https://www.youtube.com/watch?v=Q31siMqC7is

Rod Khleif has transformed from losing $50 Million to living a spectacular life and achieving everything he's dreamed of. Rod is a passionate real estate investor who has personally owned and managed over 2000 properties. As one of the country’s top real estate, business, and peak performance luminaries, Rod has also built over 23 businesses in his 40-year business career.Rod khleif is also the author of How to Create Lifetime Cashflow through Multifamily Properties, coach and mentor for multi-family investors, and host of the top-ranked Lifetime Cashflow through Real Estate Investing podcast.

Where Investing Fits into the Cash Flow System

Here at The Money Advantage, we are a community of wealth creators taking control of our lives and financial destiny. 

It’s not enough to make a high income.  You have to keep more, protect that money, and finally, increase and make more through the right investing decisions.

That’s why we have created the 3-step Business Owner’s Cash Flow System.  It’s your roadmap to take you from just surviving, to a life of significance, purpose, and financial freedom.

The first step is keeping more of the money you make by fixing money leaks, becoming more efficient and profitable.  Then, you’ll protect your money with insurance and legal protection, and Privatized Banking.  Finally, you’ll put your money to work, increasing your income with cash-flowing assets.

Today’s conversation will expand your education and paradigm of investing.

Who is Rod Khleif?

A compelling rags-to-riches-to-rags-to-riches story, Khleif soared from humble beginnings as a young, impoverished Dutch immigrant to incredible success. Rod’s experience involves both remarkable triumphs and spectacular failures, which he affectionately calls “seminars.” Rod brings incredible authenticity and insight to his approach to business, success and life.

Rod loves training and coaching the “psychology of success” to aspiring real estate investors and entrepreneurs. He can train and coach on virtually any business or success related topic in great depth, contributing incredible first-hand, technical, and motivational knowledge and skills.

Rod Khleif has combined his passion for real estate investing with his personal philosophy of goal setting, envisioning, and manifesting success to become one of America’s top real estate investment and high-performance life coaches.

As an accomplished entrepreneur and business owner, Rod has built several successful multi-million dollar businesses. But ask him what he is most proud of, and he will tell you about his work as a community philanthropist.

Giving back to the community is a major passion for Rod. He is the founder and long-serving president of the Tiny Hands Foundation, a children’s charitable foundation that leads several annual community charitable initiatives including: Back-to-School Backpack Brigade; provides thousands of new backpacks filled with school supplies to community school children in need. Teddy Bear Brigade; provides thousands of Teddy Bears for community police department patrol cars to be given out by police officers to comfort children in distress. Holiday Basket Brigade; provides thousands of Holiday Gift Baskets filled with food and Christmas toys to community children and families in need. Over the past 14 years, Rod’s work has benefitted more than 75,000 underprivileged community children.

Rod Khleif's Goal Setting Exercise to Get Everything You Want Out of Life

Set aside one hour of uninterrupted time. Write down everything you want out of life. Outline the stuff you want to do, the things you want to learn, and who you want to help.

Put a time limit on each goal

Pick your #1 priority that you'll focus on right now.

Write down your top three 1 year goals on another sheet of paper, leaving space between them.

For each of your one-year goals,

https://www.youtube.com/watch?v=Z6gZz7IIEzQ

Waiver of premium is like having insurance on your insurance. So, if you are a wealth creator who wants to make sure your life insurance will be the cornerstone of your wealth and take care of your family no matter what, here are 3 quick questions to ask to make sure you get a bulletproof policy.

But first ...

Table of contentsWhere Does Waiver of Premium fit into the Cash Flow System?Waiver of Premium Question #1: How Would My Life Insurance Be Impacted If I Became Disabled? Financial PressureImpacts on Your Life Insurance PolicyReasons to Maximize Your Life Insurance if You're DisabledYour Life Insurance Becomes The Savior ... Of ItselfWaiver of Premium Question #2: How Common Is Disability? Waiver of Premium Question #3: What Puts Me In The Best Position In The Widest Range Of Circumstances? Maximum Policy Performance, No Matter What HappensBottom line? Share the Love!

Where Does Waiver of Premium fit into the Cash Flow System?

The waiver of premium rider is an add-on to a life insurance policy, an integral part of your financial life. But life insurance in itself is just one small part of the bigger journey to time and money freedom.

That’s why we’ve developed the 3-step Business Owner’s Cash Flow System. It's your roadmap to go from just surviving, to a life of significance, purpose, and financial freedom. 

The first stage is the foundation.  You first keep more of the money you make by fixing money leaks, becoming more efficient and profitable. 

Then, you protect your money with insurance and legal protection and Privatized Banking. 

Finally, you put your money to work, increasing your income with cash-flowing assets.

The Waiver of premium benefit is a life insurance upgrade feature in the protection component of your cash flow system.

Waiver of Premium Question #1: How Would My Life Insurance Be Impacted If I Became Disabled?

This simple question means you must understand a key idea. What if disability prevented you from continuing working in your current profession, at your current level of income? And what if that limited your finances so that you couldn't continue to pay premiums for a life insurance policy? And what if you had wanted that policy to be your access to cash and the legacy for your family?

Financial Pressure

You need to know the answer to this question because a life-altering event that causes a disability could not only cause physical challenges, but it could heap on financial strain in compounding ways as well.

If disability were due to an illness or injury, there could be extended medical expenses and recovery time.  You may want or need your spouse close to assist you.  Neither of you may be able to work during this time.

The reason this matters is that if you lose the ability to keep working the way you always have, your primary source of income could become tenuous, or be lost altogether. And that means life would force difficult decisions about what expenses you have to cut out. With medical bills and basic needs requiring top priority, there may not be enough to pay life insurance premiums.

Impacts on Your Life Insurance Policy

With a term life insurance policy, that could mean having to walk away from a policy. In this case, you'd give up the death benefit AND the dollars you've paid in premium up to this point.

With a whole life policy, that could mean canceling your policy or choosing another funding method. Options include paying base premium only, paying from policy values, using policy loans, or reduced paying up. You'd have to accept that these options will reduce your cash value and/or survivor benefit, constricting the policy.

Reasons to Maximize Your Life Insurance if You're Disabled

But rather than limiting your policy, you'd have far more options if you maximize your cash value and life insurance coverage instead.

https://www.youtube.com/watch?v=T8YrxVLGUO8

In this episode, we interview Jorge Newberry, CEO of American Homeowner Preservation, about how to invest in distressed mortgages with as little as $100.

So if you want to get between 7 - 12% annual cash returns paid out monthly, understand your investment, and make a huge difference in families, neighborhoods, and communities, starting with a small investment, without having to be an accredited investor with a $50K minimum, tune in now!

Where Investing Fits into the Cash Flow System

Here at The Money Advantage, we are a community of entrepreneurially-minded wealth creators who are taking control of our lives and financial destiny. 

It’s not enough to just make a great income.  You have to figure out how to keep more, protect that money, and finally, increase and make more through the right investing decisions.

That’s why we have created the 3-step Business Owner’s Cash Flow System.  It’s your roadmap to take you from just surviving, to a life of significance, purpose, and financial freedom.

The first step is keeping more of the money you make by fixing money leaks, becoming more efficient and profitable.  Then, you’ll protect your money with insurance and legal protection, and Privatized Banking. 

Finally, you’ll put your money to work, increasing your income with cash-flowing assets.

Today’s conversation will give you a fresh perspective on an investing opportunity for big returns with a small investment.

Jorge Newberry Conversation Highlights

In this episode, you'll discover:

What led Jorge Newberry to found AHP 12 years agoThe purpose and mission of AHPThe prevalence of defaulted mortgages today, 10-years after the housing crisisHow AHP helps homeowners stay in their homes How AHP offers a minimum investment of only $100The returns, payout, and liquidity investors can expect when investing with AHPThe current investment opportunity with AHP's fund re-openingWhat a potential upcoming housing downturn will mean for AHP and distressed mortgage note investors

About Jorge Newberry:

Jorge is an expert in investing in mortgage notes whose accomplishments include:

Jorge Newbery is an author, entrepreneur, CEO and investor. He is the Chairman and CEO of AHP Servicing LLC, which crowdfunds the purchase of non-performing mortgages from banks at big discounts, and then shares the discounts with struggling homeowners. Jorge is the Founder and Partner of Activist Legal, LLP, a DC-based law firm that facilitates default legal services, and the Founder and CEO of DebtCleanse Group Legal Services, a nationwide legal plan to help consumers and small businesses get out of debt without filing bankruptcy. A 2004 natural disaster triggered the financial collapse of Newbery's former business, leaving him with $26 million in debts he could not pay. Newbery rebuilt himself through AHP, sharing what he learned from his challenges to help families at risk of foreclosure stay in their homes. Jorge is also the author of Burn Zones: Playing Life's Bad Hands; Debt Cleanse: How To Settle Your Unaffordable Debts For Pennies On The Dollar (And Not Pay Some At All); and Stories of the Indebted.

Get Financial Clarity Today

If you would like to implement Privatized Banking, cash flow strategies, or alternative investments, so you can accelerate time and money freedom, we can help.  We’ll review your situation to help you decide what moves are best for you.

To start the conversation, book a call with The Money Advantage advisors now.

Investing In Mortgage Notes Links & Mentions From This Episode:

American Homeowner PreservationBurn Zones: Playing Life's Bad Hands, by Jorge NewberryDebt Cleanse: How To Settle Your Unaffordable Debts For Pennies On The Dollar (And Not Pay Some At All), by Jorge NewberryStories of the Indebted, by Jorge Newberry

Thanks for Tuning In!

Thanks so much for being with us this week.

https://youtu.be/ivNjgBZM19Q

If you want to get your money to do the most, learn these essential keys to be your own bank. (NOTE: “Be your own bank and the Infinite Banking Concept” does not mean that you are literally a bank or creating a bank; rather, we mean emulating the idea of banking.)

Instead of being a saver who’s a star-student customer of the bank, this is how you supercharge your savings to control capital, earn interest, and increase your cash flow as you model the banking system – the most profitable business model in the world – and start becoming your own banker.

So if you want to keep your money at your disposal and earn maximum returns at the same time (without having to take on more risk), check out the podcast episode right now!

In this podcast episode, you’ll discover the three simple steps to be your own bank:

1: Keep cash reserves

2: Own the reservoir

3: Master the art of arbitrage

Table of ContentsWhere Does Being Your Own Bank Fit into the Cash Flow System?Why the Traditional Banking Model Works Against YouBe Your Own Bank Step #1 – Keep Cash ReservesBe Your Own Bank Step #2 – Own The ReservoirYour Money That’s Not In a Reservoir You OwnThe Ideal Reservoir You Own: Whole Life Insurance Cash ValueBe Your Own Banker Step #3 – Master The Art Of ArbitrageHow To Be Your Own Bank Through Life Insurance?How Becoming Your Own Banker Changes the OutcomeMisconceptions of Being Your Own BankThe Bottom Line for Every SaverShare the Love!

Where Does Being Your Own Bank Fit into the Cash Flow System?

Being your own bank is a process of managing your cash flow so that you keep and control as much of your money as possible. This system, better known as Infinite Banking, is one step in your journey to time and money freedom.

That’s why we’ve developed the 3-step Business Owner’s Cash Flow System as your roadmap to go from ‘just surviving’ to a life of significance, purpose, and financial freedom.

The first stage is the foundation. You first keep more of the money you make by fixing money leaks, becoming more efficient, and profitable.

Then, you protect yourself with insurance, legal protection, and Privatized Banking.

Finally, you put your money to work, increasing your income with cash-flowing assets.

Why the Traditional Banking Model Works Against You

Most people grow up trusting the banking system without ever questioning it. We’re taught that saving in a bank is the safest way to secure our future. But when you take a closer look, you’ll see that traditional banks are built to serve their own profits, not yours.

When you deposit money into a bank, you lose control. The bank puts your cash to work for its benefit by lending it out at much higher rates while paying you a fraction of a percent in interest. They use your capital to build their wealth, while you carry all the risk of inflation and opportunity cost.

Meanwhile, your savings are exposed to devaluation, fees, and banking policies you can't control. Traditional banking systems are not designed to protect or grow your wealth; they're designed to profit from it.

Choosing to be your own bank is about reclaiming that control. Instead of allowing traditional banks to leverage your hard-earned dollars, you create a privatized banking system where your money works for your family, not for someone else’s bottom line.

Be Your Own Bank Step #1 – Keep Cash Reserves

Why do we model the bank? What do we want it to do for us?

As a customer of the bank, you put your money in the bank for safekeeping, between uses.

If you shift your lens and look at banking from the bank’s perspective, you’ll quickly learn why they’re the most profitable business model in the world.

The banker stores your cash and pays you for the use of that cash.

Because the banker stores cash, that capital offers opportunities to offer financing that will be repaid at interest.

https://www.youtube.com/watch?v=fJ-twP5XEkM

In today’s show, we’re interviewing Michael Cobb, Chief Executive Officer and Co-Founder of ECI Development. This real estate development company is building and financing inspired residences for adventurous souls in Belize, Panama, Nicaragua, Costa Rica.  Prepare to expand your investor’s paradigm to consider diversifying your asset portfolio outside the US.  Think resort-style living for the middle class, including private villas, tiny homes, vineyards, private islands, and agricultural land with timber.

Whether you’re interested in expatriation or expanding your investments, you'll gain a bigger worldview, and longer-term perspective of wealth creation.

Where Investing Fits into the Cash Flow System

Here at The Money Advantage, we are a community of wealth creators who are entrepreneurially-minded business owners taking control of our lives and financial destiny. 

It’s not enough to make a high income.  You have to keep more, protect that money, and finally, increase and make more through the right investing decisions.

That’s why we have created the 3-step Business Owner’s Cash Flow System.  It’s your roadmap to take you from just surviving, to a life of significance, purpose, and financial freedom.

The first step is keeping more of the money you make by fixing money leaks, becoming more efficient and profitable.  Then, you’ll protect your money with insurance and legal protection, and Privatized Banking.  Finally, you’ll put your money to work, increasing your income with cash-flowing assets.

Today’s conversation will expand your education and paradigm of investing.

Who Is Michael K Cobb?

At the height of a successful career in the computer industry, Mr. Cobb left to pursue more pioneering opportunities in the emerging real estate markets of Central America. In 1996, he and his business partner formed a company, Exotic Caye International, to provide loans to North Americans purchasing properties in Belize, Honduras, and throughout the region.

As the need for capital outstripped the supply, the mortgage company was converted to an international bank under the jurisdiction of Belize. It continues to provide mortgage services, but has expanded its services to encompass the full realm of financial products.

Mr. Cobb also saw the need for a regional real estate company that would serve the Baby Boomer consumer with a North American standard product for the next two decades. He led the group into real estate development and created a holding company for several properties, including a resort on Ambergris Caye, Belize. In August of 2000, Exotic Caye purchased 3.5 miles of Pacific Beachfront property due west of Managua, Nicaragua. This master-planned community hosts world-class infrastructure, homes, and condominium units. In February of 2006, the ECI Development group acquired 1100 acres and 3km of coastline in Costa Rica, setting the stage for expansion into this popular market. Most recently, they merged their Belize property with a much larger parcel and have begun to develop 200 condominiums units on Ambergris Caye, Belize.

Additionally, Michael has spoken at hundreds of international conferences about real estate financing and development. He has acted as a consultant to The Oxford Club and gives counsel to various real estate projects throughout Central America.

Conversation Highlights

Investing internationally to diversify your portfolio geographically.The demographics of who is buying property through ECI development: 30% lifestyle, 30% pre-use buyers, and 40% investors.What you need to know about the buyer beware environment of investing outside a nanny-state.Investing in Latin America is like a time machine. You want to be in the path of progress.Long-cycle cash flow with teak timber creates generational wealth that pays out every 25 years.

Connect with Michael Cobb

This conversation barely touched the tip of the ice...

https://www.youtube.com/watch?v=RnzDMisQ5go

Infinite Banking has the edge over other funding methods because of the strategic use of whole life policy loans.If you’re new to the concept, let’s rewind to make sure we’re on the same page. Infinite Banking is a strategy of building up cash value inside of a specially designed whole life insurance policy.  The cash value is a place to store cash that provides safety (your cash value won’t drop in value), growth (with guaranteed interest, plus non-guaranteed dividends), and liquidity (contractual access to use your money.) 

When you want to access your cash value, rather than depleting your cash value by using it directly, you convert it to cash by borrowing against it.  That means you don’t use your cash value; you collateralize it and use OPM (other people’s money) instead.

So, all of your cash value continues growing and compounding, even with an outstanding loan.  This is why you can earn a return on the same money in two places at the same time.

Find out more about life insurance policy loans and why we use them here.

Today, we’ll dig into the process of how to take a life insurance loan and pay it back.  We’ll de-mystify policy loans by talking you through the steps you’d take to move capital into usable cash in your bank account.  And you’ll gain the confidence to use your policy to the fullest capacity to maximize all of your money.

Table of contentsWhere Do Whole Life Policy Loans Fit into the Cash Flow System?Whole Life Insurance’s Three Rates of ReturnThe Reason to Use a Whole Life Policy Loan: ControlThe Process of Taking and Repaying Whole Life Policy LoansHow Do You Request a Loan?What Happens to Cash Value with an Outstanding Loan?How Does Interest Accrue During a Whole Life Policy Loan?How Do You Repay a Policy Loan?What If You Don’t Pay Off a Policy Loan?Why Earning Interest Is Better Than Paying Yourself InterestStart Using Whole Life Policy Loans for Infinite Banking Today

Where Do Whole Life Policy Loans Fit into the Cash Flow System?

Loans are one small part of Privatized Banking, which is, itself, another step in a bigger journey to time and money freedom. 

That’s why we’ve developed the 3-step Business Owner's Cash Flow System as your roadmap to go from just surviving, to a life of significance, purpose, and financial freedom. 

The first stage is the foundation.  You first keep more of the money you make by fixing money leaks, becoming more efficient and profitable. 

Then, you protect your money with insurance and legal protection and Privatized Banking. 

Finally, you put your money to work, increasing your income with cash-flowing assets.

Whole Life Insurance’s Three Rates of Return

The power of whole life insurance comes from the three distinct returns it gives you: an internal return, an external return, and an eternal return.

The internal return is the growth of your money through interest and dividends inside the policy.

The external return is the growth on the outside investments when you put your cash value to work in other assets with policy loans, a process known as Infinite Banking.

And the eternal return is the death benefit that provides an ongoing legacy to your loved ones.

The Reason to Use a Whole Life Policy Loan: Control

You capitalize on the external returns by using policy loans as a funding source.

Using a whole life insurance loan boils down to one thing: control. 

You have control because you have the guaranteed privilege of accessing cash up to the amount of your available cash value.  That means you don’t need to meet any terms or qualifications.  You don’t need to prove you can repay.  There’s no credit check or scrutiny on what you’re using the money for.

So, it’s not a wait-and-see if you’ll get the money.  If you request the loan, it’s yours.

Another layer of your control comes from the contractual right to control the terms of how and when you pay bac...

https://www.youtube.com/watch?v=sOOnaH1iC-M

In today’s show, we’re interviewing Dr. Joel Wade, of Mastering Happiness.  Dr. Wade is an Author, Psychotherapist, and Life Coach who’s centered his work on happiness, and helping people live happier, better, and more effective lives.  And we’re talking about true happiness and well-being, not simply the happiness of feeling good in a lucky moment of pleasure.  Instead, happiness is a set of skills, a practice, and an attitude toward life that you can learn and apply in whatever circumstances you are in.

Where Happiness Fits into the Cash Flow System

Here at The Money Advantage, we are a community of wealth creators who are entrepreneurially-minded business owners taking control of our lives and financial destiny. 

It’s not enough to just make a great income.  You have to figure out how to keep more, protect that money, and finally, increase and make more through the right investing decisions.

That’s why we have created the 3-step Business Owner’s Cash Flow System.  It’s your roadmap to take you from just surviving, to a life of significance, purpose, and financial freedom.

The first step is keeping more of the money you make by fixing money leaks, becoming more efficient and profitable.  Then, you’ll protect your money with insurance and legal protection, and Privatized Banking.  Finally, you’ll put your money to work, increasing your income with cash-flowing assets.

Today’s conversation will help you upgrade your mindset to be able to be a producer and creator of true life wealth, flourishing in every area of your life.

Who Is Dr. Joel Wade?

Joel F. Wade, Ph.D. is Marriage and Family Therapist and Life Coach, and the author of The Virtue of Happiness, and Mastering Happiness, and creator of an in-depth online course, A Master’s Course in Happiness, all drawing from the increasingly useful research in psychology in general, and positive psychology in particular; and his nearly four decades of working with people professionally. He has written regularly for a variety of publications, including The New Individualist, The Good Men Project, and the Beyond Wealth columns for the Oxford Club.

He’s also a world-class athlete, having won multiple national and world championships in water polo.

Dr. Wade enjoys teaching clear, practical skills and ideas that can be used immediately. He inspires his readers and listeners to take effective steps toward a more rewarding, joyful, and resilient life.

As a Life Coach, he works with people around the world and can be found at www.drjoelwade.com.

Joel Wade Conversation Highlights

What Is Happiness?

Happiness doesn’t mean a temperament and personality of cheerfulness. Rather, happiness is Aristotle’s eudaimonia, which means success at being human.

Martin Seligman moved psychology away from treating symptoms, to the habits for creating a flourishing, happy, successful life. He also created the original research on learned helplessness.

When you focus on what you’re aiming for, the problems become smaller in comparison, and you have more resources to tackle the problems with.

The difference between being happy about life, vs. being happy about your circumstances. You can’t base life’s happiness on circumstances, because there’s a lot of external luck to that. Happiness is more a matter of being happy about your life and living in a way that’s congruent with your value system.

Don’t be too attached to the outcomes or the score. Instead, take control over your own focus, attention, skills, and playing my best.

Carol Dweck’s work on a fixed mindset vs. a growth mindset. With a fixed mindset, you aren’t an agent in your own success, and challenges become risks and threats.  With a growth mindset, you celebrate challenges. 

Overcoming challenges and failures makes success and happiness that much more valuable.  We need challenges that push us to expand and create more comp...

https://www.youtube.com/watch?v=SZpFzXjvYc4

There's one thing most people miss when setting up their goals for the coming year. And because of this little oversight, so many new years resolutions that started out as cheerful balloons dancing towards the sky become like coins slipping our grasp and clattering to the ground. That means that New Years resolutions can become frustrating and apathy-inducing, and cause you to live so far beneath your potential.Well, lucky for you, there's a solution that will help you start off the new year strong and accomplish way more than you had imagined. It's this new year planning secret every great entrepreneur knows.

As we transition into the new year - heck, a whole brand spankin' new decade - we wanted to bring you a personal message about how we close out one year and transition into the next with as much strength and intention as possible.  We think this will be really helpful to you as you’re building a life and business you love and taking control of your destiny.

In this episode, we share our most important lessons from last year and how we’re using that as a foundation for success in the new decade.

The Clean Slate of a New Year

Ever since I was a kid, I loved waking up to freshly fallen snow.  The world was covered in white with no tracks, disruptions, or flaws. It was a fresh, clean slate.

That’s how I feel about the new year. It's this clean slate that creates an expectancy, like anything is possible.  It’s a new beginning, a new start, and new goals.

Purpose Instead of Resolutions for the New Year

But instead of getting caught up in the buzz of new year's resolutions that usually are broken and fail within the first 24 hours of the new year, how do you stay in abundance and the right mindset?

How do you set your intentions and purpose for the new year so you’ll succeed? 

Start with this New Year Planning Secret Every Great Entrepreneur Knows

Don't start by listing goals.

First, honor last year's successes.

Why?

It's way easier to win again at a bigger thing when you're already winning.

As Dan Sullivan coaches, this process helps you to stay positive by looking backward at how far you’ve come. It's like pulling back the slingshot to give maximum thrust and force to the rock you're shooting.

How do you do that?

Whether last year was a triumph that exceeded all of your goals, or whether you are still reaching for goals that you haven’t yet mastered, honor and value last year. The big and small triumphs along your journey have given you strength, lessons, and chiseled your character. They've laid the foundation for everything you can and will create in the future.

This gives you a sense of closure, meaning and purpose about last year.

And then, last year becomes a foundation that propels you into the new year as a better, stronger, kinder, wiser, and more successful person.

Since this life is one long story, this is how you finish well in the middle of the journey.

Our Year End Reflection Tradition

In the Marshall house, part of our ritual and tradition at the end of every year is to reflect on the last year, gain insight, and then get clear on the next year.

Start With Gratitude

It’s critical to start with gratitude.  Gratitude paves the way to focus on the good stuff and invites more of it into your life, because you’re in the right mindset to receive more.

Take Inventory of Last Year

Then, we take inventory and write down all of our major life moments over the last year.

Accomplishments, wins, defining moments, big decisions, new things we started, things we ended. High-quality conversations, enriching relationships, leaps of faith, answered prayers.

We open our calendars, emails, text feed, facebook, and notes to help us really remember everything.

It's a journey down memory lane that's so invigorating because of the focus on what was good. And before we know it,

https://www.youtube.com/watch?v=ATfbEBmtzjE

What is the perfect funding ratio between base premium and the paid-up additions rider (PUAs)?  You may be surprised to discover that this question comes up often in our one-on-one conversations with people who want to implement the Infinite Banking Concept personally.  And since whole life policy design is important enough to discuss one-on-one, it’s relevant enough to dedicate some airtime to answering this question upfront.

In this article, we dig into the more technical design of a whole life insurance policy.  We’ll have a candid conversation about why we design whole life policies the way we do, specifically regarding base and paid-up additions premium.

Instead of looking at it so closely that your eyes start crossing, you’ll zoom out. Then you'll get the best big-picture and long-term perspective.

If you’re in the consideration stage, this will matter a lot to you.  If you’re still doing research, it will direct your attention to what to think about.

You won’t have to merely trust someone else to lead you to your goal.  You’ll be more in control of the process of becoming a Infinite Banking user because you’ll be empowered with understanding. 

Table of contentsDoes It Work vs. How It WorksBase Premium vs. Paid-Up AdditionsWhere Does Whole Life Insurance Fit into the Cash Flow System?Privatized Banking Introductory ResourcesThe Art and Science of Policy DesignWhat Are Paid-Up Additions (PUA)?Base vs. Paid-Up Addition PremiumTo Understand Long-Term Cash Value Growth, Follow the DividendsDividend Rates Over TimeDifferences Between Mutual Insurance CompaniesDividend Application to Base vs. Paid-Up AdditionsPUA Rider and Policy Design ConsiderationsPremium Payment FlexibilityPolicy UtilizationThe Big Shift: Policy Performance More Important Than Policy DesignStart Your Whole Life Policy Today

Does It Work vs. How It Works

You may be more of a conceptual person, like me.  For instance, I want to know the car is safe, reliable, and drives well. I don’t need to know anything about what happens under the hood as long as it serves me well.  Same with a computer.  I don’t want to know anything about circuit boards and coding.  I just need to be able to use it to write, record, store photos and videos, and use the internet. 

If you’re the person who wants to look under the hood and understand how everything works, this episode is for you. This is more about how high cash value whole life policy design works, rather than what it does.    

Whole life insurance policy design is like the levers on a soundboard.  It’s nuanced and technical, a dance between art and science. 

However, whatever your style, it helps to keep the main point in focus. More than understanding the mechanics and adjustments of how it works, you should pay close attention to the resulting performance.  This is like turning your attention from the controls on the soundboard to the quality of the sound produced. The outcome is what matters. Your ultimate goal is to deliver a moving and transformative ambiance and experience for the person listening to the music.

However, if you don’t understand the concept, the details don’t matter.  And usually, if you do understand the concept, the details don’t matter. 

Base Premium vs. Paid-Up Additions

You could think of base and paid-up additions premium as the two opposite ends of a sliding scale. On one side, you could have a life insurance policy with all or mostly base premium. At the other end, you could have a whole life insurance policy with mostly paid-up additions rider premium payments (10/90 Premium Split & Blended Term PUA Rider Risks, with Rodney Mogen). 

Whole life insurance policies can be designed with all base and no paid-up Additions rider (PUA), and on the other end of the spectrum, they may have 10% base and 90% paid-up additions. And you'll also see just about everything in between.

https://www.youtube.com/watch?v=PxjK_XqwRdo

Nnene Mbonu, a real estate investor and one of our clients, is hacking her way to wealth with Privatized Banking. Find out how in this episode. 

Nnene Mbonu has worked in the oil and gas industry for 18 years and seen the cyclical nature of the industry.  After facing two layoffs in the span of two short years early in her career, she knew that she wanted to be in control.  That’s when she began investing in real estate.

Nnene has always been a researcher who isn’t afraid to take calculated risks and do things differently than everyone else.  When she came across the Infinite Banking concept, specifically as a tool to build business and investment capital, she knew she wanted to find out more. 

Nnene would encourage anyone to do their research and then move forward.  We’re all given a unique set of circumstances, personality, and family.  The best thing you can do is to educate yourself and then take the best action you know to do right now.  Then, continue to grow, innovate, and evolve as a person.

You’ll hear about how Nnene is using Privatized Banking for herself and her family.  But more than that, you’ll see she’s developing her #1 asset – herself – and building a legacy of wisdom for her children and the people she loves most.

Nnene Mbonu Conversation Highlights

Nnene shares her one regret that they paid off the mortgage first, instead of putting the cash into a policy. It’s far more difficult to get dollars out of the four walls of your home than to access policy cash value.How Privatized Banking helps you get more than one use out of your dollars. It provides a death benefit, and cash value you can recycle over and over again.Having the cash value provides you options on accessing capital, including borrowing from the life insurance company, or borrowing from another lending institution who recognizes the liquidity of life insurance cash value.When you borrow against your policy, you’re not only paying yourself back, you continue to earn interest, even while you pay interest for the cost of capital. This allows you to be your own banker, control capital, and earn uninterrupted compound interest.Why Nnene is not stopping with just one whole life policy. She is continuing to build an ecosystem of life insurance policies in her family to create business and generational wealth.Why she’s not only modeling financial control for her kids, but also requiring them to expand their financial literacy for themselves with books and podcasts.Nnene Mbonu thinks of using whole life insurance as hacking your wealth – taking those powerful steps that up level your game and give you an unfair advantage.

Start Hacking Your Way To Wealth Today

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Success leaves clues. Model the successful few, not the crowd, and build a life and business you love.