By Teresa Kuhn JD, RFC,
CSA LivingWealthyfinancial.com
Physician, heal thyself… As an attorney and Registered Financial Consultant, I thought I knew a lot about how money works.
After all, I made my living showing people how to plan successful retirements and how to avoid paying unnecessary taxes.
I read the financial news journals religiously, spent time on websites so I could stay in the loop, and attended all kinds of continuing education workshops and seminars…
However, it wasn’t until I took a long hard look at my own financial plan that I begin to notice some holes in it; holes that had the potential to leak out thousands of dollars in interest and fees and potentially sink my financial future.
When I starting digging into how finance really works, I discovered some of the dirty little secrets that banks and financial services companies had hidden from me for years; secrets that were taking the hard-earned money out of my pocket and putting it to theirs… for no good reason.
The myths and misconceptions of traditional financial planning were taking their toll on my retirement account! Combine this lost money with the effects of the pummeling most of us were getting on Wall Street, and I was looking at a situation that threatened to derail my retirement plans as well as those of my clients. I felt compelled to take this new information about how money really works and discover a systematic approach to help my clients avoid potentially devastating mistakes in planning their practice exit strategies.
Like you, many of my clients are physicians, facing the same financial challenges and experiencing the same uncertainty about their futures. Many of them have incurred debt from medical school and are working hard to grow and maintain a practice, investing thousands of dollars in doing what it takes to stay in business.
It’s true… many of my clients earn a lot more than the average American, but when I talk to them, they express frustration that they seem to have so little to show for all that hard work and outlay of capital. of them earn a substantial income finding that you have little to show for your hard work. Why? Because your money hasn't been working hard for you.
With so much economic uncertainty it's hard to know how to plan ahead or where to put your money for the greatest returns. We've all seen first hand that the old rules about accumulating a safety net of capital no longer apply. I offer an investment vehicle that even I used to think sounded too good to be true. But once I put it to the test for my own family, I realized that it was indeed a safe way to grow your money, keep virtually all of it for yourself, and protect it from market volatility.
In fact, I believe in the concept so completely I focus 100% of my energy on educating others about the benefits of this concept. It's still a relatively unknown concept for managing your money and it's called Bank On Yourself (BOY). Here are a few highlights to help you understand how it works. First, it's based on a uniquely structured Whole Life Insurance policy.
Now there's a term conjures up images of Ned Ryerson, the relentless insurance guy who kept hounding Bill Murray's character all through the movie, Groundhog Day. But don't worry—this is definitely not Ned Ryerson's brand of insurance. Unlike standard Whole Life Insurance, BOY is a program that most financial/insurance advisors don't even know about. It takes special advanced training in order to understand all the possible benefits and only qualified advisors can tailor the package to fit your individual needs.
When it's designed properly, it can give you guaranteed growth and a level of safety and flexibility that you simply can't match with other investments or savings plans. With a BOY policy, the value steadily increases by a contractually guaranteed amount each year and the principle is never affected by a gyrating stock market.
But there's more. Let's say you need expensive new equipment for your practice. When you borrow money from a lending institution, there's one detail that most of us prefer to ignore. It's the inconvenient truth about the amount of interest we end up paying the bank. But what if you could borrow the money from yourself (from your BOY-structured insurance policy) and then pay yourself back . . .with interest? Not only would you be building equity in your policy by paying yourself the interest normally paid to banks, you actually recoup the cost of the equipment.
You essentially finance purchases yourself while protecting your equity and you get a death benefit to boot. The policy can be structured so that the amount you borrow from yourself will have no effect on the dividends you receive, plus under current tax laws, your gains are tax-free.
In other words, your money continues to work for you even when you have borrowed the money out of the policy! Naturally this method of investing requires some patience as it takes time to accumulate enough equity to cover the costs of your purchases.
But think of it as a start-up business—you put time and money into any new endeavor before you begin to reap the benefits. The Bank on Yourself concept can also be used to fund your retirement, college for the kids, or any number of other applications.
There are many benefits that I haven't begun to cover here, but as a qualified BOY advisor, I'm ready to give you a free analysis and show you how this unique product can help you meet your specific goals.
File under: bank-yourself, become-your-own-source-financing, avoid-paying-unecessary-taxes, BOY, infinite-banking, finance-your-large-purchases, best-cash-flow-management, how-grow-your-business, business-financing, best-insurance-advisor-austin, best-financial-planner-austin, financial-advisor-texas
