Webinar on "Infinity Banking Strategy"

Very happy New year to all of you. Again, thank you so much for joining me this evening. It's a Thursday evening and we are going to have the repeat session every other Thursday with a new topic every every other Thursday with a new either guest speaker or I'm going to present you something new. All this education free educational event to move you closer to your financial freedom journey. So that's our motto with think outside the stocks and with that we are going to jump into today's topic which is understanding the infinity banking system. So just with a show of hand I would love to know how many people have heard about this concept, kind of know a little bit, been having it in the back of their mind and just haven't had a chance to reply. So not a whole lot. That's great. Just a handful. You can literally count on the hand. That's awesome. Thank you so much everyone for participating in that. So let's get started. Let's jump into the topic today. I'm going to just try to see if I can be live on Facebook a little bit so folks there can also start looking and start participating in here. Right. So all right, so let's get started. Give me a thumbs up if you can see my screen. Thank you so much. So let's get started. Topic of the today is infinity banking system. This is. This has been stayed like a like a secret strategy in the wealthy of America in the elite circle of America. And when I got to know about this I wanted to passionately bring into everybody as many people as possible that I know a little bit. Disclaimer to get started with this is an information purpose only. The numbers provided in this deck in this presentation is based on some assumptions for each individual scenario. It's a little bit different and if you need to seek any advice based on I'm not a cpa, not a lawyer so if you need to seek your advice please do reach out to these professionals if you do need connect connection with these professionals. I do have some people who are really good at this this kind of work so get in touch but you know just wanted to put that out there. A lot of you know about me and a lot of you are new to this think outside the stocks too. So a little bit about me. I am the president and wealth strategist at Think outside the Stocks. Think outside the Stocks is my company is just not the philosophy about thinking outside of the stocks investing outside of the stocks but it's the philosophy of that think outside the BO mentality too. It's A little bit different, you know, always thinking a little bit different, little bit tangent, as I have always been. And the strategies that I have got and I have been implementing and helping people are those out of the box strategies too. In past I have worked over 15, 16 years in consulting with big five consulting companies. And five years back I had to, you know, give a complete break to my corporate career. And I started my journey in this alternate investment world. And when I got to know about this two strategies which made really huge impact to my financial structure, to our family's financial structure, it just drove me crazy that I have to bring this to light for many people as possible. So that's really truly my passion with Think Outside this talk is to give you that education, free of cost, as much as possible as I can, and also bring you that those strategies, implementation the investment strategies and implementation of these concepts. So in Real Estate Journey I have done single family, Airbnb, multifamily, and I'm also bringing these investments when it comes to multifamily. And that's a topic for another day. In fact, in the past, if you have joined me for a webinar, we talked about the multifamily syndication investment. If you want, I can send that according to you too, so you can join that journey as well. So today we are really talking about that infinity banking system. So before we get into it, I'm just going to talk a little bit about my philosophy and it's really important and many of you have joined me a couple of webinars back too. So for you it might be a little bit repeat, but just bear with me for like maybe five or ten minutes because you know, this is a really essential component just to put that perspective in front of you with the wealth maximization approach. Why is that? Maximization approach, right. So when we are thinking about laterally, horizontally thinking about just saving, saving, saving, investing, investing, investing, we are looking very like a horizontal plane, right? My purpose is to help you kind of give that bird's eye view so you can have different perspective to your own financial strategy. And with that perspective, it's not only important to save, invest and just grow that, but it's kind of, it's a bigger perspective, right? It's just about growing, preserving, protecting what you have and passing it, you know, worry free to the next generation. So that's the kind of perspective we think outside the stocks I'm trying to bring in. And why? Because. Well, let's look at the history. We have known this financial fathers of our company of our country where people like Vanderbilt or Carnegie or even Rockefellers, they were the top 10 richest person in America. They were millionaires in their time. And when they passed away, they actually have billions of dollars. In today's network they had billions of dollars and now they have about six or seven in place. So it's very curious, it's very interesting that you know, we have seen, you know, even Netflix has their series, right? So we have seen how much they work. They worked really, really hard. But when it comes to retaining that amount of money, retaining that wealth through generations, how did they do? It's very curious. I mean I was very curious to find out about that. When it comes to Vanderbilt family, when we had that, you know, billions of dollars, the known heir from, you know, one of like six generation from Gloria Vanderbilt, it's Anderson Cooper. We know a lot, you know, a lot about him. He got passed on 1.5 million out of that billions of dollars. Now 1.5 million is a lot of money. But think about it, six, seven generation later, what was really worked, you know what Cornelius worked really hard towards just 1.5 million to the sixth and seventh generation. That's kind of disappointing. What Carnegie, you know, he intended to do a lot of charity work really great him, but his purpose for charity, you know, the way he implemented that, he literally, you know, passed on everything that you have during his lifetime and after towards the charity building the libraries, the colleges. There are no known millionaires from his family, but John De la Rockefeller, his family with 150plus heirs today and $11 billion in wealth, these heirs are still being distributed the income, cash flow from this generational wealth. So it's very curious to see what did he really do. And Infinity banking strategy is one of the toolbox kit that they use and they keep on using generation after generation. And when it comes to charity, they didn't even stop just at the one generation because every year the millions and millions of dollars go to the charity because this, this entire wealth kind of, they put it together and they keep on distributing the cash flow from it without distributing that men wealth. And that's the reason they are kind of growing and growing every generation after generation. So it's a question, it's a food for thought for you. We know our generation is putting that effort together. We are building that huge chunk of money. We are building that wealth. What do you want this fifth or sixth generation after you? What do you want to see? Do you want it to be growing or do you want it to be getting Destroyed with the lifestyle or you know, different factors which is impacted by the family. Right. So that's a food for thought and that's, you know, that's what we are trying to set our perspective towards, understanding the wealth potential. It's very important to see what people like us have, what kind of wealth potential we have. Right. So let's take an example of 41 year old male or female, by the time he or she retires in 6, you know, by 65, if current income level is 150k with a 3% growth, say 100k in the savings account growing at the rate of 6% with that 24 years of income, this person is going to see $5 million, $5 million just as an income potential and with that savings growing, it's about $10 million. That's the kind of wealth, that's the kind of money this person is going to see throughout. So you know, you and me will see a different level of wealth kind of pot because it's about harnessing that wealth. And what do we want to do, what processes do we want to set in this generation that can be helpful for generations to come? Just like what Rockefeller's family did, Right? So another visual for you. If we think about this whole like 5, 10 million, whatever as this big tank of money, of course we have a very small pipeline annually that's coming in. So from the tank we can start pulling a little bit money out from here and the first regulator it gets applied, it's of course tax filter, some money gets leakage over there and some of money starts providing for our lifestyle, our living standard and from time to time our effort is to push it up this chute, right? So on the right hand side there's that safety tag which is your bank account, which I call it's a sleep well money because that helps me sleep well. That, you know, looking at my bank account, hey, I can sustain my, you know, four or five months of experience, expenses or whatever that comfort figure is for you. That's a sleep well money that if something happens to my job, if something happens to my business, I have that money. I can, you know, pay my mortgage bills, feed grocery, you know, buy grocery, feed my family, etc. So that's your sleep well money. And for the lack of better source, we keep this in the bank. We think that we are not losing any money, we keep that in bank. Right. On the left hand side we have that investment tank where from time to time we do take some risk. And important part about the right Hand side is the savings need to be tight lid on it, they need to be completely sealed that there's no evaporation happening from there. And we keep it very safely with bank. We think that FDIC insured and it's very safe. I'm never going to lose my money. But think about it, what are the banks giving you these days? 1% maybe. And on top of it you have tax implication. If you are in 35% bracket that's taking a cut already. And plus think about it, inflation is 3%. So you are actually negative year after year just by keeping that money sitting with the bank right on the left hand side from time to time you do take that risk, knowingly, consciously and the evaporation happens from there. And of course there's some tax leakage also happening in those investments too. So that's typically the picture, that's how the river of our money is flowing. And this is what typical picture that we see in our lifestyle, right? So what is really our problem today, right? We have two problems as you know, think outside the stock focuses on. One is a savings problem and one is the investing problem. The investing problem about, you know, how it's tied to volatility and stock market, all that thing. It's a topic for discussion for other day. And in fact the syndication model that I discussed in the past webinar focuses on that. Today I'm going to just focus on the problem, the problem of the savings itself, right? The saving. The money that we are saving in the bank account for our emergency, for funding our education, your kids education, or just sometimes the parked money which you're kind of creating like a big pile so that you can invest in somewhere, right? Like maybe a pile of 30 to 30k or 50k or something that you can invest somewhere, right? So the question number one, you know, food for thought, where are you saving this money? You are saving it either in bank or in bonds, right? If it in sports is kind of locked for some time, what is the interest rate that you are getting there? It's really low. On top of it, it has a tax liability. And is it at risk? Is it safe? Is it, you know, is it tied to the volatility? Some people, you know, just put it into stock market. That's not really ideal, is it? But think about it. Even keeping in the bank account is losing money to inflation, right? Sometimes it has restrictions on how much you can put the money in there. Like maybe Roth IRA or something like that. It also has restrictions in terms of access, access to it. If you have it in bonds, if you have it in, you know, any other account and say education account, you can just, you know, access it for the education purpose, etc. And what kind of asset protection does it provide? You suppose somebody, something happens to you, somebody sues you and you get into some legal battle. What is the first line that they have available? That's the bank account. That's the bank account money that, that they have. That's the first access. So you are kind of exposing it. So that protection of that money is really important. There's no protection for money. So that's, that's the problem. And is this, is this, you know, whole bank account where you're saving this money, are they providing any additional savings, any additional benefits to you? So that's kind of the problem that we are talking about. Right? So what is the solution? Right? Rockefellers understood this problem, their savings problem, they solved by creating the infinity banking system. And this infinity banking system is what they create. When as soon as there is a newborn in the family for every generation, they create this, that particular individual system for that individual. And that's how they pass, you know, their, their wealth. That's how they have kind of a pile of cash built up. You know, by the time this person reaches 20, 25, they can start using this money, this wealth for their business or whatever you know, they want to do with that. So what is this, you know, what is, what are the advantages of this much efficient saving system? First of all, this has never lost any money to anyone. It's been consistently growing. It has never lost money. I mean, even if you look back 2008 recession, it has provided the consistent growth. Even if you go back to actually Great Depression, they have provided the consistent growth. So never, never lost any money. Right. The second advantage of it is you can contribute without any limit. You can kind of create your own limit. So it's not like a 401k that you can only contribute, you know, you know, about 19,000 or so every year. But you can create your own limit and you can, you know, you can play around with that. You know, if you want like 10,000, you can do that. If you want hundred thousand, you can do that. So you really have that flexibility based on how you want to set it up. The money inside grows tax free. I mean, think about it. This is an immense, immense advantage here because most of our leakage when it's happening, when the tax is taking a cut off, it's the value of that money loses the future Growth as well. So that money is not only losing that advantage, but it's losing the future growth as well. So when that growth happens tax free, it's compounding year after year tax free. And it's kind of snowballing inside completely tax free. It has better interest rates than bank. I mean, 3.5% is kind of the mandated, government mandated, say, dividend in this system versus less than 1% what you're getting in the, into the banks, right? It has the liquidity and the flexibility. So anytime you need, you can actually directly access it or you can leverage from it. I always prefer, you know, the leverage strategy and I'll tell you why. But this is liquid, this is flexible. This is always, always available to you. And then you can withdraw it. Any purpose at any age. You don't have to be retired to access it or doesn't have to be education purpose to access it. You can literally access for any time, any, any purpose. You can even access it to go on a vacation and kind of refill it back. Right? The withdrawals could be made tax free too. Of course, there's a leverage strategy you need to use after a certain point, but it could be made tax free. And it's a great, great, great place to put your parked money between the investment. Because between the investments is a time when you're really losing on that growth. It's still growing inside the system. I'm just going to take a pause here and I'm just going to remind that please, if you have any questions, please put it into the Q and A box. I'm going. We have so many participants today. I'm just going to look at the Q and A box and I'm going to start answering those questions towards the end of this session. All right, moving on. Why think like bank? Why do we want to think like bank? What is the banking system that attracts us most? Right. So think about it. Bank is really in the business of leverage. It's about the power of leverage. They are using opm. OPM is other people's money, right? So for example, if you hand it over 10,000 to the bank, bank gives you a 1% interest back. Of course there's a tax implication for you, but for bank, you, they gave you that hundred K. And suppose somebody else asked for that 10,000 and now the bank maybe on an average has like an 8%. Now you will say, Madhvi, that interest rates are really low. Who is giving you 8%? Yes, there are people who are paying like, you know, the credit cards or you know, different type of. This is just an average that bank would have, right? So 8% with the leverage that bank use, bank did, they really had money, right? So bank use the lever and they earn 800 on that. So now you'll say that it's just $700 profit. But think about it in terms of the returns, it's 700% profit. So that's why I want you, I want to encourage you to think like your own bank. When you place your own money at somewhere, play somewhere safe, where it's growing, it's compounding. And at the same time, when you are taking the advantage of leverage, as if you are borrowing that money without touching that money, that's how you think like a bank. That's how you use the power of leverage to your advantages instead of somebody else using that to their advantages. Right. So just moving on, just understanding the hierarchy of wealth. Now think outside the stocks. We talk about this hierarchy of wealth with every client. I'm going to touch base it a little bit today on it because we do want to focus on infinity banking system, right. So Maslow has a pyramid of needs, right? I mean I'm sure that a lot of you through your education or something must have seen this pyramid. We put that pyramid of need with, you know, in the financial structure and at the bottom lies the savings and the protection. So that's the foundation of that pyramid. As you go up, the control kind of goes down. As you go, you know, go up again, the risk is kind of going up too, right? So at the foundation of it, that's where your savings, your protection, not only the protection for your money needs to be considered, but protection for you. If something happens to you, how is your family supported? Right. So of course that's the life insurance that's kind of supporting that. And as you go up, you know, then that this kind of, you know, the upper tiers has a little bit more risk. So the tier 2 will have some direct investing, maybe real estate, something like that. Tier 3 will have like syndicated investments where you don't have direct control but it's still, you know, have some good returns for you. And on top tier there's a speculative, which is, is maybe the stock market, right. Most of the people have this pyramid upside down. So we encourage to kind of look at it, create that solid foundation at the bottom so you are protected no matter what in terms of your savings, in terms of your own life protection. Right? So the infinity banking system to the core of it is about this foundation. It's about putting this foundation together and the vehicle that we put it in inside is that life insurance vehicle. And the life insurance is not just any life insurance but with the mutual companies only. The way it works is that you are kind of the stakeholder inside these companies and that's how you are supported by these companies. So you get dividend year after year from these companies. And this is not the ordinary life insurance but this is a well structure very intended to be growing your money at the faster rate than the banks are growing. And that's part the foundation of this complete system which provides you the, the savings and the protection. I'm just going to take a look at any questions in here. That's awesome. Yeah, sorry about that. So moving on. Right, so. So to just put this complete together, to put this blueprint together, right. As we create that foundation there's that emergency money and the in the foundation layer. And as you start having more money in that foundation, it's kind of creating that overflow and you start funding your investments into the top tiers. And as you start getting the earnings and the cash flow, you make your foundation stronger again. You make your foundation broader and stronger and you kind of provide that protection continuously. And on top of it you also create kind what's called the estate plan or the trust so that you can pass the this to the generation. And of course insurance also is a tax free benefit to the next generation. And that way you can pass this benefit, this whole thing, the wealth that you have created from generation to generation with the tools and the processes that are in place through the estate planning in a very structured way for the generations to come. Just like Rockefeller state just. I'm going to stop a little bit more about this now infinity banking strategy itself. We looked at our, you know, this tank, the flow of the tank previously. So on the safety side instead of now being the bank and now we replace that with the high cash value life insurance policy. Again it's not your any life insurance but it's a high cash value definitely structured completely differently. And you replace that so you can have that growth. You can have that growth positive much better than what banks can provide you. On top of it, it sits with that benefit that there is that advantage. And as you can see there is a tight lid to it. It never evaporates. This money is not at risk and it's not tied to the stock market. Not even the insurance companies are not investing this money tied to the stock market. So this is your safety money. So you implement that in terms of the high cash value life insurance policy. And on the left hand side, of course you still want to take those risks, you still want to do those investments. And the right hand side, it's, you know, of course it's even if it's a 3% growth, it's you know, 300% better than banks. But I kind of see, you know, sometimes I find it very funny and I'm going to play this one for you. When most of you heard this term life insurance, like some, sometimes 80% of people, the brain will just shut down. The mind will just shut down. It will not be an open mind. Right. And I don't blame you. I was like that too before I understood the, you know, the massive impact this vehicle can have, what it can possibly do. I was like that too, like you too. And this is a very funny slide. I kind of find it funny. A life hack ignoring a life insurance agent. I'm just going to play that again for you. Yeah, that's typically what we do with even when you hear the word life insurance or something like that. But I would just urge you to keep an open mind. Just listen to what it is and what we are trying to show it to you here. We think outside the stocks. There are certain ground rules. First of all, I don't want to do anything that you don't need to do or you can't afford to do. I have three approaches. Number one is to help increase your net worth to reduce your income tax liability. And third is to increase that monthly cash flow so you can move towards your financial freedom dream much faster. Right. And my philosophy is to educate with you, you with with the facts and provide the information that you need to make that informed decision. So when it comes to life insurance, don't just shut your mind, try to understand what it has to offer and just move on and be with me and understand what this Infinity banking system can do. If it works for your strategy, it's great. If it doesn't, well, it's just one hour of your time to today. So quick five minute insurance lesson, right? Suppose your attorney or financial advisor somebody says that you need 1 million of life insurance, Right. Most of the time a lot of people will go for a term life policy which is the cheapest option. Don't blame that. So who determines this minimum that's required? Right. Insurance companies determine that minimum requirement and the maximum premium required is determined by irs. And that's about the only kind of the limit. That's the only rule that IRS could bring it into life insurance. They don't have any control over it. They cannot change anything within the insurance system itself. Right. So the lowest of it is say for example, 1200. Somebody pays that $1200 per year for buying that 1 million coverage, right. Term life policy. The maximum that person, if you get, you know, to the system way and some other different ways the maximum can go inside that system is $76,000. So you would, I mean think about it, right? Why would somebody put in $1,200 versus $76,000, right. There are people who are doing it, right. And that's the beauty of this infinity banking system. They are doing it for a reason. What are those reasons? Who is really putting so much money in there? Of course, because first of all, it provides you that tax free death benefit. It provides you that tax free accumulation, that growth is tax free. You can have the tax free distribution with the strategy, have that available prior to when you are retired. You can literally access that anytime. That's the kind of flexibility that's providing. It can be used as a collateral to kind of provide the investment at some other place. It also provides you credit protection. So now whatever you had, kept it in the bank account. If that's money is in this insurance policy, technically it's the insurance policy, right? So the creditors do not have access to this money. So it's kind of automatic protection in most states rates. So that's the advantage. It provides you the competitive rate of return. The dividends are being provided year after year with these companies. One of my favorite companies paying mutual dividend even after what we saw in 2020 is 5.75%. So that's how much dividend that they're providing year after year. And you can also add in case of disability, you can also add that. Okay, sustains itself kind of in a way, right. And you can provide limit is there is no limit. You can literally provide unlimited contributions. You can set your own limit to it. And I work with Paradigm Live and with Paradigm Live, we have helped $4.5 billion of you know, our investors money to take off completely tax the IRS tax return. So think about it. This money is growing inside tax free. It's growing and it's, you know, it's multiplying, snowballing inside. This will never pay the taxes in while you are alive. You can use this money. You can either withdraw from it or leverage from it up to a certain point. And then when you pass, this benefit is tax free. So as opposed to your 401 case, when you are putting the money into the 401 case when you are retiring and you are getting a distribution from it, you actually are paying taxes then. Or if you're not paying and you're passing it to the, to the, the next generation, they will have to pay taxes for it. But this money will never see the taxes. So we actually have helped $4.5 billion to take off IRS tax radar from, for our clients. So it's really a question to you that you know, how do you want to grow your money? So just coming back to why this system, right? I mean as you're thinking, you're challenging yourself, you're challenging your beliefs of, about life insurance system itself. Just think about how many years this has been existing and who are the people who used it? Why did they use it? These are wise people. They had the best of the advisors that advising them, right? Rockefeller family for years and for generation after generation they are using it. We talked about that. Walt Disney actually when he wanted to create his Disney World, nobody believed in his dream. So he borrowed money from his life insurance policy, put it into the Disney World and started, started implementing his dream. Jesse Penney in 1929 he, with all, you know, the market going down, he actually utilized that money because that's the only money that never went down that doesn't go down even through the recession. John McKeon used it to fund its campaign against Barack Obama. So that's been existing and now it's the question really that it's about the knowledge. We never knew about this. And when I got to know about it, that's my passion, to bring it out to people like, like people like you, to help you understand and then make that conscious decision whether you want to use it or not. Right. So why using that life insurance? Right? So first of all, the life insurance itself, by nature, it transfers the risk of your life from you to the insurance company. So you say that okay, insurance company, we are going to pay you this premium and if something happens to me, just paid this huge amount of money to my, my successors. So they are supported. So you're first of all transferring that risk. And on top of that insurance was supposed to be the death benefit, the money that you would never see. But instead of that, now with the Infinity banking system, we are adding all these advantages on top of it. We are providing this ultimate liquidity and flexibility. We are, you know, we have seen that it never loses money. It has been providing consistent dividend over 150 years. It achieves that tax free growth you can access that money anytime that you need. It's, it's safe, it's never lost money and you know, never have a contribution limit. So it's really, it's like the life insurance is not about the death benefit that you will never see again. That life insurance is now about living your life insurance. It's about accessing, using that money and doing different strategies. And I'm going to talk about it that how can you use this money just you know, compounding and snowballing inside the life insurance policy. How can you really use this money? And on top of it all this money, once you know something happens to you, whether it's hundreds, years of age, if you pass at that time, you're gonna have tax free legacy to your next generation, you're gonna pass it on. So it's not just about you implementing it into your lifestyle, but kind of creating this tool as a process in your great grand scheme scheme of your financial strategy and passing it on to your next generation and generation after generation. Just like rock of real estate, right? So the banking system again going back, what are we trying to replace? We're trying to replace the bank's existence of the banks. So we are creating that efficient savings and the protection is kind of added on top of it. So it's kind of two birds in one stone. And looking at this chart, I mean what are these different vehicles giving you? Right? Suppose you talk about bank account. It is giving you that safety, it giving you, it's giving you that liquidity, it's not giving you a good rate of return, it's kind of compromised on how it's taxed. But and you know, of course the different vehicles, if you look at it, the left hand side, it has their own kind of advantages and limitations. But life insurance, the high cash value, the high growth life insurance policy stands for safety, it's liquidity, the great rate of return and the taxation also. So it's a tax free growth. So traditionally the life insurance was supposed to be just for the protection only. But with this strategy, the infinity banking strategy, the wealth maximization strategy, the life insurance, we are going to use it for the savings and the protection as we go on. Right. So moving on. Okay, I see some more questions coming in. Please keep that coming in and I'm just going to continue. Most of your questions are going to get answered. So what is the really structure? What is, what are these really steps? Right, so the first of all, like I said that this is not your any life insurance policy. It's Created the structure is very strategic. So in terms of, you know, the death benefit and the cash value kind of a proportion to it. It's either 1/3, 2/3 or 80, 20% kind. You know, the maximum possible that I can do for each client depending on what your criteria is. So once we create that kind of a shell, which is great shell for you, you fund it max fund it with the, with the portion, the cash portion. So where you can start getting that advantages of the dividends and then you remove that money out of tax the IRS tax radar because that's when it started to grow without taxes, tax free growth. You start receiving the dividend year after year and receive the guaranteed growth plus the dividend that the companies are providing. And you let it just compound, you know, you don' disturb it, don't disturb that growth year after year. You just 10 years, 15 years, 20 years, I mean until you die. You just let it compound, you don't touch it and you still have access. We'll talk about that. And just whenever you have that accumulated cash value, you start utilizing it wherever you want. Either you invest from it, you use it for kids, education, emergency fund, anything really that you want to do. I mean vacation or any purposes really. But again I cannot emphasis enough that don't mistake it with your regular life insurance policy. This has to be structure in a very strategic way. So again, live your life insurance. This is the high cash value insurance where you grow, protect, preserve and pass which has never lost money. It has no contribution limit, grows tax free. It has guaranteed returns plus the proven dividends. It has easy access to emergency funds or whatever you want to do. It has no limitation on access or contribution. It has automatic asset protection in most cases states. And it also passes that tax free wealth to the next generation. So it's kind of the one product solution where the life insurance was just supposed to be the death benefit. Now you are having an efficient savings vehicle plus the protection and safety, plus the flexibility and liquidity. And of course there is additional benefits that can be provided too, right? So how do you use this as a strategy? How can you use this money, the same money, the same dollar at two different places. So going, I'm going to go back to our favorite diagram which is that the tank where we have, you know, the lifetime potential coming in. Suppose you decide to buy a rental house or in some cases some of you are even thinking about buying your first house, right? What do you do with the, the first house? Suppose you are buying that 200k house and if even if you say, have 200k in your bank account, do you just go to the, go, go to the, you know, person and say, say that, that the builder and say that, okay, I'm just going to buy it, cash down? No, we don't do that. The reason we don't do it is because we want to use that power of leverage, that 80% loan that bank is going to provide you and just the 20% from your pocket. So typically what we will do is we will empty out our bank account, we will take that 20%, we will take the 80% loan from the bank, we will empty out and we will put that as a down payment and we will purchase that rental house or first house or whatever you want to do to. Right? That's what people like you and me have been doing. When we purchased our own house, first house, we emptied out our bank account and pushed it as a down payment, as, you know, down payment towards our first home. And what it did was it lost its ability to compound, to grow that money inside the bank account. But here in this case, what you're going to do instead, that you're going to show this, you're going to show this as a collateral, saying that, hey, I have this insurance policy. I want a mean insurance companies can give you that loan too, or a third party, you know, banks can also give you the loan. So you're going to tell them that this is what I have, I'm going to, I need to borrow that 100k or 50k in this case, you know, if it is a 200k house, I'm going to borrow this 50k. And with that you're going to take that loan, you're going to put that as a borrowed down payment. So now you have leverage of not just, you know, the 80% but complete hundred. So in terms of your real estate investments or any investment, or even if you're doing a syndicated investment, think about it. Instead of you putting that 50,000 into the syndicated investments, now you have to just pay. Suppose if it's a 5% interest rate, just 2500 every year. And plus that money is growing at the syndication investment, or you're invested into rental real estate, or you have purchased your first home with that money. And in turn what happened is your money in the life insurance policy, it never moved, it's there, it's still growing, it's still compounding year after year, it's still snowballing. And you know, for that 30 years of that lifetime of that home that you have purchased in that 30 years. This down payment, which you have in reality would have taken away and put it as a down payment. It's, it's going to grow. It's that 50k is going to grow year after year, compound and snowballing for that 30 years. So that's the beauty of this system. It's borrow, not withdraw. You could withdraw if you want to withdraw that 550,000, but you're going to lose on that growth. So it's borrow, not withdraw. Have your money, do two jobs at the same time. It's snowballing inside the policy. And it's also, you know, you're using it as a leverage, you're losing it as a collateral. And you are able to purchase that as your first home or your rental home or your syndicated investments. I mean, you could even do any kind of investments, right? If you want to invest in gold, you could do that. If you want to invest in stock market, you could do that too. I mean, not a big fan, but you know, if you are savvy as stock market investors, you can even do that. I mean, salute to you. I really admire people who can babysit that money and have that kind of growth in the stock market. But you could also do that. So it can really support any type of investment, any type of expense, any type of strategy that you want to do to using this leverage strategy. Okay, now many people ask me that, why should I borrow from my own policy? Why not? You know, why? Why, why should I borrow from somebody else? Why should I not borrow from myself, from my own policy? Well, first of all, if you borrow from your policy, and many people are very familiar with the retirement account, right, from your 401k, you would take a loan, invest into something, and you pay your interest to your own. But think about it. If you take that 100k out from your 401k, that 100k, suppose your 401k has 200k in it, right? You take the loan of the 100k, the 100k physically comes out of it. Now, if you start paying 5% back to the 401k every year for next, say five years, if you borrow for five years, it's going to increase by, you know, that 5, $5,000 every year. But here in this case, your 100k never came out of the policy policy. It's still growing inside. It's still earning that money, it's still earning that growth. And at the same time, you're investing it somewhere or you're utilizing it somewhere. Right. So I'm just gonna show you this number. I, I'm a big fan of numbers. How numbers can project what, what you, what you are trying to achieve and how it can just relate pretty quickly, right? So suppose you have this. You know, people a lot of times say that, hey, I have 200k mortgage left. I just want to pay off that mortgage completely so I can be worry free that, you know, my mortgage is pa. Suppose you borrow that 200k. Banks are giving really low loan rates, these three, these interest rates these days, right? So even if you get 4% receipt for that period of 30 years, if you borrow that 200k, you will end up paying 215,000 in the interest for the 4% interest. So that's in 30 years, you will pay that much amount of interest. That's humongous. You will say, madhvi, why would I pay somebody else that interest for 30 years? But think about it. Even if you earn the exact same rate inside the policy, and the policy is growing compounded year after year, the same amount of the money that you have put and you never touched and you provided that compounded growth, that snowball growth, you got almost double 448,000 interest inside of the policy. I'm gonna take a pause here. This was my aha moment. This was the moment I felt, oh my God, that makes perfect sense because for me, I, you know, I, I loved getting rid of the loans. I, you know, didn't. I remember one of the birthdays, my husband just, you know, there were a bunch of car payments left and he just handed me the keys and I was like, why are you giving me the old car keys? And he said, well, I paid it off completely and that was my happiest day. So I hated loans. But, you know, this, when this chart came in front of me and I was really surprised that this is the power of that compounding. This is the power of, you know, the value of the money. If I had kept without touching it, and it's growing compounded year after year that I'm losing when I'm directly taking it out of my bank account and putting it in wherever I want to put. So that's essentially the really the core of it. And think about it. Even if the policy money, if you're not even getting 4%, if you're getting less than that, the break Even of that 250, 15,000 is really at 2.47%. So anything above that, you are coming out positive on the side. So that's the beauty of it. All right. So in the interest of time, I'm not going to talk about the technical details of the policy a little bit. I was planning to go over the numbers, the real numbers, so I can show you that what this policy looks like. But if you want to look at these numbers, you can always schedule a call with me and I can run actually your numbers with it. So it will make sense to you. But I'm just going to just talk a little bit about why the structuring is different. A typical life insurance policy on left hand side, its intention is 100% premium goes towards buying you that insurance. So the cost of insurance is being supported by the premium. The premium stays constant and also the death benefit kind of stays constant. The number one priority of the left hand side is the death benefit. And just as a, you know, as a second priority, the cash value accumulation starts happening too. But on the right hand side, that's the Infinity banking system. The purpose of it is not. The priorities are kind of flipped here. So the purpose is not the number one priority is not the debt benefit is the cash value accumulation and the cash value growth. And the death benefit is the second priority. So the premium, you know, my try is, is to push that premium really like one third goes towards the insurance and the 2 3rd kind of sits in there so that it kind of starts earning that year after year dividends. And you know, again, the intention is to reduce that cost of life insurance significantly so that your break even happens really pretty quick, pretty quickly, maybe about in six, seven years. So you can start getting that exponential growth pretty soon. So that's how the structure is different. And that's why I keep on insisting again and again, again that not all life insurance policies are the same. It has to be structured very specifically. The shell has to be created for the Infinity banking system itself. So I'm just gonna, you know, jump through this slides. I had this, this is maybe the important slide, right. So in the insurance policy. But what I was showing prior, prior to this and kind of skipped through those slides. If we are not running, if you guys are not in hurry, I mean, I might actually look at those slides. Slides. Those will add some value. So it's really. I want to be respectful about your time too. So just raise your hand if you want to see those numbers. Just, just show me by, you know, show of hands if you want to. Oh my God. Okay, okay, okay, I got it, I got it. I'm gonna go back. I'm gonna go back. Everybody wants to look at that, so let's look at that. Thank you so much for this overwhelming his response by the way everyone. So let me just jump at and thank you so much for your patience. So again, this is a typical life insurance policy, a complete and very well designed. This is designed by a really good agent too. A very well designed life insurance policy where the premium kind of stays stable, the death benefit stays stable. So no matter what, when it happens to you, that one million dollar benefit benefit gets, you know, gets to your successor, right? So this is a typical life insurance policy, the left hand side where the priority is the death benefit, right? The focus is the death benefit. So about 7,500 is the, is the premium year after year. So as you can see the column which is the cash surrender value, so column number seven, right? So first year we push the 7,500. The cash value, there is zero, there is absolutely no cash value to start with. Year two, it will start, start slowly trickling in. The cash value slowly starts trickling in. And now you can start looking at the rightmost side, right? This number in the red, right? So in seven, by year seven, we, you know, we're able to push like maybe 53,000 into this policy. And this policy has 40,000 cash value. So it's still not breakeven. It still has that 13,000 kind of a cost of insurance, right, going down 15 years. Right, 15 years, 106,000 pushed into this policy by year after year, that's 7,500 or 6,500, whatever that money is at that time. After 15 years, this money is 104,000. So it's kind of coming close, but it's still not there yet. So I would imagine that I just ran out of space here, but I would imagine that maybe 16, 17 years is when, maybe 17 years is when the break even happens, where the amount of money that you're pushing into the policy is the amount of money that's available for you as a cash vendor. Right? That's the purpose. The death benefit is number one priority. We flip that. Our priority is the cash value growth, right? So now let's assume this for this individual who's about, I think 40 year individual is my favorite example. So 20,000 per year if this person is contributing till he retires in 24 years. And so let's take a look at what this structure of the infinite banking does for him, right? So in terms of, of this 40 year old, putting 20,000 for till he retires and 30 years later, what is that growth looks like, right? Of course, with the, you know, the guaranteed portion is 3.5% and estimated about 2.25 dividend, which is the current dividend scale by the Penn Mutual and this is a Penn Mutual example too. So with that, what, what does it look like? Right, so 20,000 pushed for, you know, 20 year, 24 years. Let's start looking at these values here. The 20,000 premium goes in for the first year, the first year itself it's 13,000 in cash value available, right? So this person can use the, use it leverage. You can borrow against that 13,000. So just multiply that, right? Suppose you want to push it like maybe 100k in there, right? So that's how much money, that's how, what's the percentage wise? It will be available to you about, you know, about 70% or so will be available to you for the first year. Does that mean it's not available to you? No, it slowly starts getting available to you. The insurance company will help back to kind of get, get, you know, get around their cost, their, you know, whatever the life insurance cost they have, their expenses, stuff, stuff like that. The second year you push 20,000 and you know, now there is 27,000 in the cash value. So 40,000 total pushed in, you have about 20, 27,000, right? So first few years, I mean, of course this is not like a get rich scheme, right? It has that seasoning period. You must understand that there is a seasoning period. So about till the time that you break even where your cost of life insurance kind of recoup, right? So that break even period is about what, six, seven years, right? So let's continue with this example. By the year six, you be paid 120 into it. And now the cash value is close to what we paid. So year six that break even happened and after this this really started growing. This money started really growing. But even though the great break even happened at, at year seven, year six, look at the growth, right? 20,000. This column in here, increase in cash value states the annual growth, right? So it shows you that how much money grow for that particular year. So first few years it's not significant. The third year itself, you push 20,000 in it and 20,786, so 30 itself, it started giving you that positive outcome, right? Go down to like year 15, right? By the time where that policy was not even breaking breakeven. Now the 20,000 you have pushed, you know, for 15 years. That year itself the change is 43,000. So 43,000 minus 20,000 that you paid as a premium, that 23,900, that's almost 24,000 is just that year's growth. Just in that 15th year, it grew by 23,000. And that's the compounding magic that I'm talking about. That's the snowball effect that I'm talking about. And you are still at just 15 year policy year 15. This person is just a age at age 55, right? So just let's take a look at what this IRR looks like, right? This person who has contributed 24 years total of 480,000 into it. After 30 years, the total cash value with this kind of growth is $1.2 million. It's a pause here because that's a humongous number. Just by providing that 20,000 over and over again for 24 and completely stopping the payment after 30 years, this person has $1.2 million. And you would say that, you know, well, what if something happens to me? Well, your death benefit at that point is 2.1 million. So you have that 1 million difference in terms of your cash value and your death benefit. So you actually have the IRR of, you know, 4.81% over and over again. Again, this is tax free. This is a tax free IRR for your cash value. And under death benefit you're getting 7.7% IRR by this person is at 71 years of age. So that's the power of this compounding. Again, you know, I cannot insist enough that this has to be structured in a completely different way than a typical life insurance policy. The money has to sit in here compound year after year. If you want to utilize it, take the leverage. Because inside the growth, if you take it out, you're going to disturb that growth, you're going to disturb that snowball and you're going to just start from the uphill again and start with that smaller snowball. You don't want to do that. You want to keep that rolling, keep that rolling year after year. And you know, the death benefit is growing. In previous example, as you may remember, the 1 million death benefit never grew. In here, the death benefit is also growing. The total cash value is also growing. So it's really the heads is your side too and the tells is your side too. So if something happens to you, that's also when, if something doesn't happen, that's also you win. You can live your life insurance. So now again, think about it. 4.81% tax free growth, that's completely tax free. So if you think about it, if you are at the 35% tax bracket. Your savings account has to make 7.41% year after year, consistently every year. The bank would say that I'm giving you 7.41% every year, promised money year after year to make that 4.81% tax free growth. And if you're in a management investment in a mutual fund or something else, which is 1.7% percent, it's equivalent to 9.1%. So that's the power, power of that, that compounding of the 4.81%. Okay, so yeah, just to summarize, back again. So the Infinity banking system is about creating this wealth maximization account where you kind of start building your own cash. And whenever you want to use it, you, you know, for your expenses, cars, education, vacation, whatever you want to use it, do with the policy loan from the insurance company and then keep on paying back back. You increase that cash value. If you want to invest, you want to buy, purchase your homes or anything else, you can take the policy loan kind of, you know, keep growing this account maximum, maximum. So you always have, you are kind of becoming your own bank, thinking like a bank, using the leverage constantly. And your saving account is growing, your death benefit is growing, which can be passed to the generations completely tax free. Just to going to take a pause here, see look at some questions. Sorry, I'm just trying to get to the Q and A here. Yeah, so Lorena says. Thank you Lorena for sharing. We have two of these policies, one of my husband's name and one in the mind. Congratulations. I mean, you know, you have implemented this and you're using it. Just tell me, tell us in the chat window what do you like about it and what you have used it for. So great. Can we take a loan against the term life insurance? The term life insurance, Lavanya does not have a cash value. It is essentially how your home loan is. It is essentially how you know, your car, sorry your home insurance or car insurance. There is no cash values. Whatever you're basically putting in is going in the drain. In fact, the insurance companies, that's the best business they have because only 2% is the chance that they actually have to pay out this term life policy. So there is absolutely zero cash value in that. So you can take loan against only against the cash value. And the term life does not have that cash value. How much is the guaranteed income and approximate dividend? Sridhar? This year, I mean penn is my favorite. And this year, in the example that I showed, 3.5% is the guarantee guaranteed and 2.24%. So together it was about 5.75% including the dividends and the guaranteed portion. Of course, the everything does not go towards the growth. Very small portion goes towards purchasing that death benefit for you. And that's why the death benefit is also increasing. And that's kind of keeping that balance. IRS doesn't want that kind of top, you know, the balance to go, go out of the door. The balance of cash value and the death benefit has to be kind of proportionate. So a little bit portion goes towards that, but most of it comes there. But the 4.81% is coming from a real example of that 41 year old. And that's kind of, you know, something similar that, you know, we can look into your own scenario that what, what it's, it's different for different person, but we can look at what your scenario looks like. Yes, Sridhar, we are sending the recording for this, this webinar. Mek. MEK is a good question. It's a little bit more technical details. But what MEC is, again, it's come to think of it in very simple terms, it's a limit that IRS has that whenever. Because what was happening in 1980s, right? People were rich people, wealthy people, they were really, you know, having a ball with this, with this whole strategy that they dump a lot of money in there and it's growing, it's growing tax free. And then the IRS is like just looking at it and saying that we are never going to see this money. They need to have some kind of rules to it. So that's the only rule that they put in that whenever you're putting in money, it has to be proportionate with, with that limit. So MEC limit is, you know, for the seven years of the policy you have kind of a limit on, based on your death benefit, how much you can put in. But does that mean that limits, you know, if you want to put in more, you increase your death benefit. So if you, if 500 gives you, you know, to put maybe about 10,000, 20,000 a year, you want to put more more than that, maybe 30,000, you raise it to 750 or something more. So you kind of have that play, you still have that of kind control to adjust that limit limit for you. $20,000 is a very large number. Yes, it is a large number. I took it as an example. We can create in your own situation how it looks like and you know, based on what you're trying to save, we can try to optimize that for you and we can look at, you know, even if you want to be 10,000, you could do that some, you know, I have various clients, people want to push 100k into it every year and we do that too. So based on that, it's, it's really about, you know, like buying a house, right? I mean you could buy a house which is 200k and some, somebody wants to buy a house which is 6,600k. So you can literally look at those, those two comparison and you can decide what you really want to do. Well, I have so many questions here. So I'm just gonna scroll through this and if I have answered it already, already, I'm not going to take that up. What are the associated fees involved if you have an account. So let me just actually go to a slide. So over the period of time. So think about it. You have actually. All right, yeah, right here. So you have actually, you know, when we did the breakeven point for you at 67 years, your fees kind of, you know, got covered, right? Suppose you had a policy, a term policy which you're paying $2,000 per year for 30 years. You're paying 60,000. It's going towards nothing. It's really the expense of that policy. But here the lifetime expense of the fees is less than 1% because you know, we are kind of taking care of that break even early on. And now your growth is 4.81%. So it's giving you better growth than banks. Plus it has, you know, minimize that fees to. It's kind of, you know, the growth is kind of sustaining. If you want, you can actually stop paying the, to the insurance there. You can create that scenario where you can, you know, completely stop paying. And this is like kind of becomes a self sustaining, it still grows for you. And you know, whenever you die, even if it's 70 years, 80 years, 90 years, you know, whenever you die, you will have that money handed over to the next generation. When you repay the loan against your insurance policy, do you get to keep your interest? You will get to keep your interest. Interest. If you have borrowed money and you have put that, taken that 100k out, losing the growth of that money. But in this case you're just showing it as a collateral to somebody else, taking a loan from somebody else, paying somebody else, just like how you do it from a, for a loan for a house to a bank, you are taking a loan from them though. You have that equity in the house, right? You're taking the loan from that, that bank. If Suppose an equity loan, right, and you're paying them their, their interest, you're borrowing it, you're not using your money because your money is still has this ability to grow and compound. If you take away out your cash value, it's not going to grow. So my recommendation is always, can you do that? Yes, you can do that. You can withdraw the cash from your policy, but my recommendation is always to use that leverage so you don't lose that chance to earn more money in there. All right, so the term life insurance is cheaper. What's the difference to buy term and investing the rest? And that also Jeff asked a similar question, that my term is about much less money. So let me actually, yeah, actually that's the next slide coming in. Buy term, invest the rest. I mean, we have heard this term over and over again. This is very similar to the debate about rent versus buy. So I'm just going to actually start looking at the comparison. We all stayed in the partnership apartment complex, right? We paid, you know, some kind of apartment rent. Suppose, you know, this particular apartment, we paid about 14,000 a year in a rent, right? When we decided that we want to move into the house, we purchased a house. And the first house could be like really like maybe a condo, very smaller house, about 2 to 225,000 home that, you know, can have the principal and interest. I'm not talking about the tax and insurance, just the principal interest payment is 16,000 for this particular house. One can also purchase, you know, after the second home or first home itself, a much bigger house, which is 750,000, you know, with which paying much more money, right? So you could pay that 14,000 rent or you could pay the 55,000 principal and interest in that bigger home, right? Why do we, why do we do that? Right. First of all, because if we stay in that apartment complex year after year for 30 years, we pay about 430,000 out of pocket and $0 equity. There is no equity. Not wise. We want to build equity. We want to also have the advantage of appreciation of this home, right? So suppose this home, which appreciates 3% every year after year, and by 30 years you are paid completely, you know, the loan is completely paid out for this particular home and the home is worth now 500 and almost 550,000. Now that's, that's the equity in the house that you have. That's the money that you have that you're staying in, right? You have paid about 367,000 out of, of pocket. And in the bigger home you know, you have paid about 1.8 million out of pocket in 30 years with a 3% growth now that's 1.8 million. So you could have stayed in the apartment complex by term and you know, never have that equity, never have that benefit for you. And now you have that 750k, 750k home which has now created, once you have paid off completed to the bank, you have one $1.8 million equity for that particular home. It's all your money to keep, right? It's very similar. The term insurance. Suppose you have that 2,000 paying 30 years and you have a whole life policy which I showed in the first example, which is intended just for the debt benefit. Suppose you're paying that 6,500 for 24 years. And now you have the infinity banking system which is 20,000 for 24 years. So just the same examples that I considered earlier. So 60k out of the pocket for term life down the drain. You won't see any cash value after the 30 year, the year 31 comes, your life insurance is going to shot up so high, your cost of insurance is going to be really high. And after that you're not going to be passing on any tax free benefit to your successors, right? In this case where you paid the 6,500, you paid about 156,000 out of pocket. Pocket with the cash value got little bit slowly built up, not much. It did build up some cash value. And plus you have that million dollar death benefit no matter when it happens to you, right? So 215,000 cash cash value, 1.2 IRR for the 30 years. But what happened in the infinity banking system, right, in infinity banking system you shelled out 480,000 out of pocket, you have 1.2 million cash value. You're never going to pay taxes on that growth. Nothing is going to happen. 4.81% IRR in 30, 13 years. In 30 years. So that's the power of it. So that's the solution. You know, if you want to buy term and waste that money, that's really up to you. But you have this solution, you have this option to think about it. So I will encourage you to take a look at your particular numbers, how it looks in your own scenario. Each scenario is a little bit different. So I would highly encourage that. And come to think of it, that 750,000 home which is now 1.8 million million, I didn't even consider the property tax. We still stay, we still buy, we still think that we did the right decision. It's very similar. Think about it. If we consider, you know, the property tax and the Insurance is about $1.6 million out of the pocket and we are sitting on 1.8 million equity. But in this case, if you are to pass out to the death benefit, it's $2.3 million in death benefit which is 7.7% IRR. So that's just a food for thought. I mean sleep on it, think about it, be open to, to it and understand what the system has really, you know, to offer to you. More questions. Wow, there's really a lot of questions. I really appreciate all of you hanging with me for such a long time. I'm gonna try to answer, you know, my, my, I'm gonna try my best to answer these questions. I really commend you for staying such long with me. I'm just gonna actually go back to one of the slides where I'm just gonna, if somebody wants to, you know, drop out, lack of time, I'm just gonna have this slide up. If you don't want to get in touch with me and you want to create your own scenario and see what these numbers look like for you because there's no obligation, right? So I offered the 360 minute strategy session to implement your own banking system, your own infinity banking system. So you just have to either send me an email at info I think outside the stocks or just text the the word call at 844-506-0705. So it's 844-506-0705. Just text the word call to it and I'll get in touch with you. Or you can simply go to the calendly. You know this link up here. I will also send it as a follow up email with Madhavi Nade Chan at calendly link and I'll also have a bonus book for you once you book that strategy session so you can start preparing towards it so that you can start seeing how this strategy looks like for you. Right. How, how is this, you know, being implemented in your case? So before you kind of completely rule out, see what these numbers look like for you, I would be happy that, happy to show you that number. We have more questions. Lorena, thanks for sharing. We have used it for reserves for a while and real estate portfolio portfolio. Kudos to you. That's a perfect use of it. And we also use it to store dollars when we do have, you know, cash out refinance on our rental. That's a perfect way to kind of create that parking situation where you need to park your money when you're looking for investments or you're looking for rentals or you're looking for syndicated syndication deals which are still not on the horizon for that few months also, it's going to earn that money for you. So kudos. Lorena, thank you so much for sharing that experience. You, our participants would be encouraged to see what different ways you can utilize this system. Vish, is there an age limit to get started and what is the minimum limit to get started? You can create your own minimum and maximum limit. You don't have any age limit. I have implemented this for a 23 year old or 55 year as effectively. I've also helped 62 year old. All you have to remember is, you know, it's, it's like I would like to imagine the casino where you have the poker tables. When you enter the casino, the poker tables, the first table would have like the, the game will be like $10 minimum and the next table will be like $50 minimum. As you go up the, you know, kind of the minimum goes up, right? So in order for you to create this kind of a big bucket, this big block of system, you would just have to maybe if you're doing, doing it at 40, I mean 40 with 20,000, I mean you don't have to go 24 years, you can do it 10 years, you can do it 7 years, you can do like maybe push money like you know, 100k for three years and stop. You could do variety of scenarios and that's where you know, when you have that strategy session, we will work together, we will look at what your requirement is and we can set your minimum. You can, we can look at your own limit that what do you really want to do with it? You know, do you want to invest what kind of money you want to invest with, what kind of research you want to keep for yourself so we can start building that for you. So there is really no age limit, no minimum limit. We can create this custom based on your scenario. All right, so let's look at more questions. What happens if I miss payment for a year or so, right? Very good question, Puneet. I'm actually going to go back in my numbers example here and I'll show you what happens. All right, so this example right here, right when we are talking about this person paying 20,000 every year, right. The minimum for this person to sustain in this policy is 9,000. Between 9,000 to 20,000 is that flexibility for the person? So you don't have to pay that 20,000 year after year. You can, I mean, right now, I mean, this is not a very optimal way of creating this policy. Typically my effort is, you know, maybe about, you know, 1 3rd, 2 3rd, right? So a little bit if it is a 20,000, maybe about 6,000 or so is your minimum. So that, you know, 20,000, you have a flexibility between 6,000 to 20,000. So that's my effort typically in this, in such a case. And what happens is, suppose, you know, you can't just put that 20,000 thousand, you will put that 6,000 and next year you will, you will go to that 20,000 or you might be able to push a little bit more next year. But if you have a year where you need to hold on like Corona happened, right? People wanted to hold on to their money. They didn't want it to contribute. So they could, you could do that. You could, you could do that. That's number one thing that you can do. A number two thing is if you go down this 9,000, think about its minimum, right? If you go down the year 1213, right? Year 1213, your dividend is now more than your, your minimum. So at this point you can decide to completely stop the payment. It will, you know, it will not grow your money as effectively as we plan for the 20,000 growth, but it will, it will at least, you know, start growing a little bit after that. But what it will do is that you can never pay a penny in this system and you will always have that cash value, whatever it has created by that point, which is about what, 350k? So you could always borrow against that and it will still keep on growing little by little, not as if effectively, but you can borrow against that. You can still use it as your living benefit. And when you pass on, you pass on that death benefit. No matter when happen, when it happens to, to you. Okay, Avneet, you are asking why should I borrow from someone else? Why not borrow from my own own money? That, yes, I did answer that question and very good question again. We talked about it. When we borrow from somebody else, you are not losing that ability to grow that money compounded. And you know, it's Almost for the third, if you look at 30 years, it's almost double you had. You know, if you borrowed that 200k, you know, 215 was the interest you paid to somebody else, but 440 was 40k was the interest that you earned. Imagine if that grows more and more, what happens after 30 years, 40 years down the line, right? What Is the high early cash value life insurance same as Infinity Banking? Yes, essentially this system is based on creating, using the life insurance so that it can have the high cash value growth in the early years so it can start that efficient growth per se. So that's the advantage of it. Is there any tax exemption from on the insurance premium payment? No, there's no tax exemption. This is your after tax money you're putting into the policy. Once it's good goes inside the policy. Now you're earning that tax free interest. It's kind of, you know, it's growing. That dividend is tax free so it's growing tax free. So your growth is tax free is almost like, you know, you know, your, your Roth account or something like that. So yeah, I think I have reached the end of the questions and answers. Answers. Let me see if by mistake if somebody put it into the chat box and if you have questions. Greg says nice overview. I have several policies and had the same reaction you described. When I first learned about the infinite banking concept. We used it paying off car loans, mortgage notes, interest rate arbitrage. Yeah, arbitrage is a great way to do it. In fact, one of the, you know, outside of the policy, outside of the insurance companies, there are companies, there are banks who are providing 3.5% interest rate if you borrow against it. So think about it. You are getting 4.8% on the policy and you're borrowing against 3.5%. So you're kind of creating your own arbitrage. It's a great base for your financial foundation. Thank you so much Greg for your insight. That's so insightful. I mean thank you so much for sharing that. You know, I hope this helps that it is to encourage. And Greg, I've heard a lot about you and love to connect sometime. Thank you so much for sharing again. All right, so I think I see more questions in the chat window too. I think I have answered. If there's any other question that you have have if you take money out of the whole insurance life policy, do you need to mandatory refill the amount back? Puneet, Very, very great question. In fact, let me actually see if I have a slide for that very important question. If you are thinking of leaving the, you know, the webinar. Please hold on for this question. It was a very great question. Question. You don't have to repay back, you don't have to ever repay back that loan. Right. So let's consider this scenario the same scenario, right where we took that 200k loan and we are getting that 5, we are paying that 5% interest over and over again till the day we die. So somebody was 40 years of age, takes that 200k loan from the cash in the cash value pays that 5% interest every year, year after year for 50 years, year till, you know, till his 90 years age. And he passes at that point, right? What happens then? Right? He has paid that, you know, the 10,000 interest year after year total interest, 500k, huge amount of money. Stay with me. But what happened inside the policy, right? Even if you get one whole percent realized, right? So you paid that 5% interest, but you get 4% interest inside the policy for that 50 years time line. You have 1.2 million dollar cash value. And when you have 1.2 million cash value, your death benefit is about 2.3 million or 2.2 million, right? So what happens is now you originally contributed that 200k originally towards this building, this whole system. So you built that with the 200 and now you have 500, you paid as additional interest to somebody else. So total out of pocket from you is 700k, right? The death benefit, if something happens to you at that point is 2.2 million, right? So you never paid out your loan, you never paid a single penny except for the, the interest for that, for that loan, right? Now what happens is the tax free death benefit. The insurance company is going to take a look at it that your Death benefit is 2.2 million. How much loan do you have outstanding? Hey, you have 200k outstanding. So 2.2 minus 200k, that's 2 million. That's going to get passed on to your heirs. What if this 200k loan is outstanding? It's about 1 million, right? It's almost like 80% of your, your entire cash value. If that's how much you have outstanding, they're going to take a look at that, they're going to say that 1 million outstanding. 2 million, 2.2 million. So 1.2 million gets passed to the, to the next generation. So that's, that's the power of it. You never have to pay. And even if you never pay this back, even if you use it for education or any other purpose purposes, you still come out positive for this particular strategy. So what are the different ways that you can utilize this strategies? I actually have a slide for that. So yeah, too good to be true. What is the cash? There is of course there is a medical qualification. If you are, you know, you know, you have to check your medical qualification. There is a time capitalization factor that it has to, to stay a certain amount of time to break even and then it starts growing. It has that MEC limit and it needs to be a proper structure. So that's kind of, you know, the cash to it. It also provides you additional benefits. I mean, of course there's a death benefit. We can at a very small cost or add the disability waiver too so that the kind of the death benefit gets protected. If you get disabled or something happens at free of cost, it adds the chronic illness and accelerated death benefit. So if you know some chronic illness happens to you, it actually you can access the death benefit when you're alive. So you can pay off your medical bills or whatever you want to take, take a sabbatical and access that money and you know, just take a break from work. So you could, you could do that, you could have that additional benefit. When we are putting this money into bank accounts, it's not really doing anything for you in that case. Right? So the multiple ways that you can utilize this. I'm just going to jump to that slide. Slide. How can you utilize this, this system? Right? There are many ways that you can utilize. You can create as an alternate to 529Plan. Because 529Plan restricts you to the education only. But here, if that the money doesn't get used for the education, you can utilize for some, something completely different, you know, and even if you want to access this earlier than the, the person your kid is in college, you can see still access it. You can of course use the same dollar at two places so your investments can become better. Once you have that retirement money, that pile of cash sitting in there, you can actually start like your 401k. You can start distribution. You can create that income flow from this system during your retirement. So you can start saying that hey, I need 40,000, 50,000 every year after I retire when I'm 64. So if you have a million dollar debt, you can start accessing it that way. There is another concept called volatility buffer which actually support your stock market investment. You know, your risk at stock market investment. Plus you know, having this Infinity banking system built up with you people, you know, replace that instead of having the bonds, you know, you replace that with the Infinity banking system and you can actually use it hand in hand with the stock market too. If you want to have any more details about any more education about it, please reach out, out as I say that, you know, just text, text that, text that number or just simply send an email to info@thinkoutside the stocks, and I will get in touch with you. I'm gonna check if you have any more questions. And I really appreciate you hanging in here with me. We are 30 minutes over and I'm so happy I could answer most of your questions. And thank you so much, everyone for joining today and for your patience. Have a wonderful Thursday and have a wonderful weekend. Please do get in touch with me if you want to implement this strategy. Thank you so much.