The Money Advantage Podcast

Did you know that it’s possible to compress your annual goals and accomplish them in a day? With virtual events, all things are possible. Here’s your permission to blow the lid off your expectations for your income! Eileen Wilder, known as “The Queen of Stages,” is a master communicator, trainer, teacher, and advocate for growing (and monetizing) your personal influence for more impact, more income, and most of all—more fun! https://www.youtube.com/watch?v=jQIaviWgBjA So today, find out how you can accelerate your revenue, leverage your time, and scale your business in 2022… tune in now! Table of contentsThe Beginnings of Accelerate My Revenue Combatting InsecurityStop Seeing Money as LimitedHow to Find Your ConfidenceThe Power of Virtual EventsKnow Your AudienceGetting “Big Numbers” with a NicheAbout Eileen WilderConnect With Eileen WilderBook A Strategy Call The Beginnings of Accelerate My Revenue  Eileen Wilder began her journey as a pastor, and together with her husband decided to explore the online space. This entrepreneurial journey eventually led to Eileen’s first six-figure day. In a single day, she earned $108,000. This occurred about three months into her entrepreneurial journey and sparked her understanding of the power of speaking.  It wasn’t just an incremental journey; it was a quantum leap for Eileen and her family. Immediately, this spurred them to pause everything and try to figure out exactly what they did so they could replicate it. This led to them passing the million-dollar mark of revenue well within a year, and even exceeding that.  [5:38] “I just want to encourage you. 2021 was not great for many, many reasons, on so many fronts. I have disastrous things that happened in my [life]; you know health reasons, loss of [a] family member. However, the opportunity to impact more lives has never been greater, as a result of what happened in 2021. As a result of covid. shutting things down, the online virtual space is exploding, and virtual events are repeatedly, systematically, day-by-day are doing six and seven-figure days.”  If you have a message, or what Eileen calls a stirring in your heart, there has never been a better time to get that out into the world.  Combatting Insecurity Finding exponential growth is possible, no matter who you are. However, it requires transformational thinking. Insecurity, self-doubt, and low confidence can all get in the way of the message you have to share with the world.  [7:45] “Brendon Burchard said, ‘Your internal insecurity is not market reality.’ And oftentimes what’s happening internally in our mental mind drama, the mind movies we have, and the stories we’re telling ourselves…is actually not the market reality. The market is trading billions of dollars every day–products, programs, services. And get this: they’re inferior to what you offer.”  The first step to your journey of success is to stop allowing your internal insecurity to sabotage your potential impact on the world.  [8:44] “There’s more than enough for all of us to have more than enough, with more than enough left over.” Stop Seeing Money as Limited The next hurdle to combat is just as Eileen says above. It’s easy to believe that money is finite, however, the world simply does not work that way. Money is an exchange of value, and if you can provide value, abundance will follow. If you improve someone’s life, their life grows and so does yours.  Don’t fall into the mental trap of limitation. If someone gets more money, that does not mean there’s less of the pie available to you. It can actually raise the bar for everyone, and what someone earns is simply a fun fact. Another person’s earnings do not have a bearing on your own earnings.  You also likely won’t serve everyone with the message you have to offer the world, as Eileen points out. That doesn’t mean your income is limited, and in fact, it can even create more freedom for you to be yourself a...

Do you want to accumulate reserves and investible capital where it’s safe and liquid, so you have the cash to invest in the widest range of circumstances? Come behind the scenes as we talk about our Marshall Family Bank in real-time.  https://www.youtube.com/watch?v=wmDrsECWJ8Y Today, we’re talking about our recent whole life insurance policy conversion with a 1035 exchange. We’ll discuss the original policy and what prompted the conversion. We also cover how we structured the new policy, what riders we added and why, and our updated cash value, dividend, and death benefit performance. So, if you want to see exactly how we’re growing our family bank to continue today… tune in now! Table of contentsHow We Started the Marshall Family BankThe First PolicyWhy the 1035 Exchange?What is Demutualization?How Does a 1035 Work?The Old vs. New Marshall PolicySo Why a 1035? Execute TodayBook A Strategy Call How We Started the Marshall Family Bank The Marshall Family bank had to start somewhere, so we want to start by sharing our beginnings with you. Originally, we gravitated toward whole life insurance because we were between opportunities. We were also seeking a safe place to store our cash. This was about 9 years ago. Liquidity was one of our top priorities because we were saving almost 50% of our W-2 income in precious metals, which lacked the liquidity we needed. We still have precious metals in our portfolio today. However, after saving such a significant portion of our income, it was clear that better liquidity would be beneficial. This compounded with the realization that we needed some diversity in our assets since precious metals rise and fall in value.  It was about this time when infinite banking crossed our radar. We were searching for more liquidity and safety. The idea was appealing because we recognized the long-term benefits of a cash flow system. [2:55] “This was when we really sunk in our teeth to the idea that whole life insurance can be a place to store cash, it can be specially designed as infinite banking to have the capital reserves, grow cash value, pay dividends because it’s a mutual policy, and also have a death benefit that transfers your legacy. And we’ve had an evolution, over the course of our life, of recognizing we also need to have human life value, which means having as much death benefit as we can have.” The First Policy With our first policy, we didn’t yet have the long-term vision we have now. Sometimes we didn’t pay the full premiums, and we added PUAs where we could. However, we are thankful we got started at all, rather than waiting. It still helped us to be in a better position than we would be without it. In fact, we used the policy frequently while we had it. This policy was a $10,000 annual premium, insuring Lucas. We used it for several loans over the years, including our business and real estate investing. We’ve paid these loans back, and it’s been a great storage tank for the capital we have.  In the time since we started this policy, we’ve learned a significant amount about policy design and structure. It’s because of our knowledge that we decided to do a 1035 exchange of our first policy into a new life insurance policy.  Why the 1035 Exchange? One reason that whole life insurance can be a great tool for wealth storage and building is that it’s flexible. If your income increases, you can get another life insurance policy and keep your others intact, effectively building a portfolio of policies. This is one reason we thought it would be interesting to have this conversation since we did a 1035 exchange instead of simply starting a new policy. [8:40] Bruce: “Very rarely should a person 1035 a whole life policy to another whole life policy—unless they have specific reasons for doing it.”  Some of the reasons people 1035 whole life insurance into other whole life insurance are:  To receive better service from a new life insurance c...

How do you get life-changing transformation and master the game of business? Joe Evangelisti has built an 8-figure empire and has helped hundreds of entrepreneurs and business owners to cross the 7, 8, and 9-figure mark. Interested in being the next 7-figure business? Don't miss this opportunity to learn from one of the greats. https://www.youtube.com/watch?v=_d_IsQBXhtM To find out how to pivot to unlock your true potential, put aces in their places, and develop a winning culture… tune in now! Table of contentsLife-Changing TransformationMindset TransformationHow to Build ConfidenceCreate a 7-Figure Business by Getting a LifeDon't Be the ArsonistHow to Get Started Building a TeamHow to Be a Team LeaderWhat Does it Mean to Pivot?The Power of Aces in Their PlacesFostering Company CultureStrong Leaders Create Strong LeadersHow to Live Life NowConnect with Joe EvangelistiAbout Joe EvangelistiBook A Strategy Call Life-Changing Transformation Joe Evangelisti is a master of transformation and doesn't let the circumstances drag him down. In fact, his early business experiences have primed him to find opportunities in what others might consider dire circumstances. [4:00] “I was lucky I got into real estate in 2007, which a lot of people were in real estate back then. It was kind of a weird year to get involved in it, but it taught me a lot. Because we thought we were going to hit the ground and flip dozens of houses and make tons of money, and it couldn’t have happened any differently, right?”  Joe got into the real estate market with his own cash and was already two or three properties deep when the market crashed. Yet, he credits this time as teaching him valuable lessons in how to pivot and course-correct his investments in order to make lemonade out of lemons.  [5:00] “I think early on in my career, the first five or six years, it was just a matter of putting all of my time and effort into hustling, grinding, and figuring out until I nearly had a burnout in my early 30s and realized hey, this isn’t the way to do it.” Mindset Transformation It was this shift in mindset that Joe credits with helping him build the multiple successful businesses he has today. It's the same mindset he's helped others adopt to build their own 7-figure businesses and beyond. First, he recognized that there doesn’t have to be an endless grind with no satisfaction. Secondly, he learned that you must also be the kind of motivated person that can find and create solutions no matter the odds. Some of the most successful entrepreneurs Joe can identify have been through some of the most terrifying financial scenarios, and come out on top because they’re able to see it through and course correct.  [7:20] “The characteristic that I see in real winners is the fact that they just don’t ever stop. Right? They don’t ever give up, they just keep pushing no matter how bad things are.”  How to Build Confidence [8:10] “One of my strong unique abilities is the ability to get people to recognize not only their authenticity but the value they bring, right? I think that the challenge that so many entrepreneurs have is they’re trying to be somebody else. They’re trying to be somebody they’re not. When you can recognize your own brand, your own authenticity, what your own value is, what you can bring to the table, what is the byproduct of that? The byproduct of that is confidence. When people give up, what they’re lacking is confidence.” Joe asserts you maintain your confidence by maintaining your identity because confidence comes from authenticity. And all people have an innate ability to recognize authenticity. It shows when you're donning a facade, or being someone you're not. Joe even goes so far as to say that vulnerability can help you be more authentic. The problem is that so many people are afraid of being open and vulnerable. If you want to create real, human connections with clients, business partners,

This week we have the pleasure of joining James Neathery on his podcast, Banking with Life. https://www.youtube.com/watch?v=VTr7vMxoyQU If you want to better understand the importance of life insurance as a foundational tool, and how it integrates into a family banking system...tune in now! Show Notes: 0:00 James Neathery introduces The Money Advantage team: Rachel Marshall, Lucas Marshall, and Bruce Wehner.  3:00 The more quality information about infinite banking and finance out there, the better. Separating the noise from the truth.  5:40 Rachel shares how The Money Advantage team met Nelson Nash, author of Becoming Your Own Banker. 8:15 Lucas touches on the importance of the IBC and life insurance industry sticking together and applying the principles of legacy to create a broader sense of community.  11:30 James says. “Every business has a ferocious need for capital and cash flows.”  12:15 What is family and heritage, and how does money impact that? How does it contribute to generational wealth? 12:55 How the Marshall family implements a family banking system, and how this system has adapted over time.  14:30 How do you ensure that your legacy and money are used in accordance with your family values? 16:30 The benefits of a family banking system over time. 19:30 The benefit of being surrounded by like-minded, entrepreneurial people.  20:20 Where to store your capital for safety and liquidity. 21:25 What is a leveraged-up death benefit, and why is it so profound? 24:15 Bruce shares why he decided to open a life insurance policy on his father.  28:25 What does it mean to have a family enterprise, and how can you be successful? 29:15 What is the “rugged individualist” in the financial industry? How do you move toward a family-focused financial system? 33:15 IBC in theory versus in practice. 35:00 Infinite banking starts at the idea level: you have to reconcile the idea with your finances first. 38:15 The reason you want to step into the role of the banker is that it gives you control. Control gives you options.  40:15 The power of how Nelson Nash taught IBC. 41:50 How people form their opinions on whole life insurance.  45:10 How do you handle people who challenge your understanding or beliefs?  48:30 “Most people’s understanding of life insurance is based on someone else’s misconception.” 49:45 The importance of a solid financial foundation. 53:00 Being available versus being on demand.  54:00 Working with ideal clients. 55:45 The Fed doesn’t understand banking.  1:03:20 Closing thoughts. Book A Strategy Call Do you want to coordinate your finances so that everything works together to improve your life today, accelerate time and money freedom, and leave the greatest legacy? We can help!  Book an Introductory Call with our team today https://themoneyadvantage.com/calendar/, and find out how Privatized Banking, alternative investments, or cash flow strategies can help you accomplish your goals better and faster. That being said, if you want to find out more about how Privatized Banking gives you the most safety, liquidity, and growth… plus boosts your investment returns, and guarantees a legacy, go to https://privatizedbankingsecrets.com/freeguide to learn more.

Where do you start in navigating a clear path to impact and income? How do you make money online? https://www.youtube.com/watch?v=ipnicQQZvkk Brian Dixon says to start with your people. He’s the marketing mentor and business coach who helps you get the clarity to grow your business. So if you want to create a sustainable business, market with confidence, and make money authentically … tune in now! Table of contentsStarting Your Entrepreneurial JourneyStart with Value to Make Money OnlineYour Past Can Direct Your FutureBrian’s 3 Steps to Finding PurposeThe Power of a Growth MindsetConnect with BrianAbout Brian DixonBook A Strategy Call Starting Your Entrepreneurial Journey One of the great things about entrepreneurship is that you can start anywhere, with anything. The world has need of many types of people. Brian Dixon's journey began with music. Aside from writing and performing music, Brian learned how to cold-call venues… and he enjoyed it.  [4:41] “That for me was like my first entrepreneurial journey; [it] was just being the guy that went and got the gigs for the bands. And then I’m like, ‘Wow, people come to the show, so let’s sell them something.’” Brian’s music journey helped him become a better entrepreneur and taught him the skills needed to provide value to his people. For example, playing gigs helped him learn what kind of merchandise people wanted. This is how you grow a business: find something you love, and learn how to market and grow that into something that creates value for the audience that loves and wants what you offer. Start with Value to Make Money Online The key to creating a valuable online business is to do or create something that people want. It’s the secret to all businesses. Money follows value because money represents value. One of Brian’s early businesses began as a way to help the people close to him. In fact, it wasn’t even designed to be a business. He just saw a need for something in the world and made it.  [10:32] “My wife and I took spring break that year and instead of going on vacation, which was well earned working with middle school kids, we decided to stay for a week, for all of spring break, pull ourselves up into the video studio at the school, and we filmed a DVD. And it was called ‘The Internet and Your Kids: Healthy Habits for a Safe Online Home…’ I didn’t even think it was a product yet…I just want[ed] to help these families.” Brian and his wife simply made the DVDs because they saw that it would help relatives, parents of students, and the students themselves. They sent the files to a print-on-demand company, ordered a few for the classroom, and next thing they knew they had made their first $800.  Your Past Can Direct Your Future [16:06] “I just fell in love with the idea that I have a message that matters, but you have a message that matters. And I can make a bigger dent in the universe, right, I can make a bigger impact in my lifetime when I help other people figure out how to take the message out of their heart and out of their head and get it onto the web.” The answer to your purpose, Brian believes, is to look to the very things you or your loved ones have overcome, because chances are there are other people with those same struggles who need to get where you are. [18:56] “I’d say you have to mine your past for diamonds. You look back and you go, what is it that I have overcome? What is it that I have struggled with, or somebody that I love and know has struggled with, and I helped them?” Brian’s 3 Steps to Finding Purpose When Brian helps clients find their own voice and business, he uses a three step process to unearth their message. The first step is to identify the pain points that you have experience solving. Then, you find the promise, or the promised land. You might be there right now. As Brian puts it, the ‘you’ who was experiencing the pain in the past wants to be where you are now,

Why is financing with Infinite Banking better than paying cash? https://www.youtube.com/watch?v=ZzQ73xBl2TE Today, we’re answering a listener question about the Infinite Banking Concept. And we're going back to Nelson Nash's book, Becoming Your Own Banker to explain the concept. So, if you want to better understand the Infinite Banking Concept and how it helps you make more effective financial choices that put you in control… tune in now! Table of contentsAnswering a Listener QuestionHere’s Dave’s original question:The Short Answer to Financing with Infinite BankingWhat Are the Options for Financing a Car?Why Use a CD?Why You Wouldn't Want to Buy a Car With Cash?The Math of CompoundingIs Financing with Infinite Banking "Paying Yourself Interest"?How is This Method Not a Wash?What Insurance Has that Cash Alone Does NotBook A Strategy Call Answering a Listener Question We love to see what our community is saying, and answer any questions. Recently, we had an insightful question from a listener named Dave. Dave's done the homework and read up on Infinite Banking. His question gets to the heart of the concept, so we wanted to dedicate some serious time to answering it.  Here’s Dave’s original question: "...I do have a question regarding the chart and explanations on page 41 where Nelson Nash discusses the different ways to purchase a car. Methods A, B and C are very familiar to me, but method D and E are new concepts to me. It never occurred to me that I could purchase a car using the Bank C/D method, which shows to be superior to paying cash.  Since this is the banking "concept,” but just using someone else's bank I think it is important that I understand how this works and I am just not quite grasping it. I think it would be helpful to me if you could explain and provide examples of how the Bank C/D method works and why is it more effective than paying cash. I can see from the chart that it is obviously better, but I just don't totally understand why. Somewhere I am missing something in my understanding of this concept and I'm not learning it very well from the book. Maybe I am just not seeing the math the same way and it doesn't seem to be explained very well in the book, at least to me.  If I store money in a bank and earn interest, but take out a loan from the bank to make a purchase isn't it a wash?  Where is the leverage and how does that benefit me?  Is it because the interest rate on the C/D is higher than the borrowed interest rate? I know that you have recently been answering questions on your podcast and I hope you will find it worth your time to address this one. It seems to be at the center of how this concept works and once I understand that I think I may have a breakthrough in my understanding. Thanks for your time and effort.” The Short Answer to Financing with Infinite Banking Dave’s question is a great one that really addresses why someone would use infinite banking. We think, first of all, that what Nelson Nash did with his book is create options. There are different reasons, both personal and economic, to finance a car with each of his examples. However, leveraging a life insurance policy is often not considered among all the options. Primarily for the reasons that Dave brings up in his question–people aren’t familiar with it, and it can seem complicated.  The short answer is that using life insurance to fund a car allows you to take advantage of uninterrupted compounding. Because while you may pay interest on a loan, you’re also earning interest on the full value of your cash value. This means that you can both take advantage of capital without losing the momentum of your accumulation account's ability to earn interest and grow. [8:52] “Nelson used to always talk about this: It’s not about the rates of return… it’s about who’s controlling the banking function.” The person who controls the banking function has the flexibility.

How do you raise confident, successful, happy children who use their uniqueness to contribute the most in the world? What kind of family leadership do you need, so that you build strong families? And what is the secret to generational family wealth, really?  https://www.youtube.com/watch?v=YUGCz2R830g Parenting is one of the most complex tasks we will ever face. It can feel like a mountain of skills our kids need to gain—everything from arithmetic to writing essays to public speaking to driving to finding their passion, choosing a college, a career, and a mate, to making and managing money, and eventually raising their own family. Families with money have compounded challenges. That’s because, often, the rising generation is overlooked, falling into the shadow of silence. We’re talking with Keith Whitaker, an educator who consults with leaders and rising generation members of enterprising families. The last time we had him on the show we discussed his book Complete Family Wealth. Today we’re exploring the question: how do I parent well and teach my children to become wise stewards of wealth, so that money doesn’t corrupt them?  So, if you want to help your children to make good decisions as they decide on a college major, choose a career path, find a partner, parent their own children, use and make money, and ultimately serve as the bridge to connect families across generations, you need to hear this one thing. Tune in now! Table of contentsGenerational Family Wealth: Qualitative WealthHuman CapitalThe Three Stages of LifeCommunicating with Your ChildrenUnderstanding Your ChildrenExamining Your Ideas About MoneyThe Family BusinessGenerational Family Wealth: The Voice of the Rising GenerationYour Hopes vs. Their HopesConnect with Keith:About Keith WhitakerBook A Strategy Call Generational Family Wealth: Qualitative Wealth There's quantitative wealth, and then there's qualitative. The former is money—what most people think of as wealth. However, when looking at a unit, in the context of generational family wealth, it's critical to examine qualitative wealth. In other words, we must consider "human capital" as a part of the family's wealth. Human capital is comprised of personal strengths, passions, and skills that every human possesses. Knowing and fostering human capital as a part of the family wealth system is crucial. This is what helps our children to become well-rounded, capable, and confident people. People who can thrive and carry on the family legacy, for true generational family wealth. So how do parents help their children grow their human capital? Human Capital [5:28] “Even though the context is family, the focus is on individuals, and that goes back to another principle we have. Our own thinking about family wealth is that really great families or healthy families are made up of great or healthy individuals. So sometimes, especially in the context of large financial wealth, people have a tendency to focus on the family. Having a hundred-year family plan, having a hundred-year constitution, talking about family values–-all of those things are important, but they really pale in comparison to the importance of helping each individual in that family grow and be as healthy as strong, as confident in him or herself as can be.” Without fostering individual confidence and capability, you can have all of the documents and mission statements in the world, and they will simply be words. You must raise children who feel heard, and can develop their own unique abilities in a way that serves the family's greater purpose. Keith suggests you ask yourself what good parenting is? This question is important regardless of wealth because every family involves parenting. Only then can you layer on the aspects of parenting with wealth involved. The foundation of this conversation is good parenting, and what that looks like to you. Then you can introduce special considerations tha...

Many people believe that money is the root of all evil. But is money really evil? Is the love of money evil? https://www.youtube.com/watch?v=a1zVsI6Inpg Today, we’re taking on a topic that creates so much confusion, tension, and challenge for people. We’re talking about money, the love of money, and the real root of all evil. And we’re revealing how this one huge mistake in our thinking literally causes all the money problems we see in our own life and the world. So if you want to dig deep into what the love of money is—and what it isn’t—so that you can flourish in the right relationship with people, yourself, and with God… tune in now! Table of contentsWhat Does the Bible Say About the Love of Money?Understanding the Context of Money in the BibleIs This “Prosperity Gospel”?Reconciling What We Know with What We DoIs Money the Root of All Evil?New Living TranslationThe MessageThe Amplified TranslationThe Love of MoneyWhy “Loving Money” is EasyMoney is a ToolParting Thoughts About the Love of MoneyBook A Strategy Call What Does the Bible Say About the Love of Money? Earlier this year, we had special guest Rabbi Daniel Lapin join us to talk about his book Thou Shall Prosper. We thought his biblical wisdom about money was so profound, and we actually had him join our show two more times this year. However, we also received many comments about biblical interpretation. We thought it would be a good idea to break down what we interpret in the Bible.  As we lay the groundwork for this discussion, we think it’s important to point out that English-speakers are reading a translation. We don’t have the benefit of reading the text in its original language. As such, there are many modern translations we can seek, with different interpretations. Then, on top of that, we have our own human interpretation of the texts we read.  The Money Advantage is not a ministry, but a business. As entrepreneurs, and particularly as ones in the financial, we talk about money. Wealth can be a taboo topic in many religious circles, and in an effort to talk about money from all angles, we want to touch on biblical wealth. Whatever you believe, we think this topic can help to assuage shame or guilt around money.  Understanding the Context of Money in the Bible Many people draw their feelings and philosophy on money directly from the Bible. When you’re building and protecting your wealth, it’s important to have a solid understanding of things so that you can make the best decisions possible. Without it, you’re financially coasting. We think this same logic can apply to your understanding of money in a biblical sense. If your entire philosophy of money is Biblically centered, it makes sense to dig deeper. The more you can understand the cultural context and original meaning of the text, the more concrete your understanding can be.  Is This “Prosperity Gospel”? Prosperity Gospel is a term that often comes with negative connotations. Wikipedia defines this as: A religious belief among some Protestant Christians that financial blessing and physical well-being are always the will of God for them, and that faith, positive speech, and donations to religious causes will increase one's material wealth.https://en.wikipedia.org/wiki/Prosperity_theology This, however, is not the reason that we find value in looking at the Biblical context of money. We believe that wealth is something accessible to all and is directly proportional to the amount of value you provide others, and the number of people you provide value to. However, we live in a society that often vilifies wealth, which can cause negative feelings to fester within us all.  However, based on our own understanding of the Bible, we see that wealth is not “evil,” or something to be despised. This does not, however, mean that we advocate that the wealthy are favored by God more than others. We are proponents of obtaining wealth through peaceful trade,

What is a Modified Endowment Contract, and what does it have to do with life insurance? https://www.youtube.com/watch?v=qXI-iOZylhU If you're using Infinite Banking as a savings tool, you want to avoid having your policy become a MEC. But what exactly are Modified Endowment Contracts? How does it change the taxation on your life insurance policy? Why does it exist? And when might you want to use a MEC?  If you want to know more about how to use Infinite Banking to accomplish your financial goals… tune in now! Table of contentsDefining the Modified Endowment ContractHow MECs WorkThe Tax Consequences of a MECThe 7-Pay TestIs There An Upside to Having a MEC?Book A Strategy Call Defining the Modified Endowment Contract There are a lot of great reasons to have a whole life insurance policy. This includes tax advantages, uninterrupted compounding growth, and income protection. It’s the ideal vehicle for an infinite banking strategy–however, you can lose these benefits if you over-fund your policy.  When you put too much money into a whole life insurance policy, it becomes something called a Modified Endowment Contract. When a policy becomes a MEC, it loses its tax advantages. The IRS created this legislation to cut down on what they deemed taking advantage of life insurance. The original purpose of life insurance's tax advantages was to incentivize people to buy insurance. That’s because life insurance can protect families financially from a loss of income during a difficult time. This also prevents the government from having to commit tax dollars toward supporting these families. The government first implemented these benefits with a specific purpose in mind: to be a win for families. They didn't create the advantages as a loophole. In order to protect the original intent of life insurance—to provide a death benefit—the IRS decided that if policyholders didn’t follow certain guidelines, it would functionally be classified as an investment, rather than an insurance policy.  How MECs Work Let’s consider an example. Say you want to buy a life insurance policy with a $1 million death benefit. The least you can pay, or the “floor," is going to be term insurance. This is the cheapest premium you can have, however, you only have the temporary death benefit and nothing more.  What you can pay on a million-dollar policy, however, is a sliding scale. You can have different life insurance products or structures that change the premium. For example, you can have whole life insurance, structured in a few different ways. Typically, the higher your premium, the more benefits you get, including living benefits like a cash value account.  A whole life insurance policy structured for infinite banking is at the top of this scale. Largely because of all the living benefits. Tax favorable growth, uninterrupted compounding interest, tax-free access via policy loans—these are just a few benefits, on top of your permanent insurance.  The MEC rule creates an official “cap” to the sliding scale, preventing people from paying beyond the maximum, as they were prior to the late 80s. Now, if you go through the pay ceiling, you still have life insurance, but it will no longer have the same tax treatment. The Tax Consequences of a MEC With a MEC, your death benefit still passes to your heirs tax free, however, your living benefits no longer receive the same tax advantages. If you take a policy loan with a MEC contract, you will have to pay income taxes on that money. Additionally, if you withdraw money from your cash value before age 59 ½ you will be subject to penalties.  A MEC policy gets similar treatment as a 401(k) or an IRA. If you are choosing to use whole life insurance primarily as a savings tool, or as an infinite banking policy, it’s important that you don’t MEC your policy.  The 7-Pay Test In order to determine what policies are a MEC, the IRS uses something called the 7-pay test.

Want to build a work from home business, and scale to create the life you dream of for your family? Would you like to do so without being a salesy weirdo? Today, we’re talking with Martha Krejci, who made her first million in 6 months in business by working from home. https://www.youtube.com/watch?v=roEwVrkfHlg Now, she’s a business growth strategist who helps other work-from-home moms make millions.  If you’re looking for the secret sauce to scale your business today, want to learn a sustainable and repeatable system, convert people into raving fans, and make simple social media posts that create leads… tune in now! Table of contentsHow Martha Started to Work from HomePrepare Yourself for SuccessHow to Pivot Your BusinessProtecting Your Energy and Building CommunityThe Problem with AdsReverse-Engineering the Sales FunnelThe Secret to Live VideosWork from Home and Do What You LoveHow to Start Your Work from Home JourneyWhat is the Ultimate Scaling Tool?Links MentionedAbout Martha KrejciBook A Strategy Call How Martha Started to Work from Home [6:00] “On paper, I was the only breadwinner of my family.” Yet Martha took the entrepreneurial leap anyway. She describes herself as always having felt the pull to be an entrepreneur. However, it wasn’t until she had an epiphany while raising her daughter that she followed the entrepreneurial call. One day at work, she received a video of her daughter taking her first steps. Her first reaction was joy. Then her next thought was that her daughter was walking toward a phone, instead of her mother. This inspired her to take the leap to work from home virtually overnight. Despite supporting her husband, her child, and her in-laws who had recently moved in. Within the first month, she was matching her income at her previous job and continued to grow from there.  Prepare Yourself for Success [11:40 “My favorite thing is the struggle. Is that weird? A lot of people like to illuminate the success, my favorite thing is illuminating the struggle...Let’s normalize it. Let’s normalize that that’s what’s necessary…[Success is] not a promise, you have to do the work, right? You have to make sure that you’re ready for this success.” The reason you have to be prepared for success, as Martha shares, is because quickly after you find success, all of the negative stories you told yourself about yourself are going to start popping up. Your success is going to dredge up your internal baggage, and can derail you if you’re not prepared to handle it.  How to Pivot Your Business Martha’s first agency was an SEO agency, and she joined the chamber of commerce at about $200 a year and began attending events. Soon enough, she was leading training sessions for business owners. Yet business owners often don’t have the time to implement these things. So if you show authority when you’re training, it’s likely that those businesses will want to hire you.  [13:45] “Since then, what we’ve done is we’ve just bobbed and weaved. So we’ve seen where needs were. I guess our formula—and I’ve never really shared this before—our formula is: What do people need, and what do we enjoy doing for them?” Once Martha’s agency identifies what her clients need and what she enjoys doing for them, she’s able to merge those things. This way, she’s not ever pigeon-holing herself and her agency is positioned to pivot.  [15:40] “I think that’s where a lot of the business death comes from, is just simply being afraid to pivot. Because pivot is growth.” Protecting Your Energy and Building Community [20:50] “I don’t ever think we should be doing everything anyway. So what I teach is, you know, you essentially work 5-10 hours a week once all your stuff is set up. So the ‘doing everything’ is a lot of wheel spinning in my opinion. And some would say that it’s strategic and that you’re throwing spaghetti at the wall and you’re gonna see what sticks, and that sort of thing...