that I paid in cash and I got a 3% rate of return, I know I can get a 3% rate of return over that period of time. So I didn't want to use big numbers. I used a small number, a 3% rate of return. Well, as you can see, the interest that I could earn was 28,282.

That's the cost of opportunity that I've lost by spending that money in that truck, because I don't have that money anymore. I don't have the truck anymore either. But it depreciated. That was the cost to me and my family in the last 12 years of that decision to spend $65,000 in that truck. So not didn't cost me 65. It shows me more like 93. And what happens if I look at the potential? I'm going to give up the rest of my life. Well, it's going to be more than this because I. I'm not going to die in 35 years from 2011. But this is. I based this on my father's passing. So he passed it at an age of 89. So I just used that. And so if. Same scenario that many years would have been 35 years. If I. When I get to be 89, I'm going to live past that. Never want to think you're going to die, but that's just an indicator of how much interest I could earn out of that 65,000, 121,000. That's the opportunity cost that's lost. So a lot of people don't think about that, and it's huge. So you want to do something different, and we're going to talk about that. But first.

I want you to think about what it cost me to save. That $65,000.

Wasn'T only money. It was time.

And what did I do shortly after I paid cash for that truck? What do you think I did? Because, you know, I'm not the smartest guy you're going to run into, but I'm also not the dumbest. I started to save for my next one. That's right. I'm figuring, well, just a matter of time before I'm going to need another truck, so I better start saving for it. Then in 2013, I heard about becoming your own banker. Once I learned a little more. Here's what happened. I got angry. Why would you get angry? Well, I started to realize all this money that had been flowing through my hands and how little of it I was keeping one of my favorite quotes from Nelson. It all begins with the way you think. And, you know, I just hadn't thought about that. Is there a better way? So here's a interesting quote that I wanted to share with you that's not from Nelson. And it's really. It's one of those quotes that spoke to me. It's action is preceded by thinking.

Thinking is to deliberate, you know, deliberately beforehand over a future action. So think about that future action and reflect afterward on the past action. Thinking and action are inseparable. So Nelson always said, it all begins with the way you think. So what I did, I took action. Both my wife and myself, we applied for our first policies. We redirected the money we were saving for things like our next truck.

Into our policies as premium.

Now we jump forward to 2020.

We traded off to 2011 on a 2020 model.

Purchase price after the trade in $30,219.

How do you think I purchased it this time?

You're right. A policy loan. That's how I purchased this last truck. It's still driving today. So let's just go and take a little look at what that truck purchase looked like. So I took a policy loan because I could remember I can borrow up to 90% of the cash value I have in a policy. And I had a policy that had more than enough cash value to borrow that $30,000.

And in that particular policy, this is a different one than we looked at before, my daily cash value growth was $25 a day. So every night I went to sleep, my cash value was going up $25. Now it was a cost of interest. Remember that the daily interest charged by the life company at that time was 6.2%. So when you calculate, don't take 30,000 times it by 6.2%. That works out to $5.10 a day. So every day, cost of interest. That's why if I didn't pay Nothing back was $5.10. But think about it. My cash value is going up $25 a day. So you see how I'm recapturing all that interest in my cash value growth in that policy. So every day, yep, interest comes, cash value growth is greater. I'm recapturing the interest. Remember, Nelson said, it's all about recapturing the interest the ones paying to pay banks and other financial institutions. That's what I'm was doing in this and still am in this case. I'm recapturing that interest that I'm paying to the life company. And yeah, I get, I get the share of the profits of that life company too. So even makes it better.

So this is just a same kind of view as we looked at before on another policy. I have this one I started in 2014. Later in the year, no, because I was watching and I'm going, okay. My wife said she got a bigger policy, I gotta outdo her. So I started the second one and this is it. And it started with $375,000 death benefit. And I didn't, I didn't pick the 375. I decided here's how much premium I'm going to put in. And I just turned out that it was going to be a starting death benefit of 375. And each year as I pay my premiums, that death benefit climbs. And we've gone through this. So this one's got, you know, I've paid the premiums for this year. So everything's current on here. So you can see now after my last premium payments, my daily cash value growth in that policy is now up to $31.78. You see how it changes over time. It is a 2020. When I took that loan with $25, but the life company had a smaller number, death benefit was only 479,000. And they had more years to grow that cash value to equal the death benefit. So they didn't need to grow it at any higher rate than $25 a day. Well, jump ahead to 2023. My death benefit is now up to 545,000 in that policy. And the life company has to grow the daily cash value at a higher rate because they got a higher target and less time to get there. So that's how that particular product works. So I just wanted to go through that re emphasize it help you to see what that policy that I use for this particular truck looked like back in 2020 and what it looks like today.

So this going to go through and just review how my wife and I dealt with that policy loan. So we took it out. We decided to pay it back at $500 a month. That worked with our cash flow. We set the amortization period.

Every month on the 30th, we send $500 as a policy loan repayment to the life company for that policy to repay that policy loan that we have on that truck. So it's going to take us six years or 72 months to pay off the loan. That's our amortization plan. That's what we put in we're going to follow it. Now here's something I want you to realize. We talked about this, I just did. We set the amortization, now we decided we're going to pay it back 500. Could have been 300, could have been 700. We decided to go with 500. Now tell me if that's not total and absolute control. We're controlling that. We've got that control. That's one thing I love about this process, gives me control. It'll give you control too. It's absolute and total control. We're going to look at a bit of an example what the first month payment look like just to help you understand this process. So in that first month when we sent back our $500 to the Life company, remember that particular time, our cash value was growing at $25 a day. So $25 a day times 30 days. And then you got to deduct the interest cost that was going to the life company. So at the end of the first month after I paid back $500, when you think about the cash value growth net of the interest, I could have accessed $1,097. Payback 500 access 1097. Where else can you do that? That's the process of banking.

So how did that turn out for us? Well, I felt pretty good. I don't have any pants like that but I always wanted to get a pair. But that's what I'd be feeling like jumping down the street.

Now. Do you think it got better every month thereafter?

The principle amount hold goes down every month. You looked at that in that private lending example. As soon as I make a payment back, some of us going to pay the principal down. So principal goes down, interest cost volume goes down for that period of time. So more of what you pay goes to pay the principal down. So every month it gets better. And when you think about.

2023 now, well my daily cash value growth is a lot better than $25. It's now $31.28. So is my family doing better.

Than I was back in 2022 just using this process?

And which direction is the money flowing? A truck payment flowing towards my policy, my family banking system.

Using the infinite banking concept and recapturing interest is like walking forward on a moving walkway. Have you ever been in the airports and hopped on one of those moving walkways? I was on one today. And so we're going to look at a couple of things here. One is the, the person paying cash and the person using this process. How it works. So I'm going to use this little example. So this person here is paying cash. This one here is using the infinite banking concept and recapturing the interest they're paying over time. This person's always going to get ahead of the person paying cash. So that's what I really wanted you to understand from that little example of the two trucks. Yeah, you can pay cash for a vehicle or whatever else and you achieve your objective. But is there a better way? I hope you see. Excuse me, that there is. Just with that little example that I showed you on how you can use the infinite banking concept to help you and your family get ahead financially.

And again, that's exactly what that was. Just an example of banking at the you and me level. Could you do this? Well, if you're not, you could. All it's going to take is the desire. That's what I started with. When I heard about it, I decided, oh, that's something I want to do. I wanted to change the outcomes for me and my family. So I had the desire and I started.

To look into how I could do it. So let's remind ourselves about. What are we talking about? Just the principles that you need to use in your life if you're going to change things and help to deal with all that financial stress that's out there in our world today. So think about principles. I also wanted to share.

This book, one of them, you know, to really enjoy reading this book. I found it very, you know, very helpful, a lot of good stuff in it. So I wanted to share that with you. If you've never read this book, it's something I would encourage you to do. It's called the richest man in Babylon. You can still go find the remnants of the city of Babylon. And it's a city that was built out of the desert and it was just the most beautiful city in the world. And all kinds of prosperous people that lived in that city way back in the days of King Nebuchadnezzar.

Money, that's what it says in this book, is governed by the same laws which.

Control that when prosperous men come thronged the streets of Babylon, so today the laws are the same. That's what I wanted you to get from it. If you ever get a chance. If you haven't read this book, I highly encourage you to do. It's got seven simple rules of the acquisition of money, something we can all learn from.

So I just want to go through about four.

Good financial rules to live by. These are ones that I I'm working with my children and my grandchildren now on, and my, you know, the people I work with, clients and people like you, I help them think about some good rules to put in place. First one is pay yourself first.

Now, you know, one of the things that I've learned in life is if I earn X amount of dollars and I set aside a portion of that money right away, I don't even think about spending it all. I'm gonna. I'm gonna set aside this amount of money right away. You learn to live off the rest. And I've done it. My wife and I have done that all the way through our marriage. We've been really good at it, and it works. And it's just like, you know, you don't even notice it after a while. Sure, there's times I can think back when it was a real burden on us because we were, you know, we had four children trying to cover all the cost of that, put them through this cost of living, just all those things. But we just stuck to our guns and we learned to live without that that we were setting aside. So I know it's doable. So pay yourself first. One of the things you read in Richest man in Babylon, he just talks about that doesn't matter if you're earning, you know, a hundred thousand or if you're earning 30,000, you take a portion of that and you set it aside. Great financial rule. And you know what the next rule is? Control your spending. Because without this one, the first one doesn't work. So if you save a portion of your money, but then your spending goes up, what savings is going to be gone? So you have to control your spending. I always tell people the way to think about it is make big purchases, small think and look for those ways to reduce your costs. Because one of the things Nelson talked about and we talk about quite often is Parkinson's law, which is true. I've lived it, where as your income goes up, your expenses rise to find that new level of income. That's what will happen if you allow it to happen. If you don't control your spending, your spending will just get to the new level of income. So what you learn in life is it doesn't matter. You will find some people that are earning $50,000 a year and saving 10% of it. You'll find someone that's earning 300,000 a year and not saving any of it because of that particular reality is you've got to control your spending without it. That's. It's what it is, is delayed gratification. That's what you're focused on. You do that and over time you change things for you and your family financially. That's what you want to focus on. You can't always have your cake and eat it too. You sometimes you have to be disciplined and take some of these fundamental things and apply them. And over time you'll be surprised at the difference it makes.

Number three, we talked about it a few times tonight. Put your money to work. Money that's.

You know, available to you, not doing anything. What's it worth really? Nothing. So put your money to work. You know, I'm a bit of a, you know, one of the things I loved about Nelson is his reference to scripture and he has in his book the one about the three servants and that's a clear cut, you know, verses from the Bible that he shared that says you need to put your money to work. Right there. It's in one of the oldest books in the world, the Bible. Put your money to work.

Put your money somewhere where it's safe. That's the last one that I wanted to share with you.

So it takes time to educate yourself on what you want to do and how you can put your money somewhere where it's going to grow.

Anywhere it can work for you and where it's safe. And you know, one of the things I learned when I first learned about this process and I still know to this day, there's no safer place to put your money than in participating, dividend paying, whole life insurance policy. I haven't found any. If you find some place that's safer, I want you to let me know. So find a safe place to put your money and if you can get it somewhere where it grows uninterrupted like you can with this process. You're starting to take off on lot of boxes.

Now. I promised you I was going to get into my family banking principles. So here what I'm going to go through with you now is just those principles.

So the first one I have is passive income. So I lend money, you already know that. So I lend money to my family. These are my daughters. This one, this one, this one, this is my son. They're some of the best lenders that I've got. So they've lent money things for things like cars and. Yeah, so they sign a contract, we agree to the terms and they pay it back as per the terms. So I do private lending to my family and I do private lending to third parties. So that's how I'M generating passive income one way, the other way. And I'm working on other ideas, but the other one I happens every day is the daily cash value growth from our policies. So right now that's presently over 3, $600 a month. And it gets very. And it's getting better. Each and every year that we pay our premiums, that's going to keep on getting better for us. So those are the ways. That's one of my principles. Do things that are going to create passive income to help support myself and my family and our family wealth.

The next principle is wealth transfer. So I got into this a little later in life and you know, a lot of people say, you know, I wish I heard about 20 years ago I was that same way. I wished I'd have heard about it 20 years before I did. But I'm sure glad that I didn't wait after I heard about it and I started doing something about it because I started to build a way to transfer wealth to the next generation. And it's not all going to be in dollars and cents. It's going to be in knowledge. So I'm working with my kids and my grandkids to help them understand this concept. So these three boys are all boys are my grandsons. And so again, going back to, you know, Scriptures, Proverbs 13:22, A good man leaves an inheritance to his children's children. So these are kind of the focus points when we think about wealth generation when we one generation to the next. And so I'm a real believer that that's something I want to do and should do. So presently when I look at our death benefit, being my wife and myself, that's what we have built it up. And again, it's like everything else that we're doing in this, it keeps getting more, it keeps growing each year. So we're building a death benefit to help support the wealth transfer to the next generation. And one of the other things for our oldest grandson, he's in third year nursing at the U. Of S. And so part of that wealth transfer, he doesn't know it, but don't tell him if you see him, is that, you know, he's been borrowing money to help him help with his education. So that's one of the things we're going to use the wealth that we accumulated to help him later in life as he gets through school and all those good things. So lots of different things we're doing, but that's a principle, wealth generation. And it's not just money. It's education, it's knowledge, those kind of things.

The third one goes, comes right out of the book. It's to recapture the interest that we're paying to banks. And you've seen one example of what we're doing. And so we've been using our family banking system to purchase things like cars, trucks, RVs, a house. And when I looked at it the other day, we flowed over 500,000 through our policies in the nine plus years that we've had them. We're just getting more and more traction as we go. So we're using our system, we don't just have our policies, we put them to work and they're working for us and they're making a difference to me and to my family. So those are the principles that we have. And every financial decision that should be made by you, your family, need to be guided by principles. And you know, realistically your principles will probably be different than mine. But what I'm going to encourage you to do is based on laws and rules that have been demonstrated to work over time.

All right, the last part of my agenda was how long should you pay premiums into your policy?

So forgive me, but back in 2014, I met this man before that. I read his book and that book and this man changed my life. So I thought, wow, as I'm thinking about this question, how long should I pay my premiums? Why don't I go and you know, really think about, well.

Wonder what he would do and what he taught.

So that's where I started. I thought, okay, if I'm going to answer this question for everybody, let's start with the founder of the infinite banking concept and what he did.

He bought his first whole life insurance policy at the age of 13. Now I don't know about you, but what 13 year old is buying life insurance?

He didn't even know about the infinite banking concept at that point. But when he went through life and once he started to understand the power of dividend paying whole life, he paid the premiums in his policy. The policies that he owned until he graduated from life. That's what he always called it, I'm going to graduate. So when he died, he was paying his premiums right up till he died. So there's an example. And so, you know, one of the things that I've taken on myself is a, you know, he is a mentor for me. He was when he's alive and he's still entering me. So that's one of the things I'm going to, you know, focus on paying my premiums for as long as I can. What did he teach? So here's what I I found in one of his books and what Nelson described in his book called building your warehouse on wealth. Most people just don't look at the performance of a dividend paying home life insurance policy over a long enough period of time. After all, they're engineered to get better every day as long as the policy is in force. So what he said earlier, one starts the longer one continues the better the policy gets. I thought, well that's really clear. How long should you pay it? Well.

Here'S what I'm happened to me this year. I started to get my old age security checks. I didn't have to take them but I started to get them. I also opted to take my cpp. Didn't have to but I did because I did the math. I wanted to calculate when should I take my cpc, CPP and all day secured. And every time I did it I couldn't put in one number. I needed to help me with that answer not was when was I going to die? So I wanted to get as much of that money as quick as I could so I started to take it. And what do you think I'm doing with that money? Because it's money I didn't get last year. I didn't get it till halfway through this year. Well.

I'm using those to fund premiums. So that's one of the choices I made.

So what do you think? If you're doing this or you're thinking about doing this, how long do you think you should pay premiums?

Well here's something you need to know. You'll be in control. So you get to decide. No one else can tell you. You get to decide that. Now I'm going to encourage you.

To think about what we talked about tonight. And here's a quote that I Love by Mr. Edwin's Edwards. Thoughts lead on to purpose purposes go forth in action. Actions form habits. Habits decide character and character fixes our destination. Now what did Nelson say again?

It all begins with the way you think. So as you think about how long should I pay premiums, remember, it all begins with the way you think.

So if you are here tonight and you're wondering what would this look like for me, I just should encourage you again click the link or text the word schedule to 780-809-4599. Just reserve a time that works for you. What will it look like? Well you're going to get a one on one Conversation with one of the authorized Infinite Banking experts here at Ascended Financial. You're going to get a clarity meeting. And then, you know, you might be thinking, okay, but this all sounds great, but I don't want to do this alone. Well, we don't leave people hanging. We continue to coach them. One of the things that we do is quarterly group coaching sessions. Those are great opportunities for people to mingle with someone else who's already practicing this concept and put that to use in their life. So lifetime mentoring and quarterly group coaching sessions sometimes. And we have clients that participate and add value. So you could do that for all of us. Now.

I mentioned these. I just want to encourage you again. There's all kinds of great resources available to you. Our YouTube channels are phenomenal. We got all kinds of books that are just great ways for you to understand more about this concept. So take advantage of podcasts, YouTube, you know, it's just there for you. The other thing I wanted to encourage you with is we have this family banking summit coming up in Edmonton. It's in October 20th. There's an opportunity for you to hear from a lot of my colleagues speaking about family banking and how they're using in their life. They're going to cover things like I went over tonight. So you have an opportunity on October 20th in Leduc. And it's just a great place to be with other people. I went there last year and I was just amazed at the contacts that I made with people like yourself who are practicing this concept or just learning about it. So you have an opportunity. I'm gonna get one of my colleagues just to put in a chat, just a link you can, you know, click on and attend. And, you know, this is the first one we're having this fall, so we'll be doing more. But this is one. If you got an opportunity to take it in, by all means, please do. The other thing I'm going to ask you to do is like, you know, as I speak about Nelson, I always want more people to learn. What did this man know and what did he. What did he discover? And what should more people learn that he was able to discover through his life journey? And that's about how they can get control over their need for finance. So we use things like Google reviews for people who go. Who go out there and Google everything and they look and say, is this something I want to be involved in? I want to know about the infinite banking concept. So I'm going to encourage you and we're going to put the Google links and Just go and find one closest to where you live. And if you have, you know, just give us a Google review if you thought tonight was, you know, beneficial to you and you want to share that with somebody else. And also remember every time we do these, we go live on YouTube. So you can always, you know, let your, you know, someone else that you know, that would really gain a lot from hearing about this. You can just say, hey, you know, there's event coming up. Here's, you know, just go to their YouTube channel and you can watch it live. So if you get a chance, leave us a Google review to help other people understand what we've, you know, found to be. So here's just a few that I wanted to quickly share with you. And it's just about, you know, people speaking to the value that they've got in their lives through this whole concept called becoming your home banker. And it's just like right here, help Matthew talks about, help me set up my generational warehouse.

Help tailor my understanding to how to apply the infinite banking concept to my continuously changing lifestyle. It's about optimization, just about. There's so much to learn by growing capital and seeing potential. And here's one from Derek. I just thought it was a great one to share because it talks about, you know, just all the value that one of my colleagues, Reacher brings and the team. And it's just a great, you know, reference to helping other people see this and understand. So if you get a chance to do it, I just encourage you to do so and I thank you for that. Now I wanted to end tonight with one more slide with Nelson. This is what I wanted to share with you. When he graduated from life, this was the reality. 17 policies that where he was a life insured, paid out a tax free death benefit, 17 that passed all kinds of wealth on to the next generation.

And on top of that, there was 28 other policies that he had started and owned that continue to contribute to his family today. What a legacy. I don't know, to me it's, you know, just a phenomenal legacy that this man's left the world and his family with that I thank you for your attention. We're just gonna turn on our cameras for my colleagues and we're just gonna do a Q A session. So I'll just get my colleagues to come on any questions you've got. These are the, these are the good people that can answer them all for you because my voice is starting to get raspy. So that's, I got this great team behind Me to help. So if you've got questions, Superman, any good questions that came up that we should be addressing with everybody.

Hey, Dan, first of all, amazing job. Everybody in the chat. Got a lot of value from your presentation today. So thank you so much for giving.

Some insight into the only one that can't hear Superman.

Sorry, Dan.

No, I. I hear him.

I can hear him.

Can you hear me, dad? Okay, I can't hear him. Am I missing something?

Can you hear us, Dan? Can you hear me?

Oh, Dan's audio. We can hear you loud and clear, Dan. So Dan can't hear us, guys.

Yeah, we. We all hear each other. I think it's just Dan.

Yeah, I'm not sure what's going on with Dan's audio, but clearly Dan did a pretty bang up job because everybody has total and absolute clarity because there's no questions in the Q A at all.

Maybe let's give him a thumbs up.

So he knows he did a good job.

Dad. Good job. You're good, Dan.

So how many times were you guys trying to speak to me and I couldn't hear you because I had to switch mics on my system here.

Can you hear us now?

I got you now. Yeah. Okay, good.

Yeah. Awesome. Well, I was just saying to the team here, Dan, that you, you clearly brought a ton of value because there's some great feedback in the chat, but we actually don't have any questions in the Q A window. So that, that means you did a pretty darn good job because everyone's leaving here with a lot of clarity.

There is a question in chat though.

Barry is asking, what is the cost.

To set it up?

Dan, maybe you want to address this.

Well, that's very much dependent. Like I said during my presentation, Barry, it's like you decide what you want to start to capitalize your system and put premiums into it. That's what it is. So you get to decide. And you know, we have people starting from, you know, $400 a month all the way up to like six figures. So you get to decide. It's not for us to decide something. You need to decide what is it that works for you and your family. And one of the things we always tell people is like, when you start, you know, go use the old swimming analogy. When you learn to swim, did you dump and jump into the deep end of the pool and hope you're going to swim, or did you jump into the shallow end and get comfortable in the water? So you want to start somewhere that's meaningful, but you know you get to decide that number.

That's a really awesome teaching point there, Dan. So. So we want to start somewhere where it's sustainable, right. Because Nelson Nash has six golden rules. Number one is think long range. Does anybody want to share what the number two is?

Don't be afraid to capitalize.

Don't be afraid to capitalize.

And number three, don't steal the peas.

Don't steal the peas.

Don't do business with banks.

Number four is don't do business with banks.

Number five is rethink your thinking.

Rethink your thinking. And. And brand new rule number six. He created it just before he passed away.

My favorite rule, make room for windfall.

Create room for windfalls. Right. So, yeah, you know, I think, Dan, you just did a very simple analogy. Like when you're looking in a swimming pool and you're starting to know how to swim, like, don't start at the deep end, but don't start in the shallow either because.

It'S not going to be exciting to get started to learn how to swim. Somewhere in between is fine. Although when I started swimming, my dad threw me into the deep end and said, if you want to survive, just swim out. That was an experience in itself.

Yeah, it can work. It doesn't always have the outcome you want, but it can work.

I also want to add to the question from Barry the cost.

We don't charge anything, so when you.

Meet with us, don't bring a check. When you find out if this is something for you, we will get paid from the life insurance company. Anything to add, Tim?

Just there's a couple questions here in the Q and a couple of basic questions. I did see another one in the. In the chat, but somebody did a good job of telling them to go to the Q and A. And I think it had to do with how long does it take to set it up. And that's always a tricky, tricky question because we want to focus on education first. Like, Dan did a great job tonight and you'll meet with somebody, will help you create some clarity. And then once we determine that the process is a good fit, you'll move forward to the application stage and correct me if I'm wrong, team, generally speaking, I'll tell people you can expect a policy approval, assuming the policy gets approved somewhere between four and six weeks, but it certainly can take a lot longer depending on your health history and things like that. And it can happen a lot quicker. So there's no guarantee in terms of how long it takes to set up a policy. So that's always kind of a. But generally speaking, four to six weeks.

And someone here in the, in the, in the chat's looking for a ride to the. The event. I don't know if that's a joke or if he maybe knows somebody on the team, but someone's looking for a ride to the event in Edmonton, so maybe that can be arranged.

Catherine has a really good question here and I can see Sukman is answering them live as we chat.

The question is basically $28,000 of income and a mortgage. How does this work and start? So look, you know, like Dan said, in terms of getting started, I'll just jump in here.

Team.

In terms of getting started, you get to pick the number in terms of how you want to capitalize your system. But the key is as long as you're spending less than you're making, we can likely help you get started. It doesn't matter how much money that you're making, as long as you have some disposable income or some existing savings that can be redirected to your system.

There's a question from Colin in, in chat Dan for you. Colin says, dan, do you dedicate one policy to your private lending endeavors?

No, I don't. So I will, depending on what kind of opportunity comes along. But sometimes I'll do that where I'll just take and pick a policy and designate it for one purpose. But I will definitely use same policy for multiple uses.

Well, I hope Dan was able to answer your question there.

Awesome. So there's, there's a good question here. I think in terms of rethink your thinking. Anna says at what point does it become too expensive or comma, not profitable to borrow against your cash value or what advantage or what average amount borrowed? I don't think we can answer that second part. It really depends on the situation. But that first part is an interesting perspective to chat about.

Team.

So at what point is it too expensive? What point does it become too expensive or not profitable to borrow against the cash value? I wonder if a banker's ever asked himself that question.

Yeah, what if you lend a lot of money out there? What happens? Well, we end up making a lot of profit. Oh, great. We should lend everything that we have and fractionalize it even more 10 times over. So, right. It's never expensive to borrow money from your policy, but it's certainly going to be expensive to use someone else's pile of capital or to use your cash. If you're using your banking system, you're always going to Come out ahead financially because you're going to recapture the interest and you're going to recapture the stream of payments while still compounding your wealth called cash values every single day and create a legacy called death benefit simultaneously.

You took the words right out of my mouth.

Legacy.

You crushed it, man.

That was awesome.

Good question, Anna. It's all about thinking. Oh, there you go.

So.

Any other questions here, gang?

Yeah, there is one on multiple policies. Is that an advantage?

Well, money grows on branches.

Well, what's that analogy? So when banks become profitable, what do they do?

They expand.

They open more branches. So money goes in branches. Right. So so different. No different than how banks open multiple branches so that they can lend more money out.

Yes.

When your policy that you start with becomes profitable, we, we have the implementation, the process of becoming your banker and you recaption a lot of money. And that policy doesn't accommodate all that money again because it's all full. Then you're going to open another policy. It's going to happen. It happens all the time. You know, clients who start with one single policy before the end of their their first policy year, they end up expanding their program. It happens all the time. One policy just cannot get the job done. Think about all the things that you financing today, all the loan balances that you have. That's probably a lot of money that you owe someone else. Well, if you have one policy is going to take a lot of time to get the job done. Hence you got to expand your program.

Great.

Henry, there's a question that Colin has.

For you in the chat.

I see it. So it's asked, is it worth using a T1213 form for salary employees to withhold tax at the source and so you can put more income into a policy before tax time? I will say, Colin, that's very advanced and amazing thinking. A couple of implementation issues just to be mindful of is if your employer allows you to do that, there's still going to be some form of funds going to it. But if it executes and it works, you're already thinking way ahead. It's awesome.

Yeah, you had me at more income in the policy.

I'm all over that. However you get it done, that that's all good as long as it's above board. Hey, there's a good question here. By I T. I'm guessing that that maybe is an initial or a career thing, but I'm not sure if I'm reading this correctly. Does anyone, does anyone in the team claim the interest of funds Borrowed when invest.

So.

I don't know if Henry, if you want to dive in on that. I have my opinions. It's a lot less technical than you but I think we, we come to the same conclusion.

Does anyone in the.

Yeah. Yeah.

I'm assuming what he means is if they lend money or if they, if they borrow from the policy to invest, obviously there's interest on the policy loan. I, I think the question is is anyone claiming that interest as a tax deduction?

I'm not anybody here did claiming that as an expense.

No, I don't.

No.

Yeah. I want to keep things private. I'm going to recapture the money anyways.

Yeah. Let's see.

Less eyes.

Lots of places to get tax deductions. I don't want them in my own private system.

All said.

Awesome.

Okay.

That's a policy related question. I don't think we really want to go there. Product questions are.

It's better to discuss that I think on a.

One on one.

Yeah. So great job answering the questions guys. Team rather, is there.

Any other comments or questions? Anything top of mind for you guys?

Here's a new question. If you are using policy to purchase mortgages, would you establish a separate company and then borrow the money from your policy?

Policy?

This is very case specific and situational. Also with a longer term perspective if you're looking at creating another taxable entity like a company and that definitely you want to have that discussion with your coach.

So it sounds like based on the questions that are coming in there's a really good reason why Nelson called this infinite.

True.

Awesome.

It works personally and corporately.

Well I.

Think Dan, you did a bang of jobs start, you know, starting to talk, talking about imagination.

Right.

So now that imagination is working for everybody and, and which is good. You can't put boundaries around infinite. It's just limited to our imagination.

Totally agree.

So Dan, you've been practicing this for almost a decade now.

Correct.

So can I ask you a question?

Sure.

So, so in your experience of having to do this for 10 years, if you can go back and, and change one thing about ibc, how you started, how you did, like what one advice you would give to anybody learning from your own experience of, of being a banker because the best way to become a good banker is learning how to become a bad one.

So yeah, that's a great question. So when I think about that, what would I change? I would have started bigger because I could have.

And then I would have started, you know, looking for more opportunities to grow my money quicker than I Did chose the two things I would have changed but like use policy loans.

For more like passive income investments.

Like. Exactly. Yeah.

Yeah. But again, it's like life, right. As you go through it, you're gonna learn and I'm still learning at this. So I still see things I didn't see. So that's, you know. But always in hindsight you go back and you say, okay, I could have done that quicker than I did. So too often I left too much of the cash value I had available not working hard enough for my family.

One thing that you have done for your family banking system is ensuring multiple generations. Right. So again we talk about the family banking system, the family banking method. So may I ask you to share.

How did you introduce this to your.

Kids that this process and got them on board? Because this is one of the most frequently asked question that comes up from our clients.

That's a great question.

I'm going to put you on the spot. Sorry.

That's okay. I just hope my voice stays in there. But yeah, so what I did is I told them what I was doing. So you know, basically went through the whole again I'm like, I changed, you know, I just went through doing the whole whale, all those pieces as far as trying to get things in place for the future and then sit down and talk to them about what I, why I'm doing it and what I'm doing. And then, you know, started in introducing it to them. So different results with different, different children. So some have been much more open, some have been more open to just using the family banking with the, you know, the contracts we have in place versus really getting after to the way they should. But that's what I've done since then is I do what I did tonight as I show them, here's what the difference is making for your mother and I and we. And so that just, you know, a lot of times if you can show somebody it makes real difference. So that's what I found. And the more time I get doing this and the more, you know, I learn that I can share with them, the better it helps them understand the opportunities and it still goes back to the same principles. So they watched us for all of their lives. They've watched the fact that we could have spent more than we earned and we chose not to. So some of those behaviors they got to witness. And so that helps too. Like they were growing up in a, in a place where they witnessed us doing certain things that even supported even though I didn't know about the infinite Banking concept at that time. It still supported those principles, supported what I was able to do when I did learn about it.

It's awesome for helping them, obviously, with, you know, when you, when Barb got started, showing them how it works so that you help them rethink their thinking and, and that certainly helped get them on board. Right, that's, that's an important aspect.

Yep. That's amazing.

Well, one thing I want to share to, to everybody who's still with us, we have 46 people with us. So Sudan just came back from a family trip. He was supposed to be back home last evening, but because of certain delays, we're not going to say the name of the airline. He didn't make it back until this morning, early this morning. And he, he's, he's running on like literally two hours of sleep. So did Dan do fantastic? Let me just give Dan some love. He showed up 100 because he wanted to share this message. He's, he's living it. He's excited about it. So let's give Dan some, some love. Thank you, Dan, for sharing your journey, your experience. This has been great. And you know, if, if we have questions, please post your questions in Q A in, in the chat. We're still here, we're still going to help answer your questions. But Dan, that was fantastic.

Yeah, amazing, Dan. And I, I don't want to str. Oh, sorry. Dan, I don't want to stress your voice out too much, but you're getting. I wanted to let you know that you're also getting a lot of love on the YouTube live here. And JJ says that your. Your voice is so soothing, Dan. So that's pretty awesome. And, and I'd love to hear feedback on Sarblo's comments. And if you don't mind, Dan, if, if. I always love to hear people's stories about how they got introduced to ibc. And you have a very interesting story as well. And so JJ asked, like, how did you get introduced to the idea and was it a person or how did you come across the infinite banking concept?

Yeah, great question, jj. So back in the day, so, you know, Jason has been my coach and mentor ever since I started this process and I heard him on a radio infomercial and there's an hour long program and it was called Talk to the Experts. And I heard it a number of times actually. And every time I heard it, they kept talking about you could buy a car and recapture the interest. Well, I was intrigued, but I go like, really? Like, how is that going to happen. What kind of a scam is this? And so, you know, I just started to get more and more interested, and I started to do some, you know, just looking into it and trying to understand it more. Took a. Actually sent my wife on the first.

Event that as a family, we took in, because I was working in my previous career, and I couldn't get away on the week, that weekday that they had it on, so it was a Friday, Saturday. So she went and took in the information, brought back the book. And then after that, you know, basically I just had in mind that I. I kept thinking there had to be something different than what I was doing. And then I started to connect the dots. The more I read, the more I seen, the more I go, okay, this is definitely something that I wish I'd have known about 20 years ago. So it was a radio talk show. I'm a radio talk show addict. When I drive, I listen to talk shows.

Now. They're called podcast.

Yeah, exactly.

I just love the part that you. You found a. You found a way, Dan. You found the right.

Who? You.

You couldn't make it, so you sent your wife. I thought that was awesome.

Yeah.