The Jayson Lowe Method: Boost Wealth + Minimize Taxes by Becoming Your Own Banker | EP#144

There's no such thing as having too many deposits in the bank. So when you become the banker in your life, there's no such thing as having too many deposits flowing through your system versus someone else's money's flowing. That energy should be kept in the family. It shouldn't be transferred away. And this method will enable you to ensure that it's never transferred away from the family ever again.

Tired of feeling like your money just disappears into the black hole of taxes? Creditors, banks, and the stock market. Want to take control of your finances and say goodbye to sneaky hidden fees? Well, I've got great news for you. Imagine living off passive income, teaching your kids the ins and outs of becoming your own banker and creating financial certainty for your family. This is for anyone who wants to make their money work for them stress free. It's time to stop being controlled by the debt, the banks, outside systems, and start calling the shots. That is from Jason Lowe.

Hey, everyone. Welcome to another episode of Capability Amplifier. This is Mike Koenigs, and this is. Who are you, sir?

Jason Lowe, affectionately known as J. Lo.

Nice. Nice. I can't wait to see what's going to happen next. So just to get things rolling, I might as well get things rolling. So. So if you're a business owner, and most likely you are, you wouldn't be here either watching or listening to this. You always have that nagging conversation in your head about, who am I working for anyway? And after spending years building a business, a brand, taking all the risk, having liabilities hanging over your head and asking yourself, is this stress worth it? Well, that's one of the things we're going to talk about today. It's really about what you're doing with your wealth. Now, my son Zach is 20. He's going to college at CU Boulder. My wife Vivian and I did our best to teach him about money creating value. And as a family, we've always said we're creators, not consumers. And we even had incentives in place for him to start a business and learn money skills. Well, some of them stuck, some of them didn't. But what I've really learned is teaching kids and other family, family members about wealth and money is really, really hard. Now I'm at the point where, you know, your kid comes out with a certain character, right? And there's some stuff you can affect and some that you can't. But in the past three days, I've spent time with Jason Lowe and his team, and I've had some profound wealth generation secrets that they and he has shared with me and you are going to absolutely love them. So as long as you stick around. He's also going to share a link for you to get three books, a follow up video and some use cases for the system. He's going to share today. So I did this instead of doing a bio. What I'm going to do right now is share Jason Lowe's manifesto. You ready for that, sir?

Bring it on.

All right, so. So here it goes. Tired of feeling like your money just disappears into the black hole of taxes, creditors, banks and the stock market want to take control of your finances and say goodbye to sneaky hidden fees. Well, I've got great news for you. Imagine living off passive income, teaching your kids the ins and outs of becoming your own banker and creating financial certainty for your family. This is for anyone who wants to make their money work for them. So stress free, it's time to stop being controlled by the debt, the banks, outside systems and start calling the shots. That is from Jason Lowe. So welcome sir. Nice to have you here.

It's good to be with you. Thank you for having me.

So I wanted to know, first of all, we've been spending three days together.

We sure have.

And we've had a lot of insightful conversations and talking a lot about what we're going to do in this interview today. We've got some case studies, you got a whole bunch of research, really mind changing or as.

Dan Sullivan would say, mindset exercises. But I want to just begin and give you power and give you control to just set the table here before we delve into the diagnostic.

Sure.

So what have you to say, sir?

Well, firstly, thank you for having me and hello to all the viewers out there, all over the Internets. And is this podcast as well?

On podcast, we are doing YouTube video podcasts on all the platforms. It gets transcribed, turned into articles. This is like perform once, deliver everywhere.

For sure. Yeah, I like that. I like performing once and delivering everywhere.

Gotta love it. You gotta love it. All these fancy high tech toys that we have. It is, it's pretty nice.

But yeah, it's, you know, it's great to be with you. It's great to be able to share this message, this method with people all across America, all across North America, really, which, you know, we've been doing the past 15 years, going into our 16th year. And each and every opportunity that we have to have a conversation like this that is amplified to a really large audience. The better we feel, the more fulfilled that we feel in sharing this and all the Success that we've had with it over the past 15 years and coaching thousands of people to implement what we're going to talk about today.

Right on. Well, you want to begin with a little diagnostic tool because this is a good way to reveal some pains. Because at the end of the day, bang. Banks are not your friends, neither's Wall Street. I've got a. I can either go through them with you and you can comment.

Yeah, let's do that.

All right, let's do it. So the first one is, you were doing all the work and everyone else is getting all your money. How does that make you feel? And that really is, you know, you did a good job of expressing that in your manifesto. But part of what happens with these little diagnostics is every time you do an event, you like to ask questions that create an emotional reaction and a response.

Right.

So instead of focusing on all the details, because we can include those in the transcript and the follow up materials, I just want you to talk about what is it that you do to elicit an emotional reaction and a response from people that, you know, just works every time that gets them riled up and they're like, I got to make a change right now.

Well, we, we share the truth. You know, when you think about, in any aspect of your life, how you're earning money, right? The money's flowing from some source, W2 investment income, interest income, dividend income, combination of all the above. All that money is flowing through the books of someone else's bank, sitting there waiting for you to pay your bills, to take care of all of your financial obligations. Every transaction that happens in your life, whether you pay cash, lease, finance, whatever it is. And it doesn't matter what you're purchasing, it's a permanent transfer of money away. So you're doing all the work to earn all that money and everyone else is getting it. And we haven't met anyone yet who feels good about that. You know, everyone tells us, wow, that, gosh, I've never really taken the time to sit back and think about it. I knew something was really bothering me financially. And for some people, that's looking at your account balance and going, where did all the money go? Well, you did all the work to earn it and everyone else got it. How does that make you feel?

Right on. Well, I don't like it. And you know, and part of what your systems are all about is changing the way you think about storing money. Wealth creation, generation, risk, et cetera. And you know, I prefer the old, let's cut to the chase, get to the bottom line.

Sure.

And maybe dive into the system and how it works, but also its origin. So I'm going to give you a choice. Again, this is pick your own adventure. So either the origin of the system or do you want to describe basically how this works and the mechanics of it and ultimately where the shift in consciousness, the shift in mindset really happens? As you like to say, once you see it, you can't unsee it.

Oh, absolutely. Well, you know, I think like most people, I haven't had a perfect life. And so if I can take you back to, oh gosh, this will take you way back to 2006. And you know, at that time my first marriage ended. I was in a situation where I was really on the brink of, you know, financial ruin as a result of that. And my late father used to always say to me, he used to always say, son, don't ever be found guilty of giving up on yourself. And up to that point in my life, Mike, I had done all what I believed to be the right things because that's what mainstream media told me to do.

Sure.

If you've got extra money, you've got to store it somewhere. So why don't you sock it away in some tax qualified plan, a 401k, an RRSP. Why don't you hand control of your money over to someone else who thinks they can do better with it than you can? And you wake up one morning going, how did I end up in this place after doing all the right things that I believed were right.

Right.

And fast forward a few years later, I was invited to attend this conference in July of 2008. And in April of that same year, my wife Rebecca and I, my, my second wife Rebecca, who is absolutely amazing.

The upgraded one.

Yeah, yeah. My first marriage was practice and we had been invited to go to a conference. And in April of that same year, we purchased a home. And we had a 40 year amortization schedule on that mortgage. And I had a low payment, a low rate of interest, and I thought, wow, I've arrived, this is fantastic. But when I went to that three day conference in July, I discovered everything that I didn't know about how money actually works, where it flows to who's in a position of control versus who isn't, and so much more. And after that three days, I came back home thinking, everybody needs to discover this, but I've got to implement it first. I've got to do this in my own life first. That mortgage that we had on that Property was about $426,000. What we began to do was implement a process. That process which was developed and pioneered by the late R. Nelson Nash. He authored the book titled Becoming youg Own Banker, which has sold more than a half a million.

You can hold up the prop if you want to hold it up for the camera.

There we are right here.

This one?

Oh, that one.

There we go. Nice shot.

And so this book, the reason I brought it with me into the studio today, this is the domino that tipped over that changed my life completely and by proxy, all of the clients that were blessed and privileged to serve. And in that moment, when I discovered this process and decided to implement it in my own life, first it involved having to put money into dividend paying, participating whole life insurance contracts. And when people think of life insurance, they immediately think, whoa, hold on a second, I got to die in order to win. And what I didn't know is that the most affluent, the most wealthy are the largest purchasers of these contracts and they need the death benefit the least. It was all the other financing characteristics, all the other attributes of this contract that I didn't know once I discovered it. Everybody needed to hear about it.

Yeah. And I'll say that my reaction has always been insurance. You know, I've always had a bad taste in my mouth. Some of it's because of the people behind it.

Yeah.

And also it, you know, the. Until I saw your mechanisms and I've seen illustrations before and it's always to my impression was someone else is winning and getting a bunch of money and getting gigantic.

They're getting paid a lot of money to sell me insurance and there isn't the flexibility.

Yeah.

And when I saw the way yours is arranged, first of all, I was blown away. It was way, way different because you've really worked the system and designed the program to do what you're talking about. And so I've got some other anecdotal stories that go along with it, but I'm going to let you continue on with like the mechanics.

Oh, absolutely. And so if you envision for a moment we're making payments, mortgage payments, and every payment that we're making is a conventional bank's passive income. And that money is being transferred away from my family permanently. I can't use it again, I can't spend it again, I can't save it again, and I'm earning a whopping 0% on the accumulating equity in my home. And I'm doing all the work to earn the money to make the payment. And I thought to myself, I don't want this to continue for the next 40 years. Are you kidding me? Imagine all of the interest that I'm giving up, the opportunity to earn on all of those payments, let alone what I'm paying. It's basically a two punch, like it's a double whammy. And I thought to myself, okay, if I implement this process properly, I'm going to be able to get rid of the conventional bank much sooner than was originally planned. It took us seven years, Mike, to get rid of the conventional bank. The first person I called was my late mentor, R. Nelson Nash. And I called him to celebrate. I said, nelson, you're going to be so proud of me. I got rid of the conventional bank. I followed the process that you pioneered and developed. And he said, whoa, hang on a second. Don't celebrate too quickly. You have to be an honest banker if you're implementing this process. You agreed to pay someone else's bank 40 years of payments. You've got to finish that original loan schedule. You've just got to change the process of who's getting the money. And so for most people, when they hear that, they go, wait a second, I'm making payments. Whether I'm making payments to a mortgage, to debt, to financing, to business expansion or business acquisition, a variety of things that you're paying, cash, leasing or financing that all involves a permanent transfer of money away from you. But I didn't realize that until I changed the way that I was thinking. And everything begins with the way that we think. And once you understand what I know and what thousands of our clients know and are implementing, once you see this, you'll never be able to unsee it. And getting rid of the bank 33 years ahead of schedule. I would say being that I like being a high achiever, that's, that's an A plus in anyone's book.

Yeah.

And all those payments that I was otherwise scheduled to continue transferring away from my family to someone else's system. That financial energy is flowing back to our family to be used again and again and again. The essence of this, Mike, is remarkably simple. It's all about controlling how you finance everything that you need throughout your lifetime. The essence of it is to recapture that interest, that money that you pay to finance companies, credit card companies, banks, et cetera, the high net worth, affluent clients that we deal with, entrepreneurs, established business owners, maybe you've bought and sold a few businesses. The problem is even more amplified when you think about the larger your net worth the bigger the problem is. But unless you understand the problem, the solution just won't matter. And for most people who maybe have heard, heard about this to some degree.

I'll tell you, they've always, in my experience, have shared that they've learned about it, where a person's leading with the solution first.

Right.

If you don't even know that you have a problem, let alone understand the problem, the solution is just not going to matter to you. And so what makes us unique is how we educate our prospective clients and our existing clients on how to grasp this method and how to implement it, not only personally, but thinking about the entire family. Right. Because after all, what are you doing all this work for? Right.

Well, what I've. From my perspective, because again, I look at things and I've heard of this before, I've worked with people have done it. But you did capture my attention because what you came to the table with, I think the distinction between the Jason Lowe method is how your use cases work. Yeah. So.

Being able to finance a business, being able to support family members, the way to you buy homes, real estate.

It'S, you know, the best way I can liken it is the first time I read the book whatever Happened to Penny Candy? And I really understood, understood inflation, for example.

Yeah.

And inflation is the most insidious way that our wealth is being stolen from us all the time.

Yeah.

And we just don't see it. Not to mention, you know, there's other ways governments are taxing us. So this is very much. It was our team member Abby said, this is totally the matrix. This is red pill and blue pill stuff. And so I'm going to come back to.

You'Ve got a couple different mechanisms for explaining how this works and setting it up. So now that we know what the problem is, which is basically all the money we ever have is going through someone else. They're the ones capturing the value. And when we're financing someone, someone's receiving that, and there is loss that we don't even think about or notice or see because we're so used to this. This is what happens because we're living in that matrix. So if you were going to break this down right now as far as we can either go through a couple of use cases with a couple of your past clients. So we've put together a couple documents. We can talk about how you've used it, or you could also. I know there's like the metaphorical story of the grocery store, but again, I want to pick this. My goal is to accelerate the download of information into our listeners or our viewers minds here for sure. So having said that, knowing that, my goal is to get founders, business owners, entrepreneurs, to see a whole bunch of different ways to accumulate wealth, to increase wealth, prevent someone from taking your money, reducing our taxes and having flexibility. But also I think of it as an operating system we can install inside our children's or our family's minds. So they buy into this as well.

Absolutely.

Okay, so I just gave you a lot of stuff to work with, but.

I know exactly where we should go.

All right, so hit the ground on. Let's do it.

Okay, let's look at, let's look at this from, from a vantage point of if you've been even the least bit effective at accumulating wealth, whether it's through your business, your personal initiative, whatever it is, if you've ever been even the least bit effective at that, you have to reckon with taxes, you have to reckon with risk. And if you understand that, you can eliminate, eliminate tactically nuclear strike both of those risks and get them out of your wealth planning and be able to transfer not only money, but the knowledge, the wisdom of how to be good stewards of that money to the next generation. That's a complete package for people who understand how hard they've worked to accumulate what they've built and to earn what they built. And the last thing they want to do is share all that profit with the IRS or with Revenue Canada. And they don't want to give up all that money and make the government a beneficiary of all their hard work. This method not only enables you to control how you finance all the things you need in life, gives you passive income assured, gives you contractually guaranteed growth, shields that daily growth completely from taxation, provides a tax free death benefit exactly when it's needed the most, when you understand all those attributes. And so much more logic. If we were to ask a question, just to tap into our logic, how much of our capital do we not want residing there? And my late mentor often said, there's no such thing as having too many deposits in the bank. So when you become the banker in your life, there's no such thing as having too many deposits flowing through your system versus someone else's. So again, it's just rethinking our thinking, understanding that we're going to need the use of money for the rest of our lifetimes, regardless of what our net worth is. Money's flowing, that energy should be kept in the family. It shouldn't be Transferred away. And this method will enable you to ensure that it's never transferred away from the family ever again.

Okay, so let's dive into a use case.

Sure. All right.

And you've got a few. One of my favorites is the Martin and Bonnie.

Yeah.

Okay. They've got in this case a vacuum business. And we've got a slide for anyone who is watching this of a vacuum truck. But this is a big four hundred thousand dollar vehicle where the tires are full, four thousand dollars to replace. Big capital expenditure Y. And they historically have built their business the, the way anyone who's ever done organic growth is, which is.

Maybe take out a loan, invest, pay the bank, pay, pay, pay, pay, pay, and squeak by as much profit as you can. Save the profit, save the profit, save the profit. And then expand with cash flow.

Yeah.

So now that I've set it up, why don't you give us a little more of a background on who they are, what their circumstance was, and the trigger event that changed their mindset and you know, when you walked in and upgraded their operating system.

Well, okay. Firstly, thank you for letting me share this. Bonnie and Martin are wonderful people, hard working entrepreneurs. They run an incredibly successful business. And when I was first introduced to them, so they had discovered the method, they attended a live event. And we sat down afterward to have a personalized conversation. And one of the first questions that I asked them was, do you feel like you're not being taxed enough?

Well, I had to keep a fire.

Extinguisher right next to me.

Right.

Because they both almost burst into flames in my office. And so we took a look at all of the money that was flowing through their lives, including their business.

Okay. And when you say that like what are. Give us some of the things that you see all the time and give us some idea of like volume here. Oh, just from a relative point of view.

Oh, for sure. So if you again, you know, all the income that's being earned, it's all being transferred away. Right. So we went through that exercise. Where's that money going? Well, we've got thousands of dollars per month going toward personal financial expenses. We've got tens of thousands of dollars a month going out in capital expenses and overhead to operate the business. So when we tally up all that money, it becomes an enormous sum in a very short period of time. And when they told me what it costs to replace a vacuum truck, I almost fell out of my chair. I had no idea that that's what it cost. So naturally I asked, how do you finance These vehicles. And they said, well, we're a cash flow rich business. So our accountant said, look, just create a sinking fund, which is a fancy way of saying, save the money gradually and incrementally. When you've piled up enough money to go buy the truck, withdraw it from the bank. Go buy the truck. Well, you get the truck. So you achieve that objective, but you transferred all the money away. Can't earn interest on it again. You can't use it or redeploy it in the business again. You can't spend it again. It's permanently transferred away. So they thought, okay, this is interesting. What's the solution to that problem? The solution to the problem was to begin accumulating inside of dividend paying, participating whole life insurance contracts to get money in there. And there's no such thing as too many deposits into your bank. Now, we're not talking about a bank in the conventional sense of the word. I'm talking about a process.

Yeah.

So the process was, if they're storing money in someone else's system to gradually and incrementally save up for that truck, let's just redirect where that money is being stored. So this instrument, they began to pile up money inside of this instrument called cash value. Okay, we're good so far?

Yep. Yep, totally.

With this, money is piling up daily. Okay. It cannot be repossessed. It cannot go backward. There's no reverse gear on this tool. All right. So within very short order, within four short years, they piled up enough money in their system so that they can completely control how they finance their next vacuum truck. They requested a policy loan from the life insurance company. Whenever you hear the word loan, you think of the word liability.

Yep.

Is that a fair statement?

Sure. Yep, totally.

Okay. So when you need access to money and you need to borrow it from someone else's bank, I want you to think of all those experiences that you've had up to this point in your lifetime doing that. For Bonnie and Martin, it wasn't good. That's why they were storing money and creating this sinking fund to do it the old way. Yeah.

Where they'd basically accumulate and they'd buy the truck.

You got it.

Yeah.

And the new way. So the method that they utilize for that truck and for every truck going forward, when they request a policy loan from the life insurance company, the insurance company asked two questions. Would you like us to electronically deposit the money into your checking account or would you like us to mail you a check? There's no lengthy, nosy credit applications there's no fat cat banker that you have to deal with to try to convince that you need the money. There's no personal guarantees, none of the above. The repayment schedule for these loans is controlled by the policy owner, in this case, Bonnie and Martin. Every single day that an employee is driving that truck and generating revenue, 100% of their cash values are still rising daily in their system of policies. So they thought immediately, wait a second, I'm able to borrow against this accumulating value on demand, on my terms. I control the repayment schedule. God forbid, if anything happened to either one of us. There's a tax free windfall called death benefit that shows up exactly when it's needed the most. And that's my definition, Mike, of the best investment, one that pays the most when it's needed the most. They're attracting no tax on the daily accrual of that cash value. They're attracting no tax on the eventual payment of death benefit proceeds, and they have contractually guaranteed access to capital to take advantage of whatever high caliber opportunities track them down. Right. So what did they get achieved? They shielded all that accumulated capital from taxes and from risk. I just shared it. Can't go backward. It is contractually guaranteed to grow day in and day out. They have an employee driving a brand new vehicle that's generating revenue day in and day out.

Yep.

What happens to most vehicles, whether they're commercially owned or personally owned, do they appreciate from day one or depreciate from day one?

Not only do they depreciate, by the time you've accumulated enough money to buy your next truck, it's probably worn out. So it's going to be scrap value at that point, with very little value. So you're back to the same cycle.

Exactly.

Over and over again.

You got it.

Hey, this is Mike Koenigs. Sorry to interrupt the podcast, but if you're an action taker and ready to transform and reinvent yourself and your business, go to connecttomike.com to learn more and book a conversation with me right now. All right, back to the episode.

And so when we went through this experience together, I asked Bonnie and Martin, how does it make you feel being in a position of total and absolute control? They said it makes us feel relieved that there's certainty that we don't have the stress and the pressure associated with doing things the old way. By doing them the new way, they feel secure, certain, comfortable, at peace. Their words. And for me, that's just one sharp example. So if you can do this for A vacuum truck. Mike, think about, and I would encourage all your viewers and listeners, think about all the money that's flowed through your hands for anything that you've purchased up to this point in your lifetime. This method will enable you to recapture the interest that you would have otherwise paid to have all that money flowing back to your system. Where would you prefer the financial energy to flow to someone else's system or your own? Logically, your own. And it's really easy to do once you know how. And that's one thing that my team are so capable at and do such a great job at amplifying is the how and coaching and teaching entrepreneurs. High net worth, very affluent. Listen, to be clear, though, you don't have to be rich to do this.

Right.

Okay. But I'll tell you the number of people who are approaching us saying, listen, we've got more money than we know what to do with, and we understand the truth that our money must reside somewhere. I keep hearing that. The Jason Low method. Like, you're the guy that I need to connect with and talk to. Can you talk to me and describe to me what exactly this method is? And that's what we do such a great job at. My teammates in particular.

And back to what I like the most are use cases. So I'm going to try out a couple things because now I get to test out my. My knowledge after spending days with you.

Sure.

And your team. So the first thing is you set up this policy.

Yeah. Or system of policies. Right. Yeah. Yeah.

And that. That is. That's an important thing because once you start integrating this in your family again, this is all a mindset exercise. So you make your deposit into the policy. Is that. Am I using the proper terminology?

No, it's a payment.

Okay.

It's a payment. Yeah. You're paying premiums. Fantastic. Yeah.

But what happens is immediately you can use that money and buy stuff and you have control over when you pay it back.

Yeah.

And also when.

And you're never decreasing or reducing the assets value.

That's the magic thing.

No kidding.

So basically, you're borrowing against this even though it still accumulates value daily. Okay. That's a head trip by itself.

So you can control the payback schedule. You can use it however you want. So now you have this asset, and if you use this as a business expense, you can deduct the interest as well, Correct.

Yeah. If you're utilizing the proceeds to trigger a taxable gain or to produce taxable income. And of course, check. Check with your CPA Whoever's giving you designated tax planning and advice. I'm not an accountant, but generally speaking, if you satisfy those two criteria, then it is deductible.

Right. And any good smart business person, wink, wink, nudge, nudge, can find fantastic ways to create fabulous deductions when they own their own company.

Look in our mike, in our group.

Of companies, by the way, I'm saying that not you.

In our group of companies, we have several businesses that generate millions of dollars per year in, in profitable revenue. And I, I know what it's like to take a business from startup to scalable to sustainable to durable. I've been through each one of those stages many times over. Yeah, I haven't met a single successful entrepreneur, high net worth, affluent individual or family who has ever said, you know, we prefer that money continue to be transferred away from the family and we really don't feel like we're taxed enough and having an asset that has all the attributes that are contractually guaranteed.

You know, I think we're quite good just continuing to do things the old way.

Right.

Once you see this, you cannot unsee it. You cannot unsee it. But I will emphasize or amplify that the larger your net worth, the larger the problem and the solution matters even more.

Right. So I'm going to get back to some of the benefits here and then I want you to list some more. So I'm accumulating. So again, instead of taking cash, putting in a bank and spending it, I'm putting it into this policy.

Yep.

Right. I'm able to borrow against it. So even while it's borrowed against, still increasing in value.

That's right.

And again, in my business example, which appeals to me as a founder more, I can deduct my interest and then just like any bank, I can pay it back. So. But I'm paying it back to myself and. Right, that's. Or back to the organization. Explain this to me. Am I sure? Terminology here.

You're close. You're close.

So help, help me out. Just.

Yeah. So for additional clarity, when you purchase a policy or a system of policies, you immediately become a co owner of the life insurance company. That puts you in a position of total and absolute control.

Okay, what does that really mean?

What that means is that as a co owner of a company, you expect, first of all, your motivation is profit. If you're in business, hopefully and you expect to receive a share, a divisible share of that profit as a co owner of the company. So you participate by way of dividends from that Company, those dividends, once declared, which happens once a year, can never be repossessed and can never lose value. And when you chunk those dividends right back into your policy or your system of policies, you don't trigger a taxable event, and you amplify the cash value growth. You amplify the death benefit growth. And I wrote a book, co authored a book titled Cash follows the leader. And that's what that statement means.

Okay.

When I say cash follows the leader, in the United States, the total cash value of the policy is contractually guaranteed to match the ever increasing death benefit by age 121. In Canada, it's age 100. The essence is every single day that you're aging. Let's presume in this case, Mike, you're the life that is insured. Every single day that you're aging, your total cash value is rising. And every single premium payment that you make increases the total death benefit. So if those cash value and total death benefit must match by age 121 and that death benefit keeps rising, the death benefit's the leader. The cash value must follow that leader, and it cannot go backward. Now, getting back to the element of control. You request a policy loan, you repay it on your terms, nobody else's. The lien for the loan balance is on the death benefit of the insurance policy. The cash value is the collateral. That's why the insurance company doesn't require a repayment schedule, because the insurance company itself is guaranteeing the collateral for the loan. What an incredible warehouse for your wealth.

So I'm going to just ask a question that everyone should be asking right now. So does that mean, theoretically, I could borrow all the cash value and wink, wink, pay it back after maybe I pass?

You could do that. That. That would be your contractual authority.

Okay.

Okay. Because again, this is a contract, right. And you're the owner. You call the shots.

Okay.

It wouldn't be something that we would coach or client to do.

I know there's a reason why, but again, I want to just show that there's an enormous amount of flexibility here.

Of course.

And while when I borrow against that cash value, there's still a policy value that's still receiving dividends.

Absolutely.

Where the. The dividends are based on what?

Based primarily on the contribution principle. So if you think of your policy as a contributor, the insurance company looks at your policy and says, hey, how much did Mike's policy contribute to the net earnings of the insurance company that he co owns? The larger the contribution, the larger your share of the divisible. Surplus generated. It's a wonderful thing. But here's the deal. Especially for our viewers and listeners who have operated or are operating a business, in this scenario, we're dealing with becoming a co owner of an organization that's been in existence in this country for two centuries. You don't have to hire anybody, fire anybody, performance manage anybody. You don't have to make sure the bills get paid. You don't have to make sure that the business is being effectively run or managed. That's all taken care of on your behalf. Your ticket to entry is your premium. Now look at it from this vantage point when you're dealing with a process of borrowing. Okay. You co own the lender.

Right. And so when you co own the lender, where do you want the financial energy flowing back to the lender that you co own? Because every payment that you make back to the life insurance company. And of course there's interest that accrues on a policy loan. Capital always has a cost. Do you want more or less financial energy flowing to the business that you co own? Because the money has to reside somewhere. This is a fundamental truth that must be understood, Mike. Your money, my money, everyone who's watching and listening's money must reside somewhere. So from this place, from this place, you can construct your warehouse of wealth and then you can control how you finance everything that you need throughout your lifetime. And when I say finance, some people say, gosh, I never borrow money. Well, that's impossible. You're always working with borrowed money, even when you pay cash for things.

Right.

Isn't that good?

It's beautiful. And I'm going to again repeat what I hear because I'm approaching this through the lens of a founder. So what I'm going to practice on a use case on you. So let's say, for example, I want to invest in real estate.

Yep.

Now, in the traditional sense, I would save up a down payment and then I go to the bank. I'd borrow money.

Yeah.

And then I'd be paying them back. And then I'm betting on either the utility of that building. So if, if I'm using it as a rent, rent to own, for example, or a build to rent, or maybe it's an apartment complex or maybe a business office or whatever. With this model I create, I set up a policy, I make premium payments.

That's right.

Okay.

Yep.

And starting from day one, I can borrow against that and use that money however I want.

You got it.

And what I then would do is I'd treat myself Like a bank. Because I'm a bank and I'd pay back and I'd set up an interest payment as well. Okay. And because again, depending on. Let's pretend we'll just say this. We're not attorneys or tax consultants or CPAs. We don't play them on television or the Internet. But we should be able to deduct the interest we're paying. Okay. As a business expense. And all the while, I'm building up more value in that. In that. Plus I have the utility value. So I theoretically could go back. I mean, the market goes up.

Yeah.

I could refinance that building or that home, take out cash value, depending on how I set that up.

Yeah.

And put that back into this pool. Right.

Aquarium of capital.

Right. And then I can continue to borrow against that and do it all over again.

Yeah.

With the benefits, which are, I've got insurance, I've got an asset, and the dividends that are paid are tax free.

When they're chunked right back into the system. Absolutely. You got it.

Is there anything else I'm missing in terms of some of the benefits? Then we can skip along to another use case. Because part of your value, and really we didn't start there, is the family side of this. It's a huge part of who you are.

Oh, yeah.

If you've got another use case you want to use. And then let's talk about families and building wealth inside the family and how you use this. That's super exciting.

For sure. And to add to your real estate example, what I would say is that what's missing is.

I cannot calculate for you what the net effect is of having a peaceful, stress free way of life financially. Okay. Any. Any financial professional that you talk to, the conversation goes to product and the product conversation goes to calculations, calculating things. What is the value of living a peaceful, stress free way of life financially? What does that value represent to you and to your family and to future generations? It's priceless.

Yeah.

Because most real estate investors that I deal with, they're acquiring real estate for a deferred benefit.

Right.

The banker is not acquiring and helping you to acquire it for a deferred benefit. The banker wants the stream of payments. And so they're not lending you the money because they think that you're a savvy real estate investor. They're lending you the money because they've trusted but verified with a high degree of confidence that you can make those payments. So the real asset becomes the stream of payments. So put yourself in a position of total control, where you're eliminating tax risk, you're eliminating market risk in your own warehouse of wealth, you're taking control of the banking function as it relates to your needs. And someone must perform that function as it relates to your needs. There are no exceptions. And that someone should be you.

Well, this gets back to.

I have total control over what I invest in as well. In other words, I don't have to ask any permission. I don't have to qualify for something whether it's risky to them. That's my decision.

Do you know, Mike, all the folks that I've been blessed to serve over the years and I've dealt with so many wonderful people, I've had successful established entrepreneurs, real estate investors, affluent, high net worth people tell me.

They can tell me all the stories about things that they've made money in and the things that they've lost money in.

Right.

Would you agree with that? You could have that same conversation with anyone that you and I would know in similar circles for sure. Yep. Not one client of mine has called me in 15 years to ever say, jason, I'm really pissed off that my cash values keep rising every day and I'm in a position of total and absolute control and the only loser in this scenario is volatility and the government. That's really bothering me. Can we go ahead and put things back to the old way? Like nobody's ever done that. So utilizing the Jason Low method, this approach of how you conduct your financial affairs is measured against what everyone else is doing. And so if the minority of people in the world are accumulating and controlling the wealth and more, why do we continue to do what the majority do financially? It doesn't make any sense.

Yeah, it's, I think it's just, again, it is the status quo mindset and generally accepted behavior. Just like, you know, I was talking about this earlier. You know, one of the most insidious mechanisms for recurring income generation is at the gas pump. Yeah. Right. So your state can tax and create pretty substantial taxes and every time you're pumping gas, it's going right into the coffers. You know, that's, that's a lot of flow. And it makes sense that the gas and oil companies have an enormous amount of lobbying interest because they're like, hey, look, look at what we're, what we're generating for you here. And the same is true in the traditional financial world as well. So let's switch gears a little bit here to the low family banking system, because I think again and You've been, you're always super transparent with your own numbers. And I'd like you to talk a little bit about, like what's been happening in your own family. How are you using this? And again, you put together a whole slide to show your numbers. And I'd like you to just talk a little bit about, you know, what you've done in your own family. Because, you know, this will feel a little weird. I know it did to me until I really heard the logic behind it. But how you work with the death benefit too.

Yeah.

And how you create policies for entire family, you know, the entire family. Oh, yeah, let's do number numbers. Let's do policies. Because some of the mindsets here are they're just non obvious until you hear it. And I also want to share this with everyone right here. So one of the things that Jason and his team have done, you can go to jasonlohmethod.com as J A Y S O N L o w e method.com you can get three books, a video and a transcript of this. And you'll also get an educational presentation where Jason goes through even more detail. So if you really want to get into the nuts and bolts, and there's also a way you can just talk to either him or someone on his team, there's going to be a scheduling link. So the bottom line is you can go over there right now. But let's get into your situation as well.

Sure. Let's dive into that particular slide. Walk me through it. So you tap into some numbers and I'll expand on it.

All right, great. So let's take a look at the slide. I will show this and then you can describe the numbers.

Okay, that sounds great. So when often, you know, when we're speaking with clients, they eventually ask that question, you know, how can this work as it relates to my family? And I had no idea that I could ensure my children, my grandchildren, my key employees and my companies, my joint venture partners in my real estate investment activities and so on. And what I show them is exactly what's appearing on the screen. I walk them through what we've done in building our low family banking system. So back in 2009. So this journey began for me in July of 08. And by the time our first few policies had accumulated some value in 2009, the total premium that we were paying into those policies was 16.

You fast forward to today. We've got actually 67 policies in our family banking system now. And our annual premium payments are just shy of 600,000 a year. Now, the total death benefit back in 2009 of our life insurance was 500,000. That total death benefit exceeds $32 million today. So I joke around with my wife Rebecca that God forbid if anything happened to me that she better pretend to be upset for at least 15 minutes at the funeral.

It's party time.

Because whoever she ends up with is going to get one heck of a signing bonus.

Exactly. Yeah, I could. I can think of so many funny jokes to say right now. I won't do it. I won't do it. I'm just holding back.

Well, and to. To continue. So the total cash value back in 2009 was 4,250 bucks.

Okay.

And fast forward to today. It exceeds 3 million. And so I have ready access to more than $3 million. And I'm an opportunity magnet. My late mentor used to say all the time, when you have a pool of capital, opportunities of high caliber will track you down.

Right.

So true. And back in, you know, 2009, our first policy loan was for a car seat for our newborn son, Jackson. And we just wanted to test drive the process. We wanted to experience it. The best way to learn is simulation. So we did that. Fast forward to today. We've got 664,000 and change in outstanding policy loans without interrupting any of the daily growth of our three plus million in total cash value. And think about it from this perspective too, Mike. If. If you remember what I shared earlier about payments, the stream of payments, the importance of that, that's financial energy. When I say financial energy, I'm describing money. So back in 09, we made a payment back to our system of $330.

Now, the payments flowing back to our system exceed 40,000 per month. The reason is that our family, okay, our family, when they need vehicles, when they need down payments on property, when they need business equipment, technology, when they need ready access to money for insert whatever it is in the blank, they shop at home. They're not shopping outside the home. What I mean by that is they're accessing money from the family banking system. The payments that they would have otherwise made to someone else's system, they're redirecting back into the family's warehouse of wealth to be used again and again and again. Here's the rub.

You've all heard the term diversification. Okay? So let's just get on our investment hot seat for a moment. You should be diversified, Mike. Didn't you know that for anybody who's viewing and listening, you have been There, done that, got the T shirt on. Financial advice, you've heard it all, seen it all. And for most of you, you haven't taken the appropriate level of action because you're busy being busy doing whatever it is that you've prioritized in your life. Well, my father in law, he's a retired police officer and we sat down and talked about this and I said, you know what his name was? Papa. And we said, papa, look, I want to get coverage on you and you don't have to pay any of the premium. I'll pay for that out of my own pocket, but I want to be able to utilize it as part of the family banking system.

Yep.

God forbid, if anything ever happened to you, Nona is going to be well taken care of. She'll never have a bad financial day for the rest of her lifetime. And we'll set up policies for all nine of your grandkids as part of your legacy. And the only thing that I want in return when that day comes, when you graduate and die, I just expect to be reimbursed for the premiums that I paid. He said, no problem, but I'm type 2 diabetic. I don't think I'm life insurable. I said, well, there's only one way to find out. So we got him insured and we put two policies in place on his life immediately with no expectation that he was going to pass away anytime soon. Sadly, a few short years later, he succumbed to cancer after a very short battle. He was diagnosed on day one. Five weeks later he was gone.

Yeah.

The death benefit proceeds were paid income tax free. Yeah. Nona will never have another bad financial day for the rest of her lifetime. All of the grandkids have policies on their lives in addition to what were already in place on their lives. And so we have replenished the family's money pool and we've grown that money pool. So if you want to be diversified, I would say understand what I do. I'm diversified in lives insured. And so when you look at 20 lives insured in our family banking system, windfalls will come. The windfalls are death benefit proceeds. It's not a matter of if, it's when. Everybody viewing and listening has a best before date. We just don't know what it is. And when that day comes, and it will come, then there's going to be a tax free windfall that shows up exactly when it's needed the most. And I emphasize that because when you implement the method, you're implementing a Process. What I'm describing here is what happens when you purchase a product that has contractual guarantees and the death benefit must have merit. Anybody who's having a discussion with you about the sale and placement of life insurance contracts, that death benefit must have merit. And believe me, it comes in handy when it's needed the most. Yeah.

So as the old saying goes, there's two things you can be guaranteed on, death and taxes.

Yeah. But the only thing that doesn't get worse when politicians meet is death.

Right, Right. True that.

It is good, but this is a hedge against both.

Right.

And it's the, you know, and I think there's a multiplier effect here when you apply this logic of, well, let's spread this out amongst the family and there's a pool there. And if you're treating this as I'm investing in you, you're going to get all the benefits. It costs nothing.

And the benefit is I'm going to spread the wealth which comes in tax free. And in the meantime you're accumulating cash value.

Yeah.

And the dividends. Cash or tax free.

Yeah.

And then the leverage it creates as well, which is a pool that you have access to. It's a brilliant, very, very non obvious mindset. Like I say, an operating system upgrade.

Mike. It's a business. We created a business where no business had existed before and we treat it like a business. The family banking system is a business. And so for viewers and listeners who have any experience in starting a business, think of this from that vantage point. I'm creating a new business where no business existed before, with the exception of this business is the one that finances everything that we do for a living and everything that we enjoy throughout our lifetime. Everybody should be in two businesses. Right. The business that you're in that generates the income that you earn and the business that finances what you do to earn that income and, and everything that you do to enjoy your life. We take vacations as a family and I'm talking the entire family practically have to charter our own aircraft and accommodations to do that. And those vacations create memories. And every single day that we're on holiday, our net worth is going up. Right. And it's. These are private contracts with a private company. So our financial dealings are private. I like my privacy. Our policy loans are not reported to TransUnion, they're not reported to Equifax, they're private loans. I like my privacy. And anybody who I deal with, network with, serve, coach, mentor, who again, has even been the least bit effective at accumulating wealth. Not one has ever told me that they do not value their privacy. This is all about controlling how you finance the things that you need throughout your lifetime. Shielding your wealth from onerous taxation, from risk. You take those two things off the table and you add contractually guaranteed daily accumulation. You attach a contractually guaranteed payment of a death benefit. Again asking the logical question, how much of your capital do you not want residing there when you know that you've got ready access to it on demand, on your terms?

Well, to me this makes sense that why not just put all your money in there given the fact that you've got access to it and it's, it's serving you on multiple levels, it would just make sense to just take the bank out of the loop completely. And again, when you apply the mindset, the network effect it has on your family or just what you talked about, about which is this, you know, we use this for everything. It's, it's a brilliant, very non obvious strategy. So.

I'm going to move to the goodies here. So I'm going to ask you in a moment if you have an ask for.

Our people who are listening because one of the things you also do is you work with agents as well and financial advisors.

Sure do.

And there's a lot of, a lot of partnership and collaboration opportunities. But I think the key thing is I'm going to send everyone again you can go to Jason Low method.com there you've got three books, the training video, a copy of a slide deck that he has that goes through even more case studies and what he calls the banker's vault. Why don't you talk a little bit about the goodies to everyone who takes advantage of this.

Oh for sure. The vault contains access to our masterclass. You get access to a treasure trove of resources. You get to schedule a personalized conversation and it may be with me or someone, the right person on my team. And during that conversation it's really all about establishing whether or not we, we can find a basis to work together. And because as you know, Dan Sullivan. Credit to Dan Sullivan. Shout out to Dan Sullivan. Always, always be the buyer, not the seller. And there has to be a good fit. And we love our clients and we coach them and mentor them. Not if, but when you become a client, you'll have access to.

Nicely done.

All of our quarterly client coaching sessions. There's no additional investment required for that other than your time, our online client portal and so much more. Because really the essence of this is we want to coach you on how to do this and we want to encourage you to transfer this knowledge and this method to your family. Because most people, when they see this, they get so excited and they go, I can think of everything that this is going to do to help me. But we've completely lost sight of everyone that we're working so hard for and we can transfer this to the family and create it for the family. And when we hosted our family Banking Summit, you know, you've seen the footage, my 10 year old daughter, one of my twin daughters, Charlotte, who's describing the advantages of this process to a room full of grown adults. Kids pick up on this much quicker than adults do. But I'll tell you, nothing brings more peace and creates a stress free way of life than knowing on a daily basis that God forbid if the unthinkable happened, you're going to be okay financially and for as long as you're alive, you're going to be a hero to your family.

Right on. That's a good way to end. So.

What I'd like to do is first of all, thank you. I've learned so much. This has been a pleasure and I love the fact that I get, I have a platform to share this with people I care about. And I will also say to our listeners, viewers, Jason really is the real deal. I've been here with his team members and they love him. I've been reading testimonials and comments and it's just like this is a guy who's always there, always shows up and I'm looking forward to doing a lot more with you in the future, just collaborating and, and helping you grow your presence here in, in the States as well. It's just been a pleasure. So one more time, this is Jason Loeb. You'll learn everything you need to know on that page. Get the goodies. Also, take advantage of the free books as long as they're available. And you also can schedule a conversation too. So with that, sir, thank you very much. Let's say goodbye, shall we?

Absolutely. Never. Goodbyes always. See you later.

All right, well, here's what we're going to do. This is capability Amplifier. Thanks for spending time with us today. Of course. Leave some comments, five stars. Share it with, with anyone you know who can take advantage of this, educate your family and we'll see you in another episode very soon. Goodbye.