How Money Works and The Secrets of The Wealthy

Do you have solo economic dependency? That is, if you aren't working, you aren't making money. The Art of Passive Income podcast is the solution. Discover passive income models so you can enjoy life on your own terms. Let freedom ring.

Hey, it's Mark Podolski, the Land Geek with your favorite niche real estate website, www.thelandgeek.com. and I'm really excited for today's guest and he's a celebrity of sorts. But before we talk to our guests, I'd be remiss if I didn't properly introduce my co host. You know him, you love him. The brain, the professor, the Land Geek. Sherpa Scott Todd from Scott todd.net landmoto.com if you're not automating your Craigslist and your Facebook postings posting domination.com TheLandgeek Learn anything about anything. Investor ninjas.com Scott Todd how are you?

Mark I'm great. How are you?

I'm intimidated by our guest. I'll be honest.

You know, it's funny because before we got on this, we started talking about one of his accomplishments and all I could think about was that would be a cool accomplishment. But for you and I, we always joke about it, it's never going to happen.

It's never going to happen. And so if you haven't been to boot camp, you probably don't know the inside joke that Scott is talking about. But so you have to come to boot camp. That being said, our guest today is Chris Noggle. If you don't know about Chris, Chris Noggle has dedicated his life to being America's number one many, many, many mentor cash money. His success includes managing over $30 million in assets in the financial services and advisory industry and tens of millions in real estate business. With over 200 transactions in an HGTV pilot show since 2014. In 20 years, Chris has built and owned 16 companies with his businesses being featured in Forbes, ABC and House Hunters. He is currently the co founder and CEO of Flip Out Academy, founder of the Money School and money mentor for the money multiplier. As an innovator and visionary wealth building in real estate, he empowers entrepreneurs, business owners and real estate investors with the knowledge of how money works, works. Innovating what it takes to break the chains of financial slavery, Chris is driven to deliver the financial knowledge that fuels lasting freedom. To date, he has spoken to and taught over 10,000Americans. Chris Nagle I'm going to put on my anchorman voice. You're a big deal.

Thank you guys. That was an Amazing intro. Probably one of the best I've had yet. So thank you for doing that.

It's my pleasure. So, Chris, let's just rewind the tape. And how did you become the guy in money?

Yeah. So, I mean, there's a lot to the story. I grew up in a lower, lower middle class family. It all started when I was 16 years old, had a terrible job working for a restaurant where I was degraded so horribly that every day I just felt worthless. And that day came when I decided to stop trading hours for dollars. I quit. And I came home thinking mom was going to be mad. And I said, mom, I want to start a clothing line out of the basement called Phat P H A T Clothing Company. And that's what I, what I. That's where it started. And from there I wanted. My big aspiration was to be a pro snowboarder. Like, you know, when you, when you're young, you know, you have all these big dreams and goals and, you know, I didn't have money, but I had dreams. So that's where, that's where I carved my niche is the snowboarding industry. So I did become a pro snowboarder. I did end up taking Fat Clothing company and building out a chain of skateboard snowboard shops. Started those when I was 17. Mom, crazy story. You know, when, when you're 17, you don't have really a solid idea of like, how money works. And at that time, I needed 70 grand because my big dream was to open this store called Fat Man Board Shops. And I needed 70 grand. And I thought, okay, well, I'll just go around and ask people that have money, you know, can I borrow some money? And you know how that goes. No. Heck no. Absolutely not. Kid, you're crazy. Go get a job. On and on and on to the point where I almost. I almost gave up my dream. Now my mom, who never really had anything but in her divorce, got the house. Now the house had $75,000 worth of equity. And my mom watching how her son was gonna, you know, just kind of let his dream go, you know, by the wayside. She put her house up on the line so her crazy punk snowboard kid could chase his dream and open Fat Man Board Shop. I look back on that day and, you know, I call my mom my unconditional one. But I look back on that day and I say, man, man, that was a really stupid thing a mom to do. You know, just putting her house, the only thing we had up on the line, but she did it. And that's When I kind of really started, I guess growing up at 17, I had to really kind of face the music and make this business work. And I did that. And I grew that business over many, many years and sold it in 2010. But during that process, I had a lot of failures. Tons of failures, actually, actually. And I learned more from the failures than I did from the successes. And one of those failures came and, you know, like many in 2000, early 2000s, when the planes hit the tower, my business didn't crash and burn, but it really had a reset. And I was highly leveraged. We had four locations. And at that point in time, I remember I started saying to myself, oh my God, I got to get a job. I have to go out and get a job. Otherwise I can't afford my truck payments, my cell phone. I can't afford these things. So I was like, well, I can either deliver pizzas at night or put my resume out. And that's how I landed in the financial services industry. What started in the financial services industry as being just kind of a temporary thing ended up being my passion. So when I got into it, I really loved helping people. I loved working with money and learning how it worked from the Wall street side. And from that point that was early 2003, I stayed in the financial services industry until 2018 when I sold my practice and retired because of the HGTV show. Because they basically said to me, h or my. My broker said, hey, you're either going to be an advisor or you're going to be an HGTV star pick. I said, see you later. Thanks for, thanks for the fun. And that's when I sold the practice. But I entered the real estate world in 2006 because I was doing really well as a financial advisor. I had a bunch of money. I was just. I think I saw a show and I don't remember which one it was. And I'm like, I'm going to flip houses. So I did a couple flips not knowing what I was doing. Just got my hands dirty. And by 2008, things were going so well, I was crushing it in the financial services world. I was one of the top guys in the firm, making a bunch of money. Life was good. And then I got my next big idea. And that idea was to buy this dilapidated building and move my store into it. Now, the dilapidated building needed a complete renovation. So I said, I'll buy this. I'll convert it into a three unit strip mall. I'll move my store in it, and I'll have my tenants pay my rent. It's a genius idea, right? That's what we all do in real estate. That's. That's the idea. Well, the problem was the timing. You see, this little thing in 2008 happened called the Great Recession. And that Great Recession brought me straight to my knees and I literally almost lost it all. I was one payment away from being completely bankrupt so bad that I literally had to come home to my girlfriend who had just moved into my house and ask her, plead with her to pay, help me pay the mortgage, the utilities, and then to drop the news that we had to rent a bedroom out because I couldn't make it. So I made it through that time barely. And after that, Warren Buffett, who is my hero and who I learned a lot from just his simple messages, said, buy low. Well, real estate in 2009 was low. So I started buying and I just did it the old fashioned way, not really having a clue how real money works in real estate. So I started borrowing from the banks personally. And I did this. And I got up to 36 units by 2014, thinking everything was great, everything was getting back on track. And then I get hit over the head again. The bank called me when I brought them a deal and said, hey. They were like, well, hey, Sonny, you got a problem. You see, we can't give you this loan. And I said, why? Everything's going good. You've loaned on all these other ones. Well, you see, there's this thing called debt to income ratio and you are maxed out. And not only that, kid, we have to stop and freeze all your lines of credit. So literally, like, just take my wrist and slice them. Because now I couldn't finish the projects. I had no money. All my 401k monies were loaned out on deals. My life insurance policies were loaned out and used for the deals. I was right back where I was. I was literally, you know, living paycheck to paycheck again, not knowing how I was going to do it. And, you know, it's kind of life is a roller coaster until you really figure out how money truly works. And my life had gone up. I was making a bunch. Then I lost it all in 08 and made it all back again. And then at 14, lost it all again. And at that point, that's when everything changed because I realized I'm not riding this roller coaster anymore. I sold all 36 units. The dream house that me and my wife bought, I had to sell that house too. And that was a real, you Know, a kick in the, you know what? And, you know, things got rough. Me and my fiance at the time had some tough times because obviously money drives a lot of emotional decisions. I ended up going to a three day seminar that changed my life. And that seminar was just this stupid postcard that I got to go to this three day seminar to learn how to flip houses. And I wasn't going to flip. I wasn't going to learn how to flip houses. Let me be clear about that. You see, I thought I already knew how to do that. I was going, yeah, they were giving away a free ipod shuffle, so why not go, right? I had nothing to lose, but I had an ipod shuffle to gain. So that's what got me to the event. And when I got there. I know, and it worked, right? It got me there. My wife didn't go, you know, she just stayed home. But what I learned, day two of that is the one thing that I always say changed my life. And what I learned is that what the successful real estate investors were doing, what the wealthy were doing, and what the elite were doing was the complete opposite of everything I'd been taught about how money works. Literally everything that I'd learned as a high level advisor on the left side, so to say, was all not what they were doing. It was the complete opposite, as a matter of fact, you know, and I kept watching what they were doing and I said, this is crazy. I've never been taught this. Not only have I never been taught this, no one ever teaches this. This is that knowledge you need to seek out. At that moment, that's when I really dove in and I started really looking at the secrets of the wealthy. And I did everything it took. And you guys can probably relate. I maxed credit cards out. I went to every seminar I could. I joined masterminds. I got myself in front of every multimillionaire and extremely successful investor that I could at any expense. And it was tough. I mean, from 2014 straight up through, I mean, and still today, I spend hundreds of thousands of dollars every year joining masterminds, being in front of the right people, getting mentorship, and some people think I'm crazy for that. You know, I can't tell you how many times I've been told, man, you're crazy. Why are you spending so much money on this coach and that coach and going to this event? And that's, that's silly. These are some of my best friends and family members that say I'm crazy. But you know what? I think I know something they don't know. Because by following these people, you learn the wisdom and you learn the secrets that no one's ever going to teach you. Because the financial advisors that we take advice from, the old me, we're going to serve advice that's going to self serve us, right? So the advice that we give is advice that pays us. Wealthy people get the advice and get their knowledge from a completely different source. They basically know things that we don't. So not to go long into it, but that's kind of what began the journey. And that's where I am today. Today, like you said in the intro, I travel around speaking to thousands and thousands and thousand thousands of people, teaching them the things that no one else will ever teach them about how money works and the secrets of the wealthy. So sorry, that was long, but there's no easy way to tell that.

Yeah, no, that was great and really detailed. I love the whole roller coaster ride and I can certainly relate to your story in lots of different ways. Scott. Todd, what are your thoughts?

I mean, you know, it's funny because I worked for financial services firm too, and when I did that, like I learned a lot about stocks, right? Like stocks, bonds, investments, whatever. And I really thought like, man, this is the whole process to even get that license. I thought, man, this is required education for everybody, right? Like to me at the time it was like, I don't know how you could function without it. And then what I started realizing as I started working with clients, I started realizing, wow, there's a lot of people that, yeah, they rely on mutual funds and they rely on other companies to like make the wealth for them. But then there's a whole other group of people out there that seem like they have a lot more money and they don't do anything with stocks, bonds, annuities, nothing, right? Like they're, they're like, hey, I can give you a bond like making 5, 6%, you know, and they're like, are you kidding me, dude? I'm making like 18% doing something else. So then I like, literally, I remember this one guy, his name was Carlos. And Carlos, every time I'd go to him, I could tell he had a.

Lot of money, right?

I'd go to him and we'd talk and he was like convincing me that I should be doing stuff with real estate. And I'm like, yeah, I know, but you know, like the whole thing, like he's like, can't you find me investments that pay more than this? Well, I really can't because I got My hands tied back over here. So it's really cool to know that other people have seen that same thing that you know, like that the wealthy are not necessarily doing what everybody else thinks that they're doing. They're not like picking up the phone and yelling buy, sell. You know, all this exciting stuff. They're, they're over being quiet, building their own wealth and then, then beyond that, you know, like they're, they're, they're investing in themselves. Kind of like what you said too. I think that's a big piece that a lot of people miss is, you know, join masterminds or doing whatever to kind of continue to expand. What, you know, because there's so much we don't know. It's, it's eye opening.

You know, you said something there that I just, I just loved. And I don't even know if you realized it but you, you had spoke about. The average public is really taught and even advisors are taught to do this, to give up control of their money and have somebody else control it because that somebody else knows something they don't know. But that's, you know, and I got always be careful about what I say. But that's kind of the big lie. Because you know what, when we give up control of our money, we literally also give up our financial freedom. And we don't even think about that. Because everything we've been taught our entire life about how money works and what to do with money involves giving up control. Let me give you an example. You know, we're taught at a young age when we join the workforce or the career force. We get a beautiful employer sponsored retirement plan where we then have the ease of putting our money into this 401k or you know, employer sponsored plan on a bi weekly or weekly pay period. And then they give us this thing called a match. And we are literally giving up control. Because you are not in control of your money. The financial institution is in control. You're paying for the right to have that. But yet we think that that's just such a gift because that's all we've been taught. And then we're literally what we're really doing with employer sponsored plans. And you know, it's so funny because I tell this story and I look back to when I was an advisor selling these vehicles and being like, these are great, this is what you should be doing. I look back and I'm just like, my God, I really had the rosy colored glasses on. Because we do things with money we would never do with Things that money buys. And let me give you an example. Would you ever go out and buy a loaf of bread, come home, put it in your freezer, close the door, wait 5, 10 or 15 years to come back to that freezer, open the door, take out that freezer burned loaf of bread and be like, yum? No, it'd be a freezer burned piece of crap that you throw in the garbage. Would you ever buy a car and wait 5, 10, 15 years to drive the car? Probably not. And would you ever buy your primary residence and wait 5, 10 or 15 years to live in that primary residence? Absolutely not. And if any of you are married, watch this. You wouldn't be if that's what you did. But yet we do that with our money. We do things with money we would never do with things that money buys. And that is the big mystery. But that's just because we're taught to give up control. And when we give up control, financial freedom is out the door. You're always going to ride the financial hamster wheel and that will never stop until you realize that you need to take back control of your money. So I love that you said that.

That brings us. Go ahead, Scott.

No, go ahead, Go ahead. Go ahead, Mark, go ahead.

I mean, Chris, that brings us to the next question, which is sort of, you know, unwinding the conventional wisdom. So with all of this knowledge that you have, and to use your phrase, the secrets of the wealthy, what are some of those secrets that the general public just doesn't know?

Sure. So one of the biggest things that people need to do is they need to change where their money goes first. So what if I told every single person that one of the biggest things that the wealthy do, that the banks do, and that the elite have done for hundreds of years is they park money with insurance companies? That's where their money goes first. Then from there, instead of going to a bank, their money goes to an insurance company. Now, I know this isn't going to make any sense, but I promise I'll bring it together. And then from the insurance company, they pay everybody else. But because they do that one step, that money continually will earn uninterrupted compound interest. Now, most people don't understand uninterrupted compound interest. What that means is if your money sitting somewhere, and there's not one thing that interrupts that money, meaning there's no taxes on that money. Number two, there's no advisory fee or fee that's hitting that money. And number three, if you take that money from that insurance company and use it. That money still continues to earn uninterrupted compound interest. So when I heard about this, that one secret, we call it mapping out the millionaire mystery. When I learned that, I was like in disbelief. I'm like, that sounds too good to be true. Number two, that can't happen. I was an advisor. There's no way that that's even available. Well folks, it is available and it has been for hundreds of years. And banks use this right under your nose. And every single person I ever meet knows exactly what this vehicle is. They just are not. They don't know how to use it in the capacity of what the wealthy use it for. And that, that vehicle, that insurance company, all it is is using a very specialized whole life insurance policy. But most of us know of whole life for life insurance. But it's not. And that's just, that's the hardest mindset is people need to change what they're doing. Imagine if a whole life policy could be built to function and feel just like a bank account, except for it paid you a guaranteed 4%. You could use the money at any time, at any place for anything and never ever stop earning interest dividends on that money. And you'd never have to pay tax if it was structured properly. You see, like that right there. When I tell people that they're just like, that can't be. Well, it is. And it's so freaking simple that the book that I have coming out in February tells exactly what this is. And I'm not the only one talking about this. There's Robert Kiyosaki talks about it, Tony Robbins talks about it. I could on for days with the people that talk about it, but nobody's listening because everybody is sitting there saying that sounds too good to be true. I've never heard of that. My advisor never told me about that. Your advisor will never tell you about it because either they don't know about it or they don't want to give up 60 to 70% of their income to basically help you set up your banking system. And they won't. They're going to go and do exactly what we were just talking about. Stocks, bonds, mutual funds, ETFs, traditional life insurance, because that's how they get paid. That's just one of the little things. And there's so many other little things. But like one of the biggest things I get a kick out of is teaching people how to get all the money back for every single car they will ever buy, drive and own without taking on Any more risk, without losing control of their money, without working any harder or working any longer. And people are like that, show me. So I do. And in 15 minutes, I can show somebody, and I need an illustration to show them how that's done. And you know what it is. Changing where the money goes first. That's the only thing you change. And then treating your money the same way that you treat the bank's money, the credit card company's money, because you know what, if you borrow money from the bank, one of the things that nobody seems to have a problem with is paying the bank back with interest, because if they don't pay the bank back, there's consequences. So if you had your own bank and all you did is you borrowed money from your bank and you then repaid your bank back with interest, you then just took back control of so much in your life. So I teach people how to build wealth through their own debts and expenses simply by showing them how to take back, how to recycle and how to recapture the money that they're giving away already without working any harder any longer, without losing control or taking on any risk. And, folks, it's so simple. Literally. That's the. That's the hardest thing, is it is so simple and easy to use. People think it's too good to be true. And you know what I say to them? Keep believing that and stay, stay on the financial hamster wheel. I'll be here waiting when you actually want to see the truth.

Scott. Todd, we're hearing a lot about this now. It's in the air. Like the whole infinite banking concept.

Absolutely, yeah. It's done. Done differently, though. It's done very different than a lot of what's being talked about out there because they missed the banking function. You know, a lot of the infinite banking stuff puts way too much credit and, you know, an emphasis on the whole life, which it's not even about that. If there was a better vehicle than a whole life, if you could do this with a bank account, then who cares about the whole life? But it's the banking function that people need to learn and they need to take back the banking function in their life. So that's just like one of the things that I teach, but it's one of the more powerful and easy to understand.

Yeah, absolutely, absolutely. Well, Chris, we're at that point now in the podcast, and your mentorship has been invaluable, and there's lots more I think that we could delve into, and we should probably have you back on the podcast to go deeper into some of these issues. But it's time for your tip of the week. A website, a resource, a book, something else actionable for the art of passive income listeners to go improve their businesses, improve their lives. What have you got?

There's so many good books. One I'm reading right now that I think is fascinating. If you want to learn the history of money and how all of it was created and really you'll learn a lot. Is the Creature from Jaco Island. So if you're looking for just an interesting read that'll really uncover the truth, that's a great read. And the biggest tip that I always tell people is stop taking advice from people that have never done what you are doing and stop. Will Rogers says this. Let me sum it up this way. Will Rogers says the problem in America is not what people don't know. The problem is what they think they know. That just ain't so. And with that, that's my tip of the week is just stop taking advice from people that don't know what you're doing and don't care.

Yeah, we, Scott Todd, we see this all the time and it makes us scratch our heads, but people do it.

That's right. But because, you know, I said the same thing you guys talk about a lot. See, there's something there. You know, the more people and you said the IBC concept, there's. You keep hearing about this. It's because the people that know are starting to wake up and starting to talk about these things, and it's just awesome. The closer or it seems like such a big world, but the smaller that circle becomes, the more you start surrounding yourself with the people that you want, you know, the people doing the things you want to do, all of a sudden it all just starts reverberating itself. It's incredible.

Absolutely. Scott Todd, what's your tip of the week? Mark?

There's a lot of good sales books out there I have started listening to and I'm enjoying the book by Phil Jones called Exactly what to Say. And you know, basically where this book is going is, you know, like, people are confronted with a lot of decisions, right? Like there's a lot of different competing options out there in the world. And oftentimes the decision comes down not to. Not to who, what, or price. But the person who's saying the right thing. To me, it's really the person who's solving the problem. Solve my problem and you have my wallet, right? Like, that's, that's the way it is. So in this book, he really talks about finding the right words at the right moment to say in order to get those sales, I recommend that everybody take a look at it.

All right, fantastic. So we got. We got two books. I love it. I love it. Well, nothing's going to be my tip of the week because Chris has so much information, so much wisdom to share, and you've got to learn more. If you just go to chrisnaugle.com chrisnaugle.com he's got the podcast, he's got his books, he's got videos, and you can go hear him speak at a fine venue near you. So, Chris Nagle, are we good?

We are. I mean, the only other thing too is why don't we give them one extra thing? Because when I always say, you know, I'll show you how to get all the money back for all the cars you're ever gonna buy, drive, and own, well, why don't I just give them the video that shows them how to do that? Would that be okay?

Absolutely.

So if you want to learn how to do that and it shows you a lot more, teaches you banking, teaches you how to get the money back for the cars, and also shows you how we help somebody pay off $478,000 in debt in six and a half years without going into it, go to this. It's just a free webinar. There's no sales because that's not something I do. It's moneyschoolrei.com Tmmm so moneyschoolrei.Com themoney multiplier method, just abbreviated.

And we'll have a link to that in the show notes for sure. Everybody check out that free webinar. And fantastic. Scott, Todd, are we good?

We're good, Mark.

All right, well, I want to thank the listeners and just remind them the only way we're getting the quality of guests like a Chris Noggle from ChrisNaugle.com is if you do us three little favors. You got to subscribe, you got a rate. You have to review the podcast. Send us a screenshot of that review to supportlandgeek. Com. We are going to send you for free the $97 passive income launch kit course as well as the latest whole tailing course, how to double your money 30 days or less. So please do that. Also, today's podcast is sponsored by flight school. Just learn more. Go to the landgeek.com training. All right, Scott, we ready?

We are, Mark.

One, two, three. Let freedom ring. Chris is like, I'm not coming back. These guys.

Oh, I love it, man. No, this was great.

I love it. I think we did it.

At least that's how we nailed Always feels so awkward.

Well, here, I got something for that. Let's see. I always love this thing. Oh, yeah.

What is that?

It's people clapping for you guys. It was great. Show was wonderful.

I love it. I love it. Well, Chris, thanks so much. We're gonna have to have you back to delve a little bit deeper into these issues, but thanks again, and we'll see everybody next time. Thanks, everybody.

Thanks, everybody.

Thanks for listening to the Art of Passive Income podcast. Start your journey at www.thelandgeek.com and www.scotttaub.net. rate and review the podcast and email supporthelandgeek.com your screenshot for a free Passive Income launch kit.