Category: Blog

EPPUA vs. APPUA to Simplify and Potentially Open Less Policies in the Future

https://www.youtube.com/watch?v=hGuZByH2fUE

We’re getting to your guys’ questions. Now, if you guys want to take them to the chat more.

Ronnie, and I’ll go look up the true, exact definition, but with pen, and I’ll get back to you on this one.

But that’s the first I’ve heard of that too. And that makes sense. Every carrier has their different nuance. I think that’s where it’s good to talk to each other and to say, why would I do one or the other at the end of the day? I think they’re all the same.

Line of Credit/Loan [Infinite Banking FAQ]

https://www.youtube.com/watch?v=o01WDWtr9pg

Alex, are you still there? That’s his policy.

Yeah. Alex, just be aware that you’re not paying back yourself, that 5% interest is going to the insurance company. You may get some small trickle of that based on company’s profits gets paid back. That’s part of this goes to the dividend rate that you receive, but the inch that 5% interest is not going to you directly.

Guardian has Index Participation Feature

https://www.youtube.com/watch?v=uzx-1-AfbqI

That question about the index participation, I guess that kind of makes it almost half an IUL. Is that right?

Are you talking about Guardian Index Participation on the actual IVC. So if you selected that, that makes it like a hybrid IUL is there right. It’s still whole life so that you have less risks on there. But so for those of you. That aren’t aware of what Mary’s saying is it’s Guardian has Index Participation feature on it, where instead of receiving the stated dividend rate, which is currently 5.65%, you would be able to get index rate based off the S and P 500. There is a company caps of 11% and 4%, and then they charge you 2% to get it. So right now, the max you could get is 9% and the law of 2% as your dividend rate instead of the 5.65. So it’s not in addition to the 5.65 it’s instead of the 5.65. And what it’s doing is it’s indexing the S and P 500. So on your policy anniversary date, it’ll look at what the S and P 500 was at last year and then what it is at this year. And then that percentage rate is what you’ll receive.

But the trade-off, what is the trade-off when you click that box?

It’s a free thing. It cost there’s zero cost for it to be a rider on your policy. So it’s there, but if you use it, if you allocate any money to it, then they charge you a 2% on the return.

You can choose anywhere between zero and a hundred percent participation. It’s nice where you don’t have to allocate all of your funds to it. For me personally, the reason why I chose those whole life is for kind of the stability. You know what you’re going to get. I already have some exposure to the stock market, through retirement accounts and other things. That’s just me personally. I may use that feature when there’s a major stock or a market correction. It tanks a portion of the funds to receive that potential higher dividend, but the risk is more unknown. It’s based on your policy anniversary date so everyone’s returned maybe slightly different and basically it just index annually.

And that kind of, we’re not going to get into this topic, but that kind of transitions into what you had at a certain point. In my opinion, people who, if the whole life kind of banking to the IUL or some people call this a philosophy banking where it’s got stock exposure. And to me, that’s the end game, right?

If your net worth is four or $5 million or more, you’re in cruise control and you’re not going into individual deals or investments or rentals, you know, you just want like a no-hassle single-digit greater return. That’s what that product is for. And I think at this point I’m not getting it personally, but I think one of you guys would probably push me at some point to make more content around it. We’ll create more videos and information about that product here in the future. But for now, you know, the infinite banking is for folks who are million dollars to five, $6 million net worth who are taking, putting the money in there. We’re getting a little nice rate of return, tax-free off the table, creditors and litigators, but to take the money right back out and invested in deals or whatever you’d like to do with it.

If You Have an Existing WL Policy What Should You Do With It

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

Hopefully your existing policy has no additional P lease. A lot of them that either evaluated existing policies, even. And this is where the design is so important because it’s a guardian policy. It’s a foster guardian policy. Yeah. It’s a fair product that we use heavily and it was just designing. So the other person couldn’t contribute anymore.

It was basically all based premium and he couldn’t put in Peewee. And if you can send him, reached out to me, I’m wanting teachers quickly. I can do a quickie, which of the color. But yeah, this is more than likely the guy built it. Not with the idea that you’re going to get the liquidity. Right out of it, you know, I think my wife had something like this, but we just chose to just cash it out.

Or I think Tyler, you can do like a 10 31 exchange or life insurance too. Why would you do one or the other, like the cash it out or that template? What is it called to building one for life insurance? What was that called? 1035.

Close. 

Basically, I will do a tender most of the time. I would recommend doing a 10 35 just because you don’t wait when you do the withdrawal, it becomes a taxable event.

You do the 10 35. You can reserve all that cash value, put it into a new policy. Then you’d have access to that cash value via policy. I personally, haven’t had a pretense. I still have a Prudential spot on me. It’s so small. I was about to just take the cash value and instead I’m keeping it there and I’m just taking all policy loans.

I didn’t do a 10 35, cause it didn’t make sense because it’s already paid up, but you can just access that cash value via policy loans. There you could possibly even just do a reduced paid-up exercise and reduced on your policy and you could kill the fees and maybe that may even be the better option.

Right. Good to know. If you don’t mind, I’d like to send you over what I have and have you take a look. It depends if it’s big enough, like over 25 grand or if it’s less than that might be easier just to simplify it like 125,000 dollar 401k. I mean, that’s not too much money as well just get rid of it.

Yeah. I mean, right now there’s 105,000 and cash value in there. So it’s grown to be significant. I think I just didn’t want to pay that. My wife’s slimeball.

Yeah, I hear ya. I think he’s trying to sell me on like a, another policy now. 

It’s usually the guy that you’ve never seen since college or high school, they take you out for lunch, right? Field trip, you that your kids and your family are up the creek and you don’t do this.  They’re building you up with everything that you don’t want. It’s not like they’re trying to screw you. They’re just building it the way that they were taught. And a lot of this is very counterintuitive, which is high liquidity, low death payout, which is, goes against everything that they’re taught.

And then low interest rate too, which doesn’t make sense. I’ve had these guys, they challenged me. They’re like, I thought you’re like simple passive cashflow you want returns, right? Don’t you want good returns on this? I’m like, dude, like you don’t get it. Yeah. It’s not the case.

Tips to Increase Other Income From Real Estate

Now, another trick that folks like did you in this business inflating other income or non rental revenue, such as trash filet, additional storage fees, reserved parking or covered parking in Texas. That’s a big one for those late hailstorms money for vending machines, money from laundry machines or any type of service that may or may not be tested by the current clientele.

This has been a way to sneak deals past even the most astute, passive investors. We have understanding of underwriting, just put stuff into other income category because most people don’t look there.

Don’t Buy A Fixer Upper!

https://youtu.be/6hKezp7iSa8

Guys, this is your rich uncle here today. We’re gonna be breaking down the CNBC article, talking about. Millennials having regrets. And I’m going to tell you ultimately why I don’t think people should be buying their house until their network is two times that, of the price of their home. So yeah. Let me just go down this article and kind of summarize it for you guys because life is short after all.

So they’re saying that millennials are having regrets after buying their current home. The reason why they’re having regrets is. Because you shouldn’t buy houses, you shouldn’t buy a house to live in if you’re responsible with your money and you’re able to invest it in other things that make you a lot more money.

This goes completely against what most people think out in the world. But Hey, go figure, as in many things, the things that they tell you may not necessarily be correct. I don’t live in a place that I currently own. Because I’ve been growing my money tenfold with, by investing in single-family home rentals and now apartments today.

One of the biggest things that people cited was that these folks are underestimating their costs. One of the biggest mistakes you can do is buy a fixer-upper. You hear it about it all the time? My goodness. Stop buying a fixer upper because here’s the problem folks. Yeah, you’re getting maybe a little bit less expensive than you would have bought otherwise, if it was all shiny and new and fixed up, ready to go.

But the thing is say you have to be paintings or maybe 10, $20,000 of repairs in the property that you think you’re going to do yourself. The issue with this is that you can’t finance the repair box. The biggest thing that we talk about as sophisticated investors is, putting the least amount of down to get the most amount of returns for our money.

So if you bought a $500,000 house, you put 20% down payment down. So let’s just say a hundred thousand dollars. But then now you have to, you’ve got this fixer upper. So you got to put 20 grand into it. Now you’re in the deal for one 20, when you really should have been in it for a hundred and people who don’t understand money, don’t understand a responsible use of debt.

Don’t understand what we’re talking about here. They don’t understand it. It drives me crazy. People think that they’re getting it for less. They’re really not because this is not how money works. This is not how it should. Your rich uncle does it. This is not how the wealthy do it. Guys. You guys need to stop listening to mom and dad doing it the wrong way, or all your other coworkers or friends who are thinking, don’t go into debt.

As I say before, you got differentiate bad data, good debt.

So this is what kind of stem is from underestimating. The repairs. And this is drives me crazy about mainstream articles. They always come up with this, like, all right, what should you do? And we started just lane ways, like building up your savings. Come on, give me a break. Make sure you’re thorough.

Yeah, of course, but don’t buy fixer upper skies, buy it all, ready to go or negotiate it into your contract as I’ve done the past so that the repairs get done. Prior to closing so that your lenders okay. With it in the process, and you can wrap up all those repairs that you would have had to put in.

Otherwise, again, let’s just say you had to pay $20,000, right? Cool. You just increase the price of the property, make it a $520,000 house instead. But now you, you put you finance that five 20 and now you’re out of pocket, maybe. 20% of that 20 grand, right? So $4,000 out of pocket. And then, so this is the, this is good use of money and debt.

So they also broke down. I’m going to show you this graphic, that teammate for us. So in this graphic, shows like the difference between a formal owners in general, which are like the general population and the green ones are the Greenies, the younger folks. I don’t know where they were at with these different types of aspects of the home buying process.

The people had no regrets, typically the older people, right? Because they were buying houses where the millennials are just buying houses, just to keep up with the Joneses to be, it makes no financial sense to own a house that you live in going invest the money. Heck, put it into your student loans at six, seven, 8% that you’re paying now, that’s still going to be better than putting it into your house.

I still don’t even think you should be doing that.

Every other population you can see maintenance was a big thing that we just cited there. People bought a too small of a house. See, I think this is this is just a bad data, right?

You should, for every 10% or so people who had that group, Brett. You would think that the 90% of the other ones that they bought too big of a thoughts, in my opinion, depending how the survey was designed, it should be 50 50. These are some other things that people thought of as their kind of regret for buying that big payment.

I don’t really want to get into it today, guys, but go to my room website, simple, passive castle.com/home and read my entire guide to reasons why you should, and obviously you shouldn’t buy a house to live in buying a house to live in is one of the biggest financial mistakes. I see young people making these days, you put that have to put down a large sum of money.

That you would have otherized otherwise possibly bought two, three, four, five rental properties where families are paying down your mortgage for you. That’s the difference when you own your own house, you’re working your butt to pay down the mortgage yourselves and compound that the fact that you’re going to have a much larger mortgage payment.

Now this cripples your cashflow, instead of maybe being able to save 5,000, $10,000 a year. Now you’ve shrunk that down to almost nothing at this large house payments don’t believe the nonsense that other people are saying that rent is throwing money down. The two. Sure it is. But if you have all this money that you would have sunk in there anyway, making a whole boatload of money for you at the end of the day, it’s the combined some of the two, I might be throwing a thousand dollars down the tube paying rent, but I need banking two, three, four, $5,000 a month with my rental properties that the down payment I wouldn’t have had. Otherwise, if I would have sunk it into the down payment of the property and I would also be making a lot more money to be able to accelerate by more and more rental profits.

So there isn’t a nutshell guys again. Don’t buy a primary residence until your net worth. It’s the least one to two times more than that price of the property you’re looking to get into, right? It is a financial drag on your finances. Don’t do it yet. If you guys agree with this, don’t agree. Let’s have a conversation down below in the comments.

I’ll try and answer them all. A lot of this is a lot of people get very passionate about this people. You’re like, oh, where would I live? Right where my family live own or rent something. Go find a unsophisticated landlord that thinks owning a property that where the rent of value. Racials where you take the monthly rent divided by the purchase.

Price is not greater than 1%. Actually think that’s a rental property and it’s not, it’s a bad rental property and bear on sophisticated investor. So therefore you as a tenant need to take advantage of what they do not know. So therefore you need to rent from them.

All right, guys, keep learning the good stuff from your rich uncle here, and hopefully we will get you guys to financial freedom. So take these back.

Is There Power in Bitcoin

Just a, I guess a personal question. What do you think about sweeping that money into a block fire or like how Ilan is putting it? It clean, but it’s your thoughts? I’m sure it goes against the PPM. Yeah, you’re right. In our sec offerings statement, we’d have to disclose that. I don’t know. I guess the only reason to keep cash on hand is because we may have needs payables and stuff like that, acquisitions, but it is not, I’d be a little nervous if we did that and then it wasn’t readily available when we needed it.

And so I think these sit in the bank for either in an operating account or in a money market account, and definitely not.

How Much Cash Should You Have in Order to Invest

Is there a certain percent number that you’d like to keep as cash. It’s a couple hundred dollars, $200,000. I think people will get nervous if they say, oh, where do we only have a hundred thousand dollars in the bank? Just because there’s always paid just as money comes in every day. There’s bills that come in.

And once in while almost like an emergent, Hey, we got to cover this taxes today or something like that. So there’s always typically a hundred or 200, lots of times more. And we try to manage that sometimes we’ll get significant payoffs or Oreos or significant money comes in or investments come in and it’s not readily deployed.

We sweep that money to a money market account. So we’re earning some anemic rate of interest, but at least there’s a little bit of money versus sitting in the kind of operating account where they’re earned zero. So that’s done regularly. It doesn’t add up to much, but it’s fine.

Tony Robbins UPW – Group Travel 2021 Palm Beach FL

Get a UPW discount by signing up here.

 

We are forming a mini group mastermind like the last one in Sonoma.

Sorry Lane will not be there because he is not allowed to travel with his kid now 1.5 months old 🙁 

I attended it in 2016 and again in LA in 2019 and it was the inspiration behind my story in my book.

I’m normally not an excitable person (there is a lot of jumping around and dancing – which I’m not too big of a fan) but this UPW event the real deal!

Pricing (Complete form BEFORE JULY 31 to get on our group order)

*You will need to pay me before July 31 so I can pay as a group. I think I will be able to get us all upgraded one level up at the very least based on our numbers from last year. So it will be just like syndications… everyone pool their money together and we all get more in the end 😁

 

Here is the direct link to Tony’s website.

I suggest bringing an accountability buddy or significant other. The worse thing is to come back to normal life without someone speaking the same “language” around you.

I see these motivational events as “baths” which you need to take from time to time. Even if you are someone who is internally motivated, this will take you to another level.

Why join the Hui:

  1. Learn the framework to be happy – best video segment ever
  2. Connect with people like minded
  3. You will leave this event changed – as silly as it sounds “things will never be the same”
  4. This event will be held in a smaller venue (12,000 people) which I was really excited about when I was planning this because it is a lot better environment than the normal sports arena setting where everyone is captive in their rows.
  5. You get to walk on burning coals!
  6. Learn more about the event here – note the LA event is not yet listed

Details are still being formed but we will likely get upgraded one or two levels if we come in as a large group. 

I am also arranging for a Monday decompression meeting to connect with other investors who attended from the Hui.

This event is more for personal development than investing. But it is certainly investing in yourself! After all… getting the passive cashflow is Simple but what you do after is the hard part.

I don’t personally guarantee investments because of course there is always a risk but I WILL guarantee your ROI if you come to this event! Call me and I will share my experience.

See what Tim Ferriss says about this event (last quarter of the end of video)

Trust me it’s going to be amazing!

After going in 2016, I made these goals in 2017. Some of which happened so of which I overshot.

2019 Takeaways:

Less urgency with more systems

Barriers- peers around to do the same things, 

What needs to shift what actions… Deciding how to do this

Why will you live in a beautiful state everyday no matter why?

Life is too short
It is a slippery slope backwards
In the end a beautiful state is what we are after anyway not money, house, job or relationships. 
I have control over this… Potential => Actions => results => belief/concerns

Flavors of reaction: 

Three things that cause suffering the fear of 1) loss 2) less 3) never have something

Suffering => appreciation => joy

You will make more money if you are in a better state.

Two things that I did to start investing to go bigger – 1) started something that could be better and connect with others and build a platform to have larger impact. I made small changes and found models and copied and got around the right people and slowly built 2) started paying to learn

 

 

So you are in!

Preparing for your first Unleashed the Power Within Seminar:

1) Come with an open mind.

2) Make a list of a few limiting beliefs. Everyone has these. Some common examples are I am not achieving what I want because… (I’m to young, too old, never went to college, a woman, I’m brown, I did not come from money). These are the things that subconsciously hold us back. What are limiting belief’s here are some softer examples and they range to not being a certain race, not having the right education, not being tall enough, to not being good at math.
3) Prepare to tackle your biggest, hairy, huge goals.
4) Tony will bring it. He drops the F-bomb a lot. Mostly for shock value as again it is entirely on purpose. Note: he gives free tickets to some troubled kids and he tries to speak to a lot of the kids in the first few minutes who likely have never have heard him before.
5) Prepare to dance your ass off. Even if you can’t dance/hate to dance/have no legs… You will still want to dance. Get in that “puppy pit”.  For goodness sake… Live like you don’t give a fuck. Get comfortable with being uncomfortable. Dance because if only it is you trying to do something different.
6) Joseph McClellan will speak on day two and day four.  He is a good speaker too. This is not a 5k seminar so you do not get four days of Tony… Its a fraction of that.
7) Be prepared to show up early and go long. Like 8 am to 2 am long. Stay as close to the convention as possible it will be crazy leaving when everyone else does. Don’t try to skip out. If you are getting tired you are letting circumstances control you instead of your leading your state! It is often in the moments when you are close to your limits that the biggest breakthroughs happen, so don’t sell yourself short.
8) Firewalking is real. I thought it was a party trick when I did it and did NOT get into state. You can do it and you will remember it for the rest of your life. This will be trumped by day 3 transformation evening showcase.
9) Taking your spouse or buddy? It’s good that you will be on the same page when you get back to real life but consider not sitting together for part or all of the seminar. There is a lot of value to connecting with others there and getting outside of your normal conventions.  Don’t be afraid to talk to some people. Volunteers, there are a wealth of information about what’s coming next and what to do. You can be your true self when you don’t know the other person as they don’t know you or have any expectations of who you “should” be. Here is what the staff told me “It is highly suggested, but not mandatory, for family members, friends and colleagues to not sit with each other.  We find it that you end up “playing full out” with strangers than with people you know.
10) I would take notes and more importantly brainstorm action items and implantation plans.
11) Drink the kool-aide. Be all in. Dance, scream, visualize. Show up on time and stay till the end. Get your money’s worth. Do it! It’s worth it.
12) Tony is on another level in terms of hypnosis that makes NLP obsolete. Go with it.
13) Try to sit in the aisle so you can mix and mingle. This makes it easier to run out for a quick bathroom break. You will have to be in there a little earlier like 30 minutes scheduled to start. Also, try and find the bathroom that no one uses for quicker usage. don’t wash your hands it’s faster… Jk.
14) Read/listen to any of his books or audio program
15) Check out what is on YouTube e.g. his TED Talk
15) Watch I Am Not Your Guru on Netflix
16) Six Human Needs and Triad are the core of his work you can learn more in his TED Talk or on his website
17) If you’re not in the right state, not getting it, not feeling right etc. ask any of the leaders and trainers for help, they are amazing resources and have been through it so many times before so have seen, heard and experienced it all before.
18) Subscribe to UPW Facebook group for the event
19) On day two make a list of things you will Stop doing

20) You may not want to commute to and from the event as the event starts early in the morning and end late night.  The first night may end after 12 midnight.

What to bring to the Seminar

1) A heavy jacket or even blanker – Tony keeps the room extremely cold on purpose. It’s all part of his magic. Embrace it.
2)  You will be jumping for hours. No heels or dress shoes. The only type of shoes you should be wearing are tennis/keds/flats/basketball shoes. Most people will wear causal or gym type attire.
3) Don’t just bring snacks. Bring meals. I’m talking fruit, nuts, hummus, veggies, crackers, granola bars, etc. If you don’t, prepare to race 10,000 other people to be in front of the food line. Post-mates/Uber eats can be a good healthy option. If you are so compelled fast for the four days – and start the literal cellular autophagy – as you will learn the pain is all in your mind!
4) Notebook

Post-event:

1) Give yourself a couple of extra days after the event to catch up on sleep, decompress, review your notes, absorb and process what you learned and make a plan for how you will integrate changes in your life.  You will be tempted to plan to rush back into “life” straight afterward but to allow yourself to recover and to successfully integrate your learnings you need to give yourself a little time. There will be some discussion on this on the fourth day.
2) Stay tuned… I will plan an event Monday morning or Sunday evening.
I’ll try to get some of the following

Hot hands

Bars
Water
Bags
Jerky
Nuts

 

Pics from the 2019 Los Angeles Event: