The Infinite Banking Concept - Becoming Your Own Banker in Canada

Okay, everybody, welcome. Welcome to the grand finale, the final webinar of 2020. What an interesting year it's been. We are in day 742,324 of the COVID 19 measures. And so we hope that this webinar finds everybody who's attended doing well and that you and your family are healthy and that you're coping as best you can with what's been a most interesting year. The amount of attention that becoming your own banker has garnered this year has just been absolutely amazing. Our business has more than tripled and it continues to rapidly expand. And so for all of you who have taken the time to join us here this evening, thank you. Thank you so much for joining us. And a couple of quick things before we dive right in. So firstly, the Q and A window that you see in your Zoom panel. So that is where we would like you to type in questions that come up for you. It's fantastic to get those questions in because questions benefit everyone in attendance. And so we're going to have time for Q and A at the end of the webinar, which we always look forward to. And Vern's kind enough to facilitate moderate that Q and A. So it's going to be great. And then in addition to that, we encourage you as attendees to use the chat window. So any thoughts, any lingering thoughts that are coming up for you as we're going through the webinar, please feel free to post them again for the benefit of everyone who's in attendance. We really like the interaction. I'll also be asking some questions on the webinar where I'm inviting you to type into the chat window. And so that just gives me a little bit of energy back so that I know that you're with us and we're going to have a fantastic time. Does that sound good? Let's get some in the chat window here. Yes. Heck yeah. Let me know if that sounds okay.

All right, good. Okay, so let's, let's get started. I'm just going to share my screen here with everyone. Bear with me for one moment. Hey, there we go.

Hit the trusty PowerPoint.

Well, that's a professional headshot of yours truly. I won't spend much time there, but I will start with R. Nelson Nash, the developer, the pioneer, the founder of the process of becoming your own banker. He said something so often throughout the many years that we were blessed beyond the definition of good fortune to be mentored by him. He would always remind us what a peaceful, stress free way of life. It is when you get the banks out of your life. Isn't that the truth?

Now, I want to begin just by applauding everybody for your commitment. And I am telling you that you could have been doing something else with your time. And you're so committed to discovering the process of becoming your own banker. You're committed to radically improving anything that you're already doing financially or that you're contemplating doing financially, that you're giving up other things to be here with us. And so, on behalf of myself and all of my teammates who are present here this evening, we just want to applaud you for that commitment. Now, by the end of the webinar, you'll know that you are capable of becoming your own banker. I promise you, you'll get clarity on the problem and the solution will become clear and you'll know exactly what to do. You're going to feel hope and belief. This is what most webinar attendees tell us most frequently, is that they feel hope, they feel belief, and that this is the way to create your peaceful, stress free financial life. Now, over the course of your lifetime, I'm sure we can all agree that that you've been told to put your money away in things like retirement accounts, mutual funds, stocks, gold, silver, whatever that financial product is or that instrument is. It's not that those products are good, bad or indifferent. They just are. All of those financial instruments and products, they all have their own sets of characteristics in terms of tax consequences, volatility, liquidity, control, safety, etc. You put your own money in prison when you hand control over of that money to someone else who thinks they can do better with it than you can, and it gets trapped in a vice like an RSP or some other form of instrument, and then you have to go to someone else's bank when you need access to more money. It's absurd. And I'm telling you that if you've been handing control of your money over to someone else, you might not be in the best situation right now, but it's not your fault. This is what the mainstream financial advice, the mainstream financial entertainers have been telling people to do ever since I personally have been exposed to finances. I remember all of that. I remember all of those people saying those things in terms of where you should store your money. But people aren't talking about who's controlling the banking function as it relates to your needs. Think about the last time you had a conversation with someone about money about anything financial. The conversation likely leaned very quickly toward rate of return interest rates. But nobody in that round table by the water cooler said, hey, I've got a question for everybody. Who's controlling the banking function in your life right now? Has that ever come up around the water cooler? Let me know in the chat window if anyone has ever asked you that question. Who is the banker in your life? I'll wager that the answer is most common, though I've never had anybody say yes to that. Now, for myself personally, I discovered the path to a peaceful, stress free financial life the hard way. And I just want to take a moment and share with all of you and just give you a little bit of context in terms of what I mean by that. It for me, my belief, knowing what I know now after all these years, is that you deserve as much as I feel that I do. You deserve a life of no regrets. It was no this. I am going to take you back here. It was September of 2006, so this is many years ago. 7pm in Sherwood Park, Alberta, in Westboro to be specific. And I was standing in an empty dark living room and I was staring out at a sold sign on the front lawn. Now you're my invisible partner and you're standing right next to me. I was feeling like a failure. I was feeling stressed, defeated. I never would have expected to be here. After doing all the right things financially, how was it possible that doing everything right got me here?

A few years before that? I was 30 years young, I was married, I had a mortgage, I was very ambitious about my future. And up to that point in my life, I was doing all the right things according to mainstream financial advice. Over the course of the next few years, life decided to hand me several big challenges all at one time. My marriage ended, I was deeply in debt, on the brink of financial ruin. And I endured the unexpected passing the sudden death of my mom and dad. Some of the most stressful events that you can experience over a lifetime happened to me in just a few short years. Standing all alone in that dark, empty living room. I honestly did not know who to turn to for help. If you were in that situation, what would you have done?

Just when I felt like I hit that rock bottom and I remembered something that my dad used to say to me and he used to say, son, don't ever be found guilty of giving up on yourself. So I made the decision to take control of my life. In 2008, July of 08, I was contacted by a friend, Matt Lovelady, very successful, established business owner south of the border in the US and he invited me to attend an event. And the topic was what I later learned to be the process of becoming your own banker. The infant banking concept. I didn't have the money to go on that trip, but determined to find the answers, I decided to do whatever it took to get there. I took action. I left that conference. It was a three day conference. I was one of two Canadians in the entire event. And I left that conference believing that everyone should hear this process. I began to implement it in my own life and everything changed for the better. Today I am remarried to my beautiful wife Rebecca. We have four young children. We were only planning to have three, but number three turned into number three. And number four, we had twins. And I wouldn't trade that for anything in the world. I love being a dad. I no longer feel stressed financially. My family and I are in total control of our money. We are no longer worried about the ups and downs of markets. And because of this process, my family and I will never have another bad financial day in our lifetimes. While I'm alive. And after I'm gone, I believe that financial power and control should be in your hands. Not the banks, not the government, not some risky stock market. So in the next two hours, I'm going to take the past 12 years of time, money and energy that I spent personally on becoming an expert at this process. And I'm going to show you exactly how I've helped thousands of people just like you to build your peaceful, stress free financial way of life. Thank you for letting me share that. Does that sound good to everybody? Are we ready to go? Are we ready to dive in? Give me a heck yeah.

Come on. This is meant to be a participating webinar. We've got 49 on. Let's get some. Heck yeah. There we go. Come on. All right. Thank you. The more energy I get in that participation, the more you'll get from me. I love live events. These ones are a little tough. Tough, but hey, you know what? Good to be here. Okay. Now, most people believe that they need someone else to take care of their money. That's just the truth. Most people believe it's necessary to risk their money in order to grow it. Most people know next to nothing about the process of banking and its importance to their lives and to their well being. Here's the truth. The difference between you getting stressed or staying relaxed financially is who controls the banking function in your life. You don't have to put your money in prison for decades and rely on someone else to achieve the financial Abundance that you deserve today. And you don't have to be rich to become your own banker. We have clients that implement this process where they put as little as $100 in a month. We have other clients that implement this process that put in multiple six figures a month. Whether you're making $10 an hour or $10,000 an hour, you need to understand how to become your own banker. If you want to create abundance and if you want to build that peaceful, stress free way of life, the easiest way to do it is to embrace this process, work with a good coach and understand that when you begin to implement this, everything is going to change for the better. Now who's this for? If you're thinking about doing something financially, whatever that is, investing in something, purchasing something, whether it's for your business, growing a business, expanding it, maybe investing capital in real estate, whatever that may be, anything that you're already doing or even contemplating doing financially is radically improved when you introduce the process of becoming your own banker. So whether you're an entrepreneur, an investor, a high income earner, whether you're inexperienced, experienced, retired, approaching retirement, whether you're an individual, a household, or maybe you have some debt, this process of becoming your own banker is going to help you. It's going to be an advantage to you. Now it's important to understand how this process began, how it all got started. R. Nelson Nash, God rest his soul, he wrote this book titled Becoming youg Own Banker. And like the sleeves reads, this book will change your life. And back in the early 1980s, not sure how many folks on tonight's webinar can relate. Maybe just type in the chat window if you can relate to this. In the early 1980s, inflation skyrocketed. Interest rates peaked at 21.5%. And that's if you were a prime customer. And I've never met anybody who's a prime customer. And in the early 1980s, when inflation skyrocketed, Nelson Nash found himself in a very tough situation. Up to that point, he was receiving a lot of financial advice from all the entertainers who were saying, listen, if you want to grow wealth, what you need to do is you need to take money, someone else's money, go and invest it in real estate. So you need to lever up, go and borrow money, purchase property. As long as you've got tenants making the payments and you can service the interest on that debt, that's a pretty low cost of capital to create a massive return. And so nobody explained to Nelson what happens when the interest rate lever goes the other way. So when you owe a half a million dollars in mortgage debt and your interest rate skyrockets to 21.5%, Houston, we've got a problem. And so Nelson naturally thought, okay, the only advice I'm going to get is, is Nelson sell the real estate. But he thought to himself, what fool is going to buy this real estate from me when they have to go and lever and borrow money at such high rates? What he didn't realize was that the solution to the problem was right in front of him. And the problem wasn't the problem. The problem was how Nelson was thinking about the problem. I'll say that again, the problem was not the problem. The problem was how Nelson was thinking about the problem. So determined to rethink his thinking, he discovered that he had the solution. He had cranked up a lot of dividend paying participating whole life insurance contracts. He had access to capital directly from the life insurance companies in the form of policy loans, anywhere between 5 and 8%. It took him 13 years to get rid of the snakes and dragons as he called the lenders. And then after that point, him and his wife Mary, at the time of his passing, he was married to for 64 years, him and his wife Mary had not seen a commercial bank ever again for anything other than the convenience of debit. Now that created a very peaceful, stress free financial existence for Nelson and Mary. And so he thought to himself, how am I going to help others understand what I did? And so that's what led to him creating what became quite popular, which was his 10 hour seminar on the process of becoming your own banker. And that was taught on a Friday evening and an all day Saturday. Then he wrote the book titled Becoming youg Own Banker. Subsequent to that he wrote the book titled Building youg Warehouse of Wealth. And then he co authored the book the Case for ibc. Now if you want to take a deeper dive into those books, they're all available on our bookstore, on our website and you're actually going to receive a link. It's either going to be text messaged to you or emailed to you. And you can purchase your own copies. We sell them for less. You can check Amazon, we're way cheaper than Amazon. And we'll ship them anywhere in Canada right to your front door. Now.

Everyone needs a heart. Would you agree?

How long would anyone on tonight's webinar survive without a heart?

Not very long.

A few decades ago, Nelson found himself in a situation where he had to have his heart replumbed in four different places. And so his heart was literally outside of his chest cavity for almost three hours. Now, during that period of time, he was connected to a heart and lung machine. That machine is what was keeping Nelson alive.

Now, what's interesting is that Nelson often said that he was alive, but he was only existing. He wasn't truly living. And he doesn't remember, of course, anything from that experience. But what's important here, the connection, is that if you think about banking, banking is the most important business in the world. Without banking, money can't move from one supply source to another in a relatively short time frame when you need to transact something. And so if the banking business comes comes to a grinding halt, everything financially comes to a grinding halt. Now, the banking system, much like a heart, it pumps the money to where it's needed, and at some point, it flows through your hands and mine. Right. I was talking to somebody here prior to our most recent webinar, and I said, hey, do you still carry a wallet? And the guy goes, yeah, yeah. I said, well, how much money do you have in there? And he goes, oh, I've got just over 100 bucks. And I said, well, whose money is it? And he goes, well, it's mine. I said, no, it's not. You're just next in line to spend it. You're just handling it. Money comes out of the system, flows through your hands and mine. It ends up right back in the banking system.

Now, the issue here is how much of the banking function do you control as it relates to your needs?

And so if you're doing the equivalent of living off a heart and lung machine, meaning someone else is keeping you alive financially, someone else is controlling the banking function as it relates to your needs. It doesn't have to be that way. Let's get that heart back in your chest cavity and put you in a position of total control. Now, this is the truth. There's only one pool of money in the world. It's incidental that there are many different banking institutions and that there are many different currencies and that this pool of money is being handled by many different people. There's only one pool of money on the planet. Money flows from the pool, through our hands to meet our needs, but somewhere in the process, it all ends up right back in the system. So remember, there's only one pool of money in the world. And what Nelson saw is that he was pumping money into the pool the wrong way. He had to go through the bankers, the toll takers, the gatekeepers who were all Making money off of him and abusing him. Has that ever happened to you? He realized that what he needed to do was crank up large life insurance premiums in dividend paying, participating whole life policies to create a platform that would enable him to take control of the banking function as it relates to his needs. You can't get that done overnight. Everyone thought that he was nuts, including his wife Mary. You have to get it done incrementally over a period of time. And you're going to need the use of money for the rest of your lifetime. And someone has to control the distribution function. It can and it should be you. Now, there are four characters in the financial play. Super fundamental to understand. The first character in the financial play is the depositor. Now this is a character that I believe all of you can relate to. Think about this. If you earn income, whether it's T4 income, interest income, dividend income, whatever source of income that may be, who sees that money first?

The bank. And so you're a depositor, you're also a borrower, even when you pay cash for things. When we talk to people often who say we don't go into debt, we save up money, we withdraw the money, we buy the item and we're not in debt. But what they don't realize is that they're permanently giving up the opportunity to earn interest on that money for the rest of their lives and every generation that comes after them. It's a permanent transfer of capital away. It's called lost opportunity cost. Now, the borrower is the most important character in the play. That's the one who makes this all work. The banker. Well, the banker is the individual who determines who gets access to capital and what the terms are going to be, what the repayment schedule is going to be, who gets access, who doesn't. Whomever has the gold makes all the rules. Now, the bank owner has an expectation of profit. So if you own stocks in any of Canada's publicly traded banks, then you have an expectation as a stockholder of profit. If you become all four characters in the financial play, which most people on tonight's webinar are only two of the four characters in the financial play. If you can become all four, you will create wealth, you will create abundance, and you will put yourself in a position of total and absolute control. How many people on the webinar want to understand how to become all four characters in the financial play? Just type in the chat window. Say me.

Here. Let's see the chat here. Who's moderating that? Is that is that Vern. Vern, I can't see the chat window, so let me know if we're getting.

Lots of me's in there, Jason.

All right, thank you. I just can't see it on my panel for some reason.

All right, now you may have heard the Golden Rule.

The Golden Rule states that those who have the gold make all the rules. Now, for most people, they've abdicated their opportunity and most important, their responsibility as it pertains to the banking function in the economy. They're depending on someone else to perform that job. And that character in the play is the one that's making the most money. And so you get to become that character. Those who have the gold make the rules. Let's commit that to memory. The person on the street in Canada today understands the subject so poorly that he's doing the equivalent of living off of a heart and lung machine. It really is absurd. What I want to talk to you about is how to create that system. How to put you in a position of total and absolute control and for you to have control of everything about the banking function as it relates to your needs. Now, whether you're a household or whether you're a business owner, this process is going to apply to you. Now, the book that I referenced earlier, what we often refer to as the holy grail of this process is becoming your own banker. And this book has sold over 400,000 copies, self published. Isn't that good. And one reading of the book just won't do the job. It's a 92 page read. It takes you a little less than an afternoon to get through. And as I mentioned previously, so you should already have a link that's either been emailed or text messaged. Go ahead, get your copy. Pick up the case for ibc. That's another great book to add to your library and we're gonna have a lot of fun on this webinar. Diving deeper into the solution here in just a moment. Now, Nelson used to say that the very first principle that must be understood is that you finance everything that you buy. He would always say, you either pay up or you give up. And what he meant by that was you either pay interest to someone else or you give up interest you could have earned otherwise. There are never any exceptions to that, ever. Whether you're paying cash for things, leasing, financing, whatever that may be, there are no exceptions to either paying up or giving up. Now, most people may have heard of lost opportunity cost. Many people give that term lip service, but not many people actually Reckon with it. And when you become your own banker, you will reckon with it and you will have money flowing back to you versus flowing away. Isn't that good? The whole idea is to recapture the interest, to recapture that money that you're paying to banks, to finance companies for the major items that you need throughout your lifetime, and to have that money flowing back to you versus flowing away.

That is incredibly powerful. And it's ridiculously simple once you know how. Another fundamental understanding is that your money must reside somewhere. The question is, how much of the banking function do you control as it relates to your needs? Somebody has to perform that function. It should be you. Now, I want to clarify for everybody on the webinar tonight that this process is not an either or. Becoming your own banker is not about addressing the yield of an investment. It's all about how you finance the things in your life which can certainly include investment. Because when people are first exposed to this process.

The human brain can go to an either or thought pattern. I'm going to invest in real estate, or I'm going to become my own banker. I'm going to put money in gold and silver and bitcoin, cryptocurrency, or I'm going to become my own banker. I'm going to put that money into the mutual fund or the great stock that my colleague told me about at the water cooler, or I'm going to become my own banker. You cannot achieve a better rate of return doing anything if you don't control the banking function as it relates to that thing that you're doing. So put yourself in the driver's seat. This is an as well as I'm going to invest in real estate as well as become my own banker. I'm going to become my own banker as well as put money into gold, silver, cryptocurrency, mutual funds, stocks, whatever that may be. Take control of that banking function. Now, let's talk about getting into the grocery store business. Now, on every webinar I always communicate as attendees, you must be thinking to yourself, why on earth is this guy talking about a grocery store? I was here tonight to learn how to become my own banker. Well, just bear with me. I think that you'll find the example here to be very, very relevant. Let's talk about getting into the grocery store business. Okay, so everybody on the call, all 54 of us that are on the call tonight, consider a business in which you are both the consumer as well as the seller of a product. Right? We all need to eat as human beings and how long do we need to eat for? As long as we're alive. And so let's consider a business where you're both the consumer and the seller of the same product. Food. Your market's unlimited, right? Because everybody needs groceries. Someone has to perform the function of distribution. Might as well be you. You got to study the business. Now, that's why you're here this evening, is to study the banking business. You got to purchase a superior location. I personally would never go to a grocery store that's located in an industrial park. You got to find a good location to put your building on. You have to build an attractive building. You got to stock it with high quality merchandise. You have to hire really good team members who can deliver a great experience to your customers. Now, up to this point, how much money have you made? Go ahead, type in the chat window, let me know. Up to this point, how much money have you made?

Let's see. Let's go into some chats here. Okay? None. Everybody's saying zero. That's the right answer. You're absolutely correct. You haven't made any money up to this point.

All right, now you got to turn the inventory 15 times just to break even. Imagine if you had the bread, the milk, the butter, the eggs, all of the staple grocery items just sitting on the shelf and not turning over. Nobody's buying them. What's going to happen to that inventory? It's going to spoil. Well, if you think about the banking business, if money's not in constant motion, what happens to the banking business? It can't survive. The money that you have in your savings accounts and checking accounts at the bank, those aren't an asset to the bank. Those are a liability because the bank's already put that money to work.

All that you are is an unsecured creditor of your bank, folks, and you may not even be aware of that. Just for trivia, go down to your corner bank branch and ask them to print out a copy of your account agreement that you signed either electronically or with a pen when you opened up the account. You may be shocked to discover in that agreement that it indicates that when you deposit money. There you go. You're not the owner of that money anymore. You're just an unsecured creditor of the bank.

How many of you want to change that financial posture? Now, going back to the grocery store, you got to keep the inventory in motion. It's got to keep moving. You turn it 17 times, you'll be profitable. You can turn the inventory 20 times. You can Retire early. Now, let me give you an example. We're going to talk about.

A can of peas. And most people don't know how thin the margins are in the grocery store business, meaning how much profit can you make by selling groceries? And the margins are very thin, especially on cans of peas. So let's say in this particular example that we have a can of peas. It's delivered by the wholesaler. It comes in the back door into our storage room, and we stock it on on the shelf. And a captive customer comes into the store and says, hey, I need a can of peas. They go to the shelf, they grab the can of peas, they go to the cash register and they say, this is all I need today. Cash register gets rung up and it's 60 cents. Now, we paid 57 cents from the wholesaler, so we made a whopping three pennies on this one can a piece. Now, I'd like to ask all of you this question, being that you're all the owners of your grocery store business. So I'd like to ask you, being that you're the owner, so remember, you're the one that calls the shots. You're the one in charge. If you could take the canopies out the back door, because you're the owner, you call the shots. Or you could go out the front door just like a customer does and pay 60 cents for this canopies. Would you go out the back door or the front door? Go ahead and type it in the chat window. Let's see.

The responses we get.

Okay, Vern says front. Sarblo, front. Another Vern says front.

Liz, front. Hey, Liz.

Who else? What do we got?

Normally we get a few. Oh, okay. Rob. Rob says back.

Okay, thank you, everybody. Yeah, Vern, you're right. There is another Vern on the call. This is good. Okay, so if we go out the back door, let's presume that we went out the back door with can of peas. And knowing that we sell it retail for 60 cents, but we purchase it wholesale for 57 cents, we have to sell 20 cans of peas just to make up for the one can that went out the back door. And if our employees see us walking out the back door with the canopies, what are they going to do? They're going to think that it's okay. They're going to mirror that behavior. And so it shouldn't be any surprise to anybody on the webinar that the largest percentage of theft in retail and grocery is internal. It's not the external customer that's driving that number. It's internal, it's the owners and the employees. Now picture the banking business for a moment. If you did like Nelson did and like I've done and thousands of others over these past 13 years that we've been coaching and educating Canadians to do this, if you crank up large premiums inside of dividend paying, participating whole life policies and you begin to implement this process and you start to access policy loans from the insurance company and you're not repaying them, that's a polite description of theft. You're going out the back door with the family's money. And so if your family, your extended family sees you doing that, what are they going to do when you pass away and there's an abundant death benefit, a tax free windfall that comes showing up when it's needed the most. What is your family going to do? They're going to mirror that behavior. So you're going to hear me use the expression don't steal the peas throughout the webinar. That's what I mean. That's one of Nelson Nash's five golden rules. Don't steal the peas. Now, if we are a really good business owner, we're not just going to pay 60 cents for the canopies, we're going to put a few extra pennies in the cash register. If we put an extra 2 cents into the cash register, our grocery store now has more capital to go and purchase more inventory to sell to more captive customers. So if you're taking out policy loans from the life insurance company and you're repaying those policy loans and you're putting a little extra capital back into the money pool and you're a co owner of that life insurance company, then that life insurance company has more capital to provide to more captive customers. Isn't that good? So this is a very relevant example and it's ridiculously simple. If you get a good grasp on the grocery store example in Nelson's book Becoming youg Own Banker, the rest of Becoming youg Own Banker is ridiculously simple to understand. If you don't grasp the grocery store example, go back to it, refresh on it, read it again. If you still don't grasp it, then connect with someone who can walk you through it. Make sure that you get a good grasp on this example. Because once you catch it, the rest of becoming your own banker is so easy. Now we get it. Don't steal the peas. Right everybody with me. Nelson used to always say, listen, this message does not need to be sensationalized. It's ridiculously simple once you know how. He would go on to further say that. You need a good coach and at Ascendant, we are the best at it, bar none. And if Nelson were still with us today, he would absolutely attest to that, I promise you. Now, we need to have a good, thorough understanding of the problem. Because if I just dove into the webinar tonight and I started describing the solution and you didn't understand the problem, the solution wouldn't matter to you, no matter how good it is. And so let's get clarity on the problem before we dive into the solution. Who is the banker in your life today? That is the question that I want you to let sit with you. Who is the banker in your life today? Think about this. You earn income regardless of the source, T4 dividends, interest, regardless of the source. That income gets deposited into someone else's bank. I say that again, someone else's bank. And that capital sits there, which we know it doesn't. And it waits for you to pay your bills, you take care of all your personal obligations, your loan payments, your. Your credit card payments, lines of credit, mortgages, you purchase groceries, you pay your utilities, all those things that you need to make your world go round financially. Your money always ends up right back in someone else's bank. Every payment that you make, every purchase that you make is a deposit into someone else's system. This results in a constant and permanent transfer of money away from your family or your business. It's, in other words, you're doing all the money, you're doing all the money.

You'Re doing all the work, and everyone else is getting all your money. Now think about this. We're going to talk about a couple of different characters here. The first person that you see here in red, the debtor. The debtor sees the interest as part of their payment. So the debtor is someone who starts at zero.

And they borrow the money to purchase what they need. Piece of real estate vehicle, commercial building, business equipment. Just think about anything that you would go to a lender to finance. Now, you start at zero, and then you're in a negative balance, right? Because you owe the lender and you're making a repayment on the lender's terms, not yours. And every payment that you're making, as you climb this staircase back to zero, every payment that you're making is a deposit into someone else's system. And you can see the interest portion of that payment because it was spelled out very clearly in the borrowing. Here's Your principal portion, here's your interest portion. Now, the second person, the saver, they think to themselves, I'm going to come out one up on that debtor. I'm going to come up one up on that debtor. Here's how I'm going to do it. I'm going to save my money to go and buy the same thing that the debtor borrowed money to buy. So the saver stores money, because remember, your money must reside somewhere. So the saver stores money inside of someone else's bank, climbs the staircase to the amount required to purchase the same thing that the debtor borrowed the money to buy. And then the saver withdraws all the money so they're right back down to zero, and they transfer permanently that money away from them to purchase the same thing that the debtor borrowed the money to buy. And the saver says.

I didn't pay any interest.

But nobody sits down with the saver and says.

Have you calculated the amount of interest that you've permanently given up the opportunity to earn for yourself and for every future generation that comes after you?

I'm asking you, you're thinking to yourself, this is really strange. Jason looks like he's living in my computer right now. I'm asking you this question.

If you're the saver, if I'm talking to you, did you come out any farther ahead than the debtor? You both ended up right back at zero. You both made payments. One of you understood that you had a principal and interest portion to the payment. The other did not understand that every deposit into the bank was a payment. And when you withdraw that money, you permanently give up the opportunity to earn interest on it. If you want to change that, give me a heck yeah in the chat window. If you don't sign off the webinar, you're on the wrong meeting. Isn't that good? Okay, I'll back up now just to stop making everybody uncomfortable. Both methods. Permanent transfer of money away. Now, here's the deal. We know that your money's gotta reside somewhere. And the solution to the process is becoming your own banker. Now, we're gonna go through a little bit of a fun thought experiment. This is great. We love doing this on every webinar. If you could invent. Now, we're gonna give everybody a clean slate. Okay? So this is going to be awesome. A once in a lifetime opportunity to create the perfect investment. If you could invent a type of asset from scratch that had absolutely no drawbacks whatsoever, what would it look like? So what specific attributes Would it have? Now here are some of the most frequently received responses and I'll get some thoughts going here and then I'll invite everybody to share their thoughts in the chat window. Safe, secure, high rate of return. So I'll give you those three attributes and then give me some more. You can create the perfect investment. It's the type of asset that has no drawbacks whatsoever. What would it look like? Tell me the attributes that that would have. Okay, Dan says tax free growth. Ida says tax free. Liz says flexible. Vern. Not our Vern. Our other. Vern says compounding. What else?

Let's get a few more here. Okay. Chris says generational. Sarblo says access to capital. Mike says liquid. Nina says access to it all the time. Let's get a few more. Marilyn, risk free. Hey, Marilyn. Peter says private. Hey Peter.

Sharon. Hey, Sharon. Recession proof. Sharon's awesome by the way. All right, few more.

Alan. High interest. David says can withdraw anytime. Vern, our own Vern says daily growth. Abdul says tax free to grow and draw. Available anytime to anyone within family. Awesome. Thank you all. Thank you all for typing in those responses. Now we've compiled a list of the most frequent responses. Here they are. Tell me if these look familiar. High rate of return.

Consistent rate of return. Conservative. Safe, Liquid. Guaranteed tax benefits. Tax free. No market volatility yields income besides capital gain. Creditor protected.

Inflation protected. Control transferable. Easy to manage. No hidden fees or penalties. Reputable private.

Now I'd like you to consider your own various assets and simply identify which of the features from this list that your various assets are doing well on and which of the features they fail to satisfy.

Think about that process that as it relates to your own various assets that you possess right now.

Which of these attributes do they do well on and which do they fail to satisfy?

I've got a surprise for everybody. The list of attributes most accurately describes a dividend paying, participating, whole life policy. Isn't that good?

Let's unpack. That's the famous $5 phrase on you can hang out with lawyers and people on Bay street if you know that phrase. Let's unpack. Participating, dividend paying, whole life. Let's start with the word participating. What that means is that you become a co owner of the life insurance company and that's the only ticket to entry when you're dealing with a mutual life company. If you say, look, Mutual life company, we know that you've been operating since 1920. You began issuing participating policies in 1936, right in the midst of the Great Depression. You've declared and paid dividends to your policy owners every single year without failing. You survived the Spanish flu, the Great Depression, H1N1 SARS, Wuhan, Covid 30 recessions, the financial crash of 0809 to name a few. I want to become a part owner of this business. How do I do that? Somebody at the front desk of that life insurance company is going to hand you a life insurance application and say you need to apply to become either an owner or a life insured or both on a participating dividend paying whole life insurance contract. That's the only way to become a co owner of this business. Now when you do, you participate in the profit, the divisible surplus generated from every product that the life insurance company brings to market. Now, it should be a shock to everybody on tonight's webinar that during COVID these life insurance carriers are thriving. They're thriving with Canada's largest mutual life company. The underwriters individually were accustomed to dealing with about 50 active applications for new life insurance policies. Dividend paying, participating policies. You have a whole team, several dozen underwriters, they're dealing with an average of 50 active applications a day. With this particular mutual life company, their underwriters have seen no less than 300 active cases a day since the onset of COVID Now that's going to produce a very profitable outcome for me and for everyone else who co owns that particular mutual life company. You can co own a business the very same way that's never failed to produce profit. Now, dividend paying means that every year that the life insurance company declares a dividend, the carriers that we work with have done so every single year since inception, a 173 year track record in our country. Those dividends are contractually guaranteed to be paid to the participating policy owner and it can never be repossessed or lose value. Now if you have any familiarity with this type of policy or you've talked to someone who does, you may have heard the term dividends are not guaranteed. It's important to correctly classify things and to be accurate, the only dividend that isn't guaranteed is the one that hasn't been declared yet. These contracts cannot lose value. They cannot go down. There's no government intervention, stock market manipulation. There's no.

Bad economic cycle or pandemic that can take away any of that accumulating value. Now, whole life means you're insured for your whole Life to age 100. The total cash value of the policy is contractually guaranteed to rise every single day. So that it equals the total death benefit by age 100. So you don't have to worry about being a portfolio manager. You don't have to worry about making the right investment choices. You don't have to worry about subjecting your money to the risk of loss. You can continue focusing on your unique ability, doing the things that you're good at and that bring you energy and fascinate you and let the insurance company do what they've been doing extremely well the past 173 years, which is multiplying capital. And if you can co own a business that's never failed to produce profit through all of the events that I've just described and you understand that your money must reside somewhere. How much capital do you want residing here? What's the alternative?

Now we don't have many financial guarantees in life anymore. That's a word that is not used very often in our circles of the financial world. Pensions are going by the wayside. There's doubt about the future. However, these dividend paying life insurance companies contracts can help create peace of mind with unmatched financial security. Here's how the cash value begins accumulating immediately in these contracts, immediately from inception. And it's contractually guaranteed to grow every day. Every single day, including Sundays. Cash values cannot go down early. Access to and control over a growing pool of financial value that you can use to take advantage of opportunity that will track you down. Nelson Nash told me for the first time in February of 2011. He said, Jason, when you have ready access to capital money, opportunity will track you down. And he was so correct. And so when you grow your pool of financial value, I promise you opportunity is going to track you down. You're not penalized for accessing it early like you are inside of an RSP or other financial product. This is not an instrument of the tax code, folks. This is not a registered anything. This is a private contract between you and a private company. You're a part owner of that company. It's a unilateral, binding contract. It's not an investment. Dividend paying, participating whole life insurance never was, never will be an investment. A unilateral contract means that one party to the contract, in this case the life insurance company, is legally bound to satisfy very specific contractual guarantees and they've never failed to do so. And you as the policy owner have total contractual authority, just like the grocery store owner. You're the one who calls the shots. But don't steal the piece.

There are several tax advantages, both personally and corporately if you're a corporate owner, oh my goodness. The advantages to this are innumerable. These policies are not captured by the passive investment income tax rules. These policies will not negatively impact or grind down your small business tax deductibility. These policies give rise to a capital dividend account at the time of your death, which enables the surviving shareholders to extract assets out of the business on a tax free basis. Is there anything stupid about doing that? And you get access and control and liquidity while you're running your business. And how many business owners do we have on tonight's webinar? Who've ever thought to themselves, you know, I could do without reducing my exposure to tax and I'd rather not have ready access to capital. I'd rather go through some lengthy nosy credit check and loan application and some snot nosed banker who doesn't know my business as well as I do. No, every business owner wants control. They want access, they want liquidity. These contracts provide that and so much more. Now the death benefit matters too. The death benefit is thrown in for good measure. These contracts are grossly misclassified. They should have been named a personal monetary system with a death benefit thrown in. But I'll tell you, they're life changing while you're here and after you're gone. So be a wealth creator. This green line that you see here, this is your total cash value that's rising on a daily basis uninterrupted. This red line is you accessing policy loans and repaying those loans on your terms, not someone else's. You're the policy owner. You control the repayment schedule of your loans. But your pool of financial value continues growing uninterrupted because all you're doing is aging and you're paying the premium in the policy. So remember, when you access those policy loans, the red line, don't steal the piece.

You are your greatest asset. You are your greatest advantage. The behavior of the policy owner is far more critical than the behavior of the life insurance company. The life insurance company is going to administer this contract. But your behavior is far more critical. You can create even more abundance if you know how. You've got to work with a good coach and we're the best at it. Now, creating your own system, let's talk about Nelson's five golden rules. The first golden rule is think long range. Now what he meant by that is to think three generations past your own. Nelson spent time as a forester in his career and he knew that he was thinking in 70 year spans. So he knew that there were generations of trees that were not going to mature until long after he's gone. And so you have to think about this as it relates to your family, as it relates to your business, your succession planning. You've got to think long range, three generations past your own. Everyone's going to need the use of money. So let's have the money kept in the family and then let's have all the money that you ever put into your system come back to the family when you pass away. The second is don't be afraid to capitalize. Your money has to reside somewhere. So if you think about that and you understand it, then you won't be afraid to capitalize your system. If you're thinking about this as life insurance, your first question that comes to mind is, how soon can I stop paying the premium? If you understand the process of becoming your own banker, your question is going to be, how long can I pay the premium for? That's a completely different train of thought. Isn't that good? Don't steal the peas. Don't do business with banks. Every time you borrow money from a commercial bank, you're contributing to inflation because the bank is creating the money where no money existed before. When you go in and you finalize the mortgage, the money's created with one of these things, but you're paying the bank back with real money. Think about that for a moment.

And somewhere, somehow, it all ends up right back in the system. You can secede yourself from that system. Rethink your thinking. You all look at the world with a bias. Whether you think you do or you think you don't, you do. There's a great, great video on YouTube. It's titled the Backward Bicycle. I'd like you to write that down. Maybe Vern, type that in the chat window. Post a link to the YouTube of that video. It's the Backward Bicycle. It's about an eight minute video. You'll love it. This is attributed directly to Nelson's fifth golden rule, which is to rethink your thinking. Now let's talk about individuals and families. This first gentleman, David Klein, has been a client of mine going into his eighth year. Now he's someone who's completed this class several years ago, eight years ago. And here's the question he asked me at the end of the class. He said, hey, Jason, can you take a look at my financial situation? Can you help me to implement this process of becoming your own banker in my life? And I said, absolutely, I'd be happy to do that. And here's what's happened since. Now I just want to bring this up and just show you. These words are right from David himself.

And I'd love everybody to see this. I just highlighted some of the really key points that he indicates here. So he indicates, he says first and foremost, he's a real skeptical person. His dad worked for revenue Canada for 30 years. And so after taking the course, going through this process, he implemented it. And two years after opening our first policy, we took out our first policy loan. We paid off the bank on my wife's Subaru, redirecting the payments from the commercial bank to our family bank. Three years later, year five, we took out another policy loan. We skipped the bank entirely, this time using the money to buy me a brand new SUV outright. In year five, we also had another child take out a policy loan on him as well as a second policy on myself. With five policies now in force, after seven years, our mortgage was coming up for renewal. Instead of renewing with our bank, we took out a policy loan from each of our five policies and we paid off the bank entirely. Now what David also shared, which is very impactful. Previously, his fiance was tragically killed in a car accident. And since that time, he's grown a family, he's happily remarried, he's doing great. And I just want to take a moment if Dave's around or if he ever watches this replay on the YouTubes. Dave is an Edmonton police service member. We can't thank him enough for his service and the sacrifice that he makes and putting his life on the line every single day. And we stand right beside you, David. We appreciate your service. Thank you for all that you do and continue to be safe. Okay, let's go back now to. Let's chat a little bit about. Get my screen back here. There we go. All right. Now, one of the most common questions that I get is, Jason, can you connect me with the right person on your team to take a look at my financial situation to show me how to become my own banker? The answer is yes. We have a becoming your own banker call. It's designed just for that purpose. Now, if you click the link that you've received already, it's either been text messaged to you or it's been emailed to you. If you click that link, you can select the date and time that works best for you to have that becoming your own banker call. It's included with the web and so your experience won't be complete until you go through that call and there's no downside at all. There's no cost associated with it. Don't bring any money or talk about bringing any money. Nobody's going to ask you for any. If you haven't received a link, that's okay. You can just text the word schedule. So if you grab your phone, text the word schedule to 587-816-6399. You can also reserve a date and time that works best for you. Now I know, and you should know that deep down you are capable of doing this. Here's the follow up that you can expect from us. We communicate frequently and we communicate very effectively. You can attest to that from all of the follow up. The courtesy reminders. The correspondence that you've received from us leading up to this webinar were very frequent and effective in our communication. So here's what you can expect from us. We're going to stay in touch with you. If you haven't scheduled your becoming your own banker call. As a professional courtesy, we're going to stay in touch via email. You're going to receive an invite, as I've indicated, to schedule a time. If we don't hear from you, that's okay. The advisor, the right person on our team, is just going to reach out to you again, just as a professional courtesy, give you a quick call and see if we can find a mutually convenient date and time to meet. And if you prefer not to meet, as long as you leave happy, that's okay too.

Fair enough.

Let me know in the chat window if that's fair enough.

And here's the follow up you can expect. We're going to stay in touch. You can unsubscribe to our emails at any time. You're going to receive that invite. If we don't hear from you, the right advisor on our team is going to extend that courtesy call. Like I previously mentioned. You see how I'm trying to get through this duplicate slide and recognizing that someone didn't take it out of here? And I'm repeating myself all over again. But repetition is your best teacher. We can all have a good laugh at ourselves too, right? All right, next is Alan. Alan Antonio. The Antonio family. Amazing people. Salt of the earth. Some of the best people you'll ever meet. And Alan's been a client just as long, if not a little longer than eight years. And he heard me speak in a presentation just like the one that you're on tonight. And he went to our website. He got the book Becoming youg Own Banker and it did change his life. He had this book ordered, scheduled a call, he implemented the process and here's what he's been able to achieve. So let me just bring up Alan here. Bear with me for one second. Let's get Alan, see what he has to say. All right, Alan, where yet? There we go. Okay, so Alan talks about when it all began. And at that time he, and still is an active real estate investor. He owned five fourplex units and his portfolio of real estate. And at that time one of his, pardon me, six fourplexes, pardon me. And at that time one of his objectives with this process was to be able to get rid of the snakes and dragons, just like Nelson Nash did. And so he began to crank up these large premiums inside of these dividend paying, participating whole life insurance policies. And in three years of building his system, he had accumulated enough in his pool of financial value, his cash value, where he was able to access a policy loan from the life insurance company and pay off the banks. So he got rid of the snakes and dragons on his rental real estate 13 years early.

Just pause for a moment and think about that.

Thirteen years early, how many mortgage payments would have left his family forever versus now he's making the payments back to his own system on his own schedule. And his tenants are still paying their rent every single month. So that puts Alan and his family in a position of total and absolute control. It gets even better. His daughter and husband wanted to purchase a property, a home of their own rather than go to a commercial bank and shop outside the home. Alan and his wife Janet and their family, they were able to finance through their own banking system. So now the payments that his daughter and his son in law would have transferred away from the family forever, all those payments are now coming back to the family banking system and they get to reuse the money and they own the property, the asset, it's unencumbered because when you take out a policy loan, the lien for the loan balance is on the death benefit of the policy, not the property that they purchased. And that's a private loan. It's not reported to TransUnion, it's not reported to Equifax, it's a private loan. And Alan and his family are in a position of total and absolute control.

Thus keeping up with the idea, as Alan says, of keeping the money in our family. They have insured practically everyone in their family that they have a beneficial interest in. Now why would they want to do that? Because they know that everyone in the family is going to need the use of Money. And they know that everyone in the family is going to die someday. And so they're diversified not only in real estate, but they're diversified in lives insured. And they know that there's going to be windfall that comes back to the family to replenish the family banking system. So they're thinking long range. They're not afraid to capitalize. They're not stealing the peas, they're not doing business with banks. And they're, they've rethinked their thinking. Isn't that good? Such a good example. All right, let me know if you're still with me, folks. Type in the chat window. Let me know that you're still with me and that you're having a great time with us tonight. Go ahead and type in. There we go. Thank you, Glenville. Glenville says loving it. Abdul says yes. Sam Wang says great. Kenneth says, beautiful. Awesome. Thank you. Thank you for sticking with us. I always have a lot of fun and I'm super amped up on this one because I want to close out the webinars for 2020 with a bang. Okay, let me resume my screen share here. All right, let's talk about how 99% of the Canadian car buying public purchase vehicles in comparison to the process of becoming your own banker. Now, each of these methods requires an ongoing payment, which is a constant transfer of capital away from you. As you already know. Let's talk about the no purchase payment plan. So this is when you're leasing something, you never own anything. You're just making a payment. Now, especially if you own a business, you may have heard from either your accountant or maybe you heard from somebody who has some financial savvy. They're like, you know what, leasing is the way to go. That is the way to go. You get to write off the payment. Well, anybody who's practicing becoming your own banker is going to ask.

Is the person who bought the car that you're leasing stupid?

It's the stream of payments that's the asset. So you should put yourself in that position with this process. Especially if you own a business, you can create your own leasing entity, have all the money coming back to you, isn't that good? Post purchase payment plan, that's financing. You don't own anything until your final payment. If you're on a 60 month repayment plan, five years and you get to the four and a half years and you can't make the payments anymore, the car gets repossessed, your credit gets ruined and you don't get any of the money back that you paid for the first four and a half years. It's absurd. Then you have a pre purchase payment plan where I was talking about the saver.

Saving the cash in someone else's bank, withdrawing it all, handing it over to someone else, getting the car and permanently giving up the opportunity to earn interest for the rest of your life and every generation that comes after you. With each method above, who's getting all the money? Type into the chat window, regardless of the method, whichever one you lean into more than the other. I'll never lease anything. I only pay cash. I'll never pay cash. I only finance whatever that is. Who gets all the money?

The banks. You got it? You're exactly correct. Not you.

Okay, now let me ask you this question. How many vehicles have you and your family purchased up to this point in your lifetime? Go ahead and type in the chat window. Now, this can be leased, financed or cash. How many? Okay. 14. Thank you. Dan? Three. Thank you, Ken. So that's 17 Ida. That's seven. Rhonda? Three. So that's another 10. Rob? Eight. Allen? 40. Oh my God, Alan. That's a lot of cars, man. You must pay a lot for insurance. Nikki? At least six. Mike. Six. Okay, so we're well above 80 vehicles. So let's stop there. Let's stop at 80 cars and we haven't even covered a third of the participants on the webinar.

Now let's presume that the average purchase price. Just going to take out my trusted smartphone and do some smart calculations. Let's say that the average purchase price was 25,000 bucks. So we have 80 vehicles, 25,000 bucks. That's $2 million of capital that has left about a third of the people on this webinar and you'll never see the money again. Ask yourself this question. Of all the vehicles that you have leased, financed or paid cash for up to this point in your life, how much of the money do you have.

Now? How many more vehicles are you and your family planning to buy? Do you know that most people will spend more money financing cars than they'll ever save for retirement? I'll tell you my story. In September 2017, I bought this exact car. Same color, same deal. Now, I stripped out so many features out of it, they didn't even have one in the dealer network. I'm a really, really cheap guy. Like frugal doesn't even begin to describe me. And so they had to have this vehicle made. Ford actually had to make the car. Took about 13 weeks for it. To show up. Now, I paid 55 grand for the vehicle. And the reason I chose Ford over all the other makes and models that I test drove is that Ford is the only company who didn't receive or accept a dime from the TARP bailout money during the financial crisis. And it should be no coincidence that Ford has well over $3 billion of cash value growing daily inside of dividend paying, participating whole life contracts. And these contracts are corporate owned. It's called coli corporate owned life insurance.

Now what does that tell you? That they're either really stupid or that they know something that you and I don't. Which one do you think it is? So I decided to give them my business. I could have paid cash, I could have financed, I could have leased it, but I implemented the process of becoming your own banker. Here's the net effect. If you think of the lost opportunity cost of choosing one option over the other. If I would have paid cash for the vehicle using my own money, not the life insurance company's money, then up to my life expectancy, I would have given up $168,000 of lost opportunity cost. So the true cost of the car is way higher than the 55 grand. And so whenever you find yourself in a position where you're like, I saved all the money, I don't owe anybody anything. I'm going to pay for this item, it's mine. I don't have to lose sleep at night, I'm not taking on any debt. Just grab a lost opportunity cost calculator off the Internet. You can find them all over on. Just check with Uncle Google. Type in the money you're going to spend, type in the rate of interest that you think you could have otherwise earned. Make it conservative, and type in the number of years of life expectancy that you believe you have left. And that's the true cost of that purchase. Lost opportunity. Now here's what happened in my case by becoming your own banker, I capitalized my policy, right? I had to have a pool of financial value, so I had to put premium into my insurance contracts. Don't be afraid to capitalize, right? That's Nelson's second golden rule. Your money must reside somewhere. I requested a policy loan from the life insurance company for 55,000 bucks. So that's Nelson Nash's fourth golden rule, which is don't do business with banks. Now, when I called the life insurance company and I said, yeah, I'd like to request a policy loan for $55,000, I had north of $90,000 of available cash value in that particular policy and the death benefit was just under a million bucks. So the insurance company said, would you like us to mail you a check or electronically deposit the money in your account? There was no lengthy nosy credit application, no banker, no finance company, nobody asking me what I needed the money for, nobody telling me what the repayment schedule was going to be. I was in a position of control. Less than four days later, I had the money in my account. I used the life insurance company's money to hand over to the car dealership. They gave me the keys. I own the car. All 90 plus thousand of my cash value is still rising daily uninterrupted to this day. So I'm kind of like an Uber driver. But I never pick up any passengers. My net worth is going up every single day and I'm driving around in a depreciating asset.

How many of you have had that easy access to capital? And you're in control and you still have all of your own pool growing uninterrupted? You can do this too. The insurance company placed a lien on the death benefit for the loan balance. 100% of my pool of cash value kept rising uninterrupted. I control the repayment schedule. So I made a decision. Remember the third golden rule?

Don't steal the piece. So I created a repayment schedule that was my own. I decided that I was going to repay my loan at a rate of 1,066amonth. And I was going to do that for 60 months. And I'm not just repaying the 55,000. I'm putting more money into the cash register. Remember the grocery store example? I am a co owner of this insurance company. So I'm going to put a little bit of extra capital back into the pool. And so that the insurance company has more money to multiply for my benefit and for everyone else who co owns the company, don't steal the piece. Now, heaven forbid, if something happens to me, my family receives the death benefit minus the loan balance. And they still own the car. They still own the product that the money was used to buy. That's thinking long range. Nelson Nash's first golden rule. Now where did the money come from to buy the car? The life insurance company. Who owns the car? I do remember the loan is private. The death benefit has a lien on it for the loan balance, not the car. I own the car free and clear. Who's got all the money? I do. All my cash value is still rising and I get to Repay the loan on my schedule. Imagine during COVID if I had a payment, a commitment of 1,066 per month and I lost my income and I couldn't make the payment. Nobody from the insurance company is calling me and saying where's the payment? They don't care because the insurance company itself is guaranteeing the collateral for the loan, the cash value. And the insurance company itself knows that the policy loan is the best invested asset that they can have because there's no risk of default. If I don't repay it, the death benefit will extinguish the loan balance and everybody's kept whole. Hence the term whole life. Now, how much of the money that I put toward the policy loan repayments can I use again? All of it. I get the car, I have all the money, and I recaptured all the interest that I would have given up the opportunity to earn and that I would have otherwise paid to someone else's system. Isn't that cool? Now, if you can do this for cars, is there anything you can't do it for? That's the fifth golden rule. Rethink your thinking. Now here's a personal retirement situation. I hate the word retirement personally. That's just my own personal view. I respect you. If you plan to retire, that's great. Please don't misunderstand me. It's just my own personal view. I prefer the term passive income. It sounds much better. It just has a certain panache to it. I'm kidding. It's the last webinar. 2020. Let's have some fun. Personal retirement solution. Okay, so here's Nasia, age 45. The objective is to have $39,000 in net annual retirement income from age 65 to age 90. She deposits $30,000 a year into her dividend paying participating whole life contract. She figured, well, you know what, the RRSP maximum contribution limit somewhere around $29,000. Anyway, so I'm just going to go ahead and round it up to 30,000 and I'm going to deposit the equivalent into a participating policy and let's see what this thing can do. Total in $300,000 from age 65 to age 90. Nacia accesses $39,827 per year, tax free. I say that again, tax free. Total out $1,035,502. Nasia passes away at $91,000. Leaves $586,000 to her beneficiaries income tax free. Now ask yourself this question. Is it easier to save $300,000 inside of a policy or to accumulate 1,035,000 inside of a mutual fund or an RRSP.

Logic would dictate.

It'S much easier to do it inside the policy. There's no stock market volatility. There's no government intervention. There's no pandemic. There's no government intervention. There's no temperamental, risky, volatile situation where your money can be lost. The value in the contract keeps going up uninterrupted and it is contractually guaranteed. Now, for investors and business owners, you likely work with an accountant. Chartered accountant. Well, I'll introduce you to Tim Dawson. He's a senior partner with M and P. And many years ago Tim had no earthly idea what this process was. Or what dividend paying, participating whole life insurance actually was. He took the time to learn. He took the time to discover this process. He rethinked his thinking. And you can see here, just based on his kind words, which I'm very appreciative of. He wouldn't hesitate to put me in front of anybody. And I get the privilege of working with him and his established business owner clients all the time. In fact, he's become a strategic partner of ascendant. And he makes himself available and is very generous with his time. It's always better to have one chartered accountant talking to another. And so if your accountant needs to familiarize himself or herself with this process, we can help you do that too. And we work with CPAs, estate planning, attorneys.

Family office, all the time. All right, now we're going to go into the unseen of becoming your own banker in just a second here. Let's talk about corporate retirement. Here's Dylan. He's 45. His objective is to have 41,000 of net annual retirement income from age 65 to age 90. He doesn't want to foot the bill. So his corporation deposits 50 grand into a corporate owned dividend paying policy. Your corporation can be the owner and the premium payer for 10 years. He puts in a half a million bucks. The corporate tax on the daily cash value growth is is zero. The passive investment income tax zero. This is the greatest exemption in the tax code that exists today. But don't tell anybody, okay? From age 65 till age 90, Dillon accesses $41,005 per year after tax. The total out is 1,066,130. Dylan passes away at age 91. The net death benefit is 806,000. Dylan's death gives rise to what's called the CDA account or the capital dividend account. It's a notional account that gets created at the time of your passing. And the CDA credit is 3.5 million. Capital dividends get paid out of the corporation tax free. And that means that assets can come out of the corporation on a tax free basis to maximize the CDA credit of 3.5 million. So what did he put in? What did he get out while he was alive? What did the surviving shareholders, including his family, get out when he passed away? Understanding that your wealth must reside somewhere. Did this policy take away any of Dylan's options?

Type it into the chat window. Let me know. Let me know if you think this option, this policy, took away any of his options. Of course not. Now let's think about your kids, your grandkids, your great grandchildren. We've been taught to be divisive in the family. You've heard this growing up. I promise you when you grow up, you're going to move out. You're going to have your own bills, you're going to have your own mortgage. You're going to understand.

When you move out. Well, the wealthy don't talk that way. The wealthy talk about circling the wagons around the family, keeping the money in the family. This is a picture of my family. Every person in this photograph is life insured. We have 49 policies in our family banking system. Nelson Nash had 48 at the peak of his system. And I promised him before he passed away that I would surpass that number. And I'm super proud. Thank you, Nelson, for everything that you've taught me. He's the first person that I see when I come into the office every day. He's the last person that I say goodnight to. Blessed beyond the definition of good fortune to be mentored by such a great man. He impacted my life personally and professionally in a way that I can never articulate. And I owe him a debt of gratitude. Here's the reason why the children in this photo, they pick up on this much faster than the adults do. Children have a higher degree of neuroplasticity. That's why it's so advantageous for a child to learn a new language at such an early age. And we have in our family the annual family banking meeting. Our annual family banking meeting this year is coming up in two weeks and I'm super pumped about it. We get dressed up, we meet as a family. We talk about how we're using the family banking system. The most recent family banking meeting. We recognize my son. Now, his hair is a little messy here because this particular family banking meeting was on a cruise ship and my sister in law got married the night before and everyone had a long night and my son evidently didn't have a brush or a comb in the morning. But we rewarded him because he had just recently repaid his second policy loan. He's 11 and he's not using language like someday I'm going to understand, dad. Someday I'm going to have my own bills and someday I'm going to get it. He's using language like keep the money in the family, dad. Circle the wagons, shop at home. Access policy loans. The kids get this. Don't steal the peas. That's where the prop comes from. We talk about this with the kids.

Now, unfortunately, we know that family or otherwise, everyone's going to pass away at some point. And this gentleman that you see here in the back row, papa Habs, he passed away sadly on September 12th this year and he's a retired Edmonton police service member. He was retired for several years and early into his retirement I said, hey papa, I'd love to take out an insurance policy on you. And when you pass away, we're going to make sure that Nona, his lovely bride standing right next to him here of 20 years, that Nona is going to be taken care of. She'll never have a bad financial day for the rest of her life. All that I want is to be reimbursed for the premium that I pay when you pass. And then the balance of the death benefit is going to purchase a policy on all of your grandkids as a gift from papa Habs. Part of your legacy. Think long range. And papa said, well, I'm diabetic. I don't think I'm life insurable. And so we said, why don't we try? So we did. And we got him insured. And when cancer took his life, him and I met three days before he passed and we spent a few hours together. He was very, very humble and very happy that he was leaving a legacy. And so this is what the importance of doing this for the family means, not only while you're here but long after you pass away as well. So over the course of an entire lifetime, I want you to think of all the money that leaves your family for things like mortgages, investments, cars, property, weddings, taxes, tuition, business loans, insurance, personal expenses, vacations, sports, business expenses, RVs, hobbies, add up all that money that you've earned and spent up to this point in your life, could you write me a check for that amount right now? You can't because someone else has got all your money. So have the banking process work for you rather than against you. You don't have to get a system of policies from us. There are lots of great people that you can work with. But please, I implore you, please don't try to do this alone. Households and business owners who do this right, they all have a good coach and so I recommend getting a coach. And when you choose who you're going to work with, here are some things to think about. You've got to be careful about the life carrier that you put your policies with and ensure that your policies are designed properly. There are ways to do this wrong. Most people who are selling you life insurance don't have expertise in this area. So make sure that you work with somebody who is thoroughly familiar with and who specializes in the process of becoming your own banker. You should choose someone who's an authorized Infinite Banking practitioner with the Nelson Nash Institute. Here's what that means. It means that they've been through a course of study. It means that they have been mentored through the Institute's mentoring program and that they're actually practicing this process in their own lives. Work with an authorized practitioner now. The reason you should do this now in your life is because you deserve the outcome. Now. The longer you wait, the more you penalize yourself. The real questions are what's the cost of doing nothing? What's the cost of just one more year of all your money leaving your family or your business permanently? What's the cost of giving up all the interest that your money could have earned otherwise? Schedule a time to meet with us. It's included with this webinar. Quick Recap the difference between you getting stressed or staying relaxed financially is who controls the banking function in your life? You don't have to put your money in prison for decades and rely on someone else to achieve the financial abundance you deserve today? You don't have to be rich to become your own banker. Now you're probably thinking, okay, this process looks awesome, but how will I know if this will work for me? Schedule your call. Click the link you received or text the word schedule to this number, 587-816-6399 and reserve a day and time that works best for you. If you book your call before the end of the webinar, here's what you're going to get. You're gonna get a one on one conversation with an authorized IBC practitioner on our team. You're going to get access to an online video series presented by the Nelson Nash Institute, which is normally $49.95, but we've been granted the authority to provide you with free access. Wonderful, wonderful videos. With new content being released regularly, you're going to get a clarity meeting to determine how this process is going to work best for you, your family, your business. And you might be thinking, okay, this all sounds great, Jason, but I don't want to do this alone. You get a lifetime of mentoring. We host quarterly group client coaching sessions. You'll always have access to our client services team for everything that you need. And we are going to teach you to become your own banker. The two most important words in this book title are right here. Becoming your own banker. Your coach is going to help you, but your coach is going to be responsible to you, not responsible for you. We're going to teach you how to become independent. We do not want to create dependent client advisor relationships at Ascendant. We want you to become independent. We're going to coach you how to do that. Does that sound good? Type into the chat window. Let me know if that sounds good. Now, there's a ton of additional valuable resources for you. If you hop onto the Internets and you go to the YouTubes, you can check out our podcast, Wealth Without Bay Street. It is the number one financial podcast in Canada. I don't know if that's actually true. I'm just saying that because it sounds good. But it's a really awesome podcast. You're going to love it. You can subscribe to it if you like. The YouTubes you can watch. If you like to listen to podcasts, just ease on over to ascendantfinancial.ca click on podcast. All of our stuff is there. Wherever you download your podcasts, we're there. We're on every platform. You can check out Ascendant Financial's YouTube channel. Lots of great video content there. Several webinar replays so you can go and refresh. This particular webinar is going to land on that YouTube page as well. So make sure you check that out. It's going to be great.

All right.

Now, if you understand the problem, the solution will become clear and you'll know exactly what to do. And make sure. If you haven't already, check out the film r Nelson. Check out the film@nelsonnashfilm.com. it's the documentary that I had commissioned on Nelson. It's a one hour film. It'll give you a glimpse into the essence of our Nelson Nash and just how incredible this man was. Again, that's NelsonNashfilm.com Vern maybe you can type that into the chat window. That'd be great. Now we love reviews. We absolutely love reviews. And we're really honored for all of the Google reviews, all of the Facebooks and the youtubes and the Instagrams and the tweeters and all those social media channels. We love the reviews that we receive. Thank you. Thank you kindly. These are all real people leaving real reviews. And so the proof's in the pudding. Now if all this process did was keep more money in your family or business, would it be worth it? If all this process did was create a peaceful, stress free financial life, would it be worth it? The power of commitment to yourself is incredible. Absolutely incredible. Now you do have options. You can do nothing and nothing will change. You'll continue to work your butt off for the banks and everyone else will get all your money.

You can schedule a discovery call and put yourself in a driver's seat. Get that financial control back in your hands, which is where I believe it should be. If you're committed to yourself, schedule that call. Are you committed? Go ahead, type in the chat window. I want to hear from everybody. Are you committed? It's a simple yes or no and it's okay to say no. You just might not be ready. Now, as long as you leave happy tonight, that's okay too. Now picture a day when financial control is in your hands. Not the bank, not the government, or a risky stock market. Picture a day when your spouse says, thank you. Thank you for not making me wait 30 years to enjoy the lifestyle that we want to have together today. Picture a day when your finances are exactly where you want them to be and you know with certainty that you can travel when you want to travel, you can relax when you want to relax and you can serve who you want to serve. Now I'll leave you with this.

And then we're going to hop on to some awesome Q and A. I'm going to take you back again. I was 24. This was August of 1998. I had all my belongings packed in my Chevy Beretta and I was ready for the three day drive from Timmins, Ontario, where I was born and raised to a new life in Edmonton, Alberta. Standing in the foyer of my dad's home, I'll never forget it. And he wrapped me in this big bear hug. I'm 62230 and I'm the small one in the family. And my dad wraps me in this big bear hug and he says, son, I'm really proud of you. Drive careful. Call me when you get to Edmonton. Don't get any speeding tickets along the way. I got pulled over by the RCMP right outside of Winnipeg and got my first speeding ticket. And when I arrived in Edmonton, I didn't call home. I got straight to work. And three weeks later, I was sitting down to dinner with my team and I remembered to call my dad. I excused myself from that table and I made the call. My stepmom, Beverly, answered the phone. And when I asked to speak to dad, she said, well, he's in the bathroom. Do you want to hold the line? And I said, well, I don't have a half an hour. Please let him know that I apologize for not calling sooner. Things are going great and we'll catch up as soon as I can. The very next morning, I was paged to pick up an urgent phone call. And when I picked up the phone, it was my stepmom, Beverly again. And she was frantic. She told me that my dad passed away suddenly and unexpectedly. I was absolutely devastated.

I know it's human nature to procrastinate and think that there's always going to be time, but what I learned is that you can't wait. When my dad died suddenly and unexpectedly, I felt lost. I felt full of regrets. I was angry, and I felt for some reason that I'd let him down. And since then, I've dedicated my life to helping people just like you to live an abundant, fulfilling life now so that there are no regrets later. You deserve a life of no regrets. You deserve to be in control of your financial future. You deserve a life of abundance. So join me and let's get you the life that you deserve. Thank you all for joining us this evening. We're going to open it up for Q and A. Stick around. You're going to be glad you did. Q and A is fun, Vern.

Jason, bring it home, buddy.

Let's talk about Q and A. What are the questions that have come up tonight? Fire away.

That was really awesome. Thank you so much. I'm seeing a couple of questions in the chat window here, Jason, so I'll just jump on those really quick so we don't lose them. Okay, sure.

Sounds good.

First person says here I can't actually see the full name because it's abbreviated due to the. Anyway, their name, they said what is. What is what if? I think it's supposed to be what if we are in negative cash flow. And is this available in Ontario?

Yes. So really good questions. Thank you for asking. We're licensed coast to Coast. We're registered in Quebec. We serve clients all across the country. So the answer to that question is yes. If you're in a negative cash flow, it still might be helpful to schedule that call, speak to an authorized practitioner on our team, and we can have a good conversation. You have to have capital to put into your system. The money has to come from somewhere. Now understand that if you're in a negative cash flow situation.

You'Re already spending all of the money you have on all of the things that you have prioritized as being important. Everyone needs money, and so there's money there. We just got to figure out what you've prioritized as being important. And if this.

Eventually becomes a priority, then the money's there. The money's there to be able to do this. So be sure to meet with a coach.

Okay, thanks, Jason. This is also from the chat window. This comes from David. Okay, how does this benefit somebody that has great life insurance through their employer?

Well, it's an excellent. And first of all, kudos to you for having great coverage through your employer. That's excellent. There are several.

Differences here in that you don't control that coverage. It's likely not participating, so it's not accumulating accessible cash value. The employer, remember, whomever has the gold makes the rules. So the employer can change the rules at any time. And if you leave the employer, you might be able to port the coverage with you. But it's likely not the same anatomy or the same type of coverage. But having death benefit coverage is absolutely critical. So kudos to that gentleman for being covered, but it's nothing compared to being in a position of total and absolute control.

Awesome. Thank you, Jason.

You bet.

Now we're in the Q and A window here. This comes from Andre and Andre's got a few questions. Okay, the first one is, when the money comes out of the policy, is that taxed personally?

It can be. So if the policy loan itself exceeds the cost basis of the policy, the amount borrowed above the cost basis is treated as a taxable gain. Every dollar that you repay, you receive a corresponding tax deduction, dollar for dollar. Now, if you're thinking, well, Jason, when I get to passive income time, I'm not planning to put the peas back on the shelf until I die. While you can access capital all through passive income time in retirement, you can do that on a tax free basis and you can do that leading up to retirement as well. So if your objective is to pay no tax, the right advisor on our team is going to show you how to do that and to do that within current tax laws and everything that's necessary to understand in order to implement this process properly.

Awesome. Thank you. Now, next question from Andre. When I die and there's a $2 million death benefit, can my beneficiaries access that money right away?

Only if you want them to. So you have total control over how that death benefit dispersed. There is and are several options with the life insurance company to determine and have some element of control over how that death benefit is dispersed.

And sort of a second part to that question. Can they take out as much as they want tax free?

Yes.

Death benefit proceeds are tax free in their entirety.

Now, Jason, I remember earlier I actually saw that Andre posted a question. He said, same question for a corporation.

And remind me again, what was Andre's question?

Yeah, so the first question was, when I die and there's a $2 million death benefit, can my beneficiaries access that money right away?

Yes.

And if it's a corporate owned policy, the answer is yes. And they may even be able to gain access to more through the capital dividend account credit than the actual net proceeds of the death benefit. And so that's why, again, it's important to connect with and talk to somebody who really understands what they're doing.

Excellent. There was a question earlier and our wonderful colleague Dan helped me out here by posting this in the Q and A window. This is from David.

He said, is that okay? So I'm not 100% sure when this was posted. Is that the same as cashing in? I still don't get to understand this phrase about capitalize.

Capitalize means to put money into the policy, Right? Because remember, your money must reside somewhere. What better place to have it reside than here? That's what we mean by capitalize. Don't be afraid to put money into your system. The more money you put in, the more money you get out. All the money that you're handling right now is flowing through the books of someone else's bank. So how much of that capital that's flowing through someone else's system do you want to redirect into your own? Well, the logical answer is all of it. But it can't happen overnight. It takes time.

Excellent. This question actually comes from one of my favorite cousins, Rob, who's out in New Brunswick. Rob. Hey, Rob, thanks for being here, man.

You got a good cousin in Vern. He's a top shelf guy.

I'm humbled by that. Thanks, Jason. So his question is, who decides the premiums you do. Awesome. His next question, he asks another question. He says, can you borrow more than the cash personally deposited when the cash.

Value exceeds what you've personally deposited? Yes, absolutely.

Kenneth asks, what is the minimum amount needed to start this policy?

Well, again, we have clients that deposit as little as $100 a month for juvenile policies on their children or their grandchildren or their great grandchildren. And for adults, gosh, I would say probably the minimum that we see adults depositing is anywhere from 4 to 500 monthly. But we have hundreds of clients that are doing six figures or more every month.

Awesome. This next question comes from Abdul. What is the limit? Excuse me? What is the age limit to get into it?

Well, you have to be at least 16 days old and you can't be any older than age 85.

Jason.

Just to clarify, I'm curious because we know that we can own policies on other lives after age 85. Is that person still not actually able to own a policy on someone else?

Oh, yeah, absolutely. So the policy owner does not have to be the life that is insured. And so, for example.

Just expanding on your point, Vern. So I met with a, basically a son and his elderly mom. She was in her late 80s, 89 years young, and she is going to be taking out policies on her adult children. And so she cannot be life insured herself, but she can certainly be the policy owner. And she's in a position of control in terms of access to the pool of financial value, the beneficiaries of the death benefit, and so on.

Excellent. Thank you.

You're welcome.

Mike asks, I think this is directly toward you, Jason, and your car. Example, when you borrowed the money for your car.

How long did you own the policy.

For and what were the monthly or annual premiums into the policy?

Doesn't matter. It's not going to help him any. I've owned the policy since 2012, October of 2012. And that particular policy I've been depositing the premium in, and I still do to this day. I put 20,000 a year into that policy and I've recaptured everything and then some.

But what I do doesn't matter to you and it shouldn't matter to anybody on this webinar. It's not about the premium I'm paying. How does that impact you? Who cares? Figure out your situation, how you want this process to be an advantage to you. And if you're somewhere between $100 a month and six figures a month, you're okay. We can help you. Don't worry about what I'm depositing into my system. It doesn't matter.

Thanks, Jason. The next question is from Nikki. Now this is a bit of a long one here, so bear with me. I am in the process of setting up my first policy right now. Congratulations. And my plan had been to pay off my remaining debt free first, then put money into more policies on the basis I would pay less debt interest.

Yep.

Would it be better to start more policies right away and wait for the cash value to grow to cover the remaining debt?

Yeah. Do not wait until you're out of debt to start the process of becoming your own banker. You're only penalizing yourself.

Excellent. Kenneth says or asks, when you take a loan from your policy, what is the interest rate you pay back?

Well, it varies by life carrier and.

Unfortunately the interest rates aren't high enough.

So the interest rates are anywhere from 5 to 6.2%. Some carriers in Canada are higher. There are some carriers as high as 8%. But we don't work with those particular carriers because we don't have access to them. But you know, it's the process of becoming your own banker is not a function of rates. That's the consumer brain that's been pounded into your brain, Ken, that interest rates matter. Interest rates don't matter. It's the volume of interest that matters. Who's getting the money and who that money's being put to work for. When you become a co owner of the insurance company, regardless of the rate, when you put that capital back into the money pool, that money's being multiplied for your benefit and for everyone else who co owns the insurance company and the insurance company cannot inflate the money supply like banks do. And so this is not about addressing a rate or it's not about a function of rates. It's all about how you go about financing the things in your life and who controls the banking function as it relates to those things that you need to finance in your life.

Okay, great. Sorry, I just. Okay, so that was the. Sorry, that was the question from Kenneth. Now Andre, can you compare taking money from an RRSP come retirement versus taking money from the insurance policy? Can you give this explanation using hypothetical numbers?

Oh boy, that's a really good question.

I wonder where that question came from. That's a really good question. So Vern, you and I are the same age. We're not, but let's presume we are. Sure. And we're both 65 and we decide to retire. Now you've got a million bucks of cash value inside of your policy. I Have a million dollars in my RRSP.

Okay, got it.

Now, you need access to 50,000 bucks of net money. So we're talking about you want 50,000 of spendable money, you don't want it to be taxed, and I want the same amount. Okay, so you're going to take out a policy loan, or you're going to access a loan from a commercial bank using the policy as collateral. That's called a collateral assignment. And when you take out that policy loan or that loan from the bank, how much cash value is still in your policy?

All of it.

All the million, right?

That's right.

I need to take out about 74,000 from the RSP just to get 50. And the very next day, who's got more money in the account, you or me?

I do.

And when I get that money out of the RSP.

And I spend it, can I ever earn interest on that money ever again?

Never again.

And if another COVID 19 pandemic hits and the Federal Reserve stops printing money like cotton candy, what's going to happen to the market?

It's going to tank.

So I have a concern, right?

I would say yes.

I have risk. I have tax risk, because I don't know what the tax rates are going to be when I'm 65. Neither does anyone else on this webinar. So I'm not only deferring the tax, I'm deferring the calculation of the tax. That's a risk.

That's right.

If I can access money tax free, well, regardless of what tax rates are doing, tax free becomes instantly more valuable.

Would you agree? Absolutely.

Remember, your money must reside somewhere. When you need liquidity and access to money in retirement, your pool of financial value keeps rising. The RSP account holder has to deal with volatility. And now, at age 71, can you still capitalize your system?

I sure can.

Can I put any more money into an rsp? No.

They're going to make you take it out.

You got it. And so who's in a position of total control? The person who has the gold. A registered retirement plan is a creature of the tax code. This contract is not.

Yeah, that's great. Okay, so I'm going to circle back to this again. Our great colleague Dan Allen let me know that Rob Stevens put a long question. I did see it in the chat window. I think it's a quote directly from becoming your own banker. So maybe we'll circle back to that one at the end. Okay. Alan, I'm not sure what this means, but he said Wht I think he meant to say what I'm not sure why Mike, he asks at what age does it make more sense to use a proxy instead of insuring yourself?

Oh boy. Well, I would say that as long as you're life insurable and.

There'S a need there, I would say again all the way to maximum age of 85 and then beyond that you could look at other people in your family that you have a beneficial interest in.

For myself personally, I own policies on all my nephews, my nieces, my sister.

My sister in law. Oh gosh. My key people inside of Ascendant and other companies that I have an ownership interest in, my assistant and so on. And so it's important to be diversified in lives insured as well because windfalls will come, people are going to pass away.

Awesome.

Pardon me with the name here. I'll do my best. Magdalene.

Yep.

Magdalene says for an older client, say 50 and above, how much premium can be paid to get a reasonable cash value before age 75?

Oh boy, that's a great question to review with the advisor. So make sure you click the link, schedule a time. Your advisor will walk you through that through real example and demonstrate that to you. It all begins with an objective. So determining the amount of capital that you need access to and the timeframe that you need access to it for and then reverse engineering that into a policy so that you know.

Very specifically how much capital needs to go into the policy and for how long. And so we can absolutely help you with that. Just click a time, click the link, book a time to have that meeting.

Oh, speaking of which, Jason, I know that earlier somebody asked for you to post the number again.

Oh, the number, yes. Okay, here, let me give you this, Vern, if you want to type it into the chat window, please.

Let me get that for everybody here right now.

Thanks for waiting everybody. We've got, I see a number of questions here. We're going to hang around. So Vern, the number is 587-816-6399. That's 587-816-6339. And just text the word schedule to that number.

Great, thanks Jason.

And I was just in the chat, so I saw a question here from Sharing.

What happens if you can't continue life policy payments at some time in the future? So every policy achieves a point where it is premium offset eligible where and if you run into a financial circumstance before that eligibility period. So for example, let's say the offset eligibility is at the seventh year. If you run into financial hardship at year five and it's permanent, you're not able to continue paying premiums into the policy. There's a myriad of flexible options that the life company makes available to adjust the policy to the degree of premium that you can deposit. And if you're unable to deposit any at all, there's what's called a reduced paid up provision, which would see the death benefit decreased to an amount where no future premium is required, nor could it ever be paid. And so that's why it's important to work with someone who is thoroughly familiar with these contracts so that if you do run into that circumstance, heaven forbid that you've got a great coach who can help you to maintain that policy to the greatest degree possible with the objective, of course, to keep it intact and to keep that policy going. And so awesome question, very important to know. Thank you, Sharon.

Excellent. And there's a long question here by Rob Stevens, but he actually posted and said that he has to leave because he's in the eastern time zone.

Okay.

He would be happy to re ask the question when he connects with an advisor.

Oh, cool. Okay, awesome.

D Just in the chat box again here. D Gibbs says for a person, for a person with a mortgage but a limited extra cash to save, example would be less than $1,000 a month. Is the IBC.

Strategy, let's say, to assist in paying off. Is it a good strategy to assist in paying off a mortgage early?

Absolutely.

Okay, great. Let's go back to the chat window here.

Alan says. Oh, you're going to love this question. What is the average dividend?

Oh, Alan, thank you for asking that.

So average dividend, like, does he mean like the actual dollar amount or what does he mean by that?

Yeah, I would have to get him to expand on that. It just says, what is the average dividend?

Yeah. So every single year since inception, the insurance companies that we work with have declared and paid dividends. Every policy owner receives a dividend based on their policy's contribution to the net earnings of the insurance company. That's called the contribution principle. And so the best thing Alan can do to get an intelligent answer to that question is to actually get to the point where he's looking at a policy that's attributed to him and the financial objectives that he wants to achieve. And he'll have crystal clear visibility to the dividends based on the current declared dividend scale. And so all of that information will be transparent and provided to him.

And this is actually a second question from Alan one minute later. So maybe this is expanding on the first part. It just says rate of interest. So I'm not sure if he means on policy loans or if he means the rate of interest for the average dividend.

Yeah, I suppose we'd have to have him clarify that. The dividend scale interest rate reported by the insurance companies does not translate to the actual dividend yield, the dollar amount, because every policy's contribution to the net earnings is different. And so that's coming from Alan.

You've done a little bit of research.

Or you've talked to somebody who is using fancy terms like dividend scale, interest rate. Stop paying attention to that nonsense. We design the policies to grow without.

Dividends, and so the dividends are a bonus. The dividend scale interest rate is purely a calculation that enables the insurance company to gradually bring the returns that they receive in their money pool into the dividend over a five year smoothing indicator. There's a whole formula that if you have any trouble sleeping, I'll spend time tonight walking you through. Don't pay attention to that stuff. If you don't understand the problem, the solution just won't matter. And here's the deal. If you understand the solution, the dividend interest rate won't matter. If you don't understand the solution, the dividend interest rate still won't matter. Hope that helps.

Thanks, Jason.

It's the noise, Vern. Yeah, it's that noise. If you've ever traveled on an airplane, people who are still on this webinar, have you ever used a noise cancellation headset? So imagine walking into a plane that's full of screaming people and you sit in your seat and you turn the noise cancellation headset on. It filters all that noise out. It's incredible. Pre Covid, I was on an airplane every week and my family bought me this noise cancellation headset. And Nelson told me, he said, you know what he said? All the noise that goes on out there, people focusing on rates and focusing on dividend scales and focusing on all this stuff that doesn't mean anything. You got to tune out that noise. You got to get a financial noise cancellation headset. Everybody should own one. Remember, if you understand the problem, the solution will become clear and you'll know exactly what to do. The insurance policy is just a tool, folks. It's just a product. And if you put the best tool for the job in the hands of someone who doesn't know how to use it, not only are they not going to turn out any good work with the tool, they're going to break the darn Tool. And so you got to have a good coach who knows what they're doing. This is the best tool for the job, I promise you, even without dividends. Don't worry about that.

A good question from Kenneth here. I accidentally typed in the chat window because somebody else asked, what's the number to text again? So I gave him the number to text. Sorry about that, Kenneth. Here's his actual question.

Why do you need to buy several policies for yourself? Why is one not enough for you?

Well, you can't get all your capital into one right from the get go. And so you have to build your system over a period of time. That's the only reason.

And also, Jason, as you mentioned earlier, diversifying and well, I guess one on yourself, but diversifying in lives insured, right?

Yeah, absolutely. Think about the greatest gift that you can give to a child. You're doing something for your children that they can't do for themselves. Today you have to be the age of majority to own a contract.

And so if you do this for your children or your grandchildren or your great grandchildren, your nieces, your nephews, you're doing something for them that they can't do for themselves. Today.

It's a contract. It's not something that's ever going to require batteries. It's not going to end up in a toy graveyard somewhere. It's not going to end up too small. It's going to outlive you and it's going to say I love you in a very powerful way. And you're going to teach your children how to keep the money in the family. You're going to break that cycle of transferring all the money away from the family, doing all the work, and everyone else getting all your money.

I'm sharing with you from firsthand experience.

This is great. We still have 35 people on the call. Jason, another great question here from Andrew. Does the death benefit only go up if you overfund the policy?

No. The death benefit will rise without additional contributions to the policy.

And Andre, I think this is referring to his RSP versus life insurance income solution earlier. He just said that was a great answer. Ha ha.

Thanks, Andre. Thanks for asking awesome questions, by the way, and for being a good sport. It's just, it's really important. Like, do you want me to tell you what, what, you know, what you want to hear, or do you want me to tell you what I think you need to hear? I'm coming at you from 13 plus years of experience and I've been mentored by and I work with the brightest minds in this becoming your own banker sphere. And what I know now versus what I knew when I first got started, it's just an entire an entirely new world of knowledge. And so continue to ask questions. That's what's going to get you to clarity. But your coach is going to help you block out the noise, the stuff that just doesn't matter because until you understand the problem, the solution just won't matter to you anyway.

Okay. I had a question from an anonymous attendee, but I just let them know if they tell us their their name, you'd be happy to answer them.

Yeah, I don't answer questions from an anonymous attendees.

Another. So that brings us to Andre. Again, this is a shot in the dark. I'm a teacher in Ontario. Our pensions are one of the best. And he put that in quotes and he said whatever that means. Do you know if I can transfer my contributions into or to a policy instead?

Oh boy, that's a great question. I believe I'm presuming the answer to that is no, because I don't know whether or not your contributions voluntary or not dependent upon how your pension is structured, who the administrator is, etc. But that would certainly be a great question for your pension administrator just to ask, hey, are my contributions voluntary or am I required to participate?

Okay, excellent. Other than that one anonymous question that's still there, Jason, as far as I can tell. Oh, maybe I have one here.

I have one here from D. Okay. This is in the chat window though. Okay, further to my topic on dividend. The cash value grows as a basis of the dividend rate. No, it doesn't.

Plus Let me stop D right there. Sure. The total cash value is contractually guaranteed to match the total death benefit of the policy. It is not a function of the dividend rate or the dividend scale or the dividend anything.

Excellent. So the second part of that question she said plus annual contributions via premium. Can you comment on the range of dividend growth rate clients may expect? 2 to 5% question mark.

Awesome. Thanks, Jason.

So far.

I think that's it so far. Unless there's any last questions from anyone.

I want to thank everyone. Typically our Q and A goes about half an hour and we're at 8:31 mountain time. Thank you. Thank you all for sticking around. You could have been doing many other things with your evening. You chose to spend it with us. Thank you. Sincerely. This is our last webinar of 2020. Be picking back up in 2021, so make sure you get your calls scheduled and connect with the right person on our team. You'll be glad you did. And I want to wish you all a fantastic rest of your year. Continue to be well, continue to live abundantly. And thanks again for joining us. It was a real treat. And Vern, awesome, awesome facilitator. I appreciate you, buddy.

It's my pleasure, Jason. Thanks so much.

Okay, have a good night, guys. Oh, oh, oh, oh.

Is it possible to just grab a couple more? I forgot to scroll down. Jason.

Oh boy. I'm okay with a couple more.

There's still 28 people here, so let's, let's keep it going, okay? Oh, sorry. This is from my cousin. Thanks, Kaz. Got to sleep. Still got a few questions. I'll text you to schedule a time. So that's great. The book was ordered last week, so my cousin already took action and borrowed ordered the books in the family.

Andre says wait. Haha.

Wait.

In capital letters. Wait, Cam just said. Cam. And Andre's question, I think that he said to wait for said.

How can we speed up the amount of time it takes to be able to draw loans from our policy?

Put more capital in.

And Jason, did you want to put more capital in? But he said, how can we speed up the amount of time that it takes to draw loans from the policy? Do you want to comment on how long it actually takes to draw a loan from a policy?

Yeah, put more money in.

There's loan amount available immediately as soon.

As the policy settles. Right?

Yep. Awesome.

Okay, great. Now I think I'm actually telling the truth. I think that was our last question.

Okay, excellent. Have an awesome night, everybody.

Thanks, Jason. Take care, everybody.

You bet. See ya.