Wealth... Create it. Grow it. Keep it.

The story behind INC Financial

The best thing to leave the next generation is not just money but also the knowledge of how money works.

When we project our clients’ tax-free retirement income into their 90s from their insurance policy, there is always still a death benefit left over. This is usually at least hundreds of thousands and sometimes millions of dollars. There are other creative ways to create retirement income through the INC Wealth Strategy as well. As we detail in our book, we can create additional retirement income by financing our kids’ houses. through my daughters’ mortgages and the fact that they have been around this concept from an early age, they do and will know the importance of paying your own loan back to yourself, or to their parents. By instilling these principals from an early age, our kids hopefully won’t need the death benefit from our policies. Hopefully they will have their own policies and will be able to self-finance their own purchases and create their own retirement income. This will also put them in a position to finance their kids’ houses creating their own additional retirement income. Because they will not need the death benefit from our policies, that death benefit can help their kids’ start their own policies. The following graphic shows how the INC Wealth Strategy is the ultimate multi-generational wealth building tool.

Generational Wealth

The INC Wealth Strategy creates generational wealth in three ways: by creating a death benefit which is not the primary reason for starting a policy, through recapturing the interest our kids would pay to finance their purchases, and by teaching our kids how the concepts works so they can put it to work for themselves.

The death benefit: While the primary reasons for starting this process are having access to your own capital while it continues earning for you and so your money can grow tax-free, additionally there is always the death benefit to consider. The death benefit alone will create generational wealth.

Recapturing interest: At some point our kids will be in the market to buy a house. Where will they go to finance their house? Most people will go to a bank to borrow the money to buy a house and as you know from your own experience, people pay at least two times more for their house than the house is worth due to interest. For example, borrowing from a bank to buy a $250,000 house at 5% over 30 years means your kids will pay $500,000. However, with the INC Wealth Strategy you could choose to finance you kids house through policy loans. This will allow the money used to buy the house to keep earning for you. This also means that a portion of the interest they would have paid to a bank will go directly to you. But most importantly every dollar your kids will pay for their house will come back to them in the form of the death benefit. Consider this for cars, college and anything else your kids will need to finance. That’s how real generational wealth is created; keep it in the family.

Teaching our kids: My kids, and hopefully yours, have had a the benefit of growing up around this concept. My daughters know that when we go to the beach we borrow against their policies. They also know that I pay the loans back and that every dollar we spend at the beach continues earning interest and dividends for the family. They know that someday their policies will help cover their college expenses, cars, houses and potential business ventures. When they are old enough to buy a car I will ask them to go to the bank to request a loan. At such a young age and with little to no income and they will not get a good deal. I will allow them to borrow the same amount of money at the same rate from our policies. I will show them how paying the loan back benefits them instilling respect for money. I hope that at some point in time they will have learned to start their own policies, borrow against them and pay them back diligently. If this is the case then they will not need the death benefit my policies will create someday — instead they will be self-sufficient.

At that point in time my death benefit should be used to create policies for my grandkids with o out of pocket expense to them. If my kids teach them in the same manner they were taught then our family will be able to create, grow and keep generational wealth for generations to come. I hope your family will be doing the same thing.

This graphic illustrates the ideal way to create generational wealth.


"INC Financial: Wealth...Create it. Grow it. Keep it." details how and why you should be using whole life insurance as a private financing tool, a source of tax-free retirement income and a way to create generational wealth without putting your money at risk in the stock market. The book teaches you to finance your own car, home and business through the cash value in your life insurance policy.

INC Financial Book