The Secret Wealth Machine of the 'Old Money'

I want to have the money that's going to go for the tax situation, which I'm going to pay. I want to be able to have my family use that money first. So I created a policy just to contain as much of that as I could. I funded the premium. When it's time to pay my tax bill, I borrow from the policy and I pay the tax bill over the course of the next year. As I'm saving up for my next year's taxes, I replenish the policy loan and I take extra profits that I generate and I repay the premium. And then I'm just able to do that again. I'm now using and my family will be blessed by the same tax dollar that I have to give everyone else before I give it to them. That's one way that I've thought differently and changed my thinking over the last 14 years about what's possible. This isn't about a single policy or a single insurance contract or policy illustration. This is about how we think today. You're going to get three stories out of my life. From different points in my life. I'll be talking through some challenges that I've experienced and how I've had to overcome those challenges and how they kind of circle back a little bit to the infinite banking concept. I'm walk through building my system, what I did to start it, how it expanded over time. I'm going to summarize where that system is at now. Today, as of this month, I'm going to give you up to date numbers on that. In fact, the picture on the screen right now, this literally is the picture from our family banking meeting that we did last year. So really, really good. And then Q and A. Talk a little bit about these stories again. These are all real life. And for myself personally, there's been about five times over a 12 year period where I was kind of like Homer Simpson here, just smacking my face against the counter. And in those periods it was roughly three to six months. And they varied depending on the period where I barely made an income. I had a transition, a major upheaval in my life, something that came up where income was impacted drastically. And if you think about that, over a 12 year period of time, the total amount of time is roughly 20 months. So that's not quite two years, but it's getting pretty close to two years. That's about a 17% period of time over a 12 year period. So that is a little bit about an introduction into the stories that you're going to see. We're all looking to have success in different areas of our life and success may mean different things to you. These are some of the bullet words that we see when people think about success. For me, the two that are on here that connect the most is significance and legacy. These are the ones that I feel are the most connected to me and so myself and building my system and thinking about what I want to create in my life. These are kind of some of the words that stick out for me as I go about certain aspects of my life. Life probably happens to everyone. So if you've experienced some life coming around and maybe kicking you in the shin, doing things that you didn't particularly appreciate, maybe not working out always the way that you wanted. No one escapes getting through life without a couple of battle scars. And these stories I think that I'm going to share are going to be around that. And you may resonate with them to some degree as you think about your own life and your own circumstances. I think it's really important that we have to have focus on a goal and a target. Just like throwing darts at a dartboard, if you don't know where you're aiming, it's pretty hard to hit the target. I've always been a very focused person and I've had a goal and a target. And since I read this book, becoming your own banker Back in 2009, my focus and my target shifted. And I knew beyond a shadow of a doubt that after reading this book, which completely changed everything in my life right down to my very core, that I was going to be laser beam focused on building my family system so that I could create a legacy and I could have a layer of significance through that legacy, through this message and that medium. This is a great quote by Robert Kiyosaki. It's not how much money you make, but how much you keep, how hard it works for you and how many generations you keep it for. One of my favorite quotes, and this is where tying into the family banking system is really going to be important. So story number one begins in March of 2017, and it begins actually right here. So what you can see is a picture of a ultrasound. Now, this ultrasound is of my daughter Nora. My wife told me that we were going to be blessed with our second child, Nora, and absolutely amazing and wonderful news. And. And it was shortly thereafter that. That we had to go in actually to the emergency room. We had some ultrasounds and some other testing done and they came back and notified us that she had what was called a subchorionic hematoma. That's a pretty big word. I had to go, actually look how to spell that word. Through that experience, it was really gut check moment for us. And our regular doctor had indicated she really should be on be very careful about what she's doing as far as, you know, how much she's lifting and that sort of thing. So the idea of bed rest was introduced. Although it wasn't exactly official, we did need to make sure she was monitoring how much she was lifting. Now, here's my son, Nathan. At the time that this was going on, he was right around 15 months of age. Here's a picture of him standing on a box of CDs at that age and being a young boy or firstborn child, growing pretty well. Despite the fact that he didn't want to eat anything, he still seemed to grow really good. He was getting pretty heavy. You know, by the time that we were at the stage of the game, he was probably roughly between, you know, 21 to 25 pounds. And with my wife being told basically probably shouldn't be lifting more than a carton of milk, Nathan was bigger than a carton of milk and he was growing. And so it was really heartbreaking because to some degree, it was limited on what she could do, which she didn't want to be limited, but we had to be really mindful and prepared for, you know, again, not aggravating her to any degree because of the potential danger to, you know, the pregnancy. And, well, when that happens, you have a kid that wants to be picked up pretty much all the time. Like every waking hour of the day, it's up, down, up, down, up, down. If I'm focusing a lot of my energy there, then I'm not able to focus a lot of my energy on my business and meeting with clients, which then generates into not growing a great income. It was a very stressful time. The result was it was about five months, roughly where we had very little income coming in. Thankfully, everything worked out fine and baby Nora joined us in September of 2017. And she is, you know, absolutely incredible, to the point where, you know, here's her last year, having a good time, doing some dance moves, and she's quite the character, so we're eternally blessed. She's our little beautiful miracle child. And thankfully, that whole experience is behind us. But the impact of going through that financial timeframe and the stress built around the whole circumstance, the emotional turmoil, that was really, really difficult, and it takes a lot to bounce back from that. These are some of the things that happened in my life. And there's several of these types of indicated stories. This particular story goes a little bit further than that. So part two of this story just kind of adds a little bit more. More, I guess, context. For most people, when they earn their income, it goes in their bank account and it's done. It's a completed transaction. There's no additional components to it. That is not the case for every industry. Have you ever experienced being paid for something, earning the income, receiving it, and then years later having that income taken away from you, from the job that you earned the money? Most people don't have a circumstance where that happens. However, in the industry that we're in, which is in the insurance industry, the that does happen. Three months after my daughter was born in January 2018, I had what our industry refers to as a chargeback. A chargeback is a situation where a policy that was in place is no longer in place. And depending on what timeframe that happens, whatever dollars that I earned has to be paid back to the insurance company. Okay? That's how our industry operates. And in this particular situation, the amount of the chargeback was around $20,000. Wasn't a little bit of a number, is a pretty big number. This particular contract had been in place for 57 months. That's almost five full years. The particular situation with this policy at the time, there was a chargeback for 100% of every dollar that I'd earned. It was actually two different contracts. And so this is a situation where it's very unfortunate, but it's also was to a large degree out of my control. Why do I say that? Well, let me expand. My client just so happened to have a very successful plumbing company in the general vicinity of the city of edmonton, which is where I'm from. And in fact, this gentleman, we'd become good friends. He'd been to my house a number of times. He attended a lot of our events. The situation here is we were actually meeting and having discussions about expanding his system, adding more contracts to grow his own situation because he had started a brand new business. We had a meeting in person at my office In November of 2017, just shortly after my daughter was born. We had another really long meeting on the phone in December. He had two policies in place. One of those policies was six years old. The other one was five years old. And both of those policies were at a point where they were growing greater than what he was putting into them. The problem was something had changed with his behavior. He wasn't doing and listening to the things that we were coaching him to do. He was letting the new business and his other business get him so busy that he wasn't paying attention to what was happening inside of his policy system. Shoot forward to January of 2018. Everyone probably knows that in 2018, in Canada, around October, marijuana became legal. Prior to that it wasn't. And this particular gentleman, he had actually started the beginning phases of building a dispensary, but he was hitting the ground running a little bit early. And there was other people doing it as well. He wasn't the only one. And he had actually had the RCMP come and check out his facility and he made sure everything was on board with them. He had lots of meetings with people, including meetings with city officials, and no one told him specifically that he couldn't do it. Yet In January of 2018, near the end, they basically shut down the facility and seized everything. And it was shortly after that period of time where this whole circumstance happened and that led to the chargeback situation for me. So something that had happened five years previous. Now this gentleman, because of his own changes in his own lifestyle and his behavior and a new business, could no longer continue on with the thing that we had built. And it had a direct impact on my family life is kind of the situation. That's sort of what happened. Turns out I called him, we had lots of voicemails, lots of messages, sent him registered mail, did everything we could to reach out to the individual. I found out later that he had gone out of the country. He ended up going into a bit of a. Some emotional things that happened. He went into a bit of a depression, I think. Thankfully he's better, he's fine, he's returned and he has a new business. We don't speak anymore. But he did reach out to me about two years later and apologize, which I do appreciate. And so I hope he's doing well now. But nevertheless, that was the real life impact that happened to me in my story. Now everyone knows that you should have an emergency fund. We all know that that's important. We should all have one built up. Where you store the emergency fund, I think is what's important. But the best laid plans that we might have don't always come to fruition and you can't cash someone else's good intentions. Now the next two by four moment is. It starts a little bit earlier. Now this story actually takes place over about a six year period of time and it's actually a real estate story. Now this is a picture of my wife, my Beautiful wife Heather and I getting married in Jasper. One of the wonderful things about Jasper, of course, obviously, is its beauty and the mountains and, you know, all that amazing stuff. But it does have this other thing that comes with it and that is a price tag. When you visit Jasper, things tend to cost a pretty good dollar. And additionally, when you pay for a wedding there, let's just say that it's not what I would consider a budget conscious wedding decision. But that is what was important to her and I and to our family. And so we figured out, we figured out how to make it happen with that experience. Of course, there were several things that happened to me in the year of 2014. So first off, we had our wedding. The cost that we still had to incur was around 20,000. After everything was said and done, I had a large backlog of back taxes and I needed to get that taken care of so that we could buy a new family home. And I also needed a down payment for that home, which is where we're going to get to. So you add all those things together and that's about $130,000 worth of capital just in 2014 to go and solve a few problems. Well, thankfully I had a rental property that I was able to refinance in that scenario and that helped take care of a large chunk of this. But it certainly didn't solve all the problem. I still had to do a lot of it out of savings and out of income. Just so happens where I keep my savings is in my family banking system. Now this right here is the property. So we ended up finding this piece of property that was quite close to Sherwood Park, Alberta. We're literally right after our wedding and we ended up making an offer. And it was three and a half acres, beautiful land space, house. Could have used a few things, of course, but it was a perfect location, perfect plot of land. It had some really awesome features to it. What ended up happening, of course, is that we put a lot of money into this particular property. Now, anyone that's owned an acreage and an older home, I'm sure you can imagine some of the things that happen here in 2014. We made our offer and had it accepted in August, right after our wedding in 2014, we moved in. Purchase price was about 630,000, the mortgage 580, and we put 10% down. So after that and closing costs, it was about 65,000 that we had into the deal. Now we sold that property because we now live in Chilliwack, British Columbia. We've moved. And in that experience, we ended up selling this property, which was basically during. During the COVID year, the lockdown kind of experience. And we had some challenges unloading the property due to the timing. A lot of people didn't like the. The kitchen layout, you know, that sort of thing. They love the. The location, but they didn't, you know, feel. Feel as in alignment with the house that we did. So after everything was said and done and we had our payout penalty for the loan, the realtor fees, the end result is we walked away with 44,000. Now, there's a lot more that goes into the story. And one of the things I want to highlight on. I have an asterisk here around the COVID situation. When payout penalties are incurred on mortgages, generally, there's two primary ways that they're calculated. It's usually three months worth of interest on the overpaid balance, or it's something referred to as an ird, an interest rate differential charge. And of the two of them, usually the IRD is the nastiest of them, but it only is triggered in certain circumstances. Now, right now, we're in an environment where interest rates have skyrocketed. Everyone's familiar with that. But if we reflect back and we go back a few years, roughly around I think it was 2016 or so, there was a period where rates were rising then, and they were starting to climb up. At that point, for the first time in a long time, in all the real estate I've owned, I actually locked in a mortgage because, oh, I'm never selling this beautiful acreage property. We're going to be here forever. Why would I ever get rid of it? And because I had actually locked in. And then during COVID to stimulate the economy, they dropped rates again. I was now in a position where I was at the IRD charge. So when I phoned to check out the payout penalty, when we were first considering selling the property, the number was about one third of this $9,000, about 3,000 bucks. By the time we actually sold because of the impact of COVID the payout penalty had tripled, roughly speaking, in that scenario. So just to give you some context about the way things are unexpected and also around how banks tend to have a lot of control over things in our life now, we did a lot of things to that property. I built a salon for my wife. I built a huge deck out front. Right before we sold, we did a bunch of renovations on the interior. New carpet, new stairwell, new banisters, electric flooring. New tile. So I, you know, built a closet in the basement. You know, a whole number of things. Of course, that all had a cost to it during the experience of having the acreage. Of course, I needed to get a blade for a truck because we got a lot of snow and we had a big driveway. Here's kind of a rundown. Here's a little bit of a recap of all the different things that we spend money on while we live there. And some of them were required just to be able to sell the property, including the update that we made to the septic system so that we could be able to market the property for sale properly. And coincidentally, on this, I had two furnaces, an air conditioner, hot water tank, a new pressure tank and a pump. All those things were added. You can see there's an awful lot of things that went over in about a six year period of time. Now when you take the original down payment number and you add all these additional costs that I put in, there was about $145,000 money of our dollars that went into the property. When we sold the Property, we got 44,000 out. So this was what was missing for us out of that situation. Life is life. I have no regrets on it. But what it is is a good and a powerful story. Now, it goes a little bit further than that. We need to consider what else happened during that, you know, six year period of time. Well, we had to make mortgage payments. And the mortgage payments, it was just shy of six years. It was 70 months. That totals $185,000. So that was the flow of money, the financial energy monthly going out of our hands over to someone else's bank. There's certain periods of time where you have this face because you just can't believe some of the things that you see. Well, if we take a consideration here and we look at the $185,000 of mortgage payments that I made over that time frame, my wife and I, we paid down some principal on that mortgage. But if you subtract the principal and you just look at the interest component was $103,000. The interest rate was very low. This was during record low interest rates still. And the interest rate wasn't what mattered. What matters is volume. What's the physical amount of money that's going to flow through your hands and out the door to someone else's account that you never get to see again. And if we do the calculation, 103,000 over the 185,000 of payments, the total interest volume was 56%. In other words, 56 cents of every dollar I paid on a mortgage payment went to interest in this scenario. And at the time I had a rate at two and a half percent. And when I walked in and is at 3.1% on this very mortgage. So the rates was actually very good at that time. $65,000 went down. I had the upgrades plus the payments of the mortgage. It says interest, but it's actually the mortgage payments. The total amount of energy, financial energy that we contributed to that situation was about 330,000. We received $44,000 when we sold the property. In essence, I got 13% of all the financial energy back. I'm missing 286,000. The question I have is who got all the money? Other people, someone else. And for the most part it was the bank. I don't own stock in that bank. I don't co own that bank. They had money. I needed to tap into their big pile of money in order to get the property. So they did me a service and a favor, but I paid for the service. In my opinion you should have the money in this scenario. I would have much rather had the money for my family. And I think that's what you should be looking for. We want to position you so that you can be the one to benefit from that flow of financial energy. Perspective is very important. And so if we consider this and we look at the down payment and the principal pay down, that was the actual initial capital that should have been where assuming that the market was flat and never went up or down, that would have been at minimum the equity I should have had. And so just based on that, I only recovered about 30% of what the principal is. To me this equals something. It's a lack of control, It's a lack of the ability to determine the outcome. I didn't control the real estate market, I didn't control the impact of COVID I didn't control the interest rates and what the bank of Canada is doing. These were all areas that were outside of my control. Sometimes in life we kind of feel like we're going one step forward and then we're taking a whole bunch of steps back. Usually we don't have this smiling grin on our face when it's happening. Now a question I have. Do you think or do you believe that you can become your own banker for all of your needs overnight?

No, not overnight. I'm going to go to Nelson Nash's book Become youg Own banker on page 48. It will take the average person approximately 20 years to build a system where you could get all of your income to equal premium. And ultimately, if all of your money runs through someone else's bank, if you own and control your own banking system, wouldn't it be logical to have your money run and flow through your own system first? And that's fundamentally what we would like to see happen. This is a post that I made in 2015, nine years ago and this says the cost of using your own money is increasing. While shareholders are being showered with huge dividends created through profits, the banks are suggesting that consumers might being hit by added fees to make up the difference in the profit because banks are not making as much money with low rates and they're looking for ways to increase their profits. Now, this came out of an Edmonton newspaper. I don't remember which one, but my question for you. Did any of you get a letter from your bank telling you that your fees and your day to day banking fees were going to go down because interest rates have gone up? I certainly didn't receive that letter. I do remember receiving letters several years ago about my fees going up. I think we can all agree that that's a situation where we don't have a lot of control. And if they're telling us that they need to raise fees because they're running low on profits and yet if all of a sudden they're able to make a lot more money in theory because there's higher rates, which I actually don't really believe is the case, then shouldn't it make sense that they should give us some kind of a discount somewhere else? That's not what's going to happen. So the result is that we have what's referred to as cost creep. The costs keep creeping up on you slowly and when a change in the future happens that should replacer or that cost should revert to a previous amount. It never does. And we're just stuck with it. It's not all bad in my opinion. Not getting the money back from selling my acreage was the best hundred thousand dollars plus that I ever spent. And here's the reason why. We have an amazing and unbelievable life where we live now. We made a lifestyle decision. I knew I wasn't going to get the money back. I made the decision anyway because we wanted something much more. We exchanged value for a lifestyle. I live a two minute walk to this beautiful river right here where my son is playing. This is overlooking our neighborhood. Beautiful mountains. This lake where I paddleboard regularly is a 10 minute drive from my house. We have an unbelievable lifestyle. And I recognize I paid the cost for that lifestyle to make that change. I would make that deal any day of the week because of what it's given our family and memories and value for our lifestyle today. It was worth it. The key thing is we got to come back to focus. During this whole time frame, I kept building my family banking system. I'm going to share with you exactly how I did it. Over that time frame, I had a focus on it. I never lost sight of that. And even though it was difficult, it was hard. I kept my intentions clear about what it was that I wanted. The next two by four moment that comes up is a life transition that happened in 2016. This was a major transition in my life. I was shifting from one entity where I was conducting business to another. And my son, my firstborn, was born in 2015, December. And this is really just a few months after that, six years after starting working with a company. And I put a lot of energy, invested time in with the company. This is a picture of me conducting one of the very first presentations that we ever did around this concept of infinite banking, taken in January of 2010. So this is going a long ways back over the time frame of the six years I spent with this company. And there was some wonderful and great times. We did approximately 75 events that I was involved with. There's probably more, but about 75 or so that I was involved with. We served and educated and taught about SO people over that entire timeframe. We had a lot of fun doing it, but there was a point where creative differences were just becoming a little bit too big to deal with. It was time to make a change and to make my transition. So I decided that I would go fly solo. And of course it's a big transition to make because there's a lot of unknowns in that situation. And being in the insurance realm, here's where some of the unknowns are. Well, my son was born in December 2015. So come January, I'm still able to earn an income. Everything's going well. I'm making the decision that I'm going to transition and move things on. It's not something happens overnight. Takes a while to come up and make a plan as to how you're going to do that. So come February, I was spending a lot of my energy and my time thinking about how I'm going to get this transition done. And I wasn't spending a lot of time working on generating an income. Unfortunately, that's just the way that things worked, there's a lot of moving parts that needed to be done when you're licensed in an industry. I gave my notice in March, and as of that moment, when I left and transitioned, I could no longer conduct business and insurance until I had my license set up in a new location so that I could begin talking about insurance again. That process took longer than I expected. It basically wasn't completed by the end of April. So March, April, I really couldn't even generate an income. I wasn't technically licensed and allowed to do that. So it wasn't until May that I was able to start picking the game ball back up. And at that point I could start reaching out, contacting clients and speaking to people about what it is that we teach. And it really wasn't until June where I was able to start seeing some money roll in. Now, I don't know if anyone knows or not, but in the insurance business, it's not like, like an electrician or a plumber where you go in and you fix the thing that's wrong or you complete a job, you send a bill, and you get paid right away. This is something that can take quite a long time. And often there's people who, for whatever reason, they might be uninsurable. And if that's the case, you might put a lot of work in, but you might not get compensated. So four to six months or so, very little income. You got to build everything back up. You got to get policies and underwriting. It might take one, two, three, maybe four months even before they produce an income later on. I had a newborn. It's my firstborn. We didn't know what we were doing. We had to buy all the stuff that you need for new kids. How did I survive this whole experience? I use policy loans for my system. I was constantly using policy loans, dipping into my emergency fund, my reserves, which I store in policies, whole life policies that I have for my family system to help me get through all of these lean times. They were there for everything that happened. Okay. Now in 2016, after these major changes happened, come June, I was able to go to work, get like hardcore, get really focused, and like, I had to crush it. I worked like a rented mule. I was just going, going, going. Lot of late nights, a lot of sleepless nights. Missed some time with my newborn son because I had to make up for all the lost time. I had to make up for past decisions to be able to put some money in the bank account. The good news is, in the new situation, I was able to earn a little bit more on a per case scenario than I was previously. So that helped quite a bit. It helped actually enough that by the time that 2016 was done, I actually ended up having my best year ever. So in that last six months, I crushed it. And I didn't know that was going to happen. Sometimes the world just makes things work out for you. But the reality is I was able to add three more policies into our system. I doubled my income from the previous year in that last six months. And that was incredible and a huge blessing. But it wasn't without hard work. How do we grow the family system? Number one is that we kept our mind focused. We kept our mind focused on what it is we wanted. We knew that we wanted to grow. So in 2016, my system started the year at $14,000 a year. What I was depositing, what I was putting into premium in the policies I had at that stage. By the time that the year ended, I had increased my system to $40,000 a year. That's a huge jump. It's almost three times. The only reason I was able to do that is because the last half of the year was so good because I had doubled my income. Well, I wanted to more than double the size of my family banking system because Nelson Nash taught me. The author of this book, becoming your own banker. Don't be afraid to capitalize, Richard. You have to put some money in to get the big thing that you want long term. Everything that you want can be yours, but you have to be able to be focused and committed. We went from only having four policies in our family system to seven. And it took us six and a half years after I got started doing this, this work. So it took a while for us to get to that stage. See, the time is going to go by anyway. We can't go back in time. And I knew that was the case. I knew that I could never be younger than I am at that moment. And if I could lock things down for myself and my wife and my son at that time, we would be able to create something of tremendous value later on. This is a picture of Nelson. And I often asked him, Nelson, when did you know it was time to help to grow the size of your family banking system? His response to me was always the same. It was Richard, as soon as my feeble brain could envision doing so. In other words, he was always thinking about it because he was always thinking about it. A path on how to do it always materialized for him because of his focus and his Intention. He was always able to keep growing. And when he passed away one time, he had 49 insurance policies and he gave a couple away and he had a couple of death claims. And when he passed away, there was 45 that he had. Seventeen of them ended up paying death benefits, and 28 are still with his family today, still growing and earning and generating passive income potential. So let's get into the family system. I'm going to walk you through what my system looks like. I'm in my 15th year as it sits right now. My started my very first policy. This was the maximum amount of money I could possibly fathom in 2010 that I could work with. And it was probably a big stretch at that time. Fifteen years later, 13 policies in place, and they range in size. The smallest one is $1,000 a year. The largest one is about $90,000 a year. Today, my entire system, I can choose to put in about $207,000 annually into my program. That's how I have it set up today. My minimum required that I must do and that is required for all the policies to make sure that they stay in force is just shy of 52,000. But 155,000 is completely flexible and within my control. I value control a great deal. So the total of I get the privilege to Pay is about 207,000. Now, of these 13 policies, four of them, only four of them are larger than $20,000 a year. Seven of them are smaller than 30 $600 a year. In fact, the average is only about 20 $300 on those policies. And then there's a couple who are kind of in the mid range. Their average is around 5,000 bucks. So the bulk of my system is in the larger premiums are in four policies. And a lot of them are little ones just built up over time. The next thing we should kind of consider are who are the bodies, who are the life insured people that I have these policies on as part of my family system. I have three on my wife, there's five on Richard, so two of my daughter to my son, and then I have a business partner that's insured. And that's the most recent one that I've added to my system. This is a breakdown of how much premium I'm able to deposit into my system on each person based on all those policies. So about 40,000 on my wife, roughly 6,000 on each of my kids. And the bulk of all the dollars. Go on, Richard. And the reason that is there's several reasons. Number one is Richard's the primary income earner. My wife does the amazing and hard job of actually making sure that our kids survive day in and day out. So because I'm the primary income earner, I'm the one that if something happens to me, it's going to pose the largest financial impact to the rest of the family. So hence, I'm the one who has the bulk of the premium and the bulk of the death benefit. I also have a business partner who's insured as well. What does the death benefit look like across all of it? Well, the entire System is about seven and a half million dollars worth of death benefit, while 4.7 of that is actually on Richard's life. I'm the person who has the bulk of this death benefit because I'm the one that's the biggest risk. If something happens to me. We need to replace Richard's income. If something happens to him, okay. For everyone else, and of course, I have a business partner, this is a new policy. And if something happens to him, I have a financial interest in making sure that I can use that capital to help continue growing that business. In other words, this didn't all happen overnight. I also have critical illness and disability on my life. I have four critical policies on my own life. Three disability policies on my own life, Two critical illness for my wife, I have a disability for her. I have critical illness on both of my kids. There's another $9,400 a year in premium I put on those things. That doesn't show up anywhere in my family. Banking system, it's something different. Compounding can only operate when money sits still. It has to stay somewhere for it to grow. It's slow and it's boring. And because it's slow and it's boring, sometimes people get frustrated with it with insurance, because you can get money into insurance, dividend paying, participating life insurance. The vehicle that we use to build this system, it's just the tool. And I need a tool to get the job done. This is the most efficient tool. As I deposit premiums that money in the system and it's in constant motion for the rest of my natural life. But in most scenarios, when you're trying to great compounding or putting money into a GIC or some kind of a fund that you want to get growth on, it can only do the job of that one thing. It can't go work for you somewhere else. In the insurance structure that we utilize because of the power of collateralization, you can utilize it as collateral to get access to capital to Go and do other things in life. So it creates a multitasking effect of money. It took me 4.7 years to get to my first 14,000 a year in policies, in premium. That was four policies. It took me almost five years to do that. It was on two bodies, myself and my wife. It took me six years to get to 40,000. Seven policies, three bodies. It took me nine years to get up to 137,000 a year. Nine policies, four bodies. Now I've got my daughter involved in the question. In March 2022, I increased my system. I had a policy for a while. It's been a few years. I was getting a little bit stir crazy. I wanted to get another one and I had to figure it all out. Things were starting to go really well again and I wanted to expand my system. I added three additional policies. The total premium of all of them was about 42,000. It was the largest increase to my system at that point in time. It was about a 31% increase to the entire system. And part of the reason for that is that I wanted to create a policy for my taxes, my annual taxes. I have to pay them every single year. I want to have the money that's going to go for the tax situation, which I'm going to pay. I want to be able to have my family use that money first before I give it to the federal government or the provincial government. So I created a policy just to contain as much of that as I could. I funded the premium. When it's time to pay my tax bill, I borrow from the policy and I pay the tax bill over the course of the next year, as I'm saving up for my next year's taxes, which I have to do anyway, I replenish the policy loan and I take extra profits that I generate and I repay the premium. And then I'm just able to do that again. I'm now using and my family will be blessed by the same tax dollar that I have to give everyone else before I give it to them. That's one way that I've thought differently and changed my thinking over the last 14 years about what's possible. This isn't about a single policy or a single insurance contract or about policy illustration. This is about how we think. And I was able to backdate these policies to a degree. So I was able to get more premium into them. Now, 13 years to get to 180,000. So that was adding those three policies that I just talked about. Now I'm at 12 policies, four bodies. And I had a big 31% increase into my system. Well, here we are, we're April of 2024. We're now at the 14 year mark. We're just crossing into 14 years of having policies. Not quite 15 since I got Nelson's book, but 14 of actually owning policies. I got 13 of them in five bodies and the system is up to 207,000. So what you guys are recognizing here is a progression. And that progression is happening because what I started long ago. Think about rolling a snowball down a mountain. Because I started in 2010 and I had a little snowball, $4,219 a year. And I added to the snowball as it went down the mountain. Now I have more capacity to continue making it even bigger. Four policies are basically brand new. They're less than two years old. Pretty much that represents $70,000 worth of premium or 34%. One third of my system is basically new. It's new within the last pretty much 24 months. So a lot of what I'm doing is, is all added very recently. It's been a long process to get here. It's well worth it. I just want you guys to kind of see the start date of these policies. Now these policies, some of them are backdated. This one on my wife, I didn't actually complete it until, you know, March of 2022, but I backdated it to December. This one I only started a couple months ago, but I was able to backdate it almost an entire year. So now I've been able to pay two premiums. But it's actually a brand new policy. Each one has its starting initial death benefit. A couple of them have term riders. There's reasons for that. It's a strategic usage. And then I have paid up additions. This is how the system grows. This is all additional accumulated whole life that's been added to my system is a progression. It happened over time. Cash grows every single day inside of these policies. I'm going to show you exactly how much in my system. This is an image I had created years ago based on a drawing I used to do in our live events. A policy has a minimum guaranteed amount Here by age 100 of the life insured. The original contract has to grow to equal the original death benefit. And as it grows, I get to add these things called paid up additions. This is what the flexible premium allows me to create. I get to control that. And because I can control that, it adds increasing dividends. And those dividends get to grow on top of and I get to control the impact of how they grow based on my own behavior and my own actions. The result is we create an ever growing machine that is on autopilot as we grow. That's essentially what gets created here. And the benefit is we have an insurance company that's going to administer the whole thing for us and we get to co own them. Here is a snapshot over a 14 day period, April 3rd to April 17th in that time frame. In that 14 day period this month I did not add any new premiums and there were no dividends paid because it wasn't an anniversary date. So I wanted to get a snapshot of a period of time where it was in between anniversary dates, in between funding premiums and we're just isolating what took place in that 14 day period of time. My cash value grew on the entire system, $2,082 over that time frame. Guaranteed growth, basically $149 a day. I have an asset that will grow nonstop until somebody dies. The only thing that's going to stop it is either me, if I choose to cancel, which wouldn't make any sense, that would be very illogical. Or if one of those insured people passes away. Only two things that will stop it. Total and utter control. Here's a snapshot of each individual policy and the growth that they had individually over that time frame. You can see that one of them is only about a buck 82. But each one of these grew this amount over that 14 days. And you stack it all together. There's the almost twenty one hundred dollars or one hundred and forty one bucks a day. That's what's happening inside of my system. What's the minimum premium again? Well, 51, 9, 78. Well, if I take 149 bucks a day and I multiply that by 365 days, that gives me the output of my system not including any dividends. Okay, assuming no more premiums were paid, assuming no dividends were just the system growing by contract. Based on how I've created, my minimum premium is 52,000, which means I've got 20 $407 extra before anything else takes place. Or the equivalent of about a $200 a month cash flow. Now is that a massive amount? This isn't an investment. That's not its function, that's not its purpose. This is a system where I store and access money. Now this doesn't include other things. I have riders or some term insurance, some critical illness riders, flexible, guaranteed insurability. Very important for Kids, everyone should have that. You know that that's about $2,000 a year that's included in this premium number. Okay, so it's not all whole life premium. It's the minimum premium required to maintain those particular policies. I already looked at the in force illustrations. I've already had the dividends declared for this year. I'm going to receive dividends on all those policies. My share of the profitability of the insurance company that I co own. When I get a participating dividend paying whole life insurance contract, I become a co owner with the company. They are obligated to share profits with me if they are profitable. I'm going to have over $25,000 of dividends declared over this next 12 month period of time. And if I did not pay any more premium, that would still happen. That would all increase the size of my system and it would take this number and it would grow it drastically.

Yet my minimum wouldn't have changed. So even if I did pay the minimum over the next year, I've created a machine that's going to continually grow greater than what I put into it. And it's going to accelerate every time I receive a share of the profits from the insurance company that I co own. These things take a while to get efficient. They're not immediately efficient. Overnight, 34% of my system is brand new. It's not even efficient yet. The largest component of my system isn't even efficient yet. A factory tries to automate as many things as it can so that it can produce more. The goal is to enhance production which can then enhance overall profitability. That's the exact same thing that I've done. I've built a system that's on autopilot. All I got to do is pay a premium and the insurance company takes care of everything else. And when I need money, I click a button in an online login with the insurance company and I request what's called a policy loan and a couple of days later, give or take, that lands in my bank account. It's not my money that I'm accessing, it's the insurance company's money. But I co own the insurance company. So if I access some of their money and I pay them a little bit of interest, that goes into the big pool that generates profits. Who do they generate the profits for? If you own one of these things, they generate the profits for you. My family presently needs to generate, Roughly speaking, around $250,000 of gross income personally every year. Now we've moved to bc. What Does BC stand for Green Cash? How much am I able to put into premiums every year? I'm already putting 207 in. That's 83% of everything that I need to earn gross revenue personally. Now, not all these policies are owned personally. Actually, most of the large ones are owned in my holding company. I'm putting 207 in now. That's new, it's updated, it's recent. But that represents 83% of everything I need to support my family, including paying my personal tax bills. Right. That's taken me 14 years to get there. Our income has changed over that time a lot. It took me a long time to come over some of these targets, but as my income goes up, the target of what I want to accumulate moves as well. So the 250,000 represents the income that my family and I need to pay for our living expenses, personal premiums on policies, our property taxes, our personal income taxes, our food bill, our groceries, all those things. We still have a mortgage payment, all that stuff. That's what I need in order to accomplish that. This year, I'm going to receive dividends on the policies of about $25,000. And that's going to grow even further next year. So if you take that, those dividends actually become a premium. Dividends, when we use it in the system, they actually go back into the system and actually become another premium. So it expands everything. Everything is growing and expanding. That's going to raise me up to about 232,000, which is going to be about 93% of the personal gross income that I need by age 100. The cash value must equal the death benefit. I'll be 43 this year. I'm not yet, but I will be shortly. That means I've got 57 more years left before 100. My children have 92 more years, 92 and 94, respectively. Okay. The system is going to grow in my lifespan before I go, and then it's going to create an automatic cascade effect of prosperity and down my family line because of the legacy that we've built. As of today, I have outstanding policy loans with the insurance company of $316,000. I had 312,000 available. I literally just took a policy loan yesterday for $27,000. So as of April 3, these were the numbers. I have 25,000 of dividends on the way. Key takeaway here is that the policy owner is always in control. No one else is ever pulling the strings. Here you get to control the strings. It is so liberating. I Can't even describe to you how liberating it is to have that feeling. It is unmatched by anything else financially I've ever experienced, in my opinion. One of my favorite quotes that I learned from Nelson Nash does having money safe and available when you need to take away any of your options. Well, over the three stories I told you guys, would you say that I had some of my options taken away? I had this. I had a lot of money going out and there was a lot of money not coming in during a lot of those periods. So it was a little bit chaotic. But because I had access to money and, you know, policy loans didn't solve everything. My system wasn't big enough to solve everything. I still had to use third party loans, lines of credit. I still had to dip into all the other stuff. I don't anymore. But at that time in my life, I absolutely did. I pulled every lever on planet Earth I could in order to get through it. Because my focus, if I can do this, if I can get through this, on the other side of this, if I keep building my system, everything is going to work out. Everything will be okay. I knew that. I knew it in my core. And everything has, even through all those hard times. February of 2010, my first policy, the starting death benefit was $148,000. Didn't have any term insurance on it. I had no worth the idea what I was doing. Just trying to figure things out. I just knew I needed to get started. And I said, I can do 4200 bucks a year. Let's figure what that gets me. And that's, that's what I end up with in 2024. Now we're at 13 policies. The original starting death benefit, not the total, but the starting amount on each policy. What they begin with is almost $3 million if I add them all together. But now I have paid up additions. Paid up additions are these building blocks of increased death benefit. Each increased death benefit block comes with cash value. It builds up and it builds up and it builds up and it follows the leader, quite literally to the point where he even wrote a book called Cash Follows a Leader. Because sometimes people struggle with this understanding. But quite literally, as the death benefit grows, the cash, which is your asset, must follow it, must grow with it. We have paid up additions of $2.3 million, so not quite 50% of the original whole life. I also have some term insurance in there. Most of that is on my life. I'm the one who has most of the coverage. When I look at my system and I subtract all the loans. Remember, I had loans about $316,000. If I subtract all the loans, the net value of the system is 7.3 million of total death benefit. I've made a lot of large loan repayments recently, you know, in the last period of time. And I added a new policy as well. So that's part of what increased that number. Right. New policy of 250,000 plus loan repayments, bought the loans down. So there's about $300,000 or so of this increase that was created from the new policy and some loan repayments. 4.4 million of that is for my family. So if Richard goes, that's the death benefit on my own life. If I go, that's how much net of all the loans that my wife is going to receive to take care of the kids, 60% of all the death benefit that I have is on me. He's back on the shelf. What does that mean? That means loan repayments. I've made loan repayments in my system totaling $568,000. That's money that's gone back into the system for me to be able to reuse, put it back in, take it back out. I have made 50% of these loaner payments I put back in in the last 24 months. In all the previous years with all those financial challenges that occurred and all those transitions that I showed you. And there's more that didn't make the story list. I wasn't able to put all the pieces back on the shelf. I wasn't making as many loaner payments as I wanted to because I didn't have the cash flow. It wasn't possible. I owed on the policies in a lot of years to just to get through lean times, but it doesn't mean I can't backfill them later. The system kept growing the whole time. But that's so important to understand. I make monthly repayments a little over $5,000 a year. There's six individual payments there for a variety of things. What's the impact of all these moments in my life? Well, a lot of learned lessons, number one. And another thing is I have interest that I ended up paying the life company capitalized. In other words, at the end of an individual year, if I didn't have the loan repaid, whatever interest would have accumulated over that year at the anniversary date, that amount rolls over into the next year. Okay, so it's a simple interest calculation. And then it compounds one time per year, essentially over all of my policy system. The total that I've paid life companies is $86,000. How much did I pay the mortgage company on my acreage property over six years? That was like $103,000. Of the two different people, who do you think I would rather pay? The one that I'm a part owner in that allows me to have total and absolute control over everything and never ask for a payment ever. Or the one that begs for my firstborn any time I want to talk to a human being over their bank. If I average that out over the entire time frame of 14 years, it's about $6,000 a year. It's like 500 bucks a month for the privilege. The privilege to protect my family. With almost $8 million of death benefit in various sources to grow a guaranteed stream of future accumulated cash value, have total control over its access, not be asked any stupid questions, have an online portal I can do most of the work in, have a private contract that the Canadian government doesn't even know. I own all of those things. I would happily pay 500amonth to get all those benefits. Happily every day. It's a future cash flow, okay? It's gotta grow. Now. My total cash value as of April 3rd is $691,000. That's the asset. I've put in premiums of about 833,000. Again, a huge amount of that's in the last 2 years. I got, I got a lot of new policies. A big chunk of my system is brand new. And this is just the whole life portion. It doesn't include the term, the riders, the riders I separated out of for this calculation. So 81%. I have an asset that is 81% of every dollar of premium in whole life I have contributed over my lifespan so far. And a lot of it's brand new. Okay. I'm only at this stage age 100 is way the heck over here. How do you think it's going to grow? It has no choice but to go up. It can only do one thing. The total death benefit of whole life. I set to take the term insurance out, separate the term insurance and we just isolate the whole life. The original face amount plus the paid up additions. This is the total. This is the current cash value. Well, the jelly and the sandwich is the difference between those two numbers. This is how much more my system must grow. If I stopped today and all I did is pay the minimum premium and I never received another dividend for the rest of my natural life. If all it is pay the minimum, I didn't put any of the flexible premium. I only put the 52 grand in. I didn't put the 207 in. If I just did the bare minimum. This is the future cash flow that my family is guaranteed. That is the power of setting something like this up for your family's life. Nelson Nash was a forester. He took this picture you can't see, I cropped it. But down below is actually Nelson Nash's feet. This is a picture from a tree that got cut down in his yard after he sold his the house that he built with his own two hands to his, his daughter and his son in law. Notice the inner rings of the tree and how the size of growth, the rate of growth looks bigger in the very epicenter of this. But notice on the outer ring. So this, this is family system is in cash value today. 691,000. I know beyond the shadow of a doubt it's already in place. The death benefit already exists that my system will grow this much more. This is the additional amount that it will grow. That's assuming that we cut the tree down. That's assuming that we don't keep feeding the tree. That's assuming I don't plant more trees. Notice how the lines of growth as we go in a lot of these years, they're not as big. But just because they're not as big, you have to understand the perspective. It's all about perspective. It's growing on a much larger circumference. So even though the amount that it grew might be smaller because it grew in a larger amount, the volume of growth is far superior. This is not about rates, guys. This is about volume. Don't ever forget that. Very important. Okay, here's my family. I'm going to play a quick clip for you about our family banking meeting. This was two years ago, our first annual family banking meeting. And I'm going to play a little clip with my daughter here. Okay? Do it again. One more time.

Did you, did we have fun on the family bank meeting? Yeah. Did we talk about everything we're grateful for? Who else did we talk about?

We talked about Nelson. And is that book pretty special? And you have a copy signed by Nelson, don't you? One day when you're older you're going to get that copy. And it's important every year we talk about the.

Family bank. So she was, I guess she would have been four when we recorded this. So her first family banking meeting was at 4 years old. I've been planting seeds with her about the family bank since she was two years old. They know that this book that she is holding is so important and is integral to everything in our life. And they know that everything that we do centers around this book. They don't know why. They know who Nelson is and they know that he's important. These are fundamentals that they can ingrain in a very early timeframe. We're talking about creating stories and building value in our kids. Now. This is Nora. She had this little book called Fancy as Fancy Nancy Book. And I use this book at around 2 years old to start teaching her about the family bank. There's a story about the piggy bank, and I was able to convert that into how we have our own family bank. Our own family piggy bank. And it's become this unbelievable lesson that she'll remember for the rest of her life. I read these books with my son, the Tuttle twin series. They're about Austrian economics and fundamental principles, and they're fantastic. And I incorporate that into discussions about the family banking system. Last year we had our family banking meeting. It was 25 minutes. We celebrated our vacation. We shared what did we love about being there. Having an amazing event. We talked about Nelson kind of like Santa Claus as a character. And every kids love Santa Claus. We did the same thing with Nelson, helping people understand that we introduced his five golden rules to the kids. We reaffirmed the things that we learned the previous year. So we did some repetition. And then I talked about active versus passive income. And I gave two examples. I'll show you really quickly. We talked about books. We have a number of books. These are the three books that we've written so far. Our fourth book, Don't Spread the Wealth, is all about keeping money in the family. Don't Spread the Wealth is going to be released in June. You can pre order it on Amazon right now. I talked about creating passive income from books, you know, somewhere between 150, 300amonth. As we release more books, that'll grow. That's a way that we can generate and create an income. I want the kids to understand that. We talked about active income. I stand in front of a computer every day. The kids can't see active income. They can't understand what that means. My wife, however, is ridiculously crafty. She makes these really amazing wood art projects and all this other amazing cool stuff. And then she sells it online. Facebook marketplace. So they see people show up to the house and exchange physical money for something that's a physical object. They can interpret and Understand that at the age that they are as active income. So we use that as a lesson in our family bank meeting. And then we took this picture. So just wanted to give you some context as to starting to have these conversations to integrate family wealth, positive conversations about money as early as possible with the people you love and care about. On my to do list was to build a legacy. This is a picture of my son Nathan meeting Nelson Nash. I was absolutely blessed to have that picture is amazing. Nelson, I learned so much from. He was my friend, my mentor. I loved him dearly. I just. I think about him all the time. More than anything else, I learned this. It's all about how you think. This isn't about an insurance illustration. It's not about an investment. It's about control over the family's financial energy for as long as possible, as many generations possible, and being able to utilize as much as possible while you're on planet Earth. Nelson would say, when is it time to go and get started? Or when is the time to increase your system? He'd say, just go plant another tree. Get it done. Don't wait. I bring back this example of success. And what does success mean for you? I mentioned significance and legacy. For me, it might mean something totally different from you. I'm sharing a little bit about my context and my story. What Nelson poured into me and all the members of our team, what his book has done for people, it's totally changed my life. And you can see through the last 14 years of my life how it's changed and what it's changed.

Do we prioritize the base premium and then pay back the policy loans? So premium is flexible and I chose to prioritize premium over policy loans. So there was periods where I had the policy loans outstanding and I wasn't servicing my loans very good. And there was a lot of times, actually where I felt. I felt kind of bad because it's so ingrained in us to not steal the piece and to make sure we're making loan repayments. And there were periods where I really wasn't feeling great about that situation. But the reality is I knew that I would be able to pay them back later. I was focused on growing the system and I knew I was very confident that I would be able to grow my income so that I could replenish those loans later on. How could you get multiple policies? Is there not a case for being overinsured? There is a case for being overinsured, but the life insurance company will tell you that for a lot of people. It's usually a much higher number than you think. There was a point actually in 2018 where I was applying for a new policy. In August of 2019, the amount of coverage was about $1 million. And at that point, based on what I declared as my income, the insurance company said that I was at the top, they wouldn't give me any more. And in order to get that new policy, I actually took a term rider on an existing policy and I told them I would get rid of that term rider so that they would grant me the new policy so the total death benefit would still be in alignment. I got rid of about $300,000 of term on an old contract because I was replacing some of it anyway. And the new policy had some features that I wanted. Today, because my income has gone up, I can go and apply for more than I have. And in fact, I probably should. I just haven't got around to it yet. We're busy. But I can apply for more now, even though I'm older. But because my income has gone up, my net worth has gone up, the ability to get more insurance goes up with that proportionately. So there's age basis. You know, think about your income. What's your income over a lifespan? If you're 25, you got a long horizon of burning income. If you're 45, your time horizon starts to get lower. If you're 65, your time horizon is a lot less lower. So the multiple of income that you could be approved for shifts throughout different ages. So that question is really relevant to age and income primarily. How soon after starting your own banking system can you add another policy? You can add them as quickly as you want as long as it makes sense to the insurance company another policy. So it might be based on a different insured person. So as an example, reasons to get a new policy are you have more income or more money showing up than you think. You mentally realize that you can do more than you thought before. You have a major financial event or a windfall or an inheritance or you sell property, like something comes up that's a trigger. You have the birth of somebody, the birth of a child, the birth of a grandchild, A new member of the family joins you. That's an instantaneous reason to go get another one. You have a need for another person or a business partner getting into a business relationship. These are all rational reasons. Taking infant banking even out of the equation, just to go get insurance on somebody, okay, there's no real limitation other than how much you income can Afford to put in and reasonably by the life company and what your own brain can conceive to a large degree. As long as we're insurable, we don't have a lot of challenges. If someone is uninsurable, then we figure out what to do at that stage. It is very rare where we can't help someone implement this process if they're uninsurable. Most people, most people have another insurable body. They have a child, a grandchild, a spouse or a parent or a business partner. There's someone that they have a financial interest in that usually can be the body. If you yourself cannot be. If the insurance company's charging administrative fees for additional deposits, if you're making additional deposits. And again that term can be used a little bit loosely, but let's say additional premium, you're finding additional premium. Premium buys insurance, whether it's auto insurance, travel insurance, luggage insurance, pet insurance or whole life insurance. So when you're making an additional premium into the policy, if that's what we're talking about is a deposit, it's going to purchase something because it's purchasing something. That's not a fee, that's a purchase. It's purchasing new death benefit. That new death benefit must create cash value. Okay, if we increase the death benefit, who has the risk? The person who owns the policy or the insurance company? Insurance company. So if the insurance company has all the risk, do they need to calculate the cost of that risk and take that cost out at the moment of the premium purchase? The answer is yes. So that's not a fee, that's an actuarial calculation. Because they have to, otherwise the whole thing would come crashing down. You want them to run a good business if you're a co owner, you don't want them to run a crappy business. That's kind of how that operates. Really simple. What's the oldest someone can be when purchasing a policy on themselves in general, you know, people can be insured, you know, up to a bar that go at least 75, I think even older than that. However, is it sensible to do that? So just because you can do something, I can jump out of a perfectly good airplane with a parachute, but my wife doesn't want me doing that anymore. So it may not be sensible if I want to stay married. Right. So the decision making process has to come. In fact, that's where a good coach can help evaluate and have a conversation about that. We're going to take a look at the entire situation. Dollars in what you're working with asset base and then we can, okay, well, what's the body that we might want to consider doing it on is the consideration. And when people are, let's say, over the age of 60, nothing wrong with that. But it means that, number one, if you had 60 years on planet Earth, you might have picked up some ailments, certain health challenges. The longer you're alive, the more probability health challenges arise that that happens. So some of the risk factors tend to go up. It's not wrong or any different. We have people get insured for that at age all the time. But the consideration might change around. Okay, what are we working with? If we haven't built up a big pot of assets yet and our income is about to go down because we're not earning an active income, then how much you can fund long term might shift and change. So how you build and construct something will be based on that. So that's why everything that we do is customized to the individual. It's not like we can say, hey, Richard got a policy of $148,000 for $4,200. I want that one. Well, Richard was also 28 years old when he did that. Everything has context and we need to really put that into perspective. For the majority of life companies In Canada, it's 85. That's the oldest you can apply for life insurance. How do I get my wife to buy into ibc? Nelson Nash is the great equalizer. The best thing that I think couples can do if there's a spouse or a close family member who doesn't know or not sure about this process, spend an hour together, sit down together for one hour, 60 minutes and watch the Nelson Nash documentary film. You can go to Nelson Nash film.com another great option to consider with our podcast Wealth Without Bay Street. You can find that by going to wealthwithoutbaystreet.com YouTube. On the YouTube channel we have playlists and under playlists you'll see there's a client playlist there. And we have probably 30 interviews with existing clients talking about their stories. These are great options for you to consider. Can a policy be written on an LLC business or needs to be on a living person? A business isn't a human, it isn't a body, isn't a person. Tax wise, it's considered that. It's considered an entity. It's kind of like another person. It doesn't have an actual physical body. You can only ensure a physical human being. You can insure the business owner, the shareholders, okay, primary shareholders, key people that the business requires to operate. Those are the primary individuals that can be insured in a business structure. So as an example, I have a holding company and I have an operating company. Operating company sends money to holding company. Holding company goes and buys policies. Policies are on Richard and his wife and now a business partner. So The Holdco owns five or six of the 13 policies. Several of those policies I had started personally. There was a point where I actually transferred them from personal into the Holdco. I didn't have the Holdco set up early enough. And so once I did set it up, I made that transition. There are very specific things that must be done if you make that transition. It can be done, but it's not always the right thing to do. There could be a reason not to do it. There could be a reason to do it. And that would be discussed one on one basis with a coach to make sure that they understand what they're getting into. And some of the risks of making an asset transfer, because that's an asset transfer from one entity to another. So just like transferring a piece of real estate to a corporation from a personal could have some ups and downs to it. The same scenario can apply with insurance. How do you get more policies on yourself? And how do you find new people to insure? So the rule of thumb is you can go one up parents, sideways, spouse and business partners, and two down children and grandchildren. That's the general rule of thumb. Within the rules of thumb, there are exceptions to every rule. Can we get maybe nieces and nephews insured sometimes? Not in every situation. It depends on the circumstance. If you haven't insured your own spouse and your own children and yourself, would it be rational to go and insure your niece or your nephew? Of course not. That would be illogical. So everything has to make sense as a picture when it's presented to the insurance company. And that's part of what our amazing team here helps people do. It makes sense to put all your biweekly income into premium so that you can start compounding. So the answer is no. It wouldn't make sense to put all your income in right away because Rome wasn't built overnight. You have to build things in phases. You can't put all of your income into something unless you're living off of a fraction of your income. Okay. You have to have a balance between funding premium and being able to also replenish loans. So just because you might have a pretty good job at your known fixed income and expenses, it's going to help. But if you have a lot of variability or some variable that comes up and now you're putting all your money into premium and you don't have quite full liquidity and now you have to go deal with a big ticket item that's not available. Like you could get yourself into a ton of hot water. You have to build the system incrementally to get it to a point where it makes sense to do that. It's okay to go a little bit bigger, that's fine. But you need to have a good balanced conversation with your coach. It doesn't make sense for people to just do that right away. You have to understand how the process of taking loans and repaying loans works. Everything that we do new in life requires practice. This is a lifestyle. It is not a financial plan. It's not just something that you do and then you put it aside, you never look at it again. It is something that is incorporated into your financial life in all aspects. If you already have a whole life insurance, can this be converted into universal life insurance with dividends? Number one, the answer is no. Number two, I personally would never do anything like that. So we're not talking about universal life. Everything that I discussed is all about dividend paying, participating, whole life. There's whole life that is very basic and doesn't really do much. Then there's dividend paying, participating whole life, which is the VIP above. And then there's well structured, designed and optimized for the purposes of infinite banking. Dividend paying, participating, whole life. But that would be a really long way to say it. We need a very creative acronym to explain that we don't do anything with universal life insurance. I meet with people. I literally got had a gentleman email me one yesterday, which is actually an okay contract because it's level cost and it's an okay death benefit. It is a really poor place to warehouse capital because it's very restrictive. So we don't teach that and it's not to be utilized for the purposes of building the process of becoming your own banker in your life. In my opinion, it's completely unfunctional for that. And Nelson Ash even indicates that in his book.