Expanding your Infinite Banking System
Wealth Talks
Buying Term Life insurance rather than Whole Life insurance and then investing the difference of premium payments, became popularized financial advice in the 1970s and 1980s by AL Williams. Now today, 50 years later, this advice is still the cornerstone principal for many financial advisors including Dave Ramsey. Is Buy Term and Invest the difference the best option now? Whole Life insurance policies available today are different than 50 years ago, the market is always changing, is it time to revisit buying term and investing the difference? In this episode we compare buying term and investing...
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Wealth Besides Money
Wealth Talks
Are you often late? ... It could mean you're an optimist type personality. Ben explains in this episode and Steven self convicts. Wealth is often used in reference to monetary value or quantity. Many people never consider the wealth that is beyond money. Relationships, Memories, Health, Family, Friends, Opportunities etc. Wealth is a comprehensive expression. Today on Wealth Talks Podcast, we talk about some of these other types of wealth. *This episode takes a bit of a turn.* Link to Jesse's video on buying his house: Follow the Wealth Talks Podcast on: Instagram: Facebook: Listen to the...
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Buy Term and Invest vs. Whole Life Insurance
Wealth Talks
Buying Term Life insurance rather than Whole Life insurance and then investing the difference of premium payments, became popularized financial advice in the 1970s and 1980s by AL Williams. Now today, 50 years later, this advice is still the cornerstone principal for many financial advisors including Dave Ramsey. Is Buy Term and Invest the difference the best option now? Whole Life insurance policies available today are different than 50 years ago, the market is always changing, is it time to revisit buying term and investing the difference? In this episode we compare buying term and investing...
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Infinite Banking Concept and a Modified Endowment Contract MEC
Wealth Talks
A good life insurance policy can become a Modified Endowment Contract when it fails the 7 pay test. What does that mean in plain terms? We explain in this episode. Learn what a MEC is (modified endowment contract) What if my Infinite Banking Policy becomes a MEC? Is a MEC bad? Can a MEC be good? How to avoid a MEC Why did the rules for life insurance change in 1988? What is the 7 pay test for life insurance? Learn the history of the MEC laws passing congress Podcast Episode 560: 📄 INFINITE BANKING MADE SIMPLE BINDER | Get the free binder here: Follow the Wealth...
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Convertible Term Insurance
Wealth Talks
Converting term insurance into a permanent life insurance policy can allow you to recover the cost of your insurance in a matter of a few years, insure that your premium will never increase, your death benefit will never expire, and in addition to this, build cash value equity in your policy that will continue to accumulate and grow tax free. (listen to understand more about this) One of the best kept secrets about Life Insurance is convertible term insurance. Convertible term insurance allows you to take advantage of the low premiums of term insurance and lock in your insurability, and then...
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Infinite Banking Questions and Answers
Wealth Talks
If you have questions about Infinite Banking or Whole Life Insurance, this is the perfect episode for you. We go through a bunch of specific questions on Infinite Banking, Whole Life Insurance, Financial Strategies and the like; answering the questions in lots of detail. Resources for this episode are here: Gracine's video on single premium policies: Tom's video on 2 ways to pay property taxes: 📄 INFINITE BANKING MADE SIMPLE BINDER | Get the free binder here: Follow the Wealth Talks Podcast on: Instagram: Facebook: Listen to the Wealth Talks Podcast on: YouTube:...
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Financial Planning
Wealth Talks
What is the most important factor in retirement planning? The philosophy and the financial habits you create. John does financial planning for clients. Today he shares details about how he goes about creating a successful financial plan. What is his goal when he advises his clients? How does he make projections for his clients? How do you make calculations based on future assumptions? Whats the best way to save for education? How do you plan for retirement? How much money is enough? Can you calculate that number? An important message on retirement is...
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White Coat Investor vs. Infinite Banking
Wealth Talks
On this episode we are discussing an article written by the White Coat Investor on Infinite Banking. The article is called 7 truths on Infinite Banking / Bank On Yourself. In this episode: Who is The White Coat Investor? Are the 7 "truths" of this article accurate? ... We discuss each of them today. Is The White Coat Investor consistent? Clarity on some confusion around infinite banking and whole life insurance Direct vs Non Direct recognition. What is an Infinite Banking Policy? Link to Tom McFie's article on the White Coat Investor: Follow the...
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Dave Ramsey...Then What?
Wealth Talks
Dave Ramsey has 7 recommendations: Start a $1000 emergency fund Implement a debt snowball strategy Have 3-6 months of expenses worth in savings Invest 15 % of your income Save for your children’s college tuition Pay off your house early Build wealth and give Are these 7 steps good to follow? Do they lead to financial success? Here's our opinion. Also in this episode: What is the difference between an Emergency Fund and a Cash Cushion? Expectations and positive thinking. Link to Dave Ramsey vs Infinite Banking binder:
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Infinite Banking and Chat GPT
Wealth Talks
We decided to ask Chat GPT questions about Infinite Banking. It was pretty accurate today, but it also had some serious errors. We ask Chat GPT, What is Infinite Banking? And it gives us an example. We ask Chat GPT, What about using Indexed Universal Life Insurance for Infinite Banking? Is Dave Ramsey correct about Infinite Banking? Can I use Infinite Banking for Retirement Income? This whole episode is questions we're asking to Chat GPT and other AI software, and then evaluating their responses. If you don't know about a subject, it can be hard to separate the facts from the...
info_outlinehe SECURE Act was signed into law by President Trump on December 20, 2019. Here are some key changes you should know as you plan for retirement:
Generally, the SECURE Act:
- Removed Maximum Age limit for IRA Contributions
- Increased the age for Required Minimum Distributions (RMDs) from age 70.5 to 72
- Enforces a 10yr distribution window for most inherited retirement accounts - no more stretch IRAs
The SECURE Act is likely to increase age tax-qualified account balances because people will be encouraged to save more in these accounts. It will also increase government tax revenues because of the 10yr distribution rule on inherited accounts.
Also under the Secure Act, employers get a tax credit by automatically enrolling employees in the company sponsored retirement plan (Small-Employer Automatic Enrollment Credit). If you don’t want to be automatically enrolled into contributions to your company retirement plan you may need to take action to opt-out.
Now is a good time to consider how much of your money you wish to invest in tax-qualified accounts compared to paying the tax and building wealth in other types of accounts where you have more control, lower fees and less market risk.
For example: Target-date mutual funds are a default option for most retirement plans with an automatic enrollment. Target-date funds are sold as a “set it and forget it management strategy” and they are also notorious for high fees. Fees are a killer whenever you try to grow your money.
Compare target-date funds with the guaranteed values that build in participating whole life insurance policy over a similar time period. It could make sense to keep the control of your money and lock in guaranteed growth through life insurance + leave any legacy to your heirs income tax-free, instead of putting them into a higher tax-bracket with required distributions on an inherited tax-qualified account.
Wealth Workshop in Las Vegas Jan 18th - Register now
Most people are losing money with typical financial planning. Learn to use Life Insurance as a Financial tool while you’re living so you can keep more of the money you make and have financial peace of mind.