How To Grow Your Wealth With IBC During a Recession

Opportunity to increase your knowledge. I'd like to just welcome each and every one of you. And I wanted to do just a short little, you know, prep. Before we get started with our webinar tonight, I just want you to know about a couple things. First, we're going to expect you to be engaged. And there's two ways that you can be engaged with us. One is through the chat box, so that if you look at the bottom of your screen, and again, it depends what kind of device you're looking at it. If it's on, you know, smartphone or something like that, you may have to, you know, swipe it over, but you can find the chat box and that's where you're going to just engage. And when you have things you want to say or be engaged in. And like right now, like, I just, like everybody that's joined us tonight, just go to the chat box and put. Where are you joining us from? Across this great country or across North America? Just let us know where you're coming from and where you are tonight. That would be greatly appreciated. Now, the other thing I'd like to encourage you to do, when you have a question and questions are good, I'm going to encourage you to put those questions in the Q and A box. So if you look down again, the bottom of your screen, you'll find a Q and A box and that's where questions go. So please just use the Q and A for questions and use the chat to, you know, just be involved. When you know, our presenter, Roman, asks a question, that's a great place to respond is in the chat, but your questions go in the Q and A. The other thing I'm going to encourage you to do is, you know, as Roman is presenting tonight, a lot of the questions that you have will be answered. So I always encourage people just to write down the questions you have and then as you get later in the presentation, and if it hasn't been answered, by all means, put it in the Q and A box. And. And with that, I'm just going to turn our presentation over to Roman. Roman, take it away.

Awesome. Thank you so much, Dan. I really appreciate the introduction. I am super excited to see everyone who has joined us today. We have more than 80 people on the call today and I hope you have great.

I hope you will enjoy this time together today. And then I hope you have a pen and a notepad so that you can take some notes and not just for the takeaways from what you learned today, but also you can capture some Important things, what you need to research on and also.

How you can contact us as well. All right, well, without further ado, let's actually start the presentation. I'm going to share my screen and then if you don't mind, please let me, let me see if you can see my screen. Okay.

Yeah, just.

Awesome. I'm gonna make it a full screen.

Please bear with me. I am trying to make it work. Just give me, give me a second. Oh, here you go. Can you see my screen? Okay then.

Yes.

Yeah, it's good.

Awesome. Sounds good. So I wanted to take a moment and to share the picture of this man. His name is R. Nelson Nash and he's super important to me and all our team because Nelson was the person who discovered this amazing concept on the infinite banking concept. And you may have not watched the film about Nelson Nash. So the documentary film is called this is Nelson Nash the creator of the Infinite Banking concept. I did not was. I was not lucky enough to meet Nelson in person, but he changed my life forever because the concept itself, the idea that I can become my own banker changed my life. And if you haven't watched this, this documentary film, please go ahead and and write down this link. You can do it later. It's about one hour long video. It's Nelson Nash film dot com. Again, it's Nelson Nash film do. And one of my amazing teammates can actually share this in the chat window as well.

So disclaimer. Before we begin, I wanted to mention that everything that you hear today is only for, for educational purposes only. You're not supposed to do anything based only on this presentation. You need a help of licensed professional to implement some of these strategies. Please don't do it alone. Seek the help of financial professional which is one of our team or anyone else who can provide tax advice or insurance advice.

Our team is amazing. By the way. This picture is a little bit outdated. We need to have a new picture because we have a lot of new amazing teammates joining our team in, in the last two months and we all practice infinite banking. So what we teach, what we preach, we also practice and at a certain financial we work every day to increase the net worth of our clients by implementing the process of becoming your own banker.

We believe in adding value. So and the testimony to that is we have a lot of Google reviews and we love 5 star Google reviews by the way. By the, by the end of this video we will share links where you can also click the link and share your experience with us today. What you learned from this webinar and our five star Google review count is actually more than 1200 right now. And you can see that we have a lot of locations and we have have these reviews across, across the different locations. For example Winnipeg we have 46 reviews. Calgary 132. Toronto 505. Edmonton 307 and so all together we have more than 1200 and I wanted to read some of them. So for example from Arnel Arnell is saying that the team is absolutely amazing. They have been instrumental in providing my improving my financial life providing me with comprehensive information walking me through each step of the process. They've ensured that no detail is left unexplained. Thanks to their support I've gained valuable knowledge that has significantly, significantly enhanced my financial well being. Nerdos is sharing that I was initially anxious. So when we hear news like you know, interest rates going up and the taxes are going up we get anxious and that's, that's normal reaction of us. Right. So and narratives was actually anxious as well. But he says that.

The process, the Elizabeth made it very comfortable the process of implementing this. Another one is from Nelson. Nelson is sharing that Henry was a very professional and excellent advisor. We had discussed about my policy more than a year ago and once I was ready to start a policy things started to happen to me. Keep up. Good work. Henry is an amazing advisor and Henry helped Nelson implement this strategy as well. This, this review is so big that I had to actually scroll up a little bit so that.

I can't, I could not actually capture the name of this person because this distribute is so big. So I highlighted some, some notes here. He says I cannot speak highly enough of ascending Financial and especially Dan Allen. And then Allen is amazing. Dan has been an invaluable guiding support to him. So what sets Dan apart is meticulous attention to details and especially when it comes to tax implications as well.

Gloriana says that she was so sarblo and the team was able to illustrate how she can actually get, get out of debt using the system. And also Sasha McDonald was also fantastic, a great support and very helpful. She loved knowing that we we've got our team in our corner to help manage our finances. So we have a lot of positive reaction, positive reviews from our clients. So let's dive deep into increasing net worth. So what is net worth? So net worth is the value of assets a person or corporation owns minus the liability they owe. So whatever assets you have minus the liabilities, that's your net worth. The net worth is depending on assets. The more Assets you have, the more net worth you have. And the liabilities. The more liabilities you have, the lower net worth will be.

The net worth can be either positive or negative. So this is an example of a positive net worth. So assets is $650, liabilities is $400. And the total net worth is 250. Very simple. Negative, negative net worth. It's also possible that someone can have a negative net worth. The assets are actually lower than liabilities. Assets are $480 and liabilities are $670. So the net worth is minus $190. Guess what? This person is probably using that and paying a lot of interest to banks. Right? Because if they have a lot of liabilities, it will probably cost them a lot of money. What is net worth? Telling you. So calculating net worth involves adding up all your assets and subtracting all your debts. There's no hard rule for determining your right net worth. But you should know it is headed in the right direction towards a comfortable future. That's key. If it is not, then it's time to cut your spending, reduce your debt, or both.

So when you look at main things that destroy the wealth or destroy the net worth, people will name normally things like inflation, taxes and fees and interest.

In order to illustrate how the inflation affect affects the net worth, let's look at bank bank of Canada website where there is a calculator. You can play with different years to see how much purchasing power was Canadian dollar lost in the light in in the time frame of these years. So I took last three years from 2021 to 2024 and I entered $1000 in 2021. What is it in in 2024? In order to buy things that is equal to 1000 three years ago. Now today you need 1100 $44.70. That's 14.47% lost of purchasing power. I was shocked actually when I saw this number. Because if you divide it by three years, you will see that it's closer to 5% a year. That's very high inflation.

What does it mean in terms of purchasing power? What is purchasing power? Purchasing power is how much products or services you can buy using the same amount of money. For example, $100 in 2021 can be used to fill up this basket of goods or basket of, let's say groceries, right? So in 2024.

Using the same amount of money, $100, you need a smaller basket. Why? Because the purchasing power of $100 bill actually reduced by 14.47%. So now you're either your basket has to be smaller or you need to, you need to have more money to buy the same amount of, of groceries.

Let's look at the impact on wealth on, of the impact of taxes on wealth. Let's say we have a couple, a spouse, a husband and a wife, and they both make $100,000 a year. So annual income $100,000 a year. A year. They, they work T4 jobs and they pay taxes. So the income tax on first spouse is 26,300, 347. And then if we add a second spouse, that's 44,715. Because the, the household is taxed at a marginal tax rate. So after they paid their income tax.

They can invest them this money to put into.

Some investments to grow wealth. You know, they, they always say that you should pay yourself first. So they decided to pay yourself first themselves first. They decided to take 10,000 each and invest into something that produce, that is producing 20% return, which is very good return. Right. So the capital gain in just one year is $2000. Let's say both of them made $2000. The capital gain tax is actually 500 because half of the profit is being taxed at 50%. And they paid 500. So they're left with net profit of 1500 each. Then they paid. They have a house, so they have to Pay property tax. 5,000. Right. Property taxes are very high in Canada living expenses. So each of them has 50,000 to live on and using, you know, spending this cash for living expenses. They have to pay what they have to pay sales tax or GST and hst. Right. In different provinces we have different taxes, but from there living expenses, they actually money that has already been taxed is taxed again that sales tax. So we have to add up all these taxes and we can see that it comes to $89,062 between the two of them. And we didn't actually even include the payroll taxes which the employer paid. Right. Because the employer also has to pay payroll taxes on, even on to, to pay them $100,000 each. Right. So we didn't actually include the excise and specialty taxes which will increase this number significantly. So the total income is $200,000. 200. Sorry. I'm sorry. $204,000. Because 100,000 each plus 2,000 profit from the investments, that's 204. And the taxes is $89,062. That's almost 44%. That's huge. So what it means in fact, what it means is one spouse works for the family and the other one works for the government.

Just to pay taxes. So no matter how hard you try, you seem to be always losing the game.

So it is logical to say that in order to increase net worth, you need to either outpace inflation and you also need to reduce taxes or reduce fees and interest you pay.

But that's not the biggest issue. The biggest issue is actually that your wealth must reside somewhere. And ask yourself a question, where does it reside today? Where is your wealth residing today?

You know, when you flow your money through the system, when you pay in your bills, you're flowing through someone else's bank. That's the biggest problem. So.

The money is flowing, always flowing, right? So your paycheck comes in, it has to be deposited somewhere and it is flowing through your, your own, through someone else's bank. If it is not your bank, then someone else is making profit off of your money. Let's look at things you are, you know, you have a lot of bills, things you have to pay for, right? So when you get your income, your income is coming into you. And then you have a lot of bills to pay. You have mortgage or rent, you have appliances, credit cards you need to pay for, chiropractor, physiotherapy, charitable cost, medication, investments, healthcare plan, both payments, food, property taxes, clothes, vacation, furniture, you name it, whatever, you have bills to pay. This cash is sitting in someone else's bank, in your checking account, in someone else's bank. And then you pay those bills and the money is now leaving you. All this bill has to be paid and the money is living, is flowing away from you.

Now you may be wondering, all these bills are paid, great. So where's my money? And the place where your money resides is empty because the cash is gone. So the problem is you need to be the banker. You need to make sure that the money is actually flowing to you, not away from you. And when it happens, not only your bills are paid, but you can also get all the money back, right? So, so not only the bills are paid, but you also have the money, have the capital. You may be wondering, how is it even possible? And in order to help you, you need to connect with us. You need to text the word schedule from your mobile phone to 780-809-4599 and book a call with one of our advisors. Because you don't have to figure it out yourself how to do this. We have a lot of resources to help you and get started on the Process. And I will tell you more today about how it is done and what you can achieve using the process of becoming your own banker. Especially in the time of uncertainty.

Talking about uncertainty. So whatever government is doing, let me ask you a question. Is it helping you or is it taken away from you? Then let me see what the audience, what the listeners say in the chat window. Put in a chat window helping or taken in chat window.

They're taking more all the time. Yeah, just take, taking more like so.

I'm not, I'm not surprised to hear that. So. And you, are you able to control it? Ask yourself this question. You probably cannot, cannot control it. Right, so let's talk about the unemployment rate.

So whatever the government is doing, they're always doing something that we always, you know, get surprised. So the unemployment rate in Canada actually is now going to increase again. So recently the unemployment rate reached 6.1%. And you can see in, in this graph that it is increasing very, very quickly and then it is going down very, very slowly. Right? So it only takes three months to go up to the max and then it takes more than 20 months to actually go, go back down. And the government is actually manipulating with rates and, and you know, increasing the interest rate actually increases unemployment. And then when they start cutting the interest rate, the unemployment rate goes down.

But what is more important is actually.

Long term unemployment rate. So this indicator predicts recessions with almost 100 accuracy. So what is a long term unemployment rate? Long term unemployment rate is usually is basically the rate that is showing unemployment for someone who is looking for job for more than 26 weeks. So it's more than half a year. If you're looking for a job for two or three months or maybe a couple of weeks, then you don't spend too much of your emergency fund, you don't spend too much of your savings. You basically are able to pay your rent, you're still able to pay your bills and everything like that. But you may also be on, on AI right. So the unemployment insurance is usually not very high, but it is helping you to get by in terms of paying the bills. But the problems begin when you are looking for job more than six months in a row.

This chart does not include people who stop looking for work. It only shows everyone who is still looking after six months. And you can see that the long term unemployment rate actually predicts the recessions with very high accuracy. So it predicted four out of four previous Canadians recessions. So the, the first one started in 1981 where the unemployment rate increased very high. And then it, it predicted the recession in 1990. And then the, the next one was the recession of the great crisis of 2008. And the last one, the, the most recent one was the recession of 2020 where we have, we have, we had issues with COVID and we had a pandemic situation. So and now you can see that the unemployment rate, long term unemployment rate is actually going up again. And that is an indicator that the.

Recession is going to be happening very soon. This recession was in the US but it didn't really affect Canadians too much. But it also, it is also showing on, on the chart as well. So the, the recession happens when the unemployment rates goes up.

The unemployment rate goes up just before the recession or just after the recession. Right.

Some analysts predict that in the summer of, early in the summer or early fall 2024, Canada will officially go into recession and bank of Canada will may start cutting interest rates. So if they're halfway smart, they will look at this indicator and preemptively start to drop interest rates so that the unemployment rate doesn't really go up too high. So when this rate goes down, it goes down really, really slowly. But when it goes, when it goes up, it shoots way too fast. The unemployment rate goes up either right before the recession or after the recession.

How many of our listeners have not heard that Canada just announced a new Budget 2024? Probably everyone heard about that, right? Then.

Put a Y in a chat window if you heard about the newest Budget 2024.

Fairness for every generation. What do we get, Dan?

Lots. Lots of wise.

Yeah. So people are aware of what's going on, right?

So the things that were announced are capital gain gains, inclusion tax, IT increased from 50% to 66.67%. Lifetime capital gain exemption changed. The Canadian entrepreneurs incentive changed. Alternative minimum tax is, is updated. New home buyers plan. So the government is doing a lot of changes and that is causing a lot of, you know, frustration and people don't understand what's going on. And.

I just wanted to take this opportunity to say that our amazing teammates Henry and Richard and Jason just recently recorded a podcast about the budget update. So it hasn't officially been uploaded yet, but please stay tuned and I will ask my teammates to actually post the links to the Wealth Without Base Trade podcast where you can find the amazing episodes about the economic updates and also about how you can implement this strategy to increase your net worth. It's Wealth Without Bay street and Also our main YouTube channel which is Bankers Vault. So please stay tuned and we Will soon post this video about the budget update.

So let me ask you these questions. Do you feel they have you in mind when they propose these changes? It's, it's most, it's mostly like a rhetorical question. Right. The answer is no. Do they think the government aims to increase your net worth?

The answer is no. Do they want to tax you less or more? Dan, what do we get for this question? Do they want to tax you less or more?

More.

I agree. Yep.

Everybody's saying more.

Yeah. Does the government want to control less or more of your wealth?

Yep.

We're getting everything from all of it to more of it.

More of it. All of it. Yeah. Up, up to the, all of it. Do you think the taxes will go up in the future or they will go, go down? Put up in, in the chat window if you think they will go up.

Yep, they're getting a lot of, of up. So I think everybody's got that one figured out.

Yeah. So how does it make you feel?

What do we have then?

Lots of angry signs. Emojis. Some.

Yeah, we can only, we can only use emojis for that. Right? Something like this.

Yeah.

So. And Canadians are concerned about the deficit. So there's a lot of spending, a lot of unnecessary spending that is causing a huge budget deficit. And this year this deficit actually is almost reaching 50 billion. That's with B billion dollars in just one year. So the federal government is spending too much.

And if you're wondering what the government budget value looks like. So this is a chart for the last, what is it? Almost 30 years. For the last 30 years, the deepest downs in this chart is showing the. The recent government. Government deficits, budget deficits. And this year will be actually way at the bottom here. Right. So whatever is government doing, they're spending too much money and the Canadians have to pay for that. I just wanted to also.

Stop sharing for a second and introduce this book. So this book is by Carlos Lara and Robert Murphy. It's called How Privatized Banking really Works. This book actually explains how the government operates and how they create problems in economy and they create inflation, they create boom and bust cycles and the citizens are struggling with trying to figure out how to even increase the net worth. Right. So I highly recommend everyone to actually get a copy of this book to better understand what's going on in the economy. And my amazing teammates will help you with a link to get this book. You can order it on Amazon. So we had it on our.

Shop and as any financial shop, but I think we Sold out. So you will have to. You will have to go to Amazon for that.

Then. Do you see my screen? Okay.

Yeah, it's good.

Okay.

So do you believe the government is do. Is. Is going to need more money or less money in the future?

It's also.

We're getting a lot of. More, of course.

More. Right. They need a lot more money. And if you knew that there was an exemption in a tax code, if you knew that it existed, take a moment to write down all the disadvantages of not taking advantage of that exemption. If you knew that there is an exemption, take advantage and take a moment to write down all the disadvantages of not taking advantage of this tax exemption.

As a Canadian, is there anything you can do to protect your own net worth? And the answer is yes. All you need is to remove as much of your wealth as you possibly can from the reach of government and politicians. And how you can do that, you need to look at this concept. Imagine this.

What if there was. Sorry. What if you could only stop losing wealth because of inflation? What if you could shield your net worth from onerous taxes by making them tax exempt?

What if you could pay less fees? What if you could grow your wealth predictably? The key, key word here is predictably without losing access to it? What if all interest you have been losing could actually be recaptured? What if your money is working for you, not your banker?

Let's do a little bit of exercise. So Nelson Nash would say that this is a exercise of imagination. So let's imagine a.

Financial institution. This financial institution is taking deposits and is lending and they want to be in business with you. And this is what they propose to you.

So there is an administrator in the financial institution and they propose you to sign a contract. And let's look at this contract and see if we want to sign it or not. Okay. So they want you to make regular deposits and they don't tell you which deposits you made. Do you decide the amount? You decide on the amount. You may reduce the regular deposit if you want, you may take a break if you need. You may take extra deposits, but they're kept, right? So the extra deposits are limited by how much you can put in to make sure that the contract is tax exempt. What it means, what does it mean? It means that they are limiting you in how much you can pay extra so that it doesn't create a tax problem or capital gain or whatever it is. Right? So the administrator of this contract must accept all your deposits to the limit that you're allowed. They must put These deposits to work, they must use deposits to provide for the maturity amount. So what is a maturity amount? I will introduce it later. Maturity amount is basically payout at some point, right? They assume all the risk of investing this money. You're making deposits, they invest it. You're making deposits, they take all the risk.

They can lend this money to other borrowers if they need to. They cannot lend more than they have on reserves. So they do not add to the inflation. Inflation. So their loans are not inflatory. These deposits are guaranteed. Let's look at equity. So once you sign this contract with this financial institution, you will automatically become a co owner of this financial institution. As an owner, your equity, you get some equity in this contract, right? So you can access this equity anytime you want. You have total ownership and control. You can speed up the growth of your equity. So your equity is growing daily. If you want, you can actually increase your equity. But it is on you. You have to do something for it. You're not limited to the amount of such contracts. You can own. You can own one contract. You can own 12 contracts. It's up to you, right, what the administrator is responsible for. They are responsible to increase your equity daily. They have to do that. The equity can never lose its value. That's the administrator role. To make sure it never loses its value. Tax preferred growth. The equity in the contract is growing. Tax preferred. The growth may outpace inflation. And it will no management fees. Equity must match the maturity amount at a certain year. So there is a certain year in the future at which maturity will. Sorry. The equity will reach the maturity amount. The equity can be leveraged, which means used as a collateral. So you can use the equity to take a loan. I will talk about it later. And the contract has uninterrupted compounding of this equity.

So what is the maturity amount? Maturity amount is a payout. So at some point there will be a payout. Let's talk about that.

You as an owner can increase the maturity amount by making extra deposits. So you're making regular deposits. If you want to increase the payout, you need to increase the deposits. Every dollar of extra deposit will buy more than $1.

Of maturity. And it will add to maturity amount. Think about it. $1 in increases your maturity amount by several dollars. How amazing that is, right? You can control who the contract pays upon maturity.

The maturity amount pays out tax free.

That is tax exempt. There's no capital gains on the equity growth.

The administrator needs to link a specific asset to the maturity payout. The contract matures immediately as soon as you lose this asset. So you have this asset. As soon as you lose it, the contract.

Ends and the maturity, the payout is due. What is the probability of loss of this asset? The probability for you is 100%. You just don't know when it's going to happen. Right. Upon maturity of this contract, the contract is closed. As the payout is due, the insurance company. I'm sorry, the the contract must grow equity based on the maturity amount, which is a target.

The contract must be approved and the contract, the administrator of this contract must underwrite this asset. Right.

Now let's talk about how you can use this equity in and you can leverage it so you as owner can take a loan using your equity as a collateral. So instead of taking your equity and interrupting compounding, you can actually take a loan against it and use it as a collateral. There's no interruption of compounding when you do that. When you apply for a loan, there's no minimum required payment, no credit check to qualify, no fees, just simple interest, no repayment schedule. How awesome that is, right?

Loan available is tied to equity. It is growing daily. So your equity is growing, growing up daily. And so is your loan available.

To apply? It is an online application. Just under one minute. The limit is ever increasing. Think about it. Have you ever heard of a line of credit in a bank or other financial institution that has ever increasing limit to borrow? I haven't heard of it, but this contract has it. So limited to borrow is ever increasing. Loan is immediately re advanceable. As soon as you make loan payments, this loan is re advanced. Well, you can actually immediately take it back if you need to. The administrator of this contract can actually charge interest and that's okay. Since you co own the lender with other people, the interest charged increases everyone's equity.

So not only your equity increases when you pay interest to the lender, but also everyone who also owns this lender or his equity is also increased.

The administrator in this financial institution can actually change the interest rate if they need to. And because they must be profitable and they can also lend to other people or entities.

There is also a dividend. Because you are the owner of this contract, you will get to receive a dividend and you get to decide what to do with a dividend. You can take it as cash if you want, or you can reinvest it back into the contract and you can increase the payout immediately. When you do, the dividend will increase each year based on the maturity amount. The more the higher maturity amount you have the higher dividend you will get next year.

Your total dividend received may potentially be significantly more than your total deposits. Think about it. Your total deposits are not even as high as the total dividend.

Who doesn't want that?

The administrator of this.

Financial institution says that the dividends are not guaranteed, but they have a very long track record of being profitable. They have been profitable for last 87 years. And they and you can look it up and you can make sure that that's true. This financial institution has been profitable and paid dividend for the last 87 years. Once a dividend is declared and paid, it cannot be repossessed.

Let's talk about the outcome. So the outcome is really dependent on your behavior as the contract owner. It is critical. Your behavior can change the outcome. They can change the maturity amount, can change the equity, can change everything. Extra deposits are important to make an increase in maturity amount. If everything done right, the maturity amount or payout will always be much greater than all deposits in total.

Who doesn't want predictable growth, Right? So your behavior might may speed up or slow down the growth of your net worth. So it is on you. The administrator of this contract takes your deposits and is guaranteeing that your.

Payout will grow and your net worth and equity will grow predictably.

So administrator is responsible to match the equity and the maturity amount on a specific date. And it is guaranteed. It is their responsibility. Let's talk about guarantees more. You as a contract owner have a peace of mind knowing that even if this financial institution ever goes under, which is very very unlikely, then this institution is actually protected from 90 to 100% of your money is protected. If your equity is $100,000 or less, then all of it is protected over this amount. If you have more equity than $100,000, then 90% is absolutely guaranteed. If your maturity amount, the payout is million or less than all of it is guaranteed. If it is more than a million, then 90% of it is guaranteed.

Think about your.

Deposits to a traditional bank. How much do you think is is guaranteed and when protected in, in. In the bank? Anyone knows the answer? Dan, do we have anyone who wants to jump in?

Well, give him a minute to answer that. You want to repeat that question for him again?

Roman, in a traditional bank, when you make deposits in a bank, how much of that of those deposits are guaranteed?

Yeah, we're getting a few different answers. It's $100,000 per account.

Awesome. That's right. So $100,000 per account is being guaranteed by CDIC Canada Deposit Insurance Corporation. This contract guarantees you way more money, way more guarantees in a contract. So this contract is private. It provides predictable growth of your net worth and it is an engineered outcome. It provides liquidity at any time. It has a tax free payout, it has tax deferred growth of equity. It is creditor protected. It is not subject to market volatility, not exposed to market risk. It has uninterrupted compounding.

It can be leveraged. It is a money multiplier, it has guarantees and it is inflation proof and recession proof. Think about tapping into this account and leveraging liquidity when you're laid off from work or when you are unemployed or something happens, right? Think about the easy access to to easy access to capital when you need it most. Or maybe you have an opportunity to actually invest in some great deals or maybe great businesses.

And at the end of the contract there's two signatures. The administrator has to sign and you have to sign. Let me ask you this question. If you had this opportunity, would you sign such a contract? Put a Y for yes and N for no in a chat window. If you had this opportunity, would you sign such a contract?

Lots of wise coming in.

Awesome. Perfect. I would also sign it and you may be wondering if it's even possible.

So what I just described is one of the most accurate.

Definitions or characteristics of a participating in dividend paying whole life insurance policy. Again, in order to make things clear I wanted to talk about definitions because in a policy or in a contract the terms are a little bit different. So the contract is a whole life insurance policy contract. The financial institution is a life insurance company itself.

And ideally you want to deal with a mutual company. The deposit you're making is a premium extra deposit you can make is paid up additions. Equity is a cash value assets which is linked to a contract. What asset is is it based on? It is based on a life of an insured person.

The event that triggers the payout is a death of the life insured person. Maturity amount is a death benefit. Dividend is a participating dividend that is being paid to the owner because you are the owner of this contract. Loans is policy loans and guarantees is provided by Assurus. Assurus is providing 90 to 100% guarantees of your cash value and death benefit.

So let me ask you, have you read this book?

It's becoming your own Banker by R. Nelson Nash. It was written in year 2000 and sold over 500,000 copies.

Let me see who has not read this book yet then. Do we have any nos? Any Put the end for no if you haven't read it.

One no so far, a couple more So a few people haven't had a chance to read it. Yep.

You have an opportunity to buy it today and then read it because this book can change your life and it's only 92 pages. So I will ask my team to put a link to purchase this book. So think about how this contract is inflation proof. So every dollar you put in creates multiple dollars in your net worth. So it is recession proof. It proves provides liquidity liquidity in the times of economic turmoils. I'll say it again, it's recession proof. It provides liquidity in the times of economic turmoils. It is super easy to take a loan. No credit check, income verification, no repayment schedule, no requirements to pay it back and no NSF fees because the insurance company is not taking loans from your checking account because they don't have to. They don't take it on the.

Because they have to make a minimum payment. There's no minimum payment. It is shielded from taxation. No capital gain taxes on your net worth increase and dividend or dividends are also tax free. I put it asterisk there because the dividends may be taxable if you.

If you do it, if you withdraw this cash. Right. So in order to keep the dividends tax free you need to put them back into the system and then you'll need to talk to an advisor to help you do that. There's no account management fees.

Let's talk about a case study. So I have a couple here. His name is Louis and he's 55 years old, male, non smoker. His wife Savannah, he's 49 years, she's 49 years old, non smoker. So Louis works as an engineer, he's employed and his income is $102,000 per year. Her income, she's a designer, she's self employed, sole proprietor. Her income is $95,000 a year. They have one son, 22 years old but he no longer lives with them.

Their financial objectives, they want to have predictable to build wealth. Predictably they want to become debt free. They are ready. They want to be ready for retirement when Savannah is 65 years old. So Lou at that point will be actually 70, 71 years old. They want to travel a lot. They life traveling. They want to leave enough money to pay estate taxes. They also want to leave something to their son but that's not their, you know, biggest objective. Their biggest. They know that they want to leave him something but they want to enjoy their wealth in retirement instead and leave something just to pay estate taxes.

So they were told to do, you know, to do seven baby steps to increase wealth. And one of financial gurus they found online actually says that there are seven steps to take in order to increase net worth. And that's what they were listening to. They were listening to step number one, save 1,000 for your starting emergency fund. Step number two, pay off all debt except the house using the debt snowball. Step number three, save three to six months of expenses in a fully funded emergency fund. Step number four, invest 15% of your household income in retirement. Step number five, save for your children's college fund, which they don't really need to do. Step number six, pay off your home early. And step number seven, build wealth and give. And they're wondering, where should we save on $1,000? Should we put it in a bank or should we put it under a mattress or maybe in a shoebox? Where should we, where is our cash when we pay all the debt? We can pay all the debt today if we. If you want to, because we have some cash saved up. But.

Where'S the cash going?

Where should we save up three to six months of expenses in a fully funded emergency fund?

Where can we get money to invest 15% of our household.

For income for retirement? Where can they save for the children's college fund? And if they pay a house too early, where's the cash gone?

So.

They were not told to.

Create their own banking system because they are thinking traditionally they know that all the cash goes into someone else's bank, right? And they're trying to build this big reservoir of wealth like this big pond or big lake. They're trying to build wealth and add a little bit of energy into this wealth building system, wealth building.

Place or reservoir. But they don't see the elephant in a room. Any elephant is actually a huge leakage. So they're losing money because they're not controlling the banking function.

That's a huge leakage. All this money is flowing somewhere, but it is not staying in their reservoir.

So when they started implementing this process of paying you that first and then saving and investing, they realized that all this cash will be spent and they will nothing to show for, right? So at this point they actually found the process of becoming your own banker. They attended a webinar and they read Nelson Nash's book and they realize that when they pay all the money to the banks, the money will be gone. And then they cannot take it again, they cannot use it again.

So the Problem is not the debt itself. By paying off the debt with cash, they're losing the cash forever.

By saving money in a bank, they're not in control and the cash is not keeping up with inflation.

If anything goes wrong, even when there are debt free, let's say they paid off their debt today. If something happens, they need to borrow again and they will need to start paying interest again. So what can go wrong? They can lose job or income. Like I said before, if they have a long term unemployment.

The mortgage has to be paid, the rent has to be paid, the bills have to be paid. If something goes wrong with the health, they have to actually also come up with cash. Right. So there may be critical illness in the family. By the way, if you don't know what critical illness is, you need to schedule a call with one of our advisors and we will help you to set it up. Because the probability in Canada to get critical illness at some point is super high. It is actually much higher than you think. Do you know anyone who has been critically ill, who has been diagnosed with some sort of critical illness in the past? Put, put wine in, in a chat window if you, if you know someone who has recently, in the last five or 10 years has been critically ill.

I'm talking about cancer, heart attack, stroke, talking about coma, Parkinson's, Alzheimer's and many, many other conditions.

Yeah, we're getting lots of yeses.

Yeah. So that is super important to protect. Because your health is your biggest asset. You need to protect it as well. And I do have critical illness insurance on me and my wife has critical illness and all my children have critical illness insurance. If there is an emergency, if someone in our family gets critically ill, I will probably be, you know, off work for some time. And, and that's, that'.

That'S a huge leakage. So I want to make sure that there might, there's money showing up when they, when we most need it. If there's an emergency in a family, they can, they can also spend their savings, they can tap into their retirement plans. They may actually down, downgrade. If they need to maybe sell their car, maybe they need to do something else. Because if they don't have cash showing up for that, then.

They have to do something about it.

By investing their capital, they're losing access to it. They realized it. So if they pull out their investment in lean times, then the compounding stops. So let's say they have some retirement savings. If they pull it today.

In the times of emergency, the compounding stops and then the growth of Networks actually slows down. Some accounts are not even accessible, not even, not even available to be used. I'm talking about accounts like RESP retirement, education, savings, savings program, right. Our RSP locked in investments, GICs. So those types of accounts which are, you know, registered with government.

You can even access some of them or access, access them conditionally.

Entity in a house. Yes, you can leverage entity in a house. But guess what? You need to qualify for a bank to actually borrow against it, against your house. And the bank will look at your credit score. The bank will look at many manufacturers will look at your income. The main factor for the bank to get access to this equity in the house is if you're able to pay it back. If you lost your job, guess what, you may not actually even qualify for the home equity line of credit.

So for them it was a paradigm shift. They discovered the new process of increasing net worth predictably. So step number one, learn about the process of banking. Read the book. Step number two, connect with a coach. Step number three, start or your own journey, Open a system of policies and fund them. Step number four, build wealth predictably and increase net worth. Step number five, recapture your debts, although it may take some time. Step number six, fund your investments from your banking system. Again, don't spend just your cash but rather use your banking system so that you fund your investments and your money is growing in both places at the same time. Step number seven, expand your program to control more of your wealth. So you will need to get support from our advisors. So text the word schedule from your mobile phone to 788-09-4599 to book a call with one of our advisors. So let's dive into the case study.

So this is, this is the breakdown of their net worth and the income. So lou is making $102,000, Savannah is making $95,000. The total income for the household is $197,000. The expenses, so they're paying about $70,000 in taxes. Mortgage is 44,232 and then living expenses is $59,000. So their discretionary income is about $24,000. So they used to put them into our RSP and other investments and actually have done really good job saving up. So their assets are $900,000 is the principal residence. The cash is $60,500. TFSA which is Tax Free Savings Account is $30,000 and our RRSP accounts are $350,000. But they stopped contributing because they found this concept and they decided, you know what we actually want to redirect our payment, redirect our savings or discretionary income into something that is growing faster and better than, than the rrsp, which is not guaranteed to grow even. Their liabilities are mortgage $646,000. The payment is $3,686 per month and it is up renewal in two years. Line of credit is $25,000 and the payment is 219 per month. They're only servicing the interest. The total liabilities is $671,000. If you add up all the assets and all the liabilities, you will see that the net worth is actually positive. It's $669,500. But it includes, it includes RRSP. And you probably know that if you have RRSP included in your net worth, then probably half of it is not yours. Right? So you probably need to only include 50% of it.

And if they do, then their net worth, their real net worth is actually less than half a million dollars.

Okay. So they decided to open two whole life insurance policies and they're using half of the discretionary income for each. So $12,000 for Louis and $12,000 for Savannah. So the base premium, which means the minimum required premium is $6,105 for Louis and the paid up addition is 5,895. So he is paying. So these two numbers come up to $12,000 for Savannah is $5,072 and paid up additions is 6,928 altogether comes to $12,000. They also asked the coach how can they actually make sure that.

The amount of premium can be increased in the future. And the coach actually helped them set it up properly so that the maximum amount is actually $21,040 per year. It's not 12. They were able to increase it to 21,000 and they wanted to actually, you know what, we want to move our savings and put it into this. And we also make, we want to make sure that we front load it so we can do something that's called backdating where more of your savings can be put immediately into the system. And instead of doing one annual deposit, you can actually make two at the same time. So they put in 21 plus 21 for Louis, which is $42,000 80. $42,080. And they're putting in 21,295 plus 21,295. So this way all their, almost all of their cash is going into the policies and almost all of their TFSA is also going into the policies. So cash and TFSA cumulatively is just over $90,000.

The death benefits starting death benefit for Louis is $648,048,700. After the policy settles, they paid 42,000 for Louis. The death benefit immediately immediately goes up to $705,000. The debt benefit for Savannah starting death benefit is $691,500. And as soon as the policy is settled the death benefit is actually $88,000 more which is $780,000.

The cash values. So they put 42,000 plus each. And after the policy settled the cash value available to borrow against is 30,890 and.

They can borrow 90% of that. So loan available in Louis policy is 27,800. In Savannah's policy the cash value is 31,144 and the loan available is 28,830. So between the two of them the cash value available is actually more than $50,000.

This is a breakdown again. And the total Premium paid is $84,670. So they paid between two policies. They paid two annual premiums right away.

And the source of premium, like I said is cash and tax free savings account.

So the cash value immediately $62,034. Altogether the loan available is $56,630. The daily cash value increase is $22 a day. Think about it. Every single day the cash value between two policies is going up by $22. So they initiated a policy loan immediately of 25,000. Because remember they have a line of credit outstanding and they paid it off completely. The loan interest is 4.44 dollars 45 cents per day. So loan repayments. They actually decided to pay the same amount of interest that they used to be paying.219. But they increased it by $100 each. So they're paying 219 plus $200 which is $419 back to the system. Now who's getting the payment? Is it the bank or is it someone else?

Then what do we get? What do we get?

Just repeat your question.

So who gets the payment now when they, they recapture the line of credit and they, they're paying the, the loan repayments. But who gets the payment now? Is it the bank or someone else?

Not going to the bank.

Nothing going going to the bank. Everything is going to the life insurance company which you own in control. And they own and control. Right. So their net, net net worth increase is $17 55 per day. So how they came to this number is because the gross cash value increase is $22 minus the loan interest for 45, it comes to 1755 a day. So net of interest.

It equals $6405 a year.

Think about it. They have paid $84,670 and.

Their net worth started growing by $6405 every single year. And next year, by the way, this increase will be higher.

You can make. You can, you can do your math and see what rate of return that is.

One year later, the premiums are due again, right? So they remember they wanted to only use the discretionary income to pay 12,000 into each policy altogether, 24,000. But the minimum payments, minimum premiums are required is actually lower. So they don't have to pay 24,000. They only need to pay 11,177 into these policies. But they paid it.

To the max. And the remaining deposit they can make on top of 24,000 is actually 18,335. And they were thinking about it and saying, okay, so how can we move our money around so that we can actually take advantage of the increased growth in our policies? And because of the coaching, they decided actually to use their RRSPS account and pay taxes today because they know they have to pay taxes at some point. If they wait longer, they will just end up paying more taxes. So they decided, they asked the coach, show us how we can move this into the policy so that our system grows faster and it is accessible to our terror now, to us now. So they decided to withdraw about 36,000 per year. And this withdrawal is taxed at a marginal tax rate today. So half of it is going to CRA right away because of withholding tax. And 18,000 after tax is being put into the system, into two policies between Louis and Savannah. So they decided they can recapture the taxes inside of the policies and so that their NASDAQ is not going to be taxed again. They decided to pay this bill today, cross this road today, and they never think about taxes again. So again, they're not putting everything into one lump sum because the policies cannot accommodate that much money. So they have to do it over 10 years. So over the next 10 years, Louis will be 66 years old and Savannah will be 60 years old. Louis and Savannah are still working full time, right? So the premium paid is the initial deposit of $84,670 plus the $24,000 per year for over 10 years. That's $240,000 plus $18,000 each. Year after tax from our RRSP withdrawals. So altogether the total deposit comes to $504,940. That includes our RRSP money. Money withdrawn from rrsp is actually 360k. It's a little bit more than initially because the account was still growing. The withholding tax they paid on RRSP withdrawals to share is $180,000.

Right.

Half of it went into CRA. So, but they're. So, but they're still working.

But they want to stop making premium payments after 10 years of additional contributions.

In terms of the chart, so the orange bars on each on the chart represent the premiums, right? So they pay annual premiums. So for the first two years they paid, they used their savings NTFSA to pay for these premiums. And over the next 10 years, they used their discretionary income and they used their RRSP accounts to pay taxes. And what's left after tax, they are putting into this system. So every one of them. So I'm sorry, every year they're putting 42,000 into the system. And the gray bars represent the total net outlay. So the money that is put into the system, totally. Right. So you can see that after, after all the RSP account is used to put into the system, they decide, you know what, we don't actually want to put into the system again, we want to stop here. And that's why the total net outlet doesn't increase anymore. But the orange area represents the cash value increase. Do you see that? The cash value is actually now higher than it was before because the cash value is growing very fast and it is compounding daily.

So even I just wanted to show something here. So on this chart, very important to understand. So even after they stopped.

Making premium payments, what happens with the cash value? Does it go up or does it, does it stays the same or does it, does it go down?

Goes up, right.

It's incredible how they stop making premium payments, but the cash value is still going up. So by the time they stop making premium payments, the total net outlay is $505,000, almost. The cash value is $627,000. And then they don't put anything in for the next four years and the total net outlay doesn't change. It is $505,000. But the cash value increased significantly for four years. It increased by, what is it, $133,000 over four years. Why? Because it is compounding and increasing. So let me ask you this question. How much more do they have in the equity than they've put in. What is the difference between 760k and then 505k that they put in? It is 255k. Right. Is it more than they've paid taxes to CRA?

They pay taxes. Do we remember how much taxes they paid? Dan, do you remember? Or maybe we should ask the listeners how much taxes did they pay to CRA?

180. We're getting 150. 180.

180. Correct. So did they recapture the taxes already by just putting the money into the system and by the having the cash value increase?

Yes, they have much more equity now. The taxes already is recaptured. So let's fast forward 15 years from today. Right. So.

Again we are going fast forward to this year, to this year, to year 16. So we are here. When they open the policies, they put in two annual deposits and then 15 years is year 16 there where they want to start getting passive income. So Louis at this point is 70 and Savannah is 64. They stopped working and they want to get passive income from policies. So the total premium paid again is $505,000. Total income paid from our RRSP withdrawals is 180k and that amount was paid at marginal tax rate.

So the total cash value is 760k which is 142% more than the tax paid on RRSP withdrawals. The total death benefit between the two policies is almost $1.5 million. It is 295% more than all premiums paid. So they paid 595,000 and cash. Sorry. The debt benefit is almost three times more than they've paid. If they died today, if they died this year, both of them, let's say here, even with, you know, before they, they get to, to receive passive income. What happens if they die today? When the first spouse dies, the RSP account would have been, would. Okay, let's, let's talk about RSP account later. So when they die today, based on this situation, there will be two death benefits paid and the total amount will be $1.485 million. Right. How much tax would have been paid from their capital sitting in their policies? The answer is zero. There's no tax because the death benefit is paid tax free. If they had RRSP still, if they didn't melt it, if they didn't use it, how much tax would it trigger in their estates? It would be taxed on a second death at marginal tax rate. So when the first death happens, the RSP is rolled over to the next surviving spouse on a tax deferred. Basis. But when the second spouse dies, then everything is added to the survivance to the last to die spouse at a marginal tax tax rate which can can be huge amount.

So let's say they didn't die. They wanted to.

Start receiving passive income from these policies. So what they do, they decided to collaterally assign the policies with the bank. So they start getting 48,000 every year from these policies between the two of them for 21 years in a row. So in 21 years, if Louis is 70 today, he will be 91 in 21 years. Right. If Savannah is 64, she will be 85 and that is tax free. Total premium paid again I want to remind you is $505,000. Total income received from policies at $1,008,000. So this number is basically multiplying 48,000 by 21 years. That's 1,008,000 at death. Life insurance company will cover the loan outstanding with a bank and the remaining death benefit will be paid to the beneficia. So there's outstanding debt, outstanding loan in a bank and the life insurance company sends two checks. One check goes to the bank to cover this outstanding loan in interest and the remainder goes to the beneficiary. What is the amount of the remaining? The remainder between the two of them from two policies is $729,000 to death benefits. And that's tax free. So Money in is 505. Money out is $1.737 million. That is coming from $1,008,000 of passive income and $729,000 from death benefit from two policies. And that's tax free. The ratio between money in and money out is actually 344%. Let me ask you a question. Is there anything stupid about doing that?

Put in a chat window? Yes for why? Why for yes and n for no. Is there anything stupid about doing that?

We got a bunch of smart people, they're all saying no.

Oh, I'm so glad that we have a lot of smart people today. So perfect. So there's nothing stupid about that. So are they too old to start at 55 and 49 for Savannah? Actually we have this question asked a lot from our clients. Am I too old? I'm 50, 52. Am I too old?

No, they're not too old. It's a great time for them to actually still use the time to grow and compound their their policy so that they can still use it.

You're never told. Let's look at a chart. So passive income for Savannah and Louis. So the blue line, the blue bar represents premiums for 12 years. And by the way, the premiums in the year 11 and 12 actually going down a little bit. The orange line and sorry, after that there's no premium coming in. That's it, premium are down. The orange line is representing the death benefit. It is actually going down a little bit because at this point they had a term insurance riders added to them and after 10 years the term rider is gone. So the, the total death benefit drops down, but it is still way higher than whatever they've put in. Right. The orange bar is showing the.

Passive income. So on this side you can see how much passive income they're getting. They're getting 21 years of 40 or $48,000 per year. And that is actually tax free.

So the.

The gray bars represent outstanding debt with the bank. Right. So the, there is outstanding loan, outstanding interest and then it is increasing, but at the same time it is increasing, the death benefit is still increasing even though there's no more premium coming in. The death benefit is going up and they can borrow against the cash value and they can. So what they basically do and they're basically spending part of their debt benefit because they're borrowing against the cash value. The longer they live, the more.

The more portion or the bigger portion of the death benefit will, will they spend. Right. So you see that in 21 years of doing that they have come to about three third, actually three thirds, I would say three fourth of the death benefit spent. And then when they pass away, there's still death benefit that is paid out to the beneficiaries tax free. So this blue line represents the net estate value after the loan is even paid.

What happens if they die? Right. After receiving passive income? They decided to collateralize this policy and they both died. Then what happens? So there is a death benefit, they may receive 1,1 passive income, 48,000 and they pass away. There is a huge payout. The remainder goes to the beneficiaries. The longer they do that, the less amount goes to the beneficiaries and more amount is the higher amount is spent as passive income. Let's look at a second chart. This chart shows money in and money out. The money in area, the money in area, the blue area represents money coming into the policy. So it has been coming in for 12 years and then it stops. So it doesn't change for the remainder of this chart. So the, the gray lines represent the death benefit and the orange lines, orange columns represent the total amount of income received. Right. So they are Spending the death benefit, they're borrowing against the cash value and essentially they're basically receiving passive income. But the payout is always, always greater than money in. So do you see on this chart at any given point that money out of the policies is actually.

Lower than money in? Do you see at any point this is happening? I will repeat my question. Do you see on this chart that money they receive from the policy is actually lower than what they've paid in?

No. Right. It doesn't happen.

So let's see what they can do differently. The alternative income can be actually received from rrsp. If they didn't use it, they can still use the RRSP to grow it. Instead of putting into a policy, they can still, maybe it's a better outcome for them. Right, let's look at that. So if our RRSP is not withdrawn today, it will be growing for the next 15 years. Let's assume 5% net of fees, and that is net of management fees.

The RSP has to be then converted to Riff. It's a registered retirement income fund. At some point when you are done investing into rsp, you want to, you want to turn it into Riff and then you want to start pulling, pulling money out of it as passive income and they're ready to start receiving passive income. The value of riff on the 15th year will be based on this compounding 5% per year is $727,000. So it, it, it increased from 350K to 727K. So they want to draw income from this and to receive net 48,000, they can actually, they need to actually draw more money.

So their marginal tax rate is 25%. So they have to each pull 30, 32,000 each, which totals to 64,000 in order to receive 48,000 net of taxes. After taxes, 64,000. They're getting 48,000 between the two of them. If they're doing that, they will completely run out of money in 14 years. Where when Louis is 84 and Savannah is 78. So what if they live longer? What if they live till 90? What if they live till 95? How much income are they still getting? The income will be only very, very small based on whatever they get. CPP, NOEs, and maybe some other.

Payments from the government. Right. So what happens if they pass away too early? Like we already discussed, there will be a huge tax bill for them.

So income received from two policies is $1,008,000 plus net estate value of $729,000. That comes to 17. Sorry, $1,737,000. Income from RRSP received is 713, 262.

The difference is more than a million dollars.

Where does the difference come from? The difference come from.

Their.

From them putting money into the policies and from recapturing all the interest that they would otherwise pay to banks.

So let's consider this.

Projected income from RIF is $64,000 gross, which is 48,000 net. But it is very optimistic, right? So 5% constant return year over year, net of fees may not be even realistic in the long run. So we know that in order to receive 5%.

Permanent income, it has to be invested into something very conservative. But provided the market risk, it may not be realistic. If they both pass away too early, then 50% of the account will be taxed at marginal tax rate.

The beneficiaries of the estate will only receive the after tax income value. There's no that benefit. So while the RSP is growing and compounding, they cannot really leverage it. What is the cost of not having access to your capital? Think about it. So if you don't have access to your capital and it is, if, if it is locked, locked in, what is your cost of really not having access to it? Right? What, what opportunities you will not be able to, to invest into.

That cannot be even measured. The, the future tax bracket is not guaranteed. They may actually be higher. It may actually be higher than 25% so that the net income will actually be lower than 48%. So the tax bracket may be changed and most likely it will be changed by Canadian government. If they outlive the retirement plan, the income will drop at later ages. So they may, they may need to find an alternative. So if they run out, run out of money, what they do they do, what do they do? They probably have to come up with some idea, maybe just to do like a reverse mortgage, right? So reverse mortgage is something that they can use the equity in house, they still can maybe stay in a house, but when both of them pass away, the mortgage is due, it has to be paid off. And what if the son doesn't want to sell the house? He has to sell because there's no death benefit coming in. So the beneficiaries has to do something because the mortgage has to be paid off now.

And they're also paying much more taxes than they pay by withdrawing it today because the account amount, amount of account is growing up and they will end up paying even at a lower tax bracket, they may still pay much more taxes. And because of the terminal tax liability too. So let's see. Did they achieve their objectives? These are the objectives. Predictable wealth building. Did they achieve it? Yes, they built it predictably. And was it recession proof? Absolutely. If they lose their income, if they lose their jobs, if something happens with the economy, can they not tap into.

These accounts to borrow against it? Is it not easily available for them to leverage this cash value? Absolutely it is. So it is recession proof, Is it not inflation proof? It is inflation proof because the growth in the policy is very high. So it actually outgrowth inflation. Does it not reduce their taxes? Of course it does. Can they become debt free? Yes. So if they choose to use the policies to actually pay off the mortgage quickly, can they not do it? Of course they can. They can take a policy loan, put it on a mortgage balance, bring the mortgage balance down, and this way they will pay it down quickly.

Can they. Did they achieve the objective of being ready for retirement When? Lee, 17, Savannah 64 yes, they have a pretty good retirement and that is tax free. Can they not travel a lot as they love to? Of course they can. In terms of recapturing the cost of the trip. So how does it work? They. If they plan to trip to travel somewhere, they take a loan from a policy, they pay cash for the trip, they go to Europe, and then when they come back from their incomes because they're still working, they can still pay it back on their terms instead of spending cash, they can actually flow all these expenses they have in life because. Because what changed for them is they have readily access to liquid capital. And are they leaving enough money to pay their stock taxes? They sure do. They leave enough money for the beneficiaries to pay their estate taxes. So by putting their capital into private contract they own and control, did they lose access to it? Let me ask you all our amazing listeners who are super smart. By putting their capital into a private contract, do they lose access to it?

Then what do we get?

Or getting a bunch of no's?

No, they can still access it if they need to. Right. Is it easier for them to go through financial insecurity with having access to liquid capital on demand than giving it to capital to banks? Yeah, absolutely. It is easier because if you have access to liquid capital on demand, on your terms, with no qualification needed to qualify for this loan, it's absolutely easier to go through any financial insecurity.

This question comes from Nelson Nash. By the way, this book is amazing. Read the book. It is on page 85. If you knew that at passive income time you would be getting back everything that you've paid into the system tax free, would you object to putting more money into it?

And they said no. Did the cash value ever go down? Based on the chart where the orange area was presenting cash value, did it ever go down?

No, it didn't. Even when they stopped making premium payments, it's still going up. Can we call it a predictable growth?

We sure can. What effect did this contact have on their net worth growth?

Put in a chat window. What do you think? What effect did it did this contracts have on their net worth? Net worth growth? What comes to your mind?

Went up.

Went up, got better. Yeah. Predictability security. Right.

So you may be wondering, this all sounds great, but I don't want to do this alone. How do I do this? So we can offer you one on one conversation with an authorized infinite banking expert and then we provide lifetime mentoring, quarterly group coaching sessions and as a client you get access to client only, exclusive access to resources that we only have for clients. We have audio material, we have YouTube videos that even some of them are unlisted that are only accessible to clients. And we have access to a lot of materials and resources on our membership site.

So you get lifetime coaching with your advisor, with your coach who can not only help you set up this system but also help you implement it and apply it and recapture a lot of interest that you're paying to banks right now. So right now you have two options. First option is do nothing. Nothing changes if nothing changes. So you will continue to work your banks, government and trying to outpace inflation but everyone is still getting all your money. And second option, schedule your discovery call, take hold of your personal finances and put the control back in your hands. Picture a day when financial financial control is in your hands. Not a bank, not a government and not in a risky stock market. When your finances are exactly when you want them to be and you know with certainty that you have the freedom to travel when you want to travel, relax when you want to relax and surf when you want to surf.

The time will go by anyways, so have it go by with this proven and predictable system in place rather than doing your financial transactions the old way. So click the link you received by text or text the word schedule to 780-809-4599 and reserve a day in time that works best for you to speak with Andrew. I would love to answer any questions.

Then how are you? How are we doing? Let's maybe do a value check now.

Let's do that.

Put in a chat window please. I really appreciate Your time. Put in a chat window, please, from 1 to 10, please. One being you would rather do something else in with your evening, or 10 being this was super valuable to you and you. You learned a lot today.

Great job. Lots of good high numbers, 10 plus coming up.

Awesome.

Do we have any questions that came up or. We had.

Tran was kind of looking after the Q and A box. Tran, did we get any questions that needed clarification?

Awesome. I appreciate the feedback.

Great.

Hey, Roman, Fantastic job. So, yeah, I was keeping an eye on the Q and A box. Nothing out of the ordinary that came in. There is one question, and, Roman, you did address this. It is asking about, you know, what about someone who's 63 is. Is that too old to start? And I think you addressed with regards to age. There isn't really an age to this. You could. You could do it. As long as you have.

Air in your lungs, you're able to implement this process, right?

You know? Yeah, it's a really, really good question. My mom is turning 80 this year, and she came from Ukraine, and I want to put insurance on her. At 80, do you think she is too old to get insurance or put a whole life policy onto her? No, she's not too old. So you are too old when you're 85 or older. Before 85, you're not too old. But the problem is I cannot, because she has some issues, but that's a different story. I hope I answered the question.

Yeah, thanks for answering that, Roman.

Yeah.

Other than that, there isn't anything else on here. Maybe someone else who had a question lingering in your mind if you wanted to ask it, Now's your chance.

You still have.

We still have a few minutes here.

You can. You can throw it in the chat or. Or in the Q and A box. Oh, I see a few coming in.

Wow.

Okay. Got some coming in. So just bear with me here, Roman.

Okay, One second.

Is it okay if I ask a question for Roman?

Yeah.

In the meantime. Yes, please. Thank you so much.

Awesome. So when I was looking at the chat box, I saw one here that I liked a lot from Blaine. It says, roman, what if you get a sizable influx of cash?

What would you do?

Would you start another policy.

When you already have a policy? I understand that the question is if you already have a policy and then you have a sizable influx of cash. Is that the question?

Absolutely. In this case, I think the person's asking that the policy is already in place. What if, like, new income comes in, a windfall or things like that? What do you do then?

Yeah, you just fill up your system as much as you can. If, if you don't have enough room, then you just open more policies. So let me ask you a question. When a bank needs to has too much money, right. What they did they do to expand.

The bank opens up a new branch to expand. Right. So for you to expand when you have a windfall and we will all have windfalls at some point. The windfalls may be inheritance can be a lottery can be. I hope no one plays lottery by the way. But it can be a death benefit, it can be.

Tax refund. It gave me anything, a bonus. Right. So we will all have a smaller or higher windfalls. So we just need to make sure that we put back into the system. If you want to grow your system, put it back. If you want to. If you don't want to grow your system, just spend it.

Yeah, it wants to grow.

Sorry Sukman, I said we got another good question in the chat box. So any insurance providers that you use that are over 100 years old being that they, you know, survive the dirty 30s or the 1930s and yes. So some of the life companies we use were, you know, starting dividend paying whole life in 1847 and all of them that we use are over 100 years old.

Yes.

Those financial institutions are the most financially sound institutions on the planet. So like I said, they do not create inflation. They only can lend whatever they have in reserves. And they're super, super reliable. If you look at any.

Most of insurance companies in Canada, most of them are super reliable and they have a lot of cash and a lot of investments. Long, long, long term investments. So they're super profitable and that's, that's why they've never stopped paying dividends.

Awesome. We got another one here from Nikki. Then you open a new policy on yourself or are you always opening new policies against someone else?

It's a really good question, Nikki. So yes, you need to talk to your coach because this question is a little bit too deep. Right. So your coach will help you understand who should be the life insured. But there you're not limited by one policy on yourself. You can open multiple. I have.

I don't even know, three or four on me. I think it's four on me. Whole life policies.

Awesome. Next question from Christina. This one's an easy1. Can IBC be used for utility? I'm assuming to pay your utilities, right, Christina? I'm assuming that's the question. If it's not, just let us know in the chat.

But go ahead.

Roman.

Do you want me to answer the question? Maybe we should ask team teammates.

Yeah.

Who wants to hop on Sukman? Do you wanna. Do you wanna adjust that one?

Yeah, for sure. I was just in the chat replying to some of the people. Just a heads up, everybody in the chat box, please put your questions in the Q A box or else we may miss them. Trent, could you just repeat the question, please, if that's okay?

Yeah, sure. Can. Can IBC be used for utilities? Assuming they're talking about utility payments here or bills.

Yeah, I think. I think the question to ask is when Roman went through his example, right, he talked about how he was recapturing the interest on payments that were being made otherwise to the bank or anybody else. So a question for Christine would be. Or was it Christina? Sorry. It would be, is that a payment that is going to somebody else? And if it is, is that a payment that we can redirect to our own system? It absolutely is. So like, you know, homeowners or home investors, real estate investors, things like utilities, things like property tax, things like an emergency fund for repairs. All those type of things. Right. A tenant leaves on you. Whatever the case is, you could absolutely use this as an emergency fund or also redirect those expenses here and now. What I would IMPLORE Anybody, the 97 people that we still have on, is to really audit yourself in your life and think about all the expenses that you're paying out to somebody else. And now consider that if that's an expense that's being paid to somebody else, that's somebody else's income in somebody else's profit. We can literally just redirect that to our own system. The expense can be, you know, taken out and audited or, sorry, replaced with any other expense. So long answer. But to answer your question, and in a short, short way is absolutely. Property taxes, utilities can be recaptured in your system. Any expense can be recaptured in your system.

Thanks.

The better question. Thanks for that. The better question to ask is what can you not use IPC for?

That's actually a better way to. Yeah, that's right.

Awesome. We got a few more minutes, right? Roman? There's a couple more here.

Maybe let's take one or two more and. And we'll be wrapping up.

Awesome. Awesome. So let me. Let me find. Let me find a good one here.

Okay. So I have one here from Tom. If you have a windfall amount to invest, can. Or you mean to put into the system, can you make it a one time deposit As a windfall, will it not reoccur for annual.

Yeah. This question. You need to talk to your advisor. You need to talk to your coach. There are ways we can set it up. So if you want to do one sum. Lump. Lump sum payment, then it is possible. But you need to talk to your advisor because this is not something that we can easily answer. So it has to be done properly. You don't want to, you know.

Do this incorrectly. It has to be done normally. You are looking at sequence of payments, but your advisor can help you.

Awesome. Got one here from Albert. How much insurance can you get?

Oh, it's a really good question. So insurance company will underwrite you based on your income. So whatever your income is based on the need for insurance. So if you have a family, the more. The more financial risk your death will create. Financial mess will create the more insurance you can get. So but it is based on your income. And then again, when you talk to an advisor, advisor, always make sure that we look at your need for insurance, how much insurance you actually need. And you can get up to this. Up to this limit. Normally if your income goes up, then you can actually get a little bit more insurance as well.

I know. Roman said a few more questions. Is it okay if I pick one from the chat box? I kind of like this question a lot.

Yeah, yeah, go for it.

The reason I like this question is because with all the clients that we meet and even my meetings, I'm sure with your meetings, we get this question a lot. So I think it's good to answer for all the people on the call right now with so many of our team here. Right. It'll be a fun question. Thank God. Which one? And I think it's from Albert, actually. So it's another good question from him. Can the government ever bring up a bill to tax the capital in an insurance company?

Why?

And why not? So anybody on the team can just expand on this? I think that'd be awesome.

Dan, do you want to take this question?

All right. Need to understand that one better Sukman show.

Yeah. So I think what he's asking is, can the government ever change the rules around the taxation of the. The whole life policies and how the insurance companies are taxed specifically for the whole life? I think that's what they're asking.

Yeah. So I think if they're asking, you know, would the death benefit in a whole life insurance policy ever get taxed? Well, it's at the peril, like because, you know, a contract, that's what it is. So we deal with contract law. So if you have a contract in place, then it's a contract. Now it doesn't mean that they couldn't change the rules and that, you know, a contract issued, you know, two years from now has different laws that it has to abide by. But you know, the contract I have in place and multiple contracts I have in place have, you know, it's tax exempt.

And the life company has a job to keep it tax exempt.

Yeah, it is insurance companies responsibility which I also mentioned today. Yeah, yeah. So.

So Dan, and kind of what you're saying is that if a contract is put in place today under this rule set, when the rules do change though, that rule set does not affect the contract that's already put in place. Yeah.

Yep.

Contract law. Yep.

Awesome. Thank you for, for everyone who has been with us these almost two hours together. I really appreciate your attention and we're looking forward to speaking with you when you book calls with the, with the advisors. And thank you so much. And we'll give back the rest of this evening to you. Thank you so much. Enjoy the rest of the evening.