How Family Banking System Will Benefit You

Well, you have to evaluate what matters to you. It's easy to implement a process when everything's running all smooth. It doesn't matter if you're doing diet or exercise or, you know, you're just trying to quit smoking or change some other behavior, whatever it might be. When you're empowered and feeling good and your energy's high, it's easy, baby. Your results in life are determined by how you behave when you're at your worst. So setting up and implementation of your IBC system, keyword being your system. So that's what the process, becoming your own banker is all about. The family banking concept, becoming your own banker. Kind of use some of those terms interchangeably, but it's all about putting the power back into your hands and giving you and your family more access and control over your money. And, you know, you work hard for your money, so your money should be working for you. You know, the reason why you're here tonight is for you. So take some time and just take a deep breath.

This process is all about the way that we think, right? It's all about, you know, using your imagination and thinking out into the future. So that's what I'm going to do today, is I'm going to spend some time getting you to think. So for those of you who are familiar with our content and the whole process, this is just going to be really good to kind of deepen everything that you learned. And if you're new at. At learning about the process and all that kind of stuff, I'm going to do my very best to help you, you know, think tonight a little bit about what you're already doing financially today. Where is your money flowing to? Who has control? And we're going to rethink our thinking because you guys are very busy. You work really hard. Sometimes we're too darn busy to actually take time to even think about things, simple things, or especially rethink your thinking. That's what it's all about. Because you think you know something, you think you got something, and then, you know, you start thinking about a little more and it sinks in a bit deeper, right? The more you see something, the more more you'll see you didn't see. That's what this is all about. I'm going to promise to do my very best to keep it simple. I hear a lot from people and they say, you know, hey, Vern, you know, I've been consuming content. I've been reading the book. I've been talking about this a lot, but, like, how does it actually work? Like, how do I get started? So I'm going to go through that process with you and make it really, really simple. We have a lot of tools and resources that are available to people to actually guide you along the way in your journey. That's what my teammates are really good at, really good at coaching people and actually building their system with you shoulder to shoulder. Like, we are putting our capital, our money exactly where we coach our clients to put their money. We're not just, you know, selling this idea or a product or any of that stuff. We're literally building our family banking system right alongside you. You know, the key thing that we want people to focus on is, is that this whole process of becoming your own banker, the infinite banking concept, it is a process. It is not a product. It's actually a practice. It's something that you need to engage in and be active in. So we always say that the process can help anybody, but it's not for everybody. It's just the truth. It's not for everybody because not everybody has the discipline or even the desire to implement this process. That's just the reality. There's nothing wrong with that. It's just what's so right. So this is an example of a tool that we've developed. It's called the seven step guide. This is for somebody who's just getting new to the whole process and wants to learn. Like, hey, I'm interested in this whole thing called becoming your own banker. But where do I start? What do I do? But I'm just going to point out some of the quick, a quick seven steps here. It says right here. Block off some time. 90 minutes to focus, to watch a webinar. Well, congratulations, step number one is completed because you're here. We have a bunch of YouTube content and other tools and resources that I'll share some more about later. But this is another one just says grab a drink. So we're always honoring the founder of this process, our great mentor, R. Nelson Nash. We always want to give love and, and credit to R. Nelson Nash because he's the one who is the pioneer, the developer of this process called becoming your own banker. You know, he discovered this process through his own financial ruin in the early 1980s. Sad to hear that he had to go through that, but thank God that he did because makes a real huge impact in our lives and everybody else's life that we all get to, to serve. So he went on like a 40 year journey and that's how we got here today. So it's pretty, pretty amazing stuff. So Nelson Nash film.com learn a bit about who Nelson Nash is. Read the 77 page book. It's actually like a 92 page book, but there's about 77 pages of reading. So if you have not got a copy of this book, becoming your own Banker by R. Nelson Nash, we'll put a link as well to purchase your copy. You've probably already received an email or a text message with a link to purchase the book. Highly recommend reading the book because even if you never did implement the process, I promise you'll get a ton of value out of reading that book. There's some amazing life lessons in the book. Take the bull by the horns, right? So decide you, you actually get to choose. Like no one here is going to twist your arm. No one's going to push you into a corner. This is all about free people entering into a free contract or a free process, right? So you get to take the bull by the horns and choose whether or not this whole process is for you. So that's what I always say to clients or prospects. I say, look, I want to make sure that you have clarity on this process. We're going to determine if it's a good fit for you and if you feel like it's a good fit as long as you're crystal clear and you leave happy. If you decide not to implement this process, completely up to you. Right? Because I've had people that I've spoken with and they've learned about the process and then they decided, oh, it's not for me. And then a year or two years, three years later, it just kind of keeps coming up and then they come back and they decide to implement it. So it's on your own time, time to get moving. So this is just a resource wealth note, Bay street and you can maybe get that quick form here to, to learn more about kind of your cash flow and how to capitalize your system. But the most important part, which we'll talk about tonight is also booking a call, booking a time to connect with one of my teammates to learn more about the process and, and how you can get started. So that's just a little bit of a tool there, Quick start guide if you ask for it or whatever, what have you. We have plenty of ways to get that to you. Just gives you a little bit of a reference, but we're going to go through a lot of that tonight. Anyhow, this is a quote from Nelson's book. It's all throughout the book I just quoted page 63. He says that the infinite banking concept is an exercise in imagination. That is the first thing. It's an exercise in imagination, reason, logic, and prophecy. Notice that he didn't say anything in here about interest rates or dividends or anything really about money or finance. Okay, this, it's much bigger than that. Okay. But we have to actually use our brain. We have to use our imaginations. We need to spend some time, like, what is this whole process all about? Why are we implementing this process called becoming your own bank or the family banking concept? Why are we doing this? We cannot actually find a solution to any problem unless we understand what the problem or. Yeah, we can't find a solution unless we understand what the problem is. Now, I haven't vetted whether or not. I haven't done the research to, to know whether or not Albert Einstein actually said this, but it's a pretty darn good quote. So if I were given one hour to save the planet, I would spend 59 minutes defining the problem and one minute resolving, resolving it. So think about that. That's the key. But when you actually sit in the problem, you spend some time with the problem. Everyone's experienced that the solution to whatever you're dealing with, it will start to come, become clear. If you don't know what the problem is, you can't think of a solution. When we go through this, I want you to actually think about this. Is it true or not true that all of your capital, all of your money, it has to flow to some sort of a system? And today that system is the commercial banking system. There's a whole bunch of different banks, whole different bunch of brands and all that good stuff. But there's only one banking system, and we have to take some time to explore. What does a bank actually do? How do banks make money? Let's think about this for a second. How do they make profit? And are they darn good at it? They are. Let's think about this question, okay? Invest with risk. So banks, they make a lot of profit or do they lend with security? So here's the question. What's the security? What do we mean by that? They lend with security. Now, how about this? We know what the security is, right? You're the security. Your income, your assets. It's your ability to make the payment. Now, the security could be your car, because if it's a car loan, it could be your home. If it's a mortgage or a home equity line of credit. And if it's an unsecured Line of credit. There isn't any security there really, other than your income. They'll take the security away from you. They'll take the line of credit away or whatever. But the point is, that's why they give you lower limits and higher interest rates, right? Because there's not as much security if you don't make the payment or you can't make the payment. Who has all the risk in that equation? So you borrow money from the bank. You agree to make the payments. If you can't make the payments, if you don't decide not to make the payments, you are the one that has all of the risk. Think about this. Who has all of the control? The bank. Who gets all the money? Also? The bank. Because this sounds like a problem, right? You're doing all the work, someone else is getting all the money, taking all the risk. Someone else has all the control. Like, just imagine that for a second. Imagine I walked into your living room. Like, I want you to think about this. I walk in your living room and say, lorraine, gosh, do I ever got a deal for you? Tell you what, you give me all your money and I will, you know, take care of it. But I'm going to lend it out to you and all your friends, and I'm going to create profit from that money and I'm going to share it with all my friends. I'm not going to share anything with you. But when you ask for your money back from me, I'll give it back to you. But whose terms do you think I'm going to give it back to you under? Mine or yours?

Probably yours.

Yeah. Does that sound like a good deal to you? Are you interested?

Not at all.

Not at all. But interestingly enough, we unknowingly and unwillingly do this for the last about 120 years or so. We're all just like, yeah, no problem. I'll give the bank my money. I'll give them use and control over my money and allow them to do whatever they want to do with that money. Because they've created this illusion to make you think that there's no problem. Because when you try to transfer money electronically, it happens, right? They do all that to make sure that you don't find out what's actually going on. The money isn't really there because they've loaned it out. They need to keep the money in motion to keep the doors open. That's just how it works. All your money has to flow to some kind of a system. Your money's flowing to the system. And sitting there and you're not really benefiting from it, someone else is using that money and putting that money to work and benefiting from that flow. What's the cost of all that? You can't see it. Has anyone ever heard the term lost opportunity cost or opportunity cost? So opportunity cost, when we refer to that, just to keep it really simple. Obviously, you know, you have to use money in life to do things right? Can we agree that the minute you take a dollar and you spend that dollar, that dollar is gone forever? If that dollar is gone, what is also transferred with that dollar is the opportunity to earn any kind of interest on that dollar. So you didn't just spend the dollar, you also permanently transferred the opportunity to grow that dollar or grow interest on that dollar for not only the rest of your lifetime, but every generation that comes after you. But does anybody really do anything about it? I'm going to quote Albert Einstein again. He says imagination is more important than knowledge. The imagination is more important than knowledge. Thank God for that. That works out really good in my favor. So here's what I'm going to do. I'm going to give you guys, I need to set the tone here for this. Okay, you see this really fancy slide? Now what you're seeing, those blue bars here, what they represent is a 25 year old individual earning $50,000 per year from age 25 to age 65. Now I recognize that $50,000 might be a lot of money for a regular or average 25 year old. And I recognize that if somebody's earning $50,000 today, they're probably going to be earning a lot more in 40 years from now. Like I get all that. I'm not accounting for any inflation, not accounting for any taxes. This is meant to be a very simple example to get you to think about how much energy your money, the flow of your money, how much energy that capital possesses. This really does not reflect anything in reality. This is for visual purposes and for thinking purposes only. These orange bars, what they represent. So think about it shows age 26 there, right? So age 25, they earned 50 grand. That capital flowed through a system, right? Called the banking system. Imagine if you could harness that energy and flow that capital through a system that would allow it to grow uninterrupted for the rest of your days. Now I'm only going out to age 65 here, but for the rest of your days. What that yellow bar represents is the amount of interest that that single year of income could potentially earn over the course of your lifetime. At just two and a half percent, two and a half percent of interest per year over 40 years, that $50,000 grows into approximately, let's call that 136, 137,000 bucks the next year. You can see, obviously the interest would be a little bit lower because they're older. Less time to compound, right? Because we need two things to grow. Capital, money. We need time and we need capital. We need energy. We need to put capital into the system and allow it to grow. So that's why you can see that it goes down over, over time. But that orange line represents the interest that you are potentially giving up. Someone else is harnessing the energy of your capital. So $2 million is the total income over this example. And that $2 million, the lost opportunity cost, is about 1 1/2 million bucks over the course of your lifetime at just two and a half percent. Here's the deal with interest again, we're not getting all complex with different investments and all that. We all know, generally speaking, that you can earn interest on money, whether it's a certain type of savings account or investments or whatever. We're going to walk through an example here. What we're going to look at is Nelson did a great deal of research in his book. This example is from page 17 in Nelson's book. Now, keep in mind, this is a little bit older because he wrote the book in 2000. But if you were to look at your own financial picture, you'll probably find regardless of how much money you make, this example I'm about to share with you is probably very common, very similar to what you're dealing with. He reckoned that about 20% of your income, it doesn't matter how much you make, you're probably spending close to 20% of your income on automobiles. That might include your payments, your insurance, you know, all that kind of stuff. You're probably spending close to 30% on housing, same thing, property taxes, you know, maintenance, all that kind of stuff. Insurance. And then also you're spending most of it on living, you know, just doing life, buying clothes, buying groceries, all that kind of stuff that we have to do. Now, this is pretty generous, but in this example we are assuming that, that the person, the average person, is saving 10%. I know there's a ton of stats out there that says that the saving rate is far less than 10% on average right now. If you add all that up, really simple math, as Nelson would say, third grade arithmetic, we got 100% of your income right now. What I'm not pointing to here is the interest rate, the 5% on your vehicles. Doesn't it doesn't mean, oh, my car loan is much better than 5%. Mine's only 2% or whatever or 0% financing. What we're talking about here is the actual volume of interest that you're paying to finance cars. So 5% or 5 cents on every dollar you earn is walking out the door on average. Now if you look at your mortgage amortization schedule, what we're talking about, the difference between interest rate and interest volume. If you were to look at a mortgage amortization schedule, let's say over a 25 year period, and you looked at the purchase price that you bought the house for, 300,000 or whatever, and then you looked at the total cost, all in that you would have paid back for the mortgage, you're going to notice if your interest rate, let's say you had an average interest rate on your house loan, your car or your mortgage for, let's say it was 3% on average. I know it's probably much higher than that right now, depending on what the mortgage you have. But you're picking up what I'm laying down. Maybe over the course of 25 years, your mortgage interest rate was 3%. Why is it that the interest amount that you pay is a whole lot more than 3% of what the original mortgage balance was? See, that's the difference between interest rate and interest volume. And who knows this intimately would be the banking system. They understand that. The lenders understand that all you're focused on as the consumer is the interest rate, I think, oh, 1.99 mortgage interest rate, that's fantastic. But that doesn't mean that every dollar you pay to your mortgage only 2 cents is going to interest, does it? We know a whole lot more than that's going to interest. That's the difference between rate and volume. Okay, 5% on living. Right. Because that might be a line of credit, credit card, something like that. And then we've got the 10% savings rate. Here's the problem with all this. What people don't recognize is that if you're saving 10% of your income, you're taking one step forward, but you're taking three and a half steps backward because you're paying 35% of every dollar on interest. And that's not accounting for the fact that 90% of your money total is just walking out the door because you have to pay for life and you're not getting any benefit from any of that other than Getting the thing, buying the gas, buying the groceries, living in the house. Okay, great, you get that. But someone else gets to harness all the energy from your capital. So what I'm going to do is to help illustrate this a little bit further. So let's just imagine that what we wanted to do, for some crazy reason we want to go to Edmonton. Now imagine that we're going to take a flight from Calgary to Edmonton, which I've flown from Edmonton to Calgary before and it took like 20 minutes. It was hilarious. But imagine this for a second. Calgary represents where you're at financially. Today in Edmonton represents where you want to be financially. If you had a ground speed at 100 miles per hour, 100 miles per hour, you're flying at 100 miles per hour. That represents the 10% savings rate from that annual pattern of spending that I mentioned earlier. But now from Edmonton we have a 350 mile headwind that we're flying into. That's not a very effective flight plan, is it? We're getting pushed backwards effectively by 250 miles an hour. We're heading to Montana. What Nelson's talking about here is that there's, there's really not a whole lot I can do about whatever the interest rate is out there on, on loans or even my investments. I can't, you know, there's no point in me trying to work harder or make my 10% work harder. Look at the headwind that I have to deal with. So you listen to your, you know, the financial gurus out there talking about, oh, you can get 10%, 20%, 30% on your money. Well, 30% on your money is not going to do much when you're flying into all that interest and the rest of your income is just walking out the door. Right? So in what we're talking about here and what Nelson taught us was understand the environment. He couldn't do much about the weather patterns, but if he better understood the environment, he could wait until the conditions improved and then he would have better results in flying. The same goes for implementing this process called becoming your own banker. When we start to control the banking function as it relates to our needs and the flow of our money, you're going to see as we go on that it's going to make a dramatic difference on your progress. This is called paying interest. That's what it looks like. So you either pay interest or you lose interest. Okay? Most people, or a lot of people that we talk to, they say, hey, you know what, like Vern, here's the deal, you know, I don't have a whole lot of debt. I'm not sure if this whole becoming your own banker thing is for me. I don't know where people get it in their minds that you have to have debt in order for infinite banking to make a difference in your life. If you don't have any debt or any bad consumer debt, it just means you're that much further ahead because you still need to finance everything that you buy. So whether you're paying off debt or you're buying an investment or you're buying a new car, that's all a financing decision, and you need capital to do that. And it's all a part of the banking process. We might talk a lot about using this system to help improve your debt situation or do what's called debt recapture, which we'll talk about a little bit later, because a lot of people, unfortunately, particularly in Canada, are dealing with debt. But if you don't have debt, that just means you're further ahead, you're ahead of the game. You can start focusing on putting more money to work and creating more income income rather than trying to eliminate your payments and recapture those payments. Right? So you either pay interest or you lose interest. Now, a lot of people say to us, Vern, like, I don't really worry too much about the whole interest thing because I save my money and then I pay cash. I pay cash for all my cars. I pay cash for, you know, insurance premiums and property taxes and maintenance and, you know, renovations. Not to worry, Vern. I pay cash for that. Didn't we just spend some time earlier talking about the impact of opportunity cost? So what people don't actually see is when they're paying cash for things. This is why we need to think about it and use our imagination. When you pay for ca, pay cash for things, you permanently transfer the opportunity to grow that money. The dollar's gone and so is the interest opport the opportunity to grow the interest. But also think about this for a second. How do you actually go about saving money? You work real hard and then you systematically set money aside for a future payment. If you're setting money aside, isn't that a lot like a payment? And by the way, while you're setting that money aside, who's getting all of it? Who has use and control over it, and is it working harder for them than it is for you? Likely. So it's sitting, collecting dust in some bank, and then you drain that, drain that account dry and go buy your car. Now you have the car, but Someone else has all your money and all the growth potential that goes along with it. And then you go back to work to try and pile up the money again just so you can spend it all later. So you're just kind of doing this all the time. You're not making any progress by paying cash for things. So if you look at this slide again, same deal where you're at financially as Calgary, where you want to be as Edmonton, and you're not really getting any further ahead any faster. You're just kind of cruising at altitude, cruising at 100 miles an hour ground speed and you're going to be ahead of the game, maybe this person who's paying all that interest, but you're losing out on an incredible opportunity to grow your capital and you're losing interest. So you pay it, you lose it, or you earn it. Becoming your own banker. How to set up your family bank. Anything that you want to do in life, Is it fair to say that whatever objective that you have, there's different tools that you can use and there's some tools that are better than others? Is that fair? Yeah, right. For example, I used to be a fire systems installer, a sprinkler fitter. So when you look up at the mall or in the condo building or whatever and you see that little sprinkler head there. So it used to be a sprinkler fitter. And we used to use a lot of pipe wrenches. Now you can use a pipe wrench, the back of a pipe wrench to whack a nail, can't you? But it's not the most effective tool for the job. If you want to hammer that nail in, that's your objective. You need to use the right tool. If you want to cut your grass, you could walk out your front door with a pair of scissors, drop to your knees and start cutting and you would achieve the objective of getting that grass cut. But I think we can all agree that a pair of scissors is not the right tool for that job. So we're talking about implementing a process called becoming your own banker. The infinite banking concept, family banking. Well, that's the process. We need a tool to implement that process. In fact, you can use many tools. But the best tool that we've been able to find for this job to implement this process is, is called a dividend, a participating dividend paying whole life insurance contract. The key is it's a contract, it's a legally binding contract that you own and you control. It's actually a piece of property I want to make the point here that although I'm a huge advocate for life insurance and dividend paying whole life insurance is a great tool when it's structured correctly and you working with somebody who actually knows what they're talking about and they have some of their own policies in place and all the rest of it. But the process of becoming your own banker actually has this much to do. Zero with life insurance, right? The life insurance policy is actually just a tool. So you'll hear a lot of people out there sensationalizing this process and, and beating up on whole life insurance or saying this process is whatever doesn't work or it's hokey or whatever it is. Those people, God bless them, but they're missing the entire point. Or you hear hear some people saying that the policy is supposed to be set up like this or it's supposed to be set up like that. What if we set the policy up to meet your lifestyle? What if we build a program that works for you rather than telling you how it has to be and fit me in some kind of box? How about that? People who are saying that the process of becoming your own banker doesn't work, they don't understand the banking process and they certainly don't understand the problem of banking. Because if you're not a life insurance fan or you're not dividend paying whole life insurance contract fan, then go use a different tool. But you should certainly be implementing, you should be controlling the banking function as it relates to your needs. It's just that simple. Now why do we use this dividend paying whole life insurance contract? All I'm going to do right here is I'm just going to point out a few highlights. Okay? We're not going super in depth into a contract or anything like that, but we're just going to point out a few highlights. So participating dividend paying whole life insurance contract components. First of all, you want to think of this whole system as starting your own business. If you're going to start a business. Businesses need time and energy and capital. Right now this process is pretty darn simple and it's pretty passive. But you got to put capital, you got to put energy into your system money and we call that premium. So you get to capitalize your system and who's going to be the one who determines how much premium you're putting into your system? Is that going to be me or one of my teammates or is that going to be you?

If you said you, you're correct, right? We're going to give you some good guidance, but you're the one who gets to make the decision of how much you want to capitalize your system with. And it's really, really simple. A lot of people want to ask me the Vern, I want to see the numbers man. Like what does it look like? How, what's this thing going to look like? What if I put in 5,000 a year? What if I put in 50,000 a year? This is how simple this is. If you put 5,000 in, it's going to do really well and it's going to perform the same way as one. That's 50,000. Just the 50,001 is going to be a lot bigger because you're putting way more cash, way more energy into it. Is that ridiculously simple or what? I love this stuff. Death benefit. The policy is immediately going to have a death benefit, you know, so if I put X amount of dollars into the policy, it's going to have a death benefit that's far greater than what I paid for it. God forbid or higher power of your choice for bid. I get struck by lightning or smacked by a bus or drop dead. Somehow a whole lot more money is going to come out tax free to protect my family and, and to fulfill the promises that I made to them than what I put into it. Is that good or good? I mean, I'm gone, but my family's pretty important to me. So I want to make sure that they're looked after. They never have a bad financial day. Is that fair? The policy has what's called cash value. You could think of that as equity or capital to capital is not cash. Capital converts to cash. So cash value is not cash. It converts to cash. And that cash value, when the contract is set up correctly, it's going to start to accumulate from day one and it's going to grow on a schedule, a guaranteed schedule every single day that you take air into your lungs. Because this policy system is not an investment. In no way, shape or form is it an investment, okay? It's a legal contract that has guarantees, investments. Nothing wrong with investing. But investing has risks. Meaning your capital could grow and build or you could lose money. The policy values are only going to go in one direction. And I'll give you two guesses which direction that is. And the first one doesn't count. You got it? The direction is up. Those values are only going to go up every single day. And each day that goes by, that value becomes locked in vested. Okay? If the policy structure correctly, with the right type of company, you will Become a co owner in the life insurance company. Now I cannot emphasize how important this is right now. You flow all of your capital, all of your money flows to someone else's bank that you don't own and you're not participating in that process at all. I'm not laughing because I'm laughing at anybody who's doing that. I'm laughing because of the brilliant process or the brilliant job that they did to convince us, the banks, that we actually need them, we think or they've convinced us that we need them. So we send our money to them and then they loan that money out and create profit and we don't benefit from that at all. And you're going to flow the money anyway. So would you rather flow the money to a company, an entity that you co own and you get to actually participate in all of that activity, all that flow, all that energy that's growing, you're going to flow the money anyway. So you become a co owner in the life insurance company, you can Access up to 90% of your total cash value anytime you ask for it because you own the contract, you set the terms. So if your cash value is growing every day, what would be happening to your access to cash every day?

It's rising every day and it gains momentum over time. So this process is not an overnight thing, it's not a silver bullet, it's not a get rich quick. This is a systematic process that's meant to be implemented incrementally over time. So people who are out there sensationalizing this message and saying that you could put a zillion dollars into these policies tomorrow and get a zillion dollars out of it. They're short sighted, they're not following Nelson Nelson's teaching and I have full confidence in saying that, God bless them, but they're doing themselves and those clients a disservice. So this is. So the relationship between cash value and death benefit is that your total cash value in the policy actually has to rise to match your total death benefit. And it's on a schedule. So the name of the game is build more death benefit to create more cash value. The more death benefit you build, the more cash value has to chase right on behind it. That's the tool that we use. Those are some of the reasons why we use the dividend paying participant whole life insurance contract. Okay, when I say we're setting up your system, you might not have noticed this just by me sharing this with you, but congratulations, you've already started because you have to start by actually thinking and realizing that there's a problem. Because you recognize inherently, fundamentally somewhere you know that there's a problem. You're like, something ain't working here. The cost just keeps going up. My income is not keeping up with it. My investments might not, might not be doing that great. My interest rates are out of control. Money is always leaving. That's the problem. You need to educate yourself, which is why you're here tonight. Congratulations. And then you're going to continue, continue to consume content. So that's a part of getting started. Like I showed you on that quick Start, Quick Start guide or that seven step guide earlier today. You're here, you're learning. Now you schedule a call, you sit down with a coach and you also understand why we're using the dividend paying whole life insurance contract and there's many other benefits that I didn't mention. When you get together with a coach, what we're going to do is we're going to make sure that you actually have clarity on the problem and on this process and we're going to get clear about how are you actually structured financially? What is your financial makeup? What does your financial DNA actually look like? And then what are some objectives that you actually have? Why are we implementing this process? How do you see this process helping you accelerate your objectives or get closer to your objectives or whatever that might be being more efficient, whatever it is, what are some objectives that you have? And my teammates do an amazing job of helping you uncover some of those objectives as well. Got to think long range, long into the future. However, we want to identify what is a quick win that you can have so you can start to implement the process and start feeling, feeling good about what you're doing. Because although this process takes many years to implement and fully implement or have it grow or whatnot, going to be putting more money into the system in the early years than what you can access out of it. But that doesn't mean you have to wait 5, 10, 15, 20 years to actually get started in making progress and implementing the process. Right away we want to identify something, what would be something that would, hey, if we could achieve XYZ in the next 90 days, would you be really happy with those results? And if the answer is yes, fantastic. So we want to identify a quick win. Okay, now once we present that solution, you go, that's great. Well, now what? Well now we're, remember, we're actually applying, we're using a life insurance policy to implement this process and the life insurance company has a Duty of care to grow profit for the participating policyholders. That's you and me. And one of the things that they do and the responsibility they have is to protect the risk to the owners. We're the owners. So they're going to take a life insurance application and they're going to look at your health and they may ask for some blood or some urine. It depends on your age and the amount you're applying for. They may engage and ask your doctor for your medical record. You know, you give permission for all that stuff. There's a whole process that happens. Usually takes somewhere between three and six weeks to get a policy approved after it goes through underwriting. But you're right, not everybody gets approved because sometimes we have a health situation or whatever it might be, because again, we might be able to improve that situation or whatever. And some of you are probably already thinking, oh gosh, what if I can't qualify? Or what if, what if I'm too old, I hear that all the time. Or what if I'm too young? Like, who knows? All of you are now thinking different things. Now that I'm going through this, I'll point out one thing. Today I have 12 policies in force in my family banking system and I have my 13th policy in underwriting. Right now that 13th policy is on the life of my niece. I have two, three policies on each of my children. We have two policies, three policies on my wife, we have two policies on my own life. So does that one of the questions is, oh my gosh, you can get more than one policy on one person. The answer is absolutely not in every case. But generally speaking, yes, you're not limited to just one policy. I also own a policy on the life of my brother in law. So what I'm getting at here, long story short, you don't necessarily have to be the body. Ideally you would be the life insured or at least one of the life insureds. But if you couldn't qualify because of a health reason or what have you, that doesn't mean you can't implement the process of becoming your own banker. You just need to have somebody who you have a financial interest in and who's willing to put an application in on their own life, or if it's a child or something like that and you're their guardian, then you have control over that. So you can do something for that child that they can't do for themselves and you can be the owner of the contract still and have total and absolute control. We gotta capitalize your system, we have to pay the premium because again, you're already paying the premium right now. You just don't know it because all of your money is flowing somewhere. All of your money has to flow somewhere and it has to be stored between now and when you use it. So every single dollar is already being used. You're already paying the premium. We just need to reevaluate your spending or where you're saving money and redirect cash to your policy system. This is not me or us saying, hey, this is how a policy has to be structured. This is how we structure policies. This is just a very, very simple example only to show what is possible. Who is the only person that can collapse your banking system? So if you don't pay the premium or you're, you're pulling out policy loans or borrowing money from the policy, not paying those loans back. Like do banks do real well when they don't get their loans paid back if they're not receiving deposits or capital? So why would this system be any different? We're talking about becoming your own banker. We're literally implementing the banking process using the whole life policy as a tool. So you got to pay premium and you got to repay your loans, but you have control. That's the key. If you needed to pause or decrease or increase or whatever your payments, guess who has total and absolute control. You just have to have an intention. Your intention is to pay the premium and to repay the loans. Okay, now earlier today I used an example. You could see up here. I happen to pick a male. I'm not picking favorites here. I just happen to be a male. I picked a 25 year old single individual and a non smoker. Okay, now again for all you gurus out there who might see this, we recognize there's a bunch of different ways to set up policies. We already know that we're going to set up a policy or system of policies based on your individual needs. That means we might account for different types of premium flexibility depending on your situation. We might make it bigger or smaller or somewhere in between, we might increase the death benefit or decrease the death benefit or whatever. All these different things depending on your situation. So please don't look at this and make a bunch of comments and talk about how it's good, bad or indifferent. Okay, it's just a simple example to show specifically the reason why I'm sharing this is, is the potential. You could see here that it says right here, cash premium, right? There's $50,000 a year flowing into the policy. Lorraine if you earned 50,000 bucks a year, could you turn around tomorrow and put 100% of your income into a policy? Please say no.

No, I don't think so.

No, you cannot do that because you need to use that money. So the policy system has to grow. So a lot of people get on calls with us and they say, I want to put 100% of my money into this thing. That's great, I want to do that too. But again, read Nelson's book and he'll clearly lay out that's not how it works. So again, this is not an example to say, well, hey, you're putting all your money in the commercial bank. Just turn around tomorrow and put it all into a life insurance policy. Doesn't work that way. Again, this is just to illustrate the power of this tool and the growth potential that your capital has. Most of the policies that we structure, again there can be different ratios here, but you could see $50,000 in this example. That would be the maximum premium that can go into this policy. But you can see right here, see, it says guaranteed premium. Again, this can be changed and moved around. And this isn't the 100% how they always are. And oh, I don't want to hear it. Okay. But we hear so many people get on calls with us and they start talking about all this weird stuff, 9010s and 8020s. And oh, I listened to a guy out of the US and he said it has to be a 9010. And what the heck does that even mean? The problem is all of your money is flowing to someone else's bank. The solution is the process of becoming your own banker with a properly designed dividend paying, participating whole life insurance contract. Forget about all this nonsense about the product. You got to flow the money into the system. You got to capitalize it. And by the way, this is a base premium. Lorraine, would you say, is there, is there quite a bit of flexibility between $50,000 and 19?

Yeah, almost $30,000 in fact.

Yeah, $30,953.81. That's a lot of flexibility. But Lorraine, would you also agree that this is a pretty strong foundation, isn't it? Y Y if you have a really small and weak foundation, how tall can you make a building?

Not very tall.

Yeah, you don't have to be Tehran or Sarblo or an ex recovering engineer to know that that's simple, basic stuff. So if you want to build a strong family banking system, you better have a strong foundation. Simple as that. Because there's a really important contractual guarantee. Lorraine, you see this right here? It says guaranteed death benefit. So on this 25 year old healthy individual, he's going to put 19,000 bucks a year into this example and he's going to create just under $1.5 million of permanent death benefit. That means if he pays one month or one annual premium and gets smacked by a bus, no less than $1,499,700 is going to pay out tax free to the family. Is that pretty good? Aside from the fact the guy died, that would be the minimum amount of cash value that has to accumulate by age 100. But Lorraine, who has more control over what happens to the death benefit? Us or the life insurance company?

Us.

Absolutely. That's because when we decide to pay more premium and when we receive a share of the profit every year from the insurance company, these insurance companies have been paying dividends in Canada for about 175 straight years. But the general public has been convinced that this is a stupid place to save money. Makes no sense to me. But when we pay extra premium or optional premium into the policy. You can see the key word here, Lorraine. Optional. Do you like to have options, Lorraine? If you were planning to put $50,000 a year into a policy or $5,000 a year into a policy, or $2,000 a year into a policy, or $100,000 a year. You see where I'm going with that. Lorraine, if you were Planning to put $50,000 into a policy every year, is there a chance that life could happen and you might not have $50,000 on the policy anniversary date in the third year? Could that happen?

Yeah, absolutely.

Would it be good if you could like reduce your premium and then make up for it later? That'd be good, wouldn't it? Okay, awesome. So we structure the policy so it has a lot of flexibility, which helps it, you know, accumulate more and create a lot more value and immediate accessible cash and all that kind of stuff, which is great. But you can see that's what gives us the total premium of 50,000. It's the 19 plus, the 31 gives us $50,000. And now, Lorraine, didn't I say earlier that you're going to put more cash in the policy in the early years than you're going to get out of it? Is that. Did I say that?

You did, yes.

Awesome. It takes time, people. But one thing is the time is going to go by anyway. When are you going to not need capital in banking? The answer is never. So you can see here I put $50,000 a year in this example, this 25 year old guy. And then he's got $42,500 of cash value by the end of the year. And then, Lorraine, can you do me a favor as I scroll down here, can you pick a year where that cash value goes backwards?

Can't see. Can't see one.

Can't see one. Isn't that interesting? Okay, fantastic. Now this I really like. Can you just read that highlight for me?

It all reminds me of a phenomena in physics. Take a pail of water to the seaside. I want you at sea level and heat it to 210 degrees Fahrenheit. And all you have is very hot water. But if you heat it up to 212 degrees Fahrenheit, you have the live steam with unbelievable power. The steam engine changed the world. But it doesn't happen until you get past 212 degrees. Lots of heat goes into the process, up to boiling point, but the dramatic power comes suddenly.

I want you all to think about that for a second. The steam engine changed the world. Nelson had amazing analogies and this is why we say you have to think. Sometimes people read the book and they come out and they go, yeah, you know, I got a lot more value out of your video. I didn't, I didn't really get a lot out of the book. It's because they just gloss over. This gold right here, this is gold. What is he talking about, Lorraine? What he's talking about is heat, fuel, energy, this cash value. Take a look at the cash value here, Lorraine. You see this column? It says annual increase in total cash value. By the way, Lorraine, if you decided not to put the full premium in or you put, or you delayed putting the premium in, would that have an impact on the values?

It would, Yep.

Yeah. So like your behavior is more important than the life insurance company, right?

Yep.

Could interest rates change, like the dividend scale or whatever?

Yep.

Could the cost of insurance change?

Yeah.

Are there some factors that might impact the values of the policy?

Yep.

Yes and no. I might. That might have been a kind of a trick question. Yeah, there's a lot of factors that are out of our control. So if there's out of our control, Lorraine, would it be worth it to spend a lot of time worrying about those things?

No.

No. For God's sakes, no. Free yourself, liberate yourself. Who cares about the dividend scale, interest rate or whatever the heck? Who cares? It doesn't matter because the money has to flow somewhere. What you can control is how much capital you put into the system and how you use the tool, how you actually implement it in your life. And there's so many things that are available to you that you cannot see on this chart. That's what we're trying to get people to focus on and to think about and to use your imagination. Now, Lorraine, do you see right here? This is annual increase in the cash flow. So we can look at the whole cash value total here. And that's great. But what this is showing is the year over year growth on the cash value. So at the end of the first year we have 42. 5. At the end of the second year we have 89. 9. But the growth difference between year one and year two was 47 versus 42. Are we gaining momentum? Do you know what they call these first few years? That's just hot water. That's 210 degrees Fahrenheit right there. But do you see where. What's the premium?

$50,000.

What was the cash value growth in the third year?

$51,750,000. And your mouse is on it. $57,000.

Oh, sorry. Okay, so every year thereafter, does the cash value increase by more than $50,000, which is the premium we're paying?

It sure does.

It does. Okay, do you see? Now we have live steam because the system is kicking out more energy than what you're putting into it, isn't it? Have you ever heard of a term cost neutral? Have you ever heard of that?

Yep.

Okay, so five times 50,000 is 250,000, correct?

Yep.

Is that more than $250,000 in the fifth year?

It is.

Lorraine, would you be real upset if that didn't happen till the 8th year?

Would I be real upset if that didn't happen? Yes, you would. I think so. Happen earlier.

Hey, we all would. But my point is, who the heck cares? Is there any, what I'm getting at, is there any guarantee that that's going to happen in the fifth year?

No, there isn't.

No. It doesn't matter because are you going to put the 50 grand somewhere anyway?

Exactly. Yeah.

Yeah. And do you have a lot more years hopefully in front of you than five?

Yeah.

Yes. Okay, great. Now the only reason I asked you that question, Lorraine, is because again, I don't want people looking at this and going, hey, great, I just watched this webinar and my policy values are going to be greater than the amount of premium I put in after five years. Isn't that awesome? There's no guarantee that that's going to happen. It just happens to be in this policy design for this individual at that age and that health status and all the rest of it. Every year thereafter, the cash value increases by more than what we're putting in now. This is not meant to be compared to an investment because I guarantee you, people are looking at this right now going, oh, I could do way better than that in the stock market or in private lending or real estate investing. Yes, you probably could. But this is not a this or a that situation. It's a this and that situation. Ask yourself this question, savvy investor folks who can build an investment much better than this policy? If you implement this process, does that mean you're not allowed to or you can't go and take advantage of investments? No. In fact, we would love for you to use your system to finance the investment deal. Because what a lot of people don't see is that in order for you to inquire acquire an investment, it requires a process called banking. A transaction has to occur. And who is controlling that transaction? The answer is not you. So that means when you take the cash and you buy the investment, the investment grows, but your capital is gone or it's tied up, your cash is no longer growing, the investment's growing. Why not take advantage of both sides? Why not control the banking function and have uninterrupted growth in your capital and still be able to acquire the investment and enhance your results without working any harder or taking any additional risk? I used 50,000. Because we used 50,000 in that cash flow example earlier, right?

Yep.

So if we. Lorraine, if I highlight this column and I cut the premiums off at age 65 on purpose, could I continue to pay premium beyond 65 if the policy structured to allow me to do that?

Yep.

Yeah, but I did that because of quote, unquote retirement age. Okay. Now, Lorraine, could you take a look at the. Can you see, this is really small. See the bottom of my screen? Two million bucks, right?

Yep.

Total premium, $2 million over 40 years. Do we have a lot more cash value than 2 million or a little?

A lot.

That's a lot, isn't it? Now, Lorraine, I want you to listen to this question very carefully. If that number was $4 million instead of 6, would you be real upset?

I wouldn't be mad at $4 million, no.

Well, because how much did you put in?

$2 million.

And if you put $2 million through the commercial banking system, how much do you get to spend?

$2 million.

$2 million. So we're putting the same amount of capital through this system. And it looks to me even if I royally screw this up, I'm going to have a lot more cash in put into it. Let's just pick age 68 for a second. You see this right here? It says that the cash value increased by 363,000 bucks that year. Maybe it's 300, maybe it's 315. A lot of factors are going to play into that. This is just a projection. Most of it depends on your behavior. But the question that I have for you, Lorraine, is how much cash did you put in in that year?

0.

0. You know, a lot of people ask me silly questions like hey, what's the rate of return? Well, rate of returns refer to investments. But Lorraine, if you put nothing into a system and you grew 363,000 bucks because of behavior you displayed earlier in life, what would be the rate of return that year?

Astronomical.

Is that infinite or what?

Yep.

Fantastic. This is a pretty amazing tool. But does it happen overnight?

No, it doesn't.

No. By the way, Lorraine, you see the total cash value over here? I didn't talk about paid up additions. Right. That much. Basically, guys, when you're paying premium and receiving, guys and girls when you're receiving, when you're paying premium and receiving dividends, we're using that optional premium and the dividends that come in to actually build and grow your death benefit through something called paid up additions. It's paid up additional death benefit. That's why you can see the total death benefit column. It's growing pretty rapidly over time, isn't it? Lorraine, can you tell me, are we as we're younger, when we're young, are we further protecting the family by growing the death benefit?

Yes.

Are we guaranteeing and securing our legacy? Yes, absolutely. Now, the more death benefit that grows, the more cash value that's going to be produced. Lorraine, can you, can you confirm for me that's the total death benefit right there?

This is the total cash value. Are those two numbers exactly the same?

Yes, they are.

Right. And if you chose for 10 or 20 of these years to pay a lot less premium, would there be less death benefit?

There would be.

But would the death benefit and the cash value still equal?

It would.

So does it ultimately? Well, it does matter how much cash you put into the system. But is it going to work the same regardless of how much you put in?

Yep.

And isn't that good? We've already established that a 25 year old person or even anybody isn't Going to turn around tomorrow and take 100% of their income and put it into a policy. Are they right? They can't even do that. We couldn't even get that past an underwriter. It has to be done over time. Now that's not realistic. But Lorraine, is it realistic that this individual could save 10% of their income as premium?

I think so.

This is where it gets good, guys. There's a group of people out there that think, oh, infinite banking, man. You gotta, you gotta put like a gazillion dollars worth of premium into these policies. It's crazy. Lorraine, is 5,000 bucks a lot of money? It might be to some people, but it's just, it's not a lot of money, is it?

It's reasonable for 50. If you're making $50,000.

If you're making 50 grand, it's pretty reasonable. Right. The reason why I'm highlighting this is, Lorraine, look at the minimum Premium is, it's 2000. The other one was 19, not quite, but pretty darn close in terms of a structure. Right. The flexibility. This one, three grand. The other one was a little over 30,000 or something. The total premium's five grand. This is 10% of the size of the other one. Now you can look at what happens to the cash value. It starts to accumulate over time. Right. And then look at the year over year growth is the same phenomenon not occurring in this policy as the much larger one.

It is.

It's the exact same thing. So it's not about what does the policy cost or how much can I, or do I have to put in, it's how much can you put in? And it's not about how much you put in. It's that you put something in and get started. It's as simple as that. So the same phenomenon starts to occur now, the other one. Yeah. If you looked at the actual values, they're a little bit higher. Well, they're a lot higher because of the money that you're putting into it. But the, the actual growth rate, if you want to call it that, would be higher. But that's very simple. You're just putting more energy into the system. So it's like Costco, right? You put more in, it works harder for you type of deal. So here's the deal, Lorraine. I, I did all that to do this. If I were to add this all up, simple third grade arithmetic. $200,000 worth of premium compared to 2 million. And look at that, we have $605,000 worth of cash value. That's what I meant. The other one was 6 million 250 or something. So the ratio bit more cash in there in comparison, but it's because you're putting more energy into the system. But are you real upset about that, Lorraine?

Nope.

Is that way more than what you put into it?

Yep, it is.

Okay, can we confirm that the total cash value matches the total death benefit? 3 million bucks at age 100. 3 million bucks. Are we doing okay?

Yes.

Fantastic. Is that good or good? Right? So forget about the numbers. Just know that if I come out ahead, why on earth wouldn't I do it? And you're already putting the money somewhere anyway. Now, once we get to that point where you've got your policy approved, you've now capitalized it, meaning you've paid the premium, whether it's monthly or annually or a combination of both. Whatever works best for you. That's the other thing. You have freedom and flexibility over that. You're going to have what we call an onboarding meeting with your coach where you're going to get together and you know, maybe everybody's process might be a little bit different, but I like to review some of the pieces of the contract with my clients. I like to help them. I like to show them the values of their policy and how it's growing every day. We make sure that you get yourself set up with if it's the right type of company. We make sure you get yourself set up with your client access. So we actually have a tool that I'm actually going to start to leverage more because I realize that we have some amazing tools that I don't always use. So this is the type of value that Ascended Financial offers. We actually want to help people by helping them. And we give you access to a client portal, we give you access to an amazing coach, we give you access to tools and resources to help you continue your learning. And then a guide. This is a 12 step quick start guide because guys, if you don't engage with the process, you're going to forget why on earth you're doing it in the first place, right? You use it or you lose it. You use the process, you implement the process, you get used to the process or you'll forget why you're doing it. Set up your policy for online banking, right? You have, you can, you can pay premiums, you can pay loan repayments. Very simple process through online banking. We'll walk you through all that. I'm not going to go too deep into it. Depending on the company. Not all life insurance companies like human beings are created equally. Some have some really great tools and really great resources for you to use. And some, it's like they're shadow people and you can't get a hold of anybody. It's really weird. Depending on how you're set up, if you're doing monthly premiums, you have to send your banking information in. We talk about protecting your data. There's an Ascended Financial client portal, so you get access to Ascended Financial client portal where there's a bunch of tools and resources and exclusive content that isn't available to other people. We talk about how you have to reduce the friction points, man. You have to find ways. And again, your coach will help you with this. But you're going to develop a rhythm that actually works for you to implement the process. Is it going to take a little bit of work? Is it maybe a little clunky in the beginning? Do you have to get used to it? Yeah, it's not a perfect world, man. You got to get used to the process. But you have to if you have the desire and you know that the banking system is a problem and debt and all that stuff's a problem, it's worth dealing with a little bit of, you know, just getting your rhythm. Take a couple months or years or whatever to get used to it. Set a reminder. Set a reminder to pay your annual premium. If it's an annual premium, track your premiums. If you're putting premiums into the policy, maybe sporadically, maybe you didn't max out the whole premium like you put the 2,000 in or the 19,000 in, and you're chipping away at the rest of the premium. Track the premium so you know how much you put into it. Meet with your coach, get in communication, take your first policy loan. I always encourage people, even if they're trying to build something to save for a specific objective. Let's say I would just take a policy loan just to practice, even if it's only 500 bucks, go buy groceries on your credit card, take a policy loan and then take and pay off your credit card with it. Is that what you're supposed to do? No, that's just an example. But do something to engage with the process so you can go through and get that loan process set up. And you now you see what it was like to take the loan and how quickly it got to your bank account. And then now you get to practice repaying it. You're getting into the swing of it, right? And then you kind of build on top of that when you Start to get momentum. Keep track of your files. I always tell clients if you're, you know, maybe your statements and whatnot, but if you make a payment to your policy, like you got to treat this like a business. If you make a payment to your policy from online banking, wouldn't it make sense to maybe take a screenshot or do a print to PDF, create a folder and save that and show that, you know, just so you have it for your own records. Is it possible that when you send a payment to the life insurance company, you know there's a human being on the other end, right. They might forget to hit enter. We got to trust but verify. We might have to hold them accountable and say, hey, I made a payment about two weeks ago and I noticed that it hasn't been added to my policy. Or you guys put it into premium instead of the policy loan or it went to the premium deposit fund, like what's the deal? I sent you instructions telling you how I want it to be applied and here's my payment confirmation from that day. And they go, oh, oops, sorry, our bad. And they clean it up and it's no big deal. It doesn't happen very often, but it can happen. So keep a record of things. Don't steal the P. This is the number one thing. Again, your coach will help you with this. But if you borrow money out of your policy and you use that to do something like pay off a debt or invest money and create cash flow or get a discount on an annual expense or insurance or something like that, isn't it makes that the money's got to go somewhere. You could take that money that you've now saved or the new income you've created and you could spend it. But that's not a good practice. Just redirect it back to your policy. Don't steal the P's and you'll know what we mean by that. When you read Nelson's book, page 17, the Grocery Store example, you got to restock the shelves. If you're going to take inventory off the shelves, I. E. Cash capital policy loans, you got to restock the shelves so you can go back and recycle and reuse that money again. Log into the Ascended Financial membership portal and go through that. So that's kind of a quick look at the Quick Start guide. And again, your coach will help walk you through all this. But you're not left high and dry is what I'm getting at. You're not buying a product and left to figure it out on your Own. You're implementing a process and you're going to be coached by somebody who actually understands what they're doing. They're proficient, they've practiced, they have policies. Most of the people who are on our team, a lot of them started as clients. They started by implementing the process themselves and then going, hey, like, this really makes sense. And I love this stuff and I really want to help other people get the same benefits that I got. Like, how do I join your team? Right. So our team is growing and many of our new teammates are our clients. It's incredible. We're going to do a really quick case study because I want to show you guys. Would it be good to see a practical, practical example of how I was able to use this system in my own life. I've used it for many, many things. But this is just one example, because now we walked through how to get started and all those things. Well, now you're going to start to apply the process to your life. We talk about recapturing debt because he or she who controls the debt controls the wealth. It's that simple. The real asset is not your home to the bank. They don't want your house. They want you to keep making the payment. It's all about the flow of money. And that's what this process is all about, is controlling the flow of money. So when we talk about recapturing debt, I'm talking about my Ford F150 that I had a payment schedule on. I paid it off five and a half years early. So I was already planning to make the payment for the next five and a half years. 600 bucks a month, just leaving me the balance I owed on it at the time. About August 20th of 2021, I owed $34,380 on the. On the vehicle, and I had it for two and a half years up to that point. So I've been paying $299.37 BI weekly for two and a half years. And God, it was painful, man. But I was building my system that ent. I didn't have the capital in my system to finance the vehicle when I bought it in 2019. I still have that vehicle today and I own it outright. I'm controlling the payments because my payment was about 600 bucks a month. And I borrowed the money out of my policy and I chose to repay the loan at 700 bucks a month. Yeah, I made a bigger payment because if I can go back and access every payment that I. Every penny that I paid back to the system as a loan, would you ever object to paying back more to it? Right. I'm just saving more money in my policy so I can go back and re access more later down the road. What I decided to do is create a schedule, $700 a month for 60 months, which equals 42,000 bucks. So I borrowed out 34,380 or whatever it was, and I'm paying back 42,000. I'm flowing more energy back to the system. And by flowing more energy back to the system, I'm improving my policy system. But I'm also helping to increase the profitability of the life insurance company that I co own and they're legally bound to share profit with me. Pretty good deal, right? And you're making the payment anyway. You see, we're not doing anything much different than what you're already doing today. We're just changing the process. That's it. I'm paying extra interest, if you will, back to my policy and if I can't, if I repay the loan faster. Do you remember that policy design that I showed you earlier? What if I have a policy where let's just use 50,000 as a simple number. Let's say I paid $50,000 into, or I have a policy that can hold 50,000, but maybe I only paid 35 or $40,000 worth of premium. Couldn't I then take some of those extra payments or a portion of my loan payment and flow it back to the policy as the in the form of premium and make the system work harder? I absolutely could do that. Now you can get some good guidance from your coach, but that's your decision to make. This is also a common misconception because they read it in Nelson's book and he talks about exactly this, putting back, putting back extra interest as premium to make the system grow. So people say to us, sometimes they go, hey, when you pay interest into the policy, that helps grow it, right? Well, if it's a loan repayment, you're just replacing the cans of peas on the shelf. You're just being a responsible banker and keeping your system strong to grow the system and make it work harder is ultimately paying premium. So if you want the system to work harder, pay more premium. So here's the real key that I might not have emphasized as much earlier. It's that your behavior, you're in the driver's seat, your behavior is going to directly impact the growth of your system, the banking system or your banking business more than anything the life insurance company is ever going to do. If you put more premium into the policy and it buys a chunk of paid up additions. They respond to your behavior. They go, oh my gosh, we were putting 10 or 20 or 30 bucks a day into Vern's policy and he just paid more premium and bought more paid up insurance. And now we have a bigger target that we have to hit. We have to increase the growth of the policy to stay on schedule. It's a simple decision because your money, your capital is already flowing. It's already flowing, but it's all about where, where is the money flowing to? It's all about desire. This is one of my favorite excerpts, is that what they call it? From Nelson's book? But it says, assuming that by now you are sufficiently convinced that this is the course of action that you would like to take, the question becomes, how do I get started? Now, we talked about that already, but I like what Nelson says even better. He says, the most important word that comes to my mind is desire. Because without it, you probably can't do it. That is so important. Is there a high likelihood that life is going to happen and you're going to run into a problem and things are going to get a little bit hard? Well, you have to evaluate what matters to you. It's easy to implement a process when everything's running all smooth. It doesn't matter if you're doing diet or exercise or, you know, you're just trying to quit smoking or change some other behavior, whatever it might be. When you're empowered and feeling good and your energy is high, it's easy, baby. Your results in life are determined by how you behave when you're at your worst. That's what it's all about. When you do what is difficult in life, life will become easier. But if you do what's easy, life will become harder. That is just the truth, man. So desire, without it, you probably can't do it. Remember Parkinson's Law from part two? Now, we didn't talk about Parkinson's law, but really quickly defining Parkinson's Law. Now think about this for a second. It can be defined as a luxury once enjoyed becomes a necessity. When's the last time you bought a new vehicle without any air conditioning? You probably have leather and heated seats and a heated steering wheel. Now, all the fancy stuff. And you're not going to buy another vehicle without those things, are you? Because it's a necessity now, right? That's how it works. That's how they get you. You could think about Parkinson's Law as work will expand to the time envelope allotted. Which is exactly why I finished these slides an hour before the webinar. I had some other stuff I was up against. Okay, not to make excuses, but that's actually true. Or have you ever heard this one? The more you make, more you spend. Well, that is what we call a relative truth. It is not an absolute truth. That all comes down to your desire and your behavior. That's Parkinson's Law. Your expenses will rise to match your income. You got to whip Parkinson's Law, as Nelson would say. So he says, remember Parkinson's Law from part two. Everyone is already spending all financial resources that he thinks is best. There has got to be some honest introspection at this point. And a commitment to getting out of financial prison must be a burning passion. That is powerful, man. That is powerful stuff. It's all about desire. It's all about what matters to you. Remember I said that the policies are going to grow every single day. I have policies that all grow at various rates or daily growth. It all depends on how much premium I've been put. I put in how long I've been doing that for. There's factors that go into it. But this particular policy that I was, that I chose to flow the money to because we all do it differently. I flow money to certain policies for certain reasons. I'm flowing this money to a specific policy now. You'll notice that it says $13 a day of growth. Or what I mean by growth is PL policy loan availability. So I'm literally looking. I have zero dollars today, tomorrow I have 13 bucks, the next day I have 26 bucks. And so on and so forth, right? 39 and so on. The, the, the loan availability is going to go up every day. If it's 500, it'd be 513 and so on every day after, every day thereafter, right? Now, when I say net of interest, you're all smart people. We just said that we co own the life insurance company. But the life insurance company has a commitment. They have a duty of care to put money to work in order to grow profit to share with us. So I always ask my clients, I go, look, is it reasonable that they would charge us some interest if they lend us money? Because we're borrowing their money while our cash stays in the system and grows every day? Oh boo hoo. They charge us a little bit of interest, right? But if I found out that they were lending all of you interest or loans rather, without charging you interest, I'm gonna be real PO'd because they have A duty of care to grow profit, which I want them to share with me. So if I'm gonna either pay interest or lose interest, why wouldn't I, why would I object to paying interest to a company that I co own? My behavior is helping make them more profitable and thus they're gonna share that profit with me like a no brainer. And not to mention, every penny that I pay back to my policy, including the interest, I get to go back and use it again anyway because I'm the banker and the bank owner. So all these people out there that are talking about interest rates, oh, but what's the interest on the policy loan? Dude, you're getting the money back, you're paying it back to your own system, you get to use it again. Why do you care about the interest rate? Who cares when I say net of interest? I'm not going to go into depth in this. I don't want to confuse you guys, but basically what they do, they don't interrupt the cash value growth. But my loan balance and the interest that that's charged on that loan is going to impact how much cash I can access on a daily basis. So for example, this policy actually grows every day closer to like 20 bucks a day or something like that. But I've got interest cost of like five or six or seven dollars a day. So they just withhold that interest cost and they give me access to the net amount. But my net, as long as my net, my policy is efficient. If my net access to cash is net positive of the interest, even if my interest was 13 bucks a day and my available cash was 7 bucks a day, I'm still net positive $7. So that's why a lot of these people out there who are structuring policies where the base premium is super low and you could put a zillion dollars in the policy and get access to all that money right away, they're going to have some really disappointed clients and not know how to explain it when they realize that their loan interest rate is outgrowing, outweighing the growth on the policy and their loan availability is going backwards. It's not good. You have to structure the policy so it's strong and it's efficient so that it's net positive. So you're always creating a perpetual tailwind. And so what I mean by that is cash values or my loan availability is growing every day by 13 bucks a day. Multiply that by the average month, 30, 30 days, that's $390 a month whether I pay back the loan or not that I have access to. So what am I doing? I'm paying $700 a month to the policy loan cash values or my loan availability has grown by $390 a month. That means every time I pay 900 to the system or 700 to the system, I can go back and access almost 1100. You remember that image that I showed you earlier? You pay interest, you lose interest, or you earn interest. You either have a tailwind or a headwind. Neutral or tailwind. There it is right there. Now, you can see by changing the process, I'm going to be at the West Edmonton mall much faster now because I have a tailwind. My ground speeds 100 miles an hour. But that interest that I used to pay to other people is now flowing back to me and my family and help propelling us further, faster without doing any extra work or taking any additional risk.